Advanced Energy Industries, Inc. · NASDAQ:AEIS
Advanced Energy Industries — Q3 2021 Earnings Presentation
13 slides from Advanced Energy Industries's earnings presentation, Nov 8, 2021
Slide 1: Q3 2021 Earnings Presentation
Q3 2021 Earnings Presentation NOVEMBER 8, 2021 1
Slide 2: Safe Harbor
SAFE HARBOR The company’s guidance with respect to anticipated financial results for future periods, potential future growth and profitability, future business mix, expectations regarding future market trends, future performance within specific markets and other statements herein that are not histor
Slide 3: Q3 2021 Summary
Q3 2021 SUMMARY • Q3 2021 results above guidance midpoints ‒ Revenue of $346 million and non-GAAP(1) earnings of $0.89 per share ‒ Gross margin above guidance range • Supply constraints of critical ICs limiting revenue ‒ The environment remains dynamic, working with a high sense of urgency to mitiga
Slide 4: Strong Demand Limited by IC Supply Constraints
STRONG DEMAND LIMITED BY IC SUPPLY CONSTRAINTS SEMICONDUCTOR INDUSTRIAL & DATA CENTER TELECOM & EQUIPMENT MEDICAL COMPUTING NETWORKING $173M, down 2% Q/Q $81M, down 3% Q/Q $62M, down 10% Q/Q $30M, down 7% Q/Q • Customers forecasting strong unit • Demand increased across our • Strong demand driven by
Slide 5: Q3 2021 Financial Highlights
Q3 2021 FINANCIAL HIGHLIGHTS REVENUE NON-GAAP GROSS MARGIN(1) OPERATING CASH FLOW $346 million 36.1% $18.3 million Down 4% Q/Q Down 190 bps Q/Q 5.3% of sales NON-GAAP EPS(1) NON-GAAP OP MARGIN(1) CASH & INVESTMENTS $0.89 11.9% $551 million Above target of $0.80 Down on lower sales, GM Increased on d
Slide 6: Q3 Revenue by Market
Q3 REVENUE BY MARKET (figures in $ thousands) Q3 2021 Q2 2021 Q3 2020 Q/Q Y/Y Semiconductor Equipment $173,441 $176,671 $167,058 -1.8% 3.8% Industrial & Medical $80,800 $83,197 $87,013 -2.9% -7.1% Data Center Computing $62,231 $69,458 $87,741 -10.4% -29.1% Telecom & Networking $29,621 $31,985 $47,70
Slide 7: Q3 2021 Income Statement
Q3 2021 INCOME STATEMENT (figures in $ millions, except percentage & EPS) Q3 2021 Q2 2021 Q3 2020 Q/Q Y/Y Revenue $346.1 $361.3 $389.5 -4.2% -11.1% GAAP gross margin 34.7% 37.4% 39.5% GAAP operating expenses $95.8 $94.0 $94.8 2.0% 1.1% GAAP operating margin from 7.0% 11.4% 15.1% continuing ops GAAP
Slide 8: Q3 2021 Balance Sheet & Cash Flow
Q3 2021 BALANCE SHEET & CASH FLOW (figures in $ millions) Q3 2021 Q2 2021 Q4 2020 • Cash and investments increased to $551 million Cash & ‒ Extended term loan by 2 years and raised amount to $550.8 $510.0 $483.0 Investments $400 million on the same attractive rate Accounts $220.1 $243.4 $235.2 • Rec
Slide 9: Q4 2021 Guidance
Q4 2021 GUIDANCE Q4 2021 Revenue $355M +/- $20M GAAP EPS from continuing operations $0.62 +/- $0.25 Non-GAAP* EPS $0.92 +/- $0.25 * non-GAAP measures exclude the impact of non-cash related charges such as stock-based compensation, amortization of intangible assets and unrealized foreign exchange gai
Slide 10: Aspirational Goals and Long-Term Vision
ASPIRATIONAL GOALS AND LONG-TERM VISION 3-YEAR LONG TERM FISCAL 2020 ASPIRATIONAL VISION RESULTS GOALS (6-8 YEARS) Revenue $1.42B $1.65B $2.50B Non-GAAP EPS(1) $5.23 $7.50 $12.00 ROIC(2) 23% 23% 20% (1) Non-GAAP financial measures can be found at the back of this presentation (2) ROIC calculated as
Slide 11: Non-GAAP Measures
NON-GAAP MEASURES Advanced Energy’s non-GAAP measures exclude the impact of non-cash related charges such as stock-based compensation, amortization of intangible assets, and unrealized foreign exchange gain or loss on long-term facility lease and pension obligations, as well as discontinued operatio
Slide 12: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION Reconciliation of Non-GAAP measure - Reconciliation of Non-GAAP measure - operating expenses and operating income excluding certain items Three Months Ended Nine Months Ended income, excluding certain items Three Months Ended Nine Months Ended September 30, June 30, September
Slide 13: Reconciliation of Q4 2021 Guidance
RECONCILIATION OF Q4 2021 GUIDANCE Low End High End Revenue $335M - $375M Reconciliation of non-GAAP* earnings per share GAAP earnings per share $0.37 - $0.87 Stock-based compensation $0.11 - $0.11 Amortization of intangible assets $0.14 - $0.14 Restructuring and other $0.10 - $0.10 Tax effects of e
Advanced Energy Industries — Q3 2021 Earnings Presentation on 6ix