Slide 1: ASML reports 2013 results as guided, reiterates H1 2014 expectation
ASML reports 2013 results as guided, reiterates H1 2014 expectation Continued strong demand underpins solid start of 2014 ASML 2013 Fourth Quarter and 2013 Annual Results Veldhoven, the Netherlands January 22, 2014
Slide 2: Forward looking statements
Forward looking statements Public Slide 2 22 January 2014 “Safe Harbor” Statement under the US Private Securities Litigation Reform Act of 1995: the matters discussed in this document may include forward-looking statements, including statements made about our outlook, expected sales levels, systems
Slide 3: Agenda
Public Slide 3 22 January 2014 • Business summary • Business environment • ASML technology status • Outlook
Slide 4: Business summary
Public Slide 4 22 January 2014 Business summary
Slide 5: 2013 – highlights
2013 – highlights Public Slide 5 22 January 2014 • Net sales of € 5,245 million, gross margin 41.5%, net income € 1,015 million, EPS € 2.36 • Completed acquisition of Cymer • Without the acquisition-related impact, the full-year 2013 net income would have been € 139 million higher. The gross margin
Slide 6: Q4 results – highlights
Q4 results – highlights Public Slide 6 22 January 2014 • Record net sales of € 1,848 million, 56 litho systems sold, valued at € 1,441 million, net service and field option sales at € 407 million • Gross margin of 43.6% • GM is negatively impacted by 1.7% Cymer acquisition related costs* and 1.5% du
Slide 7: Net system sales breakdown in value: Q4 2013
Net system sales breakdown in value: Q4 2013 Public Slide 7 Total value is € 1,441 million 22 January 2014 Technology End-Use Memory 35% KrF 19% IDM ArF dry 3% 19% EUV 4% Region Foundry Taiwan 46% 41% ArF Immersion 74% Japan 3% Europe 5% Sales in Units Rest of Asia 1% 27 26 China USA 13% 16% Korea 2
Slide 8: Net Sales
Total net sales M€ Public Slide 8 22 January 2014 6000 5,651 5,245 5000 1,211 4,732 4,508 1,023 1,848 4000 3,768 1,521 1,459 Q1 Net Sales 955 2,954 Q2 3000 1,229 494 1,318 Q3 934 1,176 Q4 697 1,529 2000 1,596 1,228 930 1,187 844 581 1,069 1000 555 1,452 1,252 949 919 742 892 277 0 183 2007 2008 2009
Slide 9: Consolidated statements of operations M€
Consolidated statements of operations M€ Public Slide 9 22 January 2014 Q3 13 Q4 13 2012 2013 Net sales 1,318 1,848** 4,732 5,245 Gross profit 531 806 2,005 2,177 Gross margin % 40.3% 43.6% 42.4% 41.5% Other income (CCIP*) 17 17 0 64 R&D costs (244) (253) (589) (882) SG&A costs (91) (90) (259) (312)
Slide 10: Key financial trends 2012 – 2013
Key financial trends 2012 – 2013 Public Slide 10 Consolidated statements of operations M€ 22 January 2014 Q4 12 Q1 13 Q2 13* Q3 13 Q4 13 Net sales 1,023 892 1,187 1,318 1,848 Gross profit 420 341 500 531 806 Gross margin % 41.1% 38.2% 42.1% 40.3% 43.6% Other income 0 14 16 17 17 R&D costs (155) (185
Slide 11: Cash flows M€
Cash flows M€ Public Slide 11 22 January 2014 Q3 13 Q4 13 2012 2013 Net income 193 481 1,146 1,015 Adjustments to reconcile net income to net cash flows from operating activities: Impairment and obsolescence 49 62 135 178 Depreciation and amortization 68 68 187 229 Deferred income taxes (13) (17) (7
Slide 12: Balance sheets M€
Balance sheets M€ Public Slide 12 22 January 2014 Assets Dec 31st, 2012 Dec 31st, 2013 Cash & cash equivalents and short-term 2,698 36% 3,011 26% investments Net accounts receivable and finance receivables 909 12% 1,175 10% Inventories, net 1,857 25% 2,393 21% Other assets 558 8% 635 5% Tax assets 2
Slide 13: Bookings activity by sector, EUV not included
Bookings activity by sector, EUV not included Public Slide 13 Total value M€ 1,449 22 January 2014 Net booked Foundry 25% • 44 new tools at € 1,393 million • 8 used tools at € 56 million Foundry IDM 32% 16% Memory 59% Numbers have been rounded for readers’ convenience
Slide 14: Backlog in value per Dec 31, 2013
Backlog in value per Dec 31, 2013 EUV not included Public Slide 14 Total value M€ 1,953 22 January 2014 Region USA Technology (ship to location) 35% Taiwan KrF i-line 1% 12% 13% ArF dry 2% Rest of Asia 1% Europe 1% End-use China Korea 22% ArF immersion Foundry 29% 84% 13% IDM 32% New Used Total syst
Slide 15: Capital return to shareholders
Capital return to shareholders Public Slide 15 22 January 2014 • ASML proposes to again increase dividend by 15% to € 0.61 per ordinary share • Through 31 December 2013, ASML acquired 4.6 million shares for a total consideration of € 300 million. The repurchased shares will be cancelled • 30% of the
Slide 16: Business environment
Public Slide 16 22 January 2014 Business environment
Slide 17: Business environment
Business environment Public Slide 17 22 January 2014 • In the Foundry segment, our customers are installing capacity for the 20 nm node and are preparing for the 16/14nm node ramp, driven by the mobile applications market • MPU continues the 14nm node ramp • The Memory segment continues to pick up i
Slide 18: ASML technology status
Public Slide 18 22 January 2014 ASML technology status
Slide 19: EUV overview
EUV overview Public Slide 19 22 January 2014 • 3 NXE:3300B systems shipping of which • 1 system is exposing 10nm process qualification wafers at the customer site • 2 systems under install • 8 more NXE:3300B systems in various states of integration • 1 system (#4) is factory qualified and preparing
Slide 20: EUV – progress toward production insertion
EUV – progress toward production insertion Public Slide 20 22 January 2014 • Multiple customers have been printing EUV wafers for future node process qualification with excellent lithographic results • We have demonstrated source power capability to expose up to 50 wafers per hour on EUV systems • P
Slide 21: EUV shipments and tool recognition
EUV shipments and tool recognition Public Slide 21 22 January 2014 • First NXE:3300B has been recognized in Q4 2013 sales • After having shipped 3 systems, we expect to deliver the 8 remaining EUV tools on order in 2014, 1 system will ship in Q1 • Expected revenue recognition in 2014: 1 system in Q1
Slide 22: Product highlights
Product highlights Public Slide 22 22 January 2014 • Rapid adoption of our most advanced immersion tool NXT:1970Ci is illustrated by 1 tool shipment in Q3, 4 more in Q4 and a current backlog of 14 • We saw a significant increase in sales of YieldStar metrology systems in 2013. These machines generat
Slide 23: Outlook
Public Slide 23 22 January 2014 Outlook
Slide 24: Q1 outlook
Q1 outlook Public Slide 24 22 January 2014 • Net sales around € 1.4 billion • Gross margin around 42% • R&D costs of about € 280 million • SG&A costs of about € 85 million • Other income (Customer Co-Investment Program) of about € 20 million Q1 gross margin includes: • Revenue recognition for 1 EUV
Slide 25: ASML
ASML