ASML Holding NV · EURONEXT:ASML
ASML Holding NV — Citigroup 13th Annual Global Technology Conference 2006
25 slides from ASML Holding NV's conference presentation, Sep 7, 2006
Slide 1: Citigroup 13th Annual Global Technology Conference
Citigroup 13th Annual Global Technology Conference New York - Sept 7, 2006 Peter Wennink, CFO
Slide 2: Safe Harbor
Safe Harbor “Safe Harbor” Statement under the U.S. Private Securities Litigation Reform Act of 1995: the matters discussed in this presentation may include forward-looking statements that are subject to risks and uncertainties including, but not limited to: economic conditions, product demand and se
Slide 3: ASML today
ASML today z Market Update z Lithography Leadership z Long-Term Trajectory / Slide 3
Slide 4: Market Update
Market Update
Slide 5: Most business drivers point to sustained ASML revenues mid term
Most business drivers point to sustained ASML revenues mid term z IC Semiconductor unit growth z Inventory, Utilization and Lithography purchasing intensity z Balanced Segmentation z Market Share opportunity / Slide 5
Slide 6: Semiconductor Units history and forecast
Semiconductor Units history and forecast 2006 Semiconductor growth driven by higher unit sales (+16%) Semiconductor unit Forecats Semiconductor Units Unit Trend 60 50 Semiconductor Units [B/m] 40 30 20 10 25% -21% 14% 9% 18% 4% 16% 7% 0 Jan-03 Jan-04 Jan-05 Jan-06 Jan-07 Jan-00 Jan-01 Jan-02 Source:
Slide 7: IC unit sales and inventory
IC unit sales and inventory Inventories reasonably under control IC unit sales and inventory IC inventory 3mma IC unit Sales 3mma IC unit sales corrected for Inventory 80 80 70 70 60 60 IC unit inventory [B#] IC unit sales [B#] 50 50 40 40 30 30 20 20 10 10 0 - Jan-01 Jan-02 Jan-03 Jan-04 Jan-05 Jan
Slide 8: Equipment Utilization [%]
Equipment Utilization [%] 100 110 120 10 20 30 40 50 60 70 80 90 0 1Q / 2Q 00 / 3Q 00 / Slide 8 / 4Q 00 / 1Q 00 Sources: SiCAS (August 2006) / 2Q 01 / 3Q 01 / 4Q 01 / 1Q 01 / 2Q 02 / 3Q 02 / 4Q 02 / 1Q 02 / Memory utilization 2Q 03 / Quarter 3Q 03 / 4Q 03 / 1Q 03 / 2Q 04 / 3Q 04 / 4Q 04 / 1Q 04 / 2Q
Slide 9: Litho Bookings and Billings as % of Semiconductor Revenue
Litho Bookings and Billings as % of Semiconductor Revenue Relative spending rising but within controlled range Expose & Write Bookings and Billings as % of Semiconductor Expose & Wirte as % of Semiconductor Sales [%] sales 6% E&W bookings as % of Semi $Sadj 3MMA E&W billings as % of Semi $ Sadj 3MMA
Slide 10: 28 factories planned for the 2006/07 time frame
28 factories planned for the 2006/07 time frame: 7 Flash fabs/9 other Memory fabs/12 Foundry IDM Quarter/Year Max.Capacity Customer Name of Factory Main application Wafer size [mm] Node [nm] equipment take-in [KWSPM] Q1/2006 HYNIX HSSL200 Memory 200 110/90 45 Q1/2006 INFINEON Kulim Fab Logic 200 250
Slide 11: Growth from Multiple independent Segments
Growth from Multiple independent Segments Each Segment with its own investment cycle Flash shrink - 12 to 15 Shrink for new month investment cycle functionality and cost per function - 12 to 24 month investment cycle R&D Flash DRAM – closely follows Flash investment cycle IDM Other Memory Moore’s la
Slide 12: Market share growth opportunity
Market share growth opportunity ArF immersion 12” & ArF 70% Market share gains through: z Immersion lithography KrF & 60% z Superior Value of Ownership Step & Scan ArF, KrF and I-line z Japan ASML Market Share [$] 50% 40% 8” & i-line 30% 6” & early i-line 20% 10% 0% 1984 1987 1990 1993 1996 1999 200
Slide 13: Strong Drivers leading to ASML Guidance Upside
Strong Drivers leading to ASML Guidance Upside (press release 9/06/06) z Q3 ’06 Bookings at about Q2 ‘06 order intake level - In Q2 ASML booked 93 orders z Strong demand from memory makers z Bookings across ASML 300mm product line z Bookings support customer’s New Fab ramps z 75% of new orders will
Slide 14: Lithography Leadership
Lithography Leadership
Slide 15: ASML overview
ASML overview The world’s leading supplier of Lithography equipment Leaders in Innovation Key facts: Headquarters: Veldhoven, the Netherlands Revenue 2005 ~ €2.5 B Market cap ~ €7.75 B Employees 5200 ASML TWINSCAN Growing market share (revs) Dual Stage enables: Dataquest SEMI VLSIR* Superior T-Put 2
Slide 16: ASML's Productivity leadership
ASML’s Productivity leadership ASML ArF ASML ArFi Competitor ArF Competitor ArFi 20,000 18,000 16,000 Exposures / hour* 14,000 12,000 10,000 8,000 6,000 4,000 2,000 0 2003 2004 2005 2006 2007 * 300mm wafers / Slide 16
Slide 17: ASML Leadership - R&D costs versus total sales
ASML Leadership - R&D costs versus total sales 3000 500 2500 400 Total Sales [M€] R&D Costs [M€] 2000 300 1500 200 1000 100 500 0 0 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 9 9 9 9 9 9 9 9 0 0 0 0 0 0 0 0 19 19 19 19 19 19 19 19 20 20 20 20 20 20 20 20 R&D costs exclude settlement with Nikon Corp. in 2004 an
Slide 18: TWINSCAN XT:1700i Enabling 45nm production
TWINSCAN XT:1700i Enabling 45nm production ASML wet + dry ArF market share 68% Source: ASML – market shares are value based in 2005 / Slide 18
Slide 19: TWINSCAN creating value in non and mid critical applications
TWINSCAN™ creating value in non and mid critical applications ASML i-line ASML KrF market share market share 29% 51% XT:400E XT:760F Resolution: 350nm Resolution: 130nm Throughput: 129wph Throughput: 134wph Lowest CoO in 300mm i-line Superior CoO in 300mm KrF Source: ASML – market shares are value b
Slide 20: Long-Term Trajectory
Long-Term Trajectory
Slide 21: Lithography Equipment - a growing market with three major value drivers
Lithography Equipment - a growing market with three major value drivers z Accelerating roadmap z TWINSCAN 1900i z Double exposure z EUV: ADT and production tools z New architecture z Alternative shrink solutions require more litho tools z Spacer z Tri-dimensional devices z Vertical gate z Performanc
Slide 22: Expose & Write as % of Total Equipment
Expose & Write as % of Total Equipment Litho share of equipment approaching 18% level ! Expose & Write Equipment Sales as % of Total Equipment Sales Expose & Write as % of Total Equipment Expon. (Expose & Write as % of Total Equipment) 12 per. Mov. Avg. (Expose & Write as % of Total Equipment) 26% 2
Slide 23: ASML's growth potential
ASML’s growth potential Assumption: 9% IC unit growth/year 8,000 Average WW litho sales ASML’s 7,000 L ’s y opportunity M S n it 6,000 window A rtu WW Litho Sales (M€) ppo dow ASML’s potential o n 5,000 wi Growing to 70% Stable at 50% 4,000 ASML press Average WW litho Status Growingquo to 70% releas
Slide 24: ASML is well positioned for value generation
ASML is well positioned for value generation z Business Model based on Technology Leadership enabled by accumulated experience and scale z Semiconductor cycle effect reduced by z Moderate cycles – as forecasted by analyst community for 2006-2007 z Market share gains z Variable cost structure allowin
Slide 25: Commitment
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ASML Holding — Citigroup 13th Annual Global Technology Conference 2006 on 6ix