Slide 1: 2024 Q1 Earnings Update
Drive for Better Vision : HIMX 2024 Q1 Earnings Update
Slide 2: Earnings Call Presenters
Earnings Call Presenters Jordan Wu Jessica Pan Eric Li President and Chief Financial Officer Chief IR/PR Officer Chief Executive Officer 1
Slide 3: Forward Looking Statements
Forward Looking Statements Factors that could cause actual events or results to differ materially from those described in this conference call include, but are not limited to, the effect of the Covid-19 pandemic on the Company’s business; general business and economic conditions and the state of the
Slide 4: 2024 Q1 Financial Summary
2024 Q1 Financial Summary Revenues, GM, EPS All Exceeded 2024 Q1 Sales Guidance US$M $200.0 Non-Driver Revenues $207.6M Beat $32.0 • -8.8% QoQ • Guidance: Decline 9% to 16% QoQ $150.0 GM 29.3% Beat SMDDIC $100.0 $144.3 • -1.0% QoQ • Guidance: Around 28.5% $50.0 EPS 7.1 Cents Beat • Guidance: 2.0 cen
Slide 5: 2024 Q1 Financial Summary by Segment
2024 Q1 Financial Summary by Segment LDDIC Revenue $31.3M In-line 2024 Q1 Sales Portfolio • -7.0% QoQ • Soft macro season • Customers’ ongoing production & LDDIC inventory controls 15.1% SMDDIC Revenue $144.3M Beat • -11.5% QoQ Non-Driver • Upside from auto DDIC & OLED tablets 15.4% SMDDIC • Auto DD
Slide 6: 2024 Q1 Financial Summary
2024 Q1 Financial Summary Revenues $207.6M Operating Operating Operating -8.8% QoQ / -15.0% YoY Expenses Income Margin $50.7M $10.0M 4.8% -3.1% QoQ COGS $146.8M -0.6% YoY Gross Margin 29.3% Net Profit $12.5M -1.0% QoQ / +1.2% YoY 4Q23 $23.6M / 1Q23 $14.9M EPS 7.1 cents Gross Profit $60.7M 4Q23 13.5
Slide 7: Balance Sheet as of March 31, 2024
Balance Sheet as of March 31, 2024 Q1 Free Cash Balance Q2 Cash Balance to Decline • Lower AR: low sales in past 2 quarters $277.4M • Higher AP: rising Q1 wafer orders to prepare for Q2 high shipment Q1 Inventories • Annual income tax payment $201.9M • Refunds of customers’ LTA deposits $500.00 INVE
Slide 8: 2024 Cash Dividend
2024 Cash Dividend 29.0 Cents per ADS, Totaling $51M Payable on July 12, 2024 Payout Ratio: 100% of Last Year’s Profit 7
Slide 9: 2024 Q2 Guidance
2024 Q2 Guidance Revenues Increase 8% to 13% sequentially 31.5% to 33.5% Gross Margin A notable increase from Q1’s 29.3% 13.0 cents to 17.0 cents per Net Profit diluted ADS 8
Slide 10: Q2 2024 Outlook
Q2 2024 Outlook Persisting macroeconomic uncertainty Panel makers continue strict output control & lean inventory Last-minute orders from customers Sales of past 7 consecutive quarters, including Q1, at the upper end of or exceeding guidance Q1 sales to be trough of the year. Q2 sales up, especially
Slide 11: Q2 2024 Outlook - Automotive
Q2 2024 Outlook - Automotive Automotive the largest source of sales for Himax Positive 2H outlook, defying recent global auto headwinds Healthy inventory since 2023/E; Himax’s customers also maintain lean stocks in automotive Fancy displays increasingly becoming auto selling point As market leader,
Slide 12: Q2 2024 Outlook - LDDIC
Q2 2024 Outlook - LDDIC Q2 LDDIC sales up mid teens QoQ • Customers’ restocking following quarters of muted demand • Customers preparing for upcoming shopping festivals TV sales up single digit & monitor up nice double digit QoQ Notebook sales down QoQ following strong Q1 restocking • Burgeoning tre
Slide 13: Q2 2024 Outlook - SMDDIC
Q2 2024 Outlook - SMDDIC Q2 SMDDIC sales to increase single digit QoQ Auto to increase high teens QoQ, defying soft EV demand • Both DDIC & TDDI sales to increase QoQ • > 450 auto TDDI design-wins with continuous influx of new projects; only 30% in MP • Auto TDDI > 40% of Q2 auto driver sales Smartp
Slide 14: Q2 2024 Outlook - Automotive
Q2 2024 Outlook - Automotive Auto display IC > 40% market share • Total solution in auto LCD (DDIC/TDDI/LTDI/Local Dimming Tcon) • Comprehensive footprint in auto OLED (DDIC/Tcon/On-Cell Touch) • Strategic alliance with Korea & China OLED panel makers • Excel in Auto OLED touch: > 45dB SNR for chall
Slide 15: Q2 2024 Outlook - OLED
Q2 2024 Outlook - OLED OLED business update • Significant progress in all of auto, tablet, NB, and monitor with DDIC/Tcon/Touch Controller • Partnerships with leading Korea & China OLED panel makers • Smartphone MP timeline adjustment due to prevailing market downturn 14
Slide 16: Q2 2024 Outlook - Tcon
Q2 2024 Outlook - Tcon Tcon sales to increase > 40% QoQ • Escalating shipment for Tcon in large-sized displays & auto Excel in monitor Tcon in high-end gaming market • High resolution, high refresh rate, low latency Market leader in auto local dimming Tcon • > 100 design-wins • Enhance display contr
Slide 17: WiseEye Ultralow Power AI Sensing
WiseEyeTM Ultralow Power AI Sensing Opening the door for battery- powered endpoint devices to WiseEyeTM incorporate AI sensing Drive for AI Everywhere • On-device tinyML solutions & ultralow power consumption, with merely single digit mW • Incorporate AI for intuitive user & intelligent user interac
Slide 18: World's First 24/7 AI Sensing Smart Door Lock
World’s First 24/7 AI Sensing Smart Door Lock DESMAN smart door lock: WiseEye for 24/7 sentry & real- DESMAN Smart Door Lock time event recordings • Consume only 2.2mW; minimal impact to battery life • 24/7 periodical snapshot • Start recording immediately upon detecting human presence • Comprehensi
Slide 19: Seamless SW & HW Integration
Seamless SW & HW Integration Highly integrated, plug-and-play Beginners: WiseEye Modules PnP WiseEye Modules + • Broaden market reach & Low-Code / No-Code AI shorten development cycle • Low-code / no-code AI • Parking systems, fleet management, occupancy sensing, pet tracking, people AI Experts: flo
Slide 20: WiseEye PalmVein in Access Control
WiseEye PalmVein in Acccess Control Unveiled WiseEye PalmVein WiseEyeTM PalmVein at ISC West • Ultralow power, contactless biometric authentication Enable battery-powered & highly secure live check devices • Suitable for small group of authorized individuals Powered by WiseEye2 processor (automoti
Slide 21: Color Sequential Front-Lit LCoS Microdisplay
Color Sequential Front-Lit LCoS Microdisplay To unveil ultra-luminous, new- generation Color Sequential Color-Sequential Front-Lit Front-Lit LCoS Microdisplay LCoS Microdisplay at Display Week 2024 • Brightness breakthrough: 250,000 nits, 2.5x of 2023 • Low power consumption of LCoS just 300 mW Coup
Slide 22: Himax - Drive for Better Vision
—) Hirmax Drive for Better Vision 21
Slide 23: Contact Us
Contact Us Eric Li, Chief IR/PR Officer Corporate Company Tel: +886-6-505-0880 Counsel hx_ir@himax.com.tw Karen Tiao, IR Relations SEC Legal Tel: +886-2-2370-3999 Counsel hx_ir@himax.com.tw Mark Schwalenberg, Director Investor Relations - US Representative Auditor MZ North America Tel: +1-312-261-64