Ichor Holdings · NASDAQ:ICHR

Ichor — 4th Annual Needham Virtual Semiconductor Conference 2023

20 slides from Ichor's conference presentation, Aug 22, 2023

  1. Slide 1: Investor Presentation

    Investor Presentation 4th Annual Needham Virtual Semiconductor Conference August 22, 2023 Jefferies Annual Semiconductor and Technology Hardware Summit August 29, 2023 Proprietary

  2. Slide 2: Forward-Looking Statements and Non-GAAP Financials

    Forward-Looking Statements and Non-GAAP Financials This Presentation and the accompanying oral presentation include “forward‐looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, regarding

  3. Slide 3: Ichor Overview

    Ichor Overview World’s Leading Provider of Critical Fluid Delivery Subsystems for Semiconductor Capital Equipment  Gas and chemical delivery subsystems are key Gas Delivery Chemical Delivery elements of process tools used in the manufacturing Subsystems Subsystems of semiconductor devices  Over 20

  4. Slide 4: Investment Highlights

    Investment Highlights Combining Revenue Growth and Increasing Profitability to Drive Earnings Leverage and Free Cash Flow  Revenue growth outperforming the industry... Since 2015, Ichor’s revenue growth has outpaced the industry by 50% (7-year CAGR of 24% compared to WFE annual growth rate of 16%)(

  5. Slide 5: Revenue Growth Outperforming WFE and Primary Process Tool SAM

    Revenue Growth Outperforming WFE and Primary Process Tool SAM WFE(1) Dry Etch & CVD(2) Ichor Revenue(3) $100 WFE in $B Primary SAM in $B Ichor Revenues ($M) $90 $95 $1,280 $87 $34 $80 $84 $32 $1,097 $76 $70 $26 $914 $929 $60 $60 $25 $824 $804 $55 $22 $50 $50 $20 $48 $19 $656 $17 $621 $40 $36 $30 $32

  6. Slide 6: Key Technology Transitions Driving Growth in Ichor SAM

    Key Technology Transitions Driving Growth in Ichor SAM WFE Intensity Increasing(1) Etch and Deposition Intensity Increasing(2) EUV Ramping(3) WFE as % of Semi. Rev. 2.50 3D NAND SAM DRAM SAM Foundry/Logic SAM EUV Est. Sales ($B) 16% $12 15% 2.00 $10 14% 1.50 $8 13% 12% $6 1.00 11% $4 10% 0.50 $2 9%

  7. Slide 7: Served Available Market Estimated at Over $7B

    Served Available Market Estimated at Over $7B Established Position Opportunity Served Markets and Market Opportunity (Semi) Chemical Delivery Sub-Assembly Customer Gas Delivery Precision Machining Other Components (including LDM) (Weldments) ($1.8B) ($0.8B) ($1.3B pre-IMG) ($0.8B pre-IMG) ($0.2B) IM

  8. Slide 8: Track Record of Successful M&A

    Track Record of Successful M&A Key M&A Strategies  Expand Portfolio of Proprietary Product Offerings  Expand Served Markets and Geographic Footprint  Expand and Diversify Customer Base  Gain Market Share with Key OEM Customers  Accretive to Gross and Operating Margins; Target Returns > WACC Acq

  9. Slide 9: Growing Share of Semiconductor System Sales & WFE

    Growing Share of Semiconductor System Sales & WFE ~65% of WFE Requires Fluid Delivery Subsystems & Components Ichor's Expanding Share (1) 3.5% Multiple Drivers for Increasing Share of 3.2% Industry Revenues 3.0%  Industry Trends 2.7%  Increasing trend toward outsourcing 2.5% 2.3%  Increasing impo

  10. Slide 10: Key Financial Strategies

    Key Financial Strategies Outgrow the Industry Drive Gross Margin Improvement Focus on semi: next-generation device nodes Grow share in higher-margin require more fluid delivery components businesses e.g., Weldments and Precision Machining Levered to etch, deposition and EUV Increase content of propr

  11. Slide 11: After a Record 2022, Dampened WFE Demand Environment In 2023

    After a Record 2022, Dampened WFE Demand Environment In 2023 Q2 2023 Expected to be the Trough Revenue Quarter of Downturn Annual Revenue and GM Trend  Executed Significant Revenue Ramp Last 3 Years $1,280  Revenues more than doubled from 2019 to 2022 $1,200 18%  27% 3-yr CAGR 2019-2022 $1,097 

  12. Slide 12: Target Model with Significant Operating Leverage

    Target Model with Significant Operating Leverage (1) See appendix at the end of this document for reconciliations of Non-GAAP metrics. Proprietary 12

  13. Slide 13: Conclusion

    Conclusion Industry-Leading Execution of Strategic Objectives Business Objectives Financial Objectives Expanding Share at Top Semi Cap  Customers  Revenue Growth Outpacing Industry Expanding Product Offerings and Strong Profitability Through Industry  IP Content  Cycles Financial Model with Oper

  14. Slide 14: Reconciliation of GAAP Gross Profit to Non-GAAP Gross Profit

    Appendix Reconciliation of GAAP Gross Profit to Non-GAAP Gross Profit     Proprietary 14

  15. Slide 15: Reconciliation of GAAP Operating Expenses to Non-GAAP Operating Expenses

    Appendix Reconciliation of GAAP Operating Expenses to Non-GAAP Operating Expenses     Proprietary 15

  16. Slide 16: Reconciliation of GAAP Operating Income to Non-GAAP Operating Income

    Appendix Reconciliation of GAAP Operating Income to Non-GAAP Operating Income     Proprietary 16

  17. Slide 17: Reconciliation of GAAP Income Tax Expense to Non-GAAP Income Tax Expense

    Appendix Reconciliation of GAAP Income Tax Expense to Non-GAAP Income Tax Expense     Proprietary 17

  18. Slide 18: Reconciliation of GAAP Net Income to Non-GAAP Net Income

    Appendix Reconciliation of GAAP Net Income to Non-GAAP Net Income     Proprietary 18

  19. Slide 19: Reconciliation of Non-GAAP Net Income to EBITDA

    Appendix Reconciliation of Non-GAAP Net Income to EBITDA     Proprietary 19

  20. Slide 20: NASDAQ: ICHR

    NASDAQ: ICHR Proprietary 20

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