Cohu, Inc. · NASDAQ:COHU
Cohu — Q4 2019 Earnings Presentation
14 slides from Cohu's earnings presentation, Feb 13, 2020
Slide 1: Q4'19 Results
February 13, 2020 Q4’19 Results February 2020 Page 1
Slide 2: Cautionary Statement Regarding Forward Looking Statements
Cautionary Statement Regarding Forward Looking Statements Use of Non-GAAP Financial Information: This presentation includes non-GAAP financial measures, including non-GAAP Gross Margin, Income and Income (adjusted earnings) per share, Adjusted EBITDA, and Operating Expense that supplement the Compan
Slide 3: Business Update
Business Update February 2020 Page 3
Slide 4: Q4'19 Summary
Q4’19 Summary Quarter Revenue Annual Run-Rate Synergies Revenue Growth $700 Millions $600 $500 $40M $400 $170.6M $143.5M $142.0M $29M $300 $17M $200 $100 $0 Q4'18 Q3'19 Q4'19 Q2'19 Q3'19 Q4'19 2015 2016 2017 2018 2019 • 5G-driven orders accelerated • Delivering $40M annual run- • Mobility to lead gr
Slide 5: Q4'19 End-Markets
Q4’19 End-Markets (system only orders) 13% 30% 2% 22% 8% 13% 12% Automotive Mobility IoT / IoV & Computing Industrial & Consumer PCB Optoelectronics (Data Center, Medical Manufacturing - Active Safety - App. processors - All sensor Cloud & AI) - Energy management - Digital TVs - Multilayer PCBs - Au
Slide 6: Cohu Delivers Higher Yield Faster
Cohu Delivers Higher Yield Faster One-stop-shop with leading Time to Yield edge solutions reduces integration risk and accelerates “time to yield” Incremental Growth Opportunities ~$160M/year higher contactor attachment rates ~$200M/year target system growth Semi Test Test Interface Test Handler (co
Slide 7: Q4'19 Financials and Q1'20 Guidance
Q4’19 Financials and Q1’20 Guidance February 2020 Page 7
Slide 8: Q4'19 Non-GAAP Results
Q4’19 Non-GAAP Results Q3’19 Q4’19 Q4’19 Actual Guidance(2) Actual Sales $143.5M $134 - $144M $142.0M Gross Margin(1) 42.3% 41% - 43% 39.9% Operating Expenses(1) $49.5M ~$50M $50.7M Non-GAAP EPS(1) $0.12 ($0.01) Adjusted EBITDA(1) 11.2% ~8% 6% Lower gross margin driven mainly by higher costs from co
Slide 9: Business Model Delivers Strong Leverage
Business Model Delivers Strong Leverage Mid-Term Business Model for FY20 Target Quarterly Sales $150M $170M $190M $210M $235M Gross Margin(1) 43% 44% 45% 46% 48% Operating Expenses(1) $52M $54M $57M $59M ~$64M Adjusted EBITDA(1) 12% 15% 17% 20% 22% Non-GAAP EPS(1) $0.16 $0.30 $0.45 $0.60 $0.75 Deliv
Slide 10: Balance Sheet
Balance Sheet [$Million] Q3’19 Q4’19 Cash and Investments $146 $156 Accounts Receivable $126 $128 Total Debt $359 $360 Capital Additions $5.0 $4.7 Cash Flow From Operations $8.2 $13.8 February 2020 Page 10
Slide 11: Q1'20 Outlook
Q1’20 Outlook Q4’19 Q1’20 Actual Guidance Sales $142.0M $140 - $152M Gross Margin(1) 39.9% 42% - 43% Operating Expenses(1) $50.7M ~ $53M Adjusted EBITDA(1) 6% ~ 9% (mid-point of guidance) Q1’20 Operating Expenses reflect ~ $1M higher than model for new ERP implementation costs and increased R&D expe
Slide 12: Appendix
Appendix February 2020 Page 12
Slide 13: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation 3 Months Ending 3 Months Ending Sep 28, Diluted Dec 28, Diluted Earnings Reconciliation 2019 EPS 2019 EPS Loss From Continuing Operations - GAAP $ (10,480) $ (0.25) $ (16,281) $ (0.39) Share Based Compensation 3,506 0.08 3,287 0.08 Amortization of Purchased Intangible
Slide 14: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation 3 Months Ending 3 Months Ending Sep 28, % of Net Dec 28, % of Net Gross Profit Reconciliation 2019 Sales 2019 Sales Net Sales $ 143,498 $ 142,011 Gross Profit - GAAP 58,933 41.1% 54,075 38.1% Share Based Compensation 212 0.1% 191 0.1% Manufacturing Transition and Seve