Onto Innovation Inc. · NYSE:ONTO
Onto Innovation — Nanometrics — CIBC "Best Ideas" Conference 2007
15 slides from Onto Innovation's conference presentation, Nov 27, 2007
Slide 1: Nanometrics Incorporated at CIBC Best Ideas Conference
EXHIBIT 99.1 | Thin Film | OCD | Overlay | FTIR | Photoluminescence | Integrated Metrology | Nanometrics Incorporated CIBC “Best Ideas” Conference Bruce C. Rhine Chairman of the Board November 27, 2007
Slide 2: Forward Looking Statements
Forward Looking Statements This communication contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, such as statements regarding the expected reduction in industry cyclicality, usage and adoption rates of standal
Slide 3: Why Nanometrics is a "Best Idea"
Why Nanometrics is a “Best Idea” Positioned to outgrow the market – NANO is a metrology leader weighted towards Flash, patterning Transitioning from turnaround to profitable growth – Merger integration complete – Fixed to variable cost ratio declining – Three straight quarters of improving margins S
Slide 4: Consumer and Flash Driving Semiconductor Growth
Consumer and Flash Driving Semiconductor Growth Digital consumer driving IC units Flash proliferates, drives IC area Semiconductor industry growth increasingly tied to worldwide GDP
Slide 5: Flash Industry Elastic; Growth is Additive and Substitutional
Flash Industry Elastic; Growth is Additive and Substitutional Projected Growth – NAND Flash units Source: Gartner
Slide 6: Lithography Challenges Driving More Metrology
Lithography Challenges Driving More Metrology Capital-intense lithography driving shrinks Shrinks require more, faster measurements to stay in control – Growing number of metrology points per wafer Driving growth in all NANO core markets – Convergence of Film Thickness and Optical CD metrology – Ove
Slide 7: nanoOmetrics Pi Ui Siva hicBics Ei naiigno Wedd
nanoOmetrics Pi Ui Siva hicBics Ei naiigno Wedd
Slide 8: Offering Full Complement of Metrology Products
Offering Full Complement of Metrology Products Integrated TF + OCD Materials Characterization Overlay
Slide 9: Strong Position in Growing Markets
Strong Position in Growing Markets 2006 TAM $530M * * Dataquest April 2007 and Company estimates Integrated Non-Metal Thin Film (Transparent) Optical CD Overlay • Litho challenges driving higher growth • Market consolidation in our favor • Emerging as best replacement for $400+M CDSEM market • Marke
Slide 10: NANO in 2006 Focused on Growth and Scale
NANO in 2006 Focused on Growth and Scale Transitioning from Turnaround to Profitable Growth Heavy M&A activity – Accent and Soluris Implementation of SOX Costly litigation Impact on profits – Litigation and SOX – GM affected by: • Upgrade initiative • Service losses • Warranty expenses – High OpEx I
Slide 11: Operating Results Improving; Tracking Towards Model
Operating Results Improving; Tracking Towards Model $- $5 $10 $15 $20 $25 $30 $35 $40 Q2'06 adj* Q3'06 adj* Q4'06 adj* Q1'07 adj* Q2'07 adj* Q3'07 adj* -40% -30% -20% -10% 0% 10% 20% 30% 40% 50% 60% Operating Margin Target Gross Margin Target * Excluding stock-based compensation and amortization of
Slide 12: Market, Product and Customer Diversification
Market, Product and Customer Diversification Product Revenues TME 6/30/06 (Average $15M/Qtr) Japan 22% Korea 18% US 50% 5% Other Product Revenues YTD 2007 (Average $33M/Qtr) 5% Taiwan The Old NANO The New NANO Japan 28% Korea 14% US 30% 19% Europe/Other China 9% Standalone TF/OCD 55% Integrated 45%
Slide 13: Focused on Competitive, Profitable Growth
Focused on Competitive, Profitable Growth Positioned to outgrow the market Weighted towards Flash and patterning Revenues derived from broad products and markets Market consolidation favorable to Nanometrics Transitioning from turnaround to profits – Merger integration complete – Service organizatio
Slide 14: Q & A
| Thin Film | OCD | Overlay | FTIR | Photoluminescence | Integrated Metrology | Q & A
Slide 15: nanometrics
nanometrics