Advanced Energy Industries, Inc. · NASDAQ:AEIS
Advanced Energy Industries — Q1 2024 Earnings Presentation
13 slides from Advanced Energy Industries's earnings presentation, May 1, 2024
Slide 1: Q1 2024 Earnings Presentation
Q1 2024 Earnings Presentation MAY 1, 2024 1
Slide 2: Safe Harbor
SAFE HARBOR The company’s guidance and other statements herein or made on the earnings conference call contain, in addition to historical information, forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Ac
Slide 3: Q1 2024 Summary
Q1 2024 SUMMARY • Q1 2024 results driven by a challenging demand environment in non-semi markets ‒ Semiconductor revenue ahead of expectations, but revenues in other markets weaker than forecasted ‒ Characterized by higher-than-expected inventory destocking, and reduced demand in Telecom and Network
Slide 4: Q1 2024 Revenue Detail by Market
Q1 2024 REVENUE DETAIL BY MARKET ($ in millions) INDUSTRIAL & MEDICAL Down 23% Q/Q & Down 32% Y/Y SEMICONDUCTOR EQUIPMENT $83M • Impacted by higher-than-expected Q1 2024 inventory destocking across the channel Down 6% Q/Q & Down 7% Y/Y Total Revenue • Design wins have been broad-based, including med
Slide 5: Q1 2024 Financial Highlights
Q1 2024 FINANCIAL HIGHLIGHTS REVENUE NON-GAAP GROSS MARGIN(1) OPERATING CASH FLOW(2) $327 million 35.1% $8 million NON-GAAP EPS(1) NON-GAAP OP MARGIN(1) TOTAL CASH(3) $0.58 6.6% $1.02 billion Net Cash of $106 million (1) Detailed explanations of non-GAAP financials and reconciliations of GAAP to non
Slide 6: Revenue by Market
REVENUE BY MARKET ($ in millions) Q1 2024 Q4 2023 Q1 2023 Q/Q Y/Y Semiconductor Equipment $179.9 $191.4 $194.2 -6.0% -7.4% Industrial & Medical $83.4 $108.6 $123.0 -23.2% -32.2% Data Center Computing $41.9 $62.9 $59.7 -33.3% -29.8% Telecom & Networking $22.3 $42.4 $48.2 -47.6% -53.8% Total Revenue $
Slide 7: Income Statement (GAAP/Non-GAAP)
INCOME STATEMENT (GAAP/NON-GAAP) ($ in m illions, except per share data) Q1 2024 Q4 2023 Q1 2023 Q/Q Y/Y Revenue $327.5 $405.3 $425.0 -19.2% -23.0% GAAP gross margin 34.5% 35.3% 36.5% GAAP operating expenses $112.2 $129.1 $115.1 -13.1% -2.5% GAAP operating margin from continuing ops 0.2% 3.4% 9.4% G
Slide 8: Balance Sheet & Cash Flow
BALANCE SHEET & CASH FLOW ($ in millions) Q1 2024 Q4 2023 Q1 2023 Cash $1,017.8 $1,044.7 $461.8 • Total Cash decline slightly Q/Q to $1,018 million Inventories $361.3 $336.1 $401.5 ‒ Net cash(1) at $106 million • Inventory Turns decreased Q/Q from 3.1x to 2.4x Accounts Receivable $247.5 $282.4 $291.
Slide 9: Q2 2024 Guidance
Q2 2024 GUIDANCE ($ in millions, except per share data) Guidance Revenue $350 +/- $20 GAAP EPS from continuing operations $0.25 +/- $0.25 Non-GAAP(1) EPS $0.73 +/- $0.25 (1) Detailed explanations of non-GAAP financials and reconciliations of GAAP to non-GAAP financials can be found at the end of thi
Slide 10: Quarterly Non-GAAP Financials
QUARTERLY NON-GAAP FINANCIALS(1) Quarterly Trend (figures in $ millions, except percentage and EPS) All figures from Continuing Operations 2021 2021 2021 2021 2022 2022 2022 2022 2023 2023 2023 2023 2024 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Revenue 351.6 361.3 346.1 396.9 397.5 440.9 516.3 490.7 4
Slide 11: Non-GAAP Measures
NON-GAAP MEASURES Advanced Energy’s non-GAAP measures exclude the impact of non-cash related charges such as stock-based compensation and amortization of intangible assets, as well as discontinued operations, and non-recurring items such as acquisition-related costs and restructuring expenses. The n
Slide 12: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION Copyright © 2024 Advanced Energy 12
Slide 13: Q2 2024 Reconciliation of GAAP to Non-GAAP Guidance
Q2 2024 RECONCILIATION OF GAAP TO NON-GAAP GUIDANCE ($ in millions, except per share data) Low End Midpoint High End Revenue $330 $350 $370 Reconciliation of Non-GAAP EPS GAAP EPS $ 0.00 $ 0.25 $ 0.50 Stock-based compensation 0.29 0.29 0.29 Amortization of intangible assets 0.19 0.19 0.19 Restructur
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