Slide 1: Fourth quarter and full-year 2021 results
WAT PASSION. PRECISION. PURITY PASSION.PRECISION.PURITY VAT - Global leaders in Vacuum Valve Technology Fourth quarter and full-year 2021 results www.vatvalve.com
Slide 2: Highlights
Fourth Quarter and Full-Year 2021 Results Highlights Mike Allison, CEO Fabian Chiozza, CFO Mike Allison, CEO
Slide 3: Record Q4 and full-year 2021 results; positive 2022 outlook
Fourth Quarter and Full-Year 2021 Results Record Q4 and full-year 2021 results; positive 2022 outlook Strong Q4 business execution Record order intake in 2021 Record performances on all levels Improved operational performance Optimistic 2022 outlook ™” Strong Q4 results driven by ongoing market grow
Slide 4: Market share gains and strong business execution drive record 2021 results
Fourth Quarter and Full-Year 2021 Results Market share gains and strong business execution drive record 2021 results Our business segments Valves Global Service Delivering record performance Order intake Net sales (CHF million) (CHF million) Free cash flow Specification wins (CHF million) ‘since IPO
Slide 5: Semiconductor are our driving force
Fourth Quarter and Full-Year 2021 Results Semiconductor are our driving force Sales breakdown by market segment 2021 14% Semiconductor 19% \ >. Display & Solar 60% Advanced Industrials Global Sevice Regional Sales Breakdown 2021 13% 53% 34% APAC ™Americas © EMEA
Slide 6: Market share development
75% 70% 65% 65% 63% 62% 61% 58% 57% 56% 55% 55% 54% 53% 49% 49% 47% 46% 45% 41% 39% 2015 2016 2017 2018 2019 2020 2021 2015 2016 2017 2018 2019 2020 2021 2015 2016 2017 2018 2019 2020 2021
Slide 7: Strong growth trends across Semi, Advanced Industrials and Global Service
Fourth Quarter and Full-Year 2021 Results Strong growth trends across Semi, Advanced Industrials and Global Service Strong market growth in unprecedented WFE investments; up by about 35% to between USD 85 - 90 billion; all product segments (memory, foundry, advanced logic and discrete, analog & othe
Slide 8: Fourth quarter and full-year 2021 financial review
Fourth Quarter and Full-Year 2021 Results Fourth quarter and full-year 2021 financial review Mike Allison, CEO Fabian Chiozza, CFO Mike Allison, CEO
Slide 9: Group key performance indicators
2 3 Fr g iad 5 S x] 5 Group key performance indicators Orders CHF 1228m +70% Net income CHF 217 +70% PASSION. PRECISION. PURITY EBITDA CHF 308 (+46%) EBITDA margin 34.2% (+3.8ppt) Leverage (Net debt/EBITDA) 0.3x
Slide 10: Full-year order intake +70% yoy
Full-year order intake +70% yoy Q4 order Full-year order intake backlog +107% yoy +217% yoy 1Order backlog as of June 30, 2019 and June 30, 2020
Slide 11: Order intake, net sales and book to bill
500 2.50 400 2.00 300 1.50 200 1.00 100 0.50 0 0.00 Q1 18 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Order intake Net sales Book to bill
Slide 12: Record EBITDA and EBITDA-margin due to operational leverage
Record EBITDA and EBITDA-margin due to operational leverage and continued productivity and cost focus in CHF million 901 Sales + 692 EBITDA ma 255 308 188 2n 2020 2021 Q4 net sales Full-year net sales‘ ™ Full-year EBITDA’ Adverse FX movements (mainly USD/CHF) negatively impacted sales by about three
Slide 13: Half-year net sales, EBITDA and EBITDA-margin
600 35% 500 400 30% 300 200 25% 100 0 20% H1 18 H2 18 H1 19 H2 19 H1 20 H2 20 H1 21 H2 21 Net Sales EBITDA EBITDA-Margin
Slide 14: VAT's business model generates consistently high economic profit on invested capital
T- VAT’s business model generates consistently high wenn economic profit on invested capital 480 60.0% 400 50.0% 320 40.0% 240 30.0% 160 20.0% 80 1 [| 10.0% (0) 0.0% 2015, 2016 2017 2018 2019 2020 2021 Invested Capital NOPAT(LTM) lll Free Cash Flow(LTM) = —=ROIC CROIC = ==WACC1 The return on investe
Slide 15: Substantial increase in net income
Substantial increase in net income in CHF million 2020 Change EBITDA 307.9 210.5 46.3% Depreciaton and amortization -431 -407 5.8% EBIT 264.9 169.8 56.0% Finance net 7A -15.6 -54.3% 2 EBT 257.7 184.2 671% = Income tax expenses 40.3 -26.3 5 Effective Tax Rate -15.6% -17.0% : Net income AVES 1279 70.0
Slide 16: Record free cash flow despite TWC requirements and higher capex
Record free cash flow despite TWC requirements and higher capex to support growth Free cash flow Free cash flow conversion 240 a) 100% 166 ma 196 91% (a9) 88% \ 86% ' 147 79% 7 69% 70% 64% 57% 58% 51% % Y 43% 39% “ih s 2020 2021 6M 15 2015 6M 16 2016 6M17 2017 6M 18 2018 6M 19 2019 6M 20 2020 6M 21
Slide 17: Net debt development
Net debt development 266 (138) 207 (127) 128 80 Gross debt Cash and cash equivalents Net debt
Slide 18: Outstanding 2021 financial performance - 2022 expected to further improve results
Outstanding 2021 financial performance - 2022 expected to further improve results VAT continued to fully capture the strong market conditions both in semiconductor (valves and service) and advanced industrial activities based on innovation, market leadership and execution skills Record levels were a
Slide 19: Update of 2025 guidance and 2022 outlook
Fourth Quarter and Full-Year 2021 Results Update of 2025 guidance and 2022 outlook Mike Allison, CEO Fabian Chiozza, CFO Mike Allison, CEO
Slide 20: Delivering on all four 2025 strategic priorities
Fourth Quarter and Full-Year 2021 Results Delivering on all four 2025 strategic priorities Our claim in December 2020 Gain market share in valves Grow our service business Advance into adjacencies & connected VAT Improve operational footprint Our progress by December 2021 Market share gain across al
Slide 21: WFE development and forecast in USD bn
WFE development and forecast in USD bn 140 120 100 80 60 40 20 0 2013 2014 2015 2016 2017 2018 2019 2020 2021 2025 Dec 2021 Dec 2020
Slide 22: Machines generate a multitude of human generated data - fueling growth in IC production
Machines generate a multitude of human generated data - fueling growth in IC production Data generation by category IC production development (in Zeta Bytes 107!) 1984 -2026 180 1800 160 1600 140 ~~ 1400 120 = 1200 2 100 ~~ 1000 3 30 - g 800 3 60 600 £ 40 400 2 20 200 UD e 0 = 6 s SS gh gh PM GM GP
Slide 23: Silicon content grows constantly and technology advances increase capital intensity
Silicon content grows constantly and technology advances increase capital intensity Equipment Spending Per Square Inch of Silicon 2 Produced CAGR 2015 = 2020-2025 2015 - 2020 10 High-End Smartphone $100 $170 $275 11.2% 8 ° Auto (global average) $310 $460 $690 8.2% Ag 5 5 4 Data Center Server 5 (CPU
Slide 24: Semi Display & Solar Global Service General
Semi Display & Solar Global Service General Total Vacuum 2016 2017 2018 2019 2020 2021
Slide 25: Execute our four strategic pillars - deliver higher performance
Execute our four strategic pillars - deliver higher performance VAT’s strategic priorities . . : . Advance into adjacencies & . . Gain market share in valves Grow our service business Improve operational footprint connected VAT Our new targets for 2025 to around CHF 1.5 over the cycle with expected
Slide 26: Our markets are expected to continue their growth path in 2022 with the exception of displays
Our markets are expected to continue their growth path in2022 with the exception of displays FY 2022 expected market growth VAT Continued high investment needs driving WFE Capturing market growth, gain Semiconductor to another growth year of more than 20% share, expand adjacencies » Service Continue
Slide 27: Outlook for 2022 - updated sales guidance Q1 2022
Fourth Quarter and Full-Year 2021 Results Outlook for 2022 - updated sales guidance Q1 2022 Outlook full-year 2022 Q1 2022 guidance High investments in semiconductor manufacturing equipment to continue Demand growth also in advanced industrials Service business to benefit from installed base and hig
Slide 28: Q&A session
WAT PASSION. PRECISION. PURITY PASSION.PRECISION.PURITY Q&A session Fourth quarter and full-year 2021 results www.vatvalve.com
Slide 29: Additional Information
Fourth Quarter and Full-Year 2021 Results Additional Information Listing: SIX Swiss Exchange Currency: CHF Ticker symbol VACN ISIN CH 031186490 1 Michel Gerber Head of Communications & Investor Relations Phone: +41 81772 42 55 E-mail: m.gerber@vat.ch Thursday, April 14, 2022 Friday, May 6, 2022 Tues
Slide 30: Forward looking statements
Forward looking statements Fourth Quarter and Full-Year 2021 Results Forward-looking statements contained herein are qualified in their entirety as there are certain factors that could cause results to differ materially from those anticipated. Any statements contained herein that are not statements