Silvaco Group, Inc. · NASDAQ:SVCO
Silvaco — Q1 2025 Earnings Presentation
27 slides from Silvaco's earnings presentation, May 7, 2025
Slide 1: Q1 2025 Earnings Presentation
Innovative Semiconductors / Photonics Design and Manufacturing Through AI Automation, Digital Twin Modeling, and Simulation Software From Atoms to Systems APRIL 2024 Q1 2025 Earnings Presentation May 7, 2025
Slide 2: Disclaimer
Disclaimer This presentation is for informational purposes only and does not constitute an offer to sell, a solicitation of an offer to buy, or a recommendation to purchase any equity, debt or other financial instruments, of Silvaco Group, Inc. ("Silvaco" or the “Company”). The information contained
Slide 3: Silvaco At A Glance – Post IPO
Silvaco At A Glance – Post IPO AI-Enabled Simulation Software Platforms and Digital Twin Modeling for Semiconductors and Photonics → FY 2024: Became a public Company in May of 2024 800+(1) o Bookings $65.8M (+13%); Revenue $59.7M (+10%) Customers o Participated in $3.8B2 SAM including FTCO #2(2) → F
Slide 4: Financial Update and Guidance
Financial Update and Guidance Q1'25, Q2'25 and FY'25 Outlook Q1 - 25 Q2 – 25 Guidance FY25 Guidance GROSS BOOKINGS $13.7M $14M - $18M $67M to $74M 2% to 13% YoY REVENUE $14.1M $12M - $16M $64M to $70M 7% to 17% YoY NON-GAAP GROSS MARGIN1 82% 80% - 83% 83% to 86% N O N - G A A P O P E R AT I N G ($2.
Slide 5: A New Era of Semiconductor Design Challenges
A New Era of Semiconductor Design Challenges Silvaco Is Positioned to Address These Challenges Through Its Platforms Numerous Design Challenges…. Diverse AI-Driven End Markets / Applications Smaller process nodes Increasingly Complex Increased integration Requirements AI AI AI AI Edge AI AI AI Multi
Slide 6: Recent Highlights of Silvaco Milestone Achievements
Recent Highlights of Silvaco Milestone Achievements Growth Expansion, Compliance and Operational Excellence → Acquired Tech-X Corporation, announced on Tuesday 4/29 → Faraday Technology Selected Silvaco FlexCAN IP for Advanced Automotive ASIC Design → Gained traction from Power and Advanced CMOS cus
Slide 7: Expanding Market Opportunity Using AI-Based Digital Twin Modeling
Expanding Market Opportunity Using AI-Based Digital Twin Modeling Fab Technology Co-Optimization Brings New Era of AI-Assisted Process Optimization Electronic System Design Digital Twin. Fab Technology Co-Optimization (FTCOTM) TechX OPC(6) TechX Photonics Mask Optimization Multi-Physics/wafer-scale
Slide 8: Tech-X Strategic Rationale
Tech-X Strategic Rationale Driving Innovation, Customer Value, and Market Expansion Through Strategic Acquisitions → Provides multi-physics simulation software: o Advancing Silvaco’s current efforts for GPU/AI enablement o Wafer-level digital twin modeling for advanced CMOS and Photonics o Fundament
Slide 9: Examples of Tech-X Simulation Applications
Examples of Tech-X Simulation Applications Expanding Our Presence in Multi-Physics and Beyond Wafer-Scale Digital Twins Light Propagation Simulation in an Optical Arrayed interconnect & Waveguide Packaging Grating Modeling Plasma Wafer Etching ©2025 Silvaco Group, Inc. 9
Slide 10: Four Uses of Artificial Intelligence in EDA Industry
Four Uses of Artificial Intelligence in EDA Industry Silvaco is Leveraging AI to Close the Gap Between Design and Fabrication to Improve Yield Fab Assistant(2) Design Tools Optimization Build Digital Twin of Fab Process Design Assistant Generative Design ©2025 Silvaco Group, Inc. 10
Slide 11: Growth Strategy Summary
Growth Strategy Summary Growing TAM and SAM in Semiconductors and Photonics Focus on large & growing markets Continue to expand presence across key end markets Expand into advanced CMOS, Expand market specialized SIP, photonics, and further expansion with AI for Digital Twin Strategic acquisitio
Slide 12: Financial Overview
Financial Overview ©2025 Silvaco Group, Inc. 12
Slide 13: Financial Overview
Financial Overview • Maintaining path to long-term growth and profitability – Macro-economic environment is challenging but Silvaco remains well positioned and focused on growth markets – Acquisitions will help accelerate growth, and expectation is to return to full recovery of target growth rate •
Slide 14: Q1'25 Non-GAAP Financials
Q1’25 Non-GAAP Financials ($ in millions, except per share amounts) New Bookings Revenue Non-GAAP Non-GAAP Net Income Operating Income (Loss)1 (Loss) Per Diluted Share1 $13.7 million $14.1 million ($2.5) million ($0.07) down 15% y/y down 11% y/y New Bookings Non-GAAP Operating Income (Loss)1 $19.5 $
Slide 15: Q1'25 Bookings Performance
Q1’25 Bookings Performance ($ in millions) Quarterly Bookings Trend Q1-25 Bookings by Product → Q1-25 Bookings down 15% YoY due to push outs caused by macro issues → TCAD: Down $5.1 million and 42% from previous year which was driven timing of → Remaining Performance Obligation(1) of $33.7 million a
Slide 16: Q1'25 Revenue Performance
Q1’25 Revenue Performance ($ in millions) Revenue Q1 Sales by Category Q1 Sales by Product Q1 Sales by Region → Software License: Term- → TCAD: Down $2.7 million and → Americas: Down $1.5 million based licenses (averaging 26% from previous year due to and 34% from previous year 3 years) and semicond
Slide 17: Growth Unlocks High Margins
Growth Unlocks High Margins Gross Margins Scale Directly with Revenue (in $ millions) $17.9 Revenue and Non-GAAP Gross Profit/Margin1 $15.9 $1.9 $15.0 $14.1 $2.0 $2.1 $2.6 $11.0 $2.2 $16.0 $13.9 89% $12.8 88% $11.5 86% $8.7 82% 80% Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Non-GAAP Gross Profit and Margin Non-G
Slide 18: Annual Contract Value (ACV)
Annual Contract Value (ACV)1 A Key Metric for Predictable, Recurring Revenue Growth Overview of ACV ACV Calculation ACV ($ millions) • ACV estimates the annualized value of 21% + - + +/- term-based software licenses, • Provides insight into revenue expansion and Bookings Bookings in Bookings Adjustm
Slide 19: Tracking ACV Growth: Strengthening Recurring Revenue Momentum
Tracking ACV Growth: Strengthening Recurring Revenue Momentum (in $ millions) $60.0 Annual Contract Value (ACV)1 Trailing Twelve Months $52.3 $50.0 $47.5 $4.1 $43.3 $44.5 $44.4 $4.3 $4.0 $48.2 $4.1 $4.4 $40.0 $43.2 $40.4 $39.2 $40.1 $30.0 $20.0 $10.0 $- Q1'24 TTM Q2'24 TTM Q3'24 TTM Q4'24 TTM Q1'25
Slide 20: Q2FY25 Guidance and FY25 Outlook
Q2FY25 Guidance and FY25 Outlook Second Quarter 2025 Guidance Full Year 2025 Guidance → Gross bookings in the range of $14.0 - $18.0 million, reflecting an → Gross bookings in the range of $67 million to $74 million, reflecting 8% to 28% decrease from the second quarter of 2024. a 2% to 13% increase
Slide 21: Strategic Path to Long-term Growth and Profitability
Strategic Path to Long-term Growth and Profitability 2022 2023 2024 2025 Long-Term Drivers of Long-term Financial Success Guidance Target Expand Core Business with Strategic Growth Initiatives: Revenue • Expand global sales presence and enhance customer engagement. Growth 11% 17% 10% 7% - 17% • Driv
Slide 22: Q&A
Q&A ©2025 Silvaco Group, Inc. 22 22
Slide 23: Thank you.
Thank you. investors@silvaco.com ©2025 Silvaco Group, Inc.
Slide 24: Reconciliation—Non-GAAP Cost of Revenues
Reconciliation—Non-GAAP Cost of Revenues Appendix Three Months Ended ($ in thousands) Mar. 31, 2025 Mar. 31, 2024 Cost of Revenues $3,016 $1,973 Less: Amortization of acquired intangible assets (1) (199) — Stock-based compensation expense (249) — Acquisition-related professional fees and retention b
Slide 25: Reconciliation—Non-GAAP Gross Profit and Gross Margin
Reconciliation—Non-GAAP Gross Profit and Gross Margin Appendix Gross Profit Gross Margin Three Months Ended Three Months Ended ($ in thousands) Mar. 31, 2025 Mar. 31, 2024 Mar. 31, 2025 Mar. 31, 2024 Gross Profit and Gross Margin $11,076 $13,916 79% 88% Add: Amortization of acquired intangible asset
Slide 26: Reconciliation—Non-GAAP Operating Income (Loss) and Operating Margin
Reconciliation—Non-GAAP Operating Income (Loss) and Operating Margin Appendix Operating Loss (Income) Operating Margin Three Months Ended Three Months Ended ($ in thousands) Mar. 31, 2025 Mar. 31, 2024 Mar. 31, 2025 Mar. 31, 2024 Operating Loss (Income) and Operating Margin ($19,632) $2,388 (139%) 1
Slide 27: Reconciliation—Non-GAAP Diluted Net Income (Loss) Per Share
Reconciliation—Non-GAAP Diluted Net Income (Loss) Per Share Appendix Three Months Ended Mar. 31, 2025 Mar. 31, 2024 Diluted Net (Loss) Income Per Share ($0.67) $0.07 Add (Less): Acquisition-related estimated litigation claim and legal costs (1) 0.48 0.03 Acquisition-related professional fees and ret