Slide 1: Second Quarter Fiscal 2023 Earnings Supplemental Slides
Second Quarter Fiscal 2023 Earnings SUPPLEMENTAL SLIDES FEBRUARY 2, 2023
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation contains forward-looking statements that are subject to the safe harbors created under the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended. Forward-looking statements give our current expectations and projections relatin
Slide 3: High-Performance IoT Semiconductor Solutions Leader
High-Performance IoT Semiconductor Solutions Leader Analog Mixed Signal IoT Product Best-in-Class Revenue Growth Semiconductors Applications Margin Profile Broad Product IoT accounted for Non-GAAP Gross 1H’FY23 Revenue Portfolio 73% of total Margin 61.3% in increased 1% YoY revenues in 1H’FY23 1H’FY
Slide 4: Technology Leadership Across The Product Portfolio
Technology Leadership Across The Product Portfolio Wireless Connectivity Automotive Video Interface Virtual Reality Headsets PC Touchpad / Audio Processors Mobile Video Processors Biometric Fingerprint © 2023 Synaptics Incorporated 4
Slide 5: YoY Financial Performance
YoY Financial Performance • 3-year IoT revenue CAGR of 39% • Best-in-class GAAP and non-GAAP gross margin • Solid non-GAAP diluted earnings per share IoT Revenue ($M) Gross Margin EPS $3.26 $262 59.5% 59.8% 3-yr CAGR – 39% $239 ~17 points in 3 years 52.1% $2.30 $2.20 53.5% 52.9% $2.04 $163 $1.71 42.
Slide 6: Q2'FY23 Financial Highlights
Q2’FY23 Financial Highlights • Revenue of $353.1 million, down 16% YoY • IoT Revenue was down only 8% YoY and accounted for 68% of total revenue $57 • Solid GAAP and non-GAAP gross margin – GAAP gross margin of 52.9% – Non-GAAP gross margin of 59.8% $57 Q2’FY23 $353M • GAAP diluted earnings per shar
Slide 7: Q2'FY23 Business Highlights
Q2’FY23 Business Highlights • Showcased the world’s first wireless docking solution from our customer Lenovo incorporating multiple Synaptics’ devices • Introduced next-generation GPS device that is 80% more power efficient • Introduced new SmartBridge family of devices for the Automotive market tha
Slide 8: Quarterly Revenue Trend
Quarterly Revenue Trend Total Revenue ($M) $476 IoT Revenue Mix $470 76% $448 70% 68% $421 64% 62% 55% 54% $373 46% $353 $326 $328 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Note: As-reported, not proforma for any acquisition/divestiture activity
Slide 9: Quarterly Gross Margin Trend
Quarterly Gross Margin Trend Non-GAAP Gross Margin 62.6% GAAP Gross Margin 57.1% 55.9% 61.1% 61.0% 59.8% 54.0% 59.5% 53.2% 53.5% 52.9% 58.0% 52.1% 57.5% 55.1% 47.7% Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Note: As-reported, not proforma for any
Slide 10: Quarterly Earnings Per Share Trend
Quarterly Earnings Per Share Trend Non-GAAP Earnings Per Share GAAP Earnings Per Share $3.87 $3.75 $2.04 $3.52 $3.26 $1.71 $1.59 $1.59 $2.68 $2.18 $2.20 $2.03 $0.99 $0.55 $0.48 $0.35 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Note: As-reported, no
Slide 11: Q2'FY23 Financial Results
Q2’FY23 Financial Results $M (except EPS) Q2’22 Q1’23 Q2’23 QoQ YoY Revenue $420.5 $448.1 $353.1 (21%) (16%) GAAP Gross Margin % 53.5% 57.1% 52.9% -420 bps -60 bps GAAP Operating Expenses $147.5 $143.7 $140.6 (2%) (5%) GAAP EPS Diluted $1.71 $1.59 $0.55 (65%) -68% Non-GAAP Gross Margin % 59.5% 62.6%
Slide 12: Q2'FY23 Balance Sheet
Q2’FY23 Balance Sheet In Millions Q4’22 Q1’23 Q2’23 Cash & ST Investments $876.0 $911.8 $858.9 AR $322.1 $284.1 $255.0 Inventory $169.7 $179.4 $177.5 PP&E $62.9 $63.4 $65.9 Other $1,427.4 $1,386.1 $1,368.0 Total Assets $2,858.1 $2,824.8 $2,725.3 Current Liabilities (excluding debt) $457.4 $359.3 $29
Slide 13: Q3'FY23 Guidance
Q3’FY23 Guidance $M (except EPS) GAAP Non-GAAP Revenue $310M - $340 NA Gross Margin* 52.0% - 55.0% 60.0% - 62.0% Operating Expenses** $139 - $144 $98 - $102 EPS Diluted*** $0.20 - $0.50 $1.65 - $2.05 Revenue mix IoT 72% NA PC 15% NA Mobile 13% NA * Projected Non-GAAP gross margin excludes $23.0 mill
Slide 14: Appendix
Appendix
Slide 15: GAAP to Non-GAAP Reconciliation Tables
GAAP to Non-GAAP Reconciliation Tables Q2'23 Q1'23 Q4'22 Q3'22 Q2'22 Q1'22 Q4'21 Q3'21 Q2'21 Q1'21 Q2'20 Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual GAAP gross margin $ 186.7 $ 255.7 $ 266.1 $ 253.8 $ 225.1 $ 198.1 $ 170.8 $ 155.5 $ 150.4 $ 134.5 $ 159.3 Acquisition
Slide 16: GAAP to Non-GAAP Reconciliation Tables - continued
GAAP to Non-GAAP Reconciliation Tables - continued Q2'23 Q1'23 Q4'22 Q3'22 Q2'22 Q1'22 Q4'21 Q3'21 Q2'21 Q1'21 Q2'20 Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual GAAP net income $ 22.0 $ 64.6 $ 82.9 $ 64.9 $ 69.5 $ 40.2 $ 19.0 $ 13.8 $ 49.6 $ (2.8) $ 19.8 Acquisition
Slide 17: Engineering Exceptional Experiences
Engineering Exceptional Experiences © 2023 Synaptics Incorporated 17