Slide 1: 4Q20 Investor Conference
4Q20 Investor Conference 2021/02/23 ELAN Microelectronics Corporation
Slide 2: Sales Breakdown by Product Line (Consolidated)
Sales Breakdown by Product Line (Consolidated) Sales: NT$M 9,488 15,100 1,881 2,181 2,713 2,713 2,206 3,539 4,708 4,647 • Touch: Touchscreen Controller, Touchpad, Biometrics • Non-Touch: MCU, Pointing Stick, Affiliated Co. Products
Slide 3: 4Q20 Income Statement YoY Comparison
4Q20 Income Statement YoY Comparison (Consolidated) NT$M 4Q20 % 4Q19 % YoY(%) Sales 4,647 100.0 2,713 100.0 71.3 Gross profit 2,184 47.0 1,270 46.8 72.0 Sales expense 170 3.7 122 4.5 G&A expense 138 2.9 94 3.5 R&D expense 515 11.1 427 15.7 OPEX 823 17.7 643 23.7 28.0 Operating profit 1,361 29.3 627
Slide 4: 4Q20 Income Statement QoQ Comparison
4Q20 Income Statement QoQ Comparison (Consolidated) NT$M 4Q20 % 3Q20 % QoQ(%) Sales 4,647 100.0 4,708 100.0 (1.3) Gross profit 2,184 47.0 2,143 45.5 1.9 Sales expense 170 3.7 138 2.9 G&A expense 138 2.9 128 2.7 R&D expense 515 11.1 507 10.8 OPEX 823 17.7 773 16.4 6.5 Operating profit 1,361 29.3 1,37
Slide 5: 2020 Income Statement YoY Comparison
2020 Income Statement YoY Comparison (Consolidated) NT$M 2020 % 2019 % YoY(%) Sales 15,100 100.0 9,488 100.0 59.1 Gross profit 7,054 46.7 4,417 46.6 59.7 Sales expense 542 3.6 391 4.1 G&A expense 437 2.9 348 3.7 R&D expense 1,858 12.3 1,596 16.9 OPEX 2,837 18.8 2,335 24.7 21.5 Operating profit 4,217
Slide 6: Balance Sheets
Balance Sheets December 31, 2020 (Consolidated) NT$M Current assets 11,186 Cash and cash equivalents 2,030 Current financial assets 970 A/R&A/N 3,637 Inventory 1,783 Other current assets 23 Other current financial assets 2,743 Non-current financial assets 1,648 Fixed assets 873 Other non-current ass
Slide 7: Cash Flow Statement
Cash Flow Statement December 31, 2020 (Consolidated) NT$M Income before tax 3,894 Dep & Amort. 191 Inc. of A/R & N/R (927) Inc. of inventory (460) Net loss (gain) on financial assets at fair value through loss 309 Inc. of A/P & N/P 626 Others (330) Operating cashflow 3,303 Inc. F/A (150) Dec. F/A 1
Slide 8: 1Q21 Guidance
1Q21 Guidance Based on Current Assumptions of Future Prospects, ELAN Expects: • Consolidate Revenue to be Approximately between NT$ 4 Billion and NT$ 4.3Billion • Gross Margin to be about 46.5% to 48.5% • Operating Margin to be about 27% to 30% • ELAN’s forward-looking statements are subject to sign
Slide 9: Payout Ratio
Payout Ratio Unit: NT$ Dividend Year EPS Payout Ratio (%) Total Cash Stock 2020 11.14 9.00 9.00 0.00 80.8 2019 8.57 6.50 6.50 0.00 75.8 2018 5.35 5.00 5.00 0.00 93.5 2017 2.58 2.58 2.58 0.00 100 2016 1.57 1.57 1.57 0.00 100 2015 1.98 2.03 2.03 0.00 102.6 2014 3.61 3.66 3.66 0.00 101.3 2013 3.8 3.53
Slide 10: ELAN's Sales & Profitability Outperforms Market Growth
ELAN’s Sales & Profitability Outperforms Market Growth 2018~2020 CAGR=32% NT$ M Sales GM OPM 16,000 46.5% 46.7% 50.0% 45.6% 40.0% 12,000 27.9% 30.0% 8,000 21.9% 20.0% 20.0% 4,000 10.0% 8,651 9,488 15,100 - 0.0% 2018 2019 2020 2018 2019 2020 ELAN Rev YoY 15% 10% 59% Global NB Shipment YoY -1% -2% 29%
Slide 11: 2021 Growth Driver
2021 Growth Driver Growth Areas for Current Product Lines 1. Touchpad : Commercial Market Share Increase / Haptic & Lighting -> +ASP 2. Touchscreen : Penetration Rate Up / Pen Solution -> +ASP 3. Fingerprint Reader : Penetration Rate Up & Market Share Increase / Keycap Solution -> +ASP 4. Pointstick
Slide 12: World-Wide NB Shipments: ELAN Touchpad
World-Wide NB Shipments ELAN Touchpad Shipment Data Unit in Millions 300 100% 253 90% 250 80% 207 70% 200 66% 164 165 164 60% 161 161 50% 150 50% 41% 35% 40% 100 30% 26% 30% 20% 50 81 136 57 66 10% 43 48 0 0% 2015 2016 2017 2018 2019 2020 2021 (F) Global Shipment ELAN Shipment Market Share Source: T
Slide 13: Pen on TouchPad & HapticPad Application
Pen on TouchPad & HapticPad Application Glass Adhesive D. Indirect mapping via APP PCB Motor Force sensing Haptic 3:2 Conductive tape A. Credit card signature C. Hand writing recognition B. Equation calculation 3:2
Slide 14: World-Wide NB Shipments: ELAN Touchscreen
World-Wide NB Shipments ELAN Touchscreen Shipment Data Unit in Millions 80 100% 90% 70 67 80% 60 66% 53 70% 66% 50 57% 57% 60% 51% 40 50% 42% 30 40% 30 26 25 21 21 30% 20 20% 10 35 17 17 10% 14 11 9 0 0% 2015 2016 2017 2018 2019 2020 2021 (F) Global Shipment ELAN Shipment Market Share Source: TrendF
Slide 15: ELAN Smart-TouchScreen Roadmap - TDDI/LTDI Solutions
ELAN Smart-TouchScreenTM Roadmap - TDDI/LTDI Solutions Sharp Panel AUO Panel TDDI with Pen
Slide 16: ELAN LTDI is the first certified by the Windows
ELAN LTDI is the first certified by the Windows Windows HLK certificate (Touch) Windows PHCK certificate (Pen)
Slide 17: World-Wide NB Shipments: ELAN FP
World-Wide NB Shipments ELAN FP Shipment Data Unit in Millions 300 100% 253 90% 250 80% 207 70% 200 164 60% 161 150 50% 39% 40% 100 30% 28% 22% 100 19% 20% 50 18% 15% 12% 59 12.8 10% 3.5 30 4.5 20 0 0% 2018 2019 2020 2021 (F) Global Shipment Global Shipment w/FP ELAN Shipment Penetration Rate Market
Slide 18: Fingerprint Solution on NB Trends
Fingerprint Solution on NB Trends Fingerprint on C cover Supply Chain Overhead Double Tooling Charge Smart-IDTM Button Smart-IDTM KeyCap Smart-IDTM Pad
Slide 19: ELAN Solution Functional Block for Surface Laptop
ELAN Solution Functional Block for Surface Laptop Fingerprint Module Fingerprint Features: 515RC - 2.5D Anti-Spoof Connect to TP - Cover Glass - Single-Sign-On - LED Ring Indicator USB - Match-On-Chip ELAN M4 Fingerprint Sensor - Customized Power Button Icon on Power Button - Accidental Trigger Cont
Slide 20: ELAN Keycap Solution Update
ELAN Keycap Solution Update Live Demo will be available in Upcoming Q4 20’ Coating Plastic 目前無法顯示此圖 Adhesive 像。 FP IC Soldering Underfill Coating Plastic = 0.2mm Adhesive FPC Adhesive FP IC SUS Soldering FPC adhesive SUS
Slide 21: The First one passed 2.5D Anti-spoofing FIDO Certification
The First one passed 2.5D Anti-spoofing FIDO Certification FIDO Certification
Slide 22: ELAN Sensor has Passed Ant Security Phecda Lab Biometrics Test
ELAN Sensor has Passed Ant Security Phecda Lab Biometrics Test
Slide 23: World-Wide NB Shipments: ELAN PST
World-Wide NB Shipments ELAN PST Shipment Data Unit in Millions 2015 2016 2017 2018 2019 2020 2021 (F) 25 100% 21.6 90% 20 19 19 80% 18.5 17 16.8 17 70% 17 69% 70% 62% 15 56% 60% 46% 50% 40% 10 40% 30% 12.9 13.1 11.7 5 9.5 20% 7.8 6.8 10% 0 0% 2015 2016 2017 2018 2019 2020 2021 (F) Global Shipment E
Slide 24: Traditional LCD vs Mini-LED Backlight
Traditional LCD vs Mini-LED Backlight Traditional Edge-lit LED Backlight Structure Direct-down Mini LED Backlight Structure LED LCD Panel Light guide plate BDEF BEF Diffuser LED PCB Source: 東方證券研究所
Slide 25: Traditional LCD vs Mini-LED Local Dimming
Traditional LCD vs Mini-LED Local Dimming Side-emitting architecture backlight Direct backlight architecture Local Dimming Types Always On Local Dimming No Local Dimming Edge-Lit Local Standard Local Mini-LED Local Dimming All LEDs always on Dimming Dimming Zone of LEDs on/off Only pixels open/close
Slide 26: Thank You
T h a n k Yo u EL AN Microelectronics Corporation