Gsi Co.,ltd. · SAPSE:5579
Gsi Co.,ltd — Investor Presentation (January 2016)
26 slides from Gsi Co.,ltd's investor presentation, Jan 11, 2016
Slide 1: Investor Presentation January 2016
Investor Presentation January 2016 Exhibit 99.1
Slide 2: Factors affecting future performance & Non-GAAP Financials
Factors affecting future performance & Non-GAAP Financials The statements in this presentation that relate to guidance, pro forma presentations, future plans, goals, business opportunities, events or performance are forward-looking statements that involve risks and uncertainties, including risks ass
Slide 3: Leading Supplier of Advanced Technologies to Medical and Advanced Industrial markets
Leading Supplier of Advanced Technologies… …to Medical and Advanced Industrial markets Leading provider of laser, precision motion, and vision technologies Canadian company founded in 1968, with U.S. Headquarters in Bedford, MA ~$365M in annual revenue and +$60M in annual Adjusted EBITDA Serving glo
Slide 4: We work with OEMs to improve patient outcomes
We work with OEM’s to improve patient outcomes… …with the best available enabling technologies for medical equipment GSI Technology in Medical OEM Applications Precision motion technologies that enable more accurate control of arms in robotic surgery systems, while also enhancing safety ~$8M ~$38M V
Slide 5: Precision Photonics and Motion sub-systems to medical and advanced industrial OEMs
Precision Photonics and Motion sub-systems… …to medical and advanced industrial OEMs Business Model Highly engineered and (semi) customized solutions to OEM’s Mid to long design-in cycles Medium volume (1000’s) asset-light assembly operations Leverage cross-selling to OEM’s in target applications Op
Slide 6: Medical End-Market sales are approaching ½ of GSI
Medical End-Market sales are approaching ½ of GSI… …through a breadth of products and solutions Medical GSI Profile – Pro Forma Advanced Industrial Product Groups End Market Mix * Data presented is pro-forma 2015 adjusting for all acquisitions and divestitures 55% 45% 35% 47% 18% Laser Products Visi
Slide 7: Strong global presence & significant reach
Strong global presence & significant reach… …strategically aligned to more than 3,000 OEM customers Silicon Valley, CA Major R&D Site Major Manufacturing Site Poole, UK Suzhou, China Seattle, WA Syracuse, NY Boston, MA 42% The Americas 31% EMEA 27% Asia Major Sales & Service Site Munich, Germany She
Slide 8: Sales into Advanced Industrial focused on high performing applications
Sales into Advanced Industrial… …focused on high performing applications and secular growth GSI Roots in Advanced Industrial Markets CO2 Lasers Optical Encoders Spectroradiometers Laser Scanheads Enabling Technologies Major Applications LCD Testing Laser Marking Laser Cutting Robotics Wire Bonding L
Slide 9: An impressive array of enabling technologies
An impressive array of enabling technologies… …that drive efficacy, workflow productivity, & safety in medical equipment GSI Medical Business Bar Code Scanning RFID Machine Vision Surgical Displays Wireless Networking Optical Encoders Thermal Printers Software Informatics Laser Scanning Enabling Tec
Slide 10: We serve a ~$1 billion medical market
We serve a ~$ 1 billion medical market… …with a broad array of capabilities GSI Medical Markets Ophthalmology Critical Care Lab Equipment Surgical Treatment OCT Cataract Surgery LASIK Surgery Patient Monitoring EKG Defibrillation IVD Life Sciences Analytical Endoscopy Robotic Surgery Surgical Tools
Slide 11: We are driving penetration and increased content of our products
We are driving penetration and increased content… …of our products in critical care applications Robotic Surgery Minimally Invasive Surgery Drug Delivery Patient Monitoring Laser Surgery Retinal Diagnostics Surgical Operating Room Our Technologies RFID Bar Code Scanning Machine Vision WiFi Surgical
Slide 12: GSI is well positioned as a major enabler
GSI is well position as a major enabler… Improved Healthcare Productivity Improve patient outcomes Real time patient data Remote consultation Less anesthesia time Improved visualization for HCPs – any image to any screen at any time Higher OR productivity Shorter procedure time Faster setup & turn-o
Slide 13: Endoscopic Imaging Chain
2D, 3D & 4K UHD Proprietary color calibration Correction of optical distortions Scaling Converting 2D, 3D & 4K UHD Multi-channel Patient documentation capabilities Data archiving ZeroWire Wireless In-OR & X-OR integration 2D, 3D & 4K UHD streaming Video Over- (Ethernet, IP) 3D & 4K UHD Ultra-wide ga
Slide 14: Our technologies drive medical workflow productivity & error reductions
Our technologies drive… …medical workflow productivity & error reductions Market leader in machine vision for the medical market Workflow productivity and effort reduction solutions Market leader in Barcoding, RFID for the medical market Reducing medication errors and harm via the “five rights”: the
Slide 15: We have a strong presence in eye care
We have a strong presence in eye care… …with a leading position in retinal OCT scanning Beam Delivery for Retinal OCT Scanning Servo controlled optical steering of the scan beam Serving major OEM’s across the application Fastest available 1D and 3D scanning speeds Improved in-field serviceability De
Slide 16: Our vision targets consistent profitable growth
Our vision targets consistent profitable growth… …and recognized leadership in our space 2020 Strategic Vision “Building a Leading Precision Technology Company through Innovation at the Intersection of Photonics & Motion” Breakthrough Scale Double in size to $750 million in revenue Deliver 20% EBITD
Slide 17: We are working across GSI to deepen our relationship with Medical OEMs
We are working across GSI… …to deepen our relationship with Medical OEM’s * Data presented is pro-forma 2015 adjusting for all acquisitions and divestitures Medical Cross Selling Initiative Approach Team selling within OEM accounts Cross training on product offerings Communication forums for sales t
Slide 18: Our commitment to Continuous Improvement
Our commitment to Continuous Improvement… …gives us the confidence we can be successful Productivity Programs Strategic Sourcing Lean Conversion Cost Base: ~$150M (material spend) Spend Analytics Tool in place Savings programs and goals defined by site and commodity Focused on standardizing contract
Slide 19: The Company's transformation has been notable
The Company’s transformation has been notable… …and we believe our future is even brighter $225M Adjusted Revenue +$365M ~15% CAGR *Adjusted Revenue is a non-GAAP measure. The reconciliation to our most comparable GAAP numbers is provided in the appendix. Mid-Single Digit Growth
Slide 20: Demonstrating strong profitable growth
Demonstrating strong profitable growth… …despite significant investments involved in transforming the company * Data presented is pro-forma 2015 adjusting for all acquisitions and divestitures $42M Adjusted EBITDA $51M $60M-$61M *Adjusted EBITDA & Adjusted E.P.S. are a non-GAAP measures. The reconci
Slide 21: About GSI Group
About GSI Group… * Data presented is pro-forma 2015 adjusting for all acquisitions and divestitures GSI Group Inc. designs, develops, manufactures and sells precision photonics and motion control components and subsystems to Original Equipment Manufacturers (“OEM”) in the medical equipment and advan
Slide 22: Appendix
GSr Appendix Page 22
Slide 23: Non-GAAP Adjusted Revenue Reconciliation
Non-GAAP Adjusted Revenue Reconciliation Twelve Months Ended December 31, 2012 December 31, 2013 December 31, 2014 (in thousands of dollars) Revenue (GAAP) $ 243,796 $ 316,910 $ 364,706 JK Lasers divestiture (19,200) (19,051) (22,425) Acquisition fair value adjustments — 275 220 Adjusted Revenue (No
Slide 24: Non-GAAP Adjusted EBITDA Reconciliation
Non-GAAP Adjusted EBITDA Reconciliation Twelve Months Ended December 31, 2012 December 31, 2013 December 31, 2014 (in thousands of dollars) Income (loss) from continuing operations (GAAP) $ 20,262 $ 19,446 $ (16,806) Depreciation and amortization 12,458 19,570 23,797 Share-based compensation 4,534 5
Slide 25: Non-GAAP Adjusted EPS Reconciliation
Non-GAAP Adjusted EPS Reconciliation Twelve Months Ended December 31, 2012* December 31, 2013 December 31, 2014 Diluted EPS from Continuing Operations (GAAP) $ 0.66 $ 0.29 $ (0.49) Non-GAAP Adjustments: Amortization of intangible assets 0.10 0.24 0.34 Restructuring, divestiture and other costs 0.15
Slide 26: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures The non-GAAP financial measures used in this presentation are non-GAAP Adjusted Revenue, Adjusted EBITDA, and Adjusted EPS from Continuing Operations. The Company believes that the non-GAAP financial measures provide useful and supplementary information to investor