Ememory Technology, Inc. · TPEX:3529
Ememory Technology — Q1 2024 Earnings Presentation
26 slides from Ememory Technology's earnings presentation, May 8, 2024
Slide 1: Q1 2024 Investor Conference
Q1 2024 Investor Conference May 8th, 2024 Embedded Wisely, Embedded Widely Embedded Wisely, Embedded Widely
Slide 2: IPR Notice
IPR Notice All rights, titles and interests contained in this information, texts, images, figures, tables or other files herein, including, but not limited to, its ownership and the intellectual property rights, are reserved to eMemory. This information may contain privileged and confidential inform
Slide 3: Cautionary Statement
Cautionary Statement This presentation contains forward-looking statements, which are subject to risk factors associated with semiconductor and intellectual property business. It is believed that the expectations reflected in these statements are reasonable. But they may be affected by a variety of
Slide 4: Contents
Contents 1 Review of Operations 2 Future Outlook Caliptra : Building a Silicon Root of 3 Trust in Datacenters and Every Chip 4 Q&A 5 Appendix Embedded EmbeddedWisely, Wisely,Embedded EmbeddedWidely Widely 4
Slide 5: Review of Operations
Review of Operations Embedded Wisely, Embedded Widely 5
Slide 6: Q1 2024 Financial Results
Q1 2024 Financial Results (thousands of NT dollars) Change Change Q1 2024 Q4 2023 Q1 2023 (QoQ) (YoY) Revenue 802,764 898,858 -10.7% 667,751 20.2% Gross Margin 100% 100% - 100% - Operating Expenses 382,143 359,330 6.3% 300,657 27.1% -Operating Expenses exclude employee 279,605 279,173 0.2% 226,189 2
Slide 7: Revenue across Different Streams
Revenue across Different Streams Revenue Change NT$ Thousands Q1 2024 Q4 2023 Q1 2023 Change (YoY) (QoQ) Licensing 228,329 273,927 -16.6% 143,049 59.6% Royalty 574,435 624,931 -8.1% 524,702 9.5% Total 802,764 898,858 -10.7% 667,751 20.2% Embedded Wisely, Embedded Widely 7
Slide 8: Revenue by Technology
Revenue by Technology Q1 2024 Total Revenue Licensing Revenue Royalty Revenue Technology % of Q1 Change Change % of Q1 Change Change % of Q1 Change Change Revenue (QoQ) (YoY) Licensing (QoQ) (YoY) Royalty (QoQ) (YoY) NeoBit 23.6% -8.9% 1.0% 20.9% -33.5% 70.0% 24.7% 4.0% -11.1% NeoFuse 67.0% -8.7% 26
Slide 9: Royalty Revenue by Wafer Size
Royalty Revenue by Wafer Size Q1 Royalty Breakdown • 8-inch wafers contributed 42.8% of royalty, up 4% sequentially but down 0.2% yearly. 12-inch 57.2% • 12-inch wafers contributed 57.2% of royalty, down 15.4% QoQ but up 18.1% YoY. 8-inch 42.8% Q1 2024 Wafer Size % of Q1 Change (QoQ) Change (YoY) 8-
Slide 10: Future Outlook
Future Outlook Embedded Wisely, Embedded Widely 10
Slide 11: Future Outlook
Future Outlook Licensing & Royalty: ◼ Licensing: – Due to strong demand from foundries and chip design customers for all of our technologies, the growth momentum of licensing revenue will continue to increase. ◼ Royalties: – Our royalty will grow, driven by 1500 new tape-outs from the past three yea
Slide 12: Future Outlook
Future Outlook New IP Technology & Business Development: ◼ Specialty processes (HV, HK, BCD, embedded flash, and emerging memory): 1. NeoFuse is developing towards FinFET in HV process for OLED DDI applications. 2. RRAM is expanding into more processes. 3. NeoFlash continues progressing in specialty
Slide 13: Future Outlook
Future Outlook Business Collaboration Platforms: ◼ Non-volatile Memory (NVM) and PUF-based Technologies – We are expanding cooperation with all new foundries to license our technologies besides existing foundries. ◼ Security IPs: – We have completed the agreement with the largest CPU IP company to i
Slide 14: Caliptra: Building a Silicon Root of Trust in Datacenters and Every Chip
Caliptra : Building a Silicon Root of Trust in Datacenters and Every Chip Embedded Wisely, Embedded Widely 14
Slide 15: Why is Caliptra so Important?
Why is Caliptra so Important? Datacenter Caliptra DPU CPU GPU NIC Chips Root of Trust Caliptra 1.0 Every chip needs Root of Trust Complete specification, firmware coverage, countermeasures and testing September May March August October 2021 2022 2023 2023 2023 March 2024 Project Start OCP Intro Open
Slide 16: What is the Important Role of eMemory in Caliptra?
What is the Important Role of eMemory in Caliptra? ◼ eMemory’s root of trust IP is ready to meet Caliptra's requirements. Datacenters Caliptra Silicon RoT IP Portfolio Crypto OTP PUF TRNG Engine Unique Chip Identity Secure Attestation Secure Boot Chip Fingerprint Device Certificate Boot into Trusted
Slide 17: Q&A
Q&A Embedded Wisely, Embedded Widely 17
Slide 18: Appendix
Appendix Embedded Wisely, Embedded Widely 18
Slide 19: Company Overview
Company Overview ▪ eMemory is the global leader of embedded non-volatile memory IP Revenue Trend (Unit: NT$ 1,000) 3,500,000 Royalty License/Design Revenue 3,000,000 2,500,000 2,000,000 1,500,000 1,000,000 500,000 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Slide 20: Quarterly Revenue Pattern
Quarterly Revenue Pattern ▪ 1st month: Receive License Fees of the month and Royalty from most foundries on previous quarter’s wafer shipments. ▪ 2nd month: Receive License Fees of the month and Royalty from other foundries. ▪ 3rd month: License Fees Only. (Unit: NT$ 1,000) 2019 2020 2021 2022 2023
Slide 21: Quarterly Number of New Tape-outs
Quarterly Number of New Tape-outs 2018 2019 2020 2021 2022 2023 2024 (Unit: IP Numbers) 200 184 180 149 154 150 149 154 160 143 150 138 143 137 147 139 134 136 140 120 111 107 109 109 103 100 97 100 91 89 86 80 60 40 20 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Emb
Slide 22: Worldwide Customers
Worldwide Customers ▪ Our IP solutions are adopted by leading foundries, IDMs and fabless worldwide Country Foundry IDM Fabless Taiwan 4 1 318 China 11 0 1185 max_logo_header_25yrs Korea 4 0 98 Japan 1 9 81 North 2 2 365 America Europe 2 2 224 Others 1 0 110 Embedded Wisely, Embedded Widely 22
Slide 23: Business Model
Business Model ▪ Recurring royalty is the backbone of our business ▪ 70-75% revenue are from royalty based on wafer production ▪ More adoption = more volume shipment ▪ More advanced node wafers = higher ASP per wafer Revenue Breakdown 1-4 years 1-4 years License Fee Design License Fee Royalty Foundr
Slide 24: Technology Licenses
Technology Licenses Number of Licenses Year 2016 2017 2018 2019 2020 2021 2022 2023 2024 Q1 License 43 20 26 18 28 32 29 48 9 Note: Terms (including number of process platforms and licensing fees) for each technology license are set contractually. Payments are made according to set milestones, and t
Slide 25: Technology Development
Technology Development ▪ Developments by process nodes 12" Fabs Production Development IP Type Process Type 3nm 0 4 OTP, PUF FF, FFP 4/5nm 6 0 OTP, PUF FF, FF-Auto 6/7nm 4 1 OTP, PUF FF, FF+ 12/16nm 9 8 OTP, PUF FF, FF+, FFC. FFC+, LPP, DRAM, HV LP/ULP/ULL, HPC/HPC+, HV-OLED, DRAM, SOI, ReRAM, 22/28
Slide 26: For more information, please visit
Embedded Wisely, Embedded Widely For more information, please visit: eMemory Website: https://www.ememory.com.tw/ PUFsecurity Website: https://www.pufsecurity.com/ Embedded Wisely, Embedded Widely 26