Chang Wah Technology Co., Ltd. · TPEX:6548
Chang Wah Technology — Investor Presentation (September 2022)
22 slides from Chang Wah Technology's investor presentation, September 2022
Slide 1: 2022 Investor Presentation
2022 Investor Presentation Canon Huang, Chairman of CWTC (6548 TT) 1
Slide 2: Forward-looking Statement
Forward-looking Statement Information included in this press release that are not historical in nature are "forward looking statements“. CWTC cautions readers that forward looking statements are based on CWTC’s reasonable knowledge and current expectations and are subject to various risks and uncert
Slide 3: A Leading Lead Frame (LF) Solution Expert
A Leading Lead Frame(LF) Solution Expert ◼ Ticker: 6548 TT ◼ Market Cap (Sep. 15th, 2022): US$1.05bn ◼ Client Scope: Outsourcing Semiconductor Assembly & Testing (OSAT), Integrated Device Manufacturers (IDM) and IC Design 30+ years LF experience Pre- mold Others Discrete QFN 5% Industrial 4% US$447m
Slide 4: Our Execution Plan
Our Execution Plan QFP QFN aQFN Pre-mold SOT Stamping Etching Plating Molding LF Disciplined Investment Growth Drivers 4
Slide 5: Our Technology Leadership
Our Technology Leadership Pre-mold QFN aQFN • No. of I/O: 100-400 • World’s leading EME-filled QFN technology • World’s leading exclusive QFN LF • Excellent thermal efficiency & rigidity • Replacing BGA • Higher throughout for IC, Mini LED back-light unit, sensor and MEMS LF Technology • TW Fab star
Slide 6: Lead Frame Growth Drivers, Disciplined Investment, Commitments to Shareholders
Lead Frame Growth Drivers Disciplined Investment Our Commitments to Shareholders Financial Performance 6
Slide 7: Lead Frame Growth Drivers
Lead Frame Growth Drivers 7
Slide 8: Increasing LF Demand
Ⅱ Increasing LF Demand Wafer capacity expansion fuels industry’s 9% Same with industry trend, we’ve seen growing QFP & CAGR. No. of IC will grow faster due to node QFN demand from global tier-one customers, including migration, e.g. 65/40nm to 28/22nm. IDM, OSAT and IC design. Wafer capacity - 8-Inc
Slide 9: Our Multiple Applications
Our Multiple Applications 5G & WiFi Ⅲ-Ⅴ Automotive Mini LED Connectivity Semiconductor Various LF Spec. Requirement: No. of I/O, Form factor, Reliability, Thermal conductivity and Electrical performance 9
Slide 10: CWTC's Growing Automotive Business
CWTC’s Growing Automotive Business CWTC's automotive sales contribution has increased from 28% in 2018 to 38% in 1H22. We expect automotive lead frame business to continue to be one of growth drivers of our sustainable profitability. Automotive Business Revenue Share Gross Margin (%) (LHS) ROE (%) (
Slide 11: Disciplined Investment
Disciplined Investment 11
Slide 12: Products Manufacturing Process
Products Manufacturing Process Pre-Mold Power QFP QFP QFN aQFN QFN LF Stamping Etching Etching Plating Etching Plating Plating Plating Etching Molding Post Plating Post Plating Plating Photo: CWTC and ASE & Infineon 12
Slide 13: Our Commitments to Shareholders
Our Commitments to Shareholders 13
Slide 14: We Aim to Produce the Highest Return in the IC Manufacturing Industry
We Aim to Produce the Highest Return in the IC Manufacturing Industry Through efficient investment in capex and LF diversity, we expect to outgrow the semiconductor manufacturing industry and deliver an ROE in excess of 20% from 2021E to 2025E. Capex-to-Sales Capex 2021E-2025E Sales CAGR GP CAGR FCF
Slide 15: Our Ever-Improving ESG Performance
Our Ever-Improving ESG Performance ◼ Year over year improvement in our Sustainalytics ESG Score ◼ We expect further improvement into the medium risk category by 2022 50 45.3 45 Sustainalytics Score 42.5 Severe Risk 40 36 39 35 High Risk 33.1 30 Medium Risk 25 July-2019 January-2020 July-2020 January
Slide 16: We Pursuit Our Sustainable Growth in an Eco-friendly Approach
We Pursuit Our Sustainable Growth in an Eco-friendly Approach Environment: ◼ Reclaimed water usage reached 20% in 2021 vs. 13.6% in 2019. ◼ 4% of electricity demand at the new factory will be supplied from solar energy vs. Human Environment existing factory of only 0.3%. Resource Social: ◼ We are co
Slide 17: Financial Performance
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Slide 18: Robust Financial Performance
Growing Profitability and Attractive Shareholder Returns Robust Financial Performance Revenue (NT$million) Net profit after tax (RHS) Gross Margin (%) Operating Margin (%) 15,000 12,792 1,800 40.0 1,487 13,000 1,600 30.8 30.9 1,714 1,400 30.0 26.6 11,000 9,785 9,320 9,678 1,200 22.6 9,000 7,505 7,40
Slide 19: Income Statement Highlight 2017-1H22
Income Statement Highlight 2017-1H22 Income Statement YoY (%) NT$mn 2017 2018 2019 2020 2021 1H22 2017 2018 2019 2020 2021 1H22 Revenue 7,505 9,785 9,320 9,678 12,792 7,409 350.0 30.4 -4.7 3.8 32.2 27.9 Gross Profit 1,444 1,802 1,581 1,805 3,406 2,287 559.6 24.8 -12.3 14.2 88.7 87.6 Operating Expens
Slide 20: Balance Sheet Highlight 2017-1H22
Balance Sheet Highlight 2017-1H22 Balance Sheet YoY (%) NT$mn 2017 2018 2019 2020 2021 1H22 2017 2018 2019 2020 2021 1H22 Total Assets 9,100 9,788 10,544 12,164 14,842 17,858 290.1 7.6 7.7 15.4 22.0 33.1 Cash 2,131 2,304 3,076 2,502 3,796 5,173 244.7 8.1 33.5 -18.7 51.7 79.2 AR & NR 1,825 1,927 2,00
Slide 21: Appendix
Appendix 21
Slide 22: Glossary
Balance Sheet Highlight Glossary ◼ SO/SOP: Small Outline and Small Outline Package ◼ TSSOP: Thin Shrink Small Outline Package ◼ TSOP: Thin Small Outline Package ◼ COL: Chip-n-Lead ◼ QFP: Quad Flat Package ◼ SQFP: Small Quad Flat Package ◼ TQFP: Thin profile Quad Flat Package ◼ LQFP: Low profile Quad
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