Veeco Instruments Inc. · NASDAQ:VECO
Veeco Instruments — Needham Growth Conference 2025
21 slides from Veeco Instruments's conference presentation, Jan 14, 2025
Slide 1: Veeco Instruments
Veeco Instruments Needham Growth Conference Investor Presentation January 14th 2025
Slide 2: Safe Harbor
Safe Harbor This presentation contains “forward-looking statements”, within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995, as amended, that are based on management’s expectations, estimates, projections and assumptions. Words such as “expects,
Slide 3: Contents
Contents Overview Who is Veeco? Role in the Semi Manufacturing Strategy & SAM Opportunities Available Market SAM Opportunities Financials Historical Revenue 2024 Outlook Why own Veeco? Q&A/Appendix 3
Slide 4: Who is Veeco?
Who is ? Strong History Semiconductor Solving materials challenges Compound Semiconductor 2019- Today Data Storage 2010 - Today Differentiated Laser 1990’s - Today MOCVD Technology Fabricated Annealing & Ion Beam Growth Focus Deposition technologies Ion Beam Technologies for 70%+ of LED’s globally S
Slide 5: Veeco's Role in Semi Manufacturing
’s Role in Semi Manufacturing Representative Process Steps FRONT END BACK END Ion Inspection/ Advanced Deposition Lithography Etch Annealing Implantation Metrology Packaging IBD Wet LSA Processing Litho EUV Veeco technologies are critical for several Semi manufacturing process steps IBD – Ion Beam D
Slide 6: Veeco's Role in Semi Manufacturing
’s Role in Semi Manufacturing Representative Process Steps FRONT END BACK END Ion Inspection/ Advanced Deposition Lithography Etch Annealing Implantation Metrology Packaging IBD IBD Wet LSA NSA Processing Litho 300 EUV Veeco technologies are critical for several Semi manufacturing process steps IBD
Slide 7: Available Market
Available Market Total Veeco SAM Veeco’s Served Available Market projected ~$3.8B to grow to ~$3.8B Projected CAGR ~15% Semiconductor opportunity projected to grow to ~$2.1B driven by Laser Annealing, ~$2.2B Nanosecond Annealing and Ion Beam Deposition equipment Compound Semiconductor opportunity pr
Slide 8: Semi SAM Expansion To Drive Outperformance
Semi SAM Expansion To Drive Outperformance Industry Markets Enabling Technologies Inflections Advanced GAA/BSPD Logic 25% Device Shrink - EUV/High IBD LSA NSA IBD 20% ~2x increase NA Lithography 300 EUV 15% Memory HBM/3D Devices 10% 5% 3D Packaging For AI 0% Advanced Wet 2024-2028 CAGR WFE Growth *
Slide 9: Semiconductor SAM Projected Growth
Semiconductor SAM Projected Growth Key Growth Total SAM ~$2.1B Drivers 2024 2028 Projected ~20% CAGR Laser Spike • PTOR at 3 Tier 1 logic and 1 HBM DRAM customer Annealing • Targeting evaluation agreement in late 2024 & early ~$600M ~$750M IBD300 Ion Beam Deposition (LSA) 2025 evaluation shipment to
Slide 10: Nanosecond Annealing Opportunity
Nanosecond Annealing Opportunity 2000 NSA Future (nanosecond) Traditional Temperature (°C) LSA Lamp Based • Scaling challenges driving the need for new annealing capabilities 1000 (sub millisecond) (sub second) • NSA broadening Laser Annealing adoption to new leading-edge Logic and Memory applicatio
Slide 11: IBD300 – 300mm Front End Semi Opportunity
IBD300– 300mm Front End Semi Opportunity ILLUSTRATION OF GRAIN SIZE AND DISTRIBUTION TODAY FUTURE Incumbent Technology IBD • Industry leader in Ion Beam Technology • Lower resistance metals essential for improved device performance & customer scaling • IBD achieving superior thin film properties vs
Slide 12: Technologies for Artificial Intelligence
Technologies for Artificial Intelligence GPU High-Bandwidth Memory (HBM) DRAM Advanced Packaging Current PTOR Current PTOR Current PTOR • Laser-Spike Annealing (LSA) • Laser-Spike Annealing (LSA) • Wet Processing for micro-bump flux • IBD for EUV mask blanks • IBD for EUV mask blanks clean Additiona
Slide 13: Semi Evaluations Capture Industry Inflections
Semi Evaluations Capture Industry Inflections *Evaluations typically compete to win several applications. The number of applications under evaluation will vary by system, customer, and market. Increase in evaluations to enable penetration of key SAM growth opportunities LSA- Laser Spike Annealing NS
Slide 14: Compound Semiconductor Projected SAM Growth
Compound Semiconductor Projected SAM Growth Total SAM ~$1.3B Key Growth Drivers 2024 2028 Projected ~16% CAGR • Single wafer MOCVD platform for 200 and 300mm GaN wafer sizes ~$0.7B GaN Power ~$100M ~$300M • Shipped 300mm evaluation for GaN on Si Power to leading Power Device customer Photonics • Bat
Slide 15: Financials
Financials
Slide 16: Updated Q4 & FY 2024 Outlook
Updated Q4 & FY 2024 Outlook Q4 2024 Prior Guide Updated Guide Revenue $165M - $185M $175M - $185M Non-GAAP Diluted EPS $0.35 - $0.45 $0.36 - $0.44 FY 2024 Prior Guide Updated Guide Revenue $700M - $720M $710M - $720M Non-GAAP Diluted EPS $1.68 - $1.78 $1.69 - $1.76 16 Refer to Appendix for a GAAP t
Slide 17: Revenue by End-Market
Revenue by End-Market $710M-$720M* $646M $666M $583M $454M 2020 2021 2022 2023 2024 Semiconductor Compound Semiconductor Data Storage Scientific & Other Semiconductor CAGR of ~30% drives increase from 37% of total 2020 revenue to >60% in 2024 *Based on actual 2024 YTD results and updated Q4 guidance
Slide 18: Why own Veeco?
Why own ? Investment Strategy For Industry Inflections Enabling SAM Expansion Technologies Drives For Semi Outperformance Manufacturing 3 Long-Term Execution to 2 4 Generate Long- WFE Growth Term Value 1 18 5
Slide 19: Q&A
Q&A Veec»
Slide 20: Appendix
Appendix Veec»
Slide 21: 2024 Guidance GAAP to Non-GAAP Reconciliations
2024 Guidance GAAP to Non-GAAP Reconciliations Q4 2024 FY 2024 GAAP Diluted EPS $0.09 - $0.28 $1.07 - $1.26 GAAP Net Income $4M - $17M $63M - $76M Add: Impairment of Intangible Assets $30M - $26M $30M - $26M Add: Reduction in contingent consideration $(16M) - $(17M) $(21M) - $(22M) Add: Tax benefits