Ttm Technologies, Inc. · NASDAQ:TTMI
Ttm Technologies — Needham & Company 8th Annual Growth Conference 2006
35 slides from Ttm Technologies's conference presentation, Jan 12, 2006
Slide 1: Needham & Company 8th Annual Growth Conference
Needham & Company 8st Annual Growth Conference January 12, 2006
Slide 2: Safe Harbor Provision
_ “Tim Technologies Safe Harbor Provision During the course of this presentation, we will make projections or other forward-looking statements regarding future events or the future financial performance of the Company. We wish to caution you that such statements reflect only our current expectations
Slide 3: Kent Alder, President and CEO
Kent Alder President and CEO
Slide 4: Company Overview
. “Tim Technologies Company Overview TTM is a leading provider of time-critical and technologically complex printed circuit boards to the world’s leading electronic equipment designers and manufacturers. + “Pure Play” printed circuit board (PCB) manufacturer + Focused on time and technology service
Slide 5: Investment Highlights
. . ‘TimTechnologies Investment Highlights Focused Strategy and Leading Market Position + Leader in most attractive PCB segments ~ time & technology + Mission-focused facilities - speed, flexibility, and technology + Strong relationships with leading OEM and EMS customers + Proven ability to integra
Slide 6: Attractive Strategy
. “Tim Technologies Attractive Strategy + Early access to new customers with high-growth potential + Key supplier to high-growth programs within market leaders + Critical service for new product introduction across multiple industries Growth * Difficult business model to replicate + Significant tech
Slide 7: Industry Overview
Industry Overview
Slide 8: Electronic Equipment Landscape
. . ‘TimTechnologies Electronic Equipment Landscape Electronic Equipment Orders Snore + Steady growth since late 2002 - Forecasted shipment growth for 2006 is 4.1%" - Limited inventories have provided quick turn opportunities cn Oepaanen of cans Spam elng a- tnnnay eed a *Source: Henderson Ventures
Slide 9: Book-to-Bill Trends
Book-to-Bill Trends Electronic Equipment & PCBs + Positive book-to-bill has increased backlogs Elec Equip = TTM outperforming industry, which indicates market share gain - PCB index typically lags Electronic Equipment index Source: Department of Commerce, IPC (3 mon roling avg)
Slide 10: PCB Competitive Landscape
Panel Volume (lots) TimTechnologies PCB Competitive Landscape High (> 1,000) Medium (100 < 1,000) TTM’s Focus Low (€ 100) OBlayers, standard 9-15 layers, standard 10+ layers, materials materials exotic materials Technology Level Hl Asian focus [J Competitive markets
Slide 11: North American PCB Market Overview
‘TimTechnologies North American PCB Market Overview ae ee ee > $100 million $20m to 99m $11m -$19m $0-$10m “Pure Play” (Independent) Conglomerates Integrated EMS TT Tyco DDi Merix EIT Photocircuits Sanmina-SCl TTM Benefiting from Ongoing Industry Consolidation Source: FabFle Onine #
Slide 12: TTM's Strategy
TTM’s Strategy
Slide 13: TTM's Strategy
Tim Technologies TTM’s Strategy ee eee Customers / End Markets + Diverse base of industry leading customers, + Early access to emerging customers, and niche end markets, + Global sales reach Technology Time + High performance, technologically + Dedicated uitra-short lead time complex PCBS capability
Slide 14: Facility Specialization Strategy
Tm Facility Specialization Strategy High-MixiLow Volume Prototypes Prototypes: 30 F Z $ 5 20 g E | at Leading Edge Tecnology ° 5 0 ‘8 2 Time (Lead Time in Days) Mission Focused Facilities - Speed, Flexibility, and Technology
Slide 15: Current Facility Synergy
Current Facility Synergy Technology Focus Operational Excellence Niche Focus NY Time Focus
Slide 16: Broadened Core Strategy
Broadened Core Strategy Technology Focus Operational Excellence Niche - Low Cost Focus
Slide 17: Price by Delivery Time
Price by Delivery Time a] Quick-Turn Service Allows Premium Pricing & Quick-Turn Revenue (< 10 days) 2 ~20% 2004 3 a ~21% Sep 2005 YTD = ZB 3x 3 z $ 2x 3 3S ? 4x Ox se se RS Rg s s Ss s Time (Lead Time)
Slide 18: Revenue By Layer Count
Revenue By Layer Count Avg. Layer Count Sept 2005 YTD = 15.9 2000= 83 12-18 Layers 0 =>20 Layers Percentage of Revenue
Slide 19: Global Sales Reach
“Tim Technologies Global Sales Reach Shipments Sep. 2005 Technical Inventory YTD Sales Staff Staff Hubs Europe 12% 3 1 1 Asia & ROW 22% 5 1 2 North America 66% 83 1 6 Total | 91 13 9 Integrated Direct and Rep Network Driving Incremental Sales
Slide 20: Customer Concentration
. ‘TimTechnologies Customer Concentration 62% TT : 1 1 1999" 2000 2001 2002 2003 2004 Sep 2005 YTD TopS customers EI Customers 6 to 10 Percentage of Revenue Increased Exposure to End Market Leaders “Pr forma for the acquston of Power Cuts, which occured in July 1960, »
Slide 21: Revenue Chain
Revenue Chain End Markets Customers Channel i Fa & Top OEM EMS 2 customers Providers - 65% “ End Networking! SSCS 5 ee Somms. + Cisco Flextronics es + Hewlett-Packard Jabil sé +18M Plexus og “T Solectron ee Saleen others 3 3 ‘Shipped OEM-direct <== cs 3 ; | <== 2 fo) ‘Sep 2005 YTD - % of total produ
Slide 22: Key Customers by End Market
Key Customers by End Market m a ____ Percentage of Revenue by End Market ~ Sep 2005 YTD connie 46% jini GiJuniper Ey O EINEc High-End 9 Computing 27% Industrial 9 aMedical 19% SNVIDIA r , landheld 7% dy irrindusies pg fERGRED @ moronora TES] Approximately 575 Active Customers Computer 0, Peripherals
Slide 23: Compelling Growth Opportunities
Compelling Growth Opportunities. Eee ee + One-stop manufacturing solution with numerous cross-selling opportunities + Quick-turn capabilities for attracting emerging high-growth customers + Leadership in technology and advanced manufacturing processes + Capacity available through low risk, low cost
Slide 24: Steve Richards, Chief Financial Officer
Steve Richards Chief Financial Officer
Slide 25: Annual Sales
Annual Sales a) ‘Acquisition Acquisition sic Chea ‘avanced Ceca (12782) 1998 1999 2000 2001, 2002 2003 2006 $ Millions
Slide 26: Quarterly Sales
Quarterly Sales aa 3a 4 1a 2a 3a 4a 1a 2a 3a 4 2003 2004 2005 $ Millions,
Slide 27: Annual EBITDA and EBITDA Margin
Tm Annual EBITDA and EBITDA Margin* ‘Acquisition Acquisition Per Cheut (7140) Aavances Creu (127282) EBITDA Margin $0 1998 1999 2000 2001 2002 2003 2004 * Pleat see Append fot EBITDA reconelation EBITDA means earrings before iterest expense (nung amortization of debt Issuance cost), come tare, depre
Slide 28: Quarterly EBITDA and EBITDA Margin
Tm Quarterly EBITDA and EBITDA Margin* E e = is = o e. ie 5 5 10% 2003 2004 2005 + Pease see Appenei for EBITDA recancloton EBITOA means earings before interest expense (eluding amortization of det issuance cost) Income ates, deprecation an amortization
Slide 29: Quarterly Results And Estimates
Tm Quarterly Results And Estimates 2004 2005 7 2 sa 40 7a 2 3a 40E Sales S877 $616 $622 $592 $589 $572 $610 $60.0-$630 Gross Profit 173 191 176 «1468 185° 110 142 % Margin 30% 31% = 28% 25% 23% 19% 23%, Operating come 104 114 124 89 68 56 59 GAAP Diluted EPS S015 $017 $019 O16" $0.11 $008 $0.10 $0.1
Slide 30: Well Capitalized for Growth
Tm Well Capitalized for Growth a] $ Millions 12/31/2004 10/3/2005, Cash and short-term investments $58.5 $71.1 Accounts receivable, net $35.8 $39.3 Inventories, net $9.0 $11.8 Net property, plant and equipment $52.2 $53.1 Other assets $80.3 $79.0 Total assets $235.8 $254.3 Accounts payable $9.5 $9.7
Slide 31: Conclusion
. “Tim Technologies Conclusion ee See eee) * Solid industry fundamentals + Focused strategy and strong market position + Demonstrated execution excellence + Industry leading financial performance
Slide 32: Needham & Company 8th Annual Growth Conference
Needham & Company 8th Annual Growth Conference January 12, 2006
Slide 33: Appendix
Tim Technologies ESS Appendix
Slide 34: Annual EBITDA Reconciliation
Tm Annual EBITDA Reconciliation 199819992000 —-2001_~—2002-— 2003-2004 Not income (loss) $84 ($0.2) $28.1 $140 $18 «= $7.4 $283 ‘Add back items: Income taxes Z : (60) 62 (23) 39132 Interest expense os 104222811 “Amortization of deb issuance costs 01 08 = OT) Depreciation of property, plant, and equi
Slide 35: Searchable text section of graphics shown above
Searchable text section of graphics shown above [L OGO] [GRAPHIC] Needham & Company 8 th Annual Growth Conference January 12, 2006 [LOGO] Sa fe Harbor Provision During the course of this presentation, we will make projections or other forward-looking statements regarding future events or the future
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