Slide 1: Investor presentation
Investor presentation 26 October 2012 © 2009 ASM Proprietary Information
Slide 2: Safe Harbor Statements
Safe Harbor Statements All matters discussed in this business and strategy update, except for any historical data, are forward-looking statements. Forward-looking statements t t t involve i l risks i k and d uncertainties t i ti th t could that ld cause actual t l results to differ materially from t
Slide 3: Investment Highlights
Investment Highlights One of the few companies offering both Front End and Back End equipment $12.8 B market in 2011 rising to $15.8 B in 2016 ( deposition and IC assembly only, VLSI Research) Challenging market development in LED equipment and healthy SMT market development Leading position
Slide 4: Applications Driving Growth Through 2015
Applications Driving Growth Through 2015 60 or CAGR, 2010-2015 ((%) Media Tablet 50 40 30 Solid State Drive IP Set Top Box miconducto LED Smartphone 20 Fiber Broadband 10 Most Categories < 10% CAGR, < $10B Mobile PC Sem (Inc. mini notebook) Entry-level Server LCD TV 0 0 10 20 30 40 50 60 Y axis cut
Slide 5: Applications Driving Growth Through 2015
Applications Driving Growth Through 2015 ALD, Epi, low-k 60 Back- end %) Media Tablet 010-2015 (% 50 40 Semiconductor CAGR, 20 PEALD, Back- end 30 Solid State Drive ALD, Epi, low-k Back- end IP Set Top Box LED Smartphone 20 ALD, Epi, Low-k Back- end Fiber Broadband ALD, Epi, Low-k Most Categories <
Slide 6: ASM's Addressable Markets IC manufacturing
ASM’s Addressable Markets IC manufacturing 2011 ($ 43.5 Billion) 2016 ($55.3 Billion) Etch & Clean Assembly Assembly $ 7.6 B $ 4.2 B $ 5.0 B Test $ 3.9 B Other Wafer Process Deposition $ 8.2 B Lithography $ 10.8 B Deposition $ 11.0 B $ 8.6 B Source: VLSI Research Inc., June, 2012 © 2009 ASM Propriet
Slide 7: ASM Front End Markets
ASM Front End Markets $M IC Deposition Market by Sub-Segments CAGR 2010-2016 10000 ASM products 8% 9000 y Growth Drivers: Key Diff/Furn Spending result of need to 8000 advance towards 32/28nm and 7000 ALD beyond and by capacity +196% increases EPI 6000 Logic and Foundry spending +216% expected t
Slide 8: ASM Front-end Markets
ASM Front-end Markets Wafer Fab Equipment Forecast by technology node 40.0 ≤14 nm +13% 22 nm +7% 35.0 Share of 28nm and 32 nm +145% -13% 22nm of total 30 0 30.0 45 nm E i Equipment t spending di -33% 65 nm increasing in 2012-2013 25.0 ≥90nm WFE $B 20.0 15.0 -47% 47% 10.0 5.0 0.0 2008 2009 2010 2011
Slide 9: ASM Products – Front-end
ASM Products – Front-end Market Requirements: 32nm→22nm →14nm and beyond Process Application ASM Relative Positioning ALD and PEALD • ALD key for High-k Metal Gate #1 in the served ALD market technology Qualified by nearly all Logic • ALD solution (Hafnium oxide) • 3D FinFET requires more manufa
Slide 10: ASM Products – Front End: Key Customer ALD Penetrations
ASM Products – Front End Key Customer ALD Penetrations Customer Penetration Site • 16 Key y customer p penetrations • Applications like ALD high-k, ALD metal, PEALD SDDP, PEALD spacer • Memory, Foundry and Logic segment © 2009 ASM Proprietary Information Thursday, November 01, 2012 10
Slide 11: Growing Wallet Share With Top Clients
ASM Products – Front-end Growing Wallet Share With Top Clients ASM Revenue % Key Developments: Diversification of customer base from Logic to Memory and Foundries Momentum Asia growing © 2009 ASM Proprietary Information 11
Slide 12: Front End's Competitive Advantages
Front End’s Competitive Advantages ASMI Front-end started ALD technology in 1999 and has a strong time advantage over competition. The ALD (and PEALD) technology is strongly patented Further miniaturization will require more and more ALD/PEALD solutions. ASMI is one of the two leading suppli
Slide 13: What Has Changed – Front End
What Has Changed – Front End Significantly reduced the operating break-even level PERFORM! reduced d d costt llevell b by 40% versus the th Q4 2008 runrate t Manufacturing consolidated to 1 location in Singapore Adjacent Adj t tto B Back kEEnd d ffacility ilit Significantly streamlined R&D
Slide 14: ASM Back End Markets
ASM Back End Markets $M 6000 IC Assembly and Packaging Market Key Growth Drivers: 5000 IC Dicing 4000 For IC equipment 3000 Increasing unit volume ASM Served 2000 Available Market Increasing share of the Asia Pacific IC Equipment CAGR 2010-2016 region benefiting regional ties of 1000 1 5% 1.5% A
Slide 15: ASM Back End Markets (cont'd)
ASM Back End Markets (cont’d) Surface Mount Technology (SMT) market development Key Growth Drivers: For SMT IImprove market k t position iti in SE Asia Add Low-end tools to product portfolio Source: ASM SIPLACE Market Intelligence © 2009 ASM Proprietary Information Thursday, November 01, 2012 15
Slide 16: ASM Products – Back End
ASM Products – Back End IC manufacturing - LED manufacturing - Surface Mount Technology Market Application ASM Relative Positioning IC manufacturing • Die bonding • Wire bonding #1 in the market • Assembly tools • Moulding Qualified byy most IDM’s • Packaging tools and Subcontractors’ • Trim & F
Slide 17: Back End's Competitive Advantages
Back End’s Competitive Advantages Back-end industry continues to move to SE Asia. ASMPT the only large BE company fully located in SE Asia. Cost is the most important topic in Back-end. ASMPT provides the lowest cost solutions to customers. China is the fastest growing market in Back-end.
Slide 18: What Has Changed – Back End
What Has Changed – Back End ASMPT continued growing faster than market Continued C ti d itits #1 position iti iin th the IC A Assembly bl & P Packaging k i market k t Successfully entered LED market and has a leading position in LED Assembly & Packaging Entered adjacent markets (Surface Moun
Slide 19: Financial Overview
Financial Overview © 2009 ASM Proprietary Information
Slide 20: Key Highlights – Q3 2012
Key Highlights – Q3 2012 • Revenues up 8% q-o-q and up 9% y-o-y • In FE sales increased with 11% q-o-q q o q and declined 8% y-o-y yoy • In BE sales increased with 7% q-o-q and 15% y-o-y • Q3 Book-to-Bill ratio of 0.7 • Front End 0.7, Back End 0.7 • Q3 Backlog € 295m (0.7 X Q3 sales) • EBIT margin o
Slide 21: Net Earnings Quarter - Group
Net Earnings Quarter - Group Q3 Q2 Q3 Q3 '12/ Q3 '12/ € million 2012 2012 2011 Q2 '12 Q3 '11 Front End 96.1 96 1 86.5 86 5 104.1 104 1 11% ‐8% 8% Back End 313.2 291.4 272.1 7% 15% Net Sales 409.3 377.9 376.1 8% 9% Gross Margin 125.4 130.6 130.7 ‐4% ‐4% as % of sales 30 6% 30.6% 34 6% 34.6% 34 7% 34.
Slide 22: Balance Sheet - Group
Balance Sheet - Group € million Sep 2011 Dec 2011 Mar 2012 Jun 2012 Sep 2012 Cash and cash equivalents 351 390 405 334 297 Other current assets 829 806 773 917 901 Property, plant and equipment, net 250 260 259 279 275 Goodwill, net 50 52 51 54 52 Other Assets 67 74 74 84 89 Total Assets 1,546 1,582
Slide 23: Cash Flow - Group
Cash Flow - Group Q3 Q2 Q3 Full Year € million 2012 2012 2011 2011 Net earnings N i (l (loss)) 17.2 17 2 32.8 32 8 143.2 143 2 316.2 316 2 Depreciation 15.1 13.7 11.2 49.5 Working Capital (59.7) (62.2) (4.8) (37.7) PPA, restructuring & impairments ‐ 0.2 (97.9) (101.2) Others 7.6 (11.7) 12.5 (10.1) N
Slide 24: Historical development - Group
Historical development - Group © 2009 ASM Confidential and Proprietary Information Thursday, November 01, 2012 24
Slide 25: Bookings & Backlog - Group
Bookings & Backlog - Group Book-to-Bill ratio decreased to 0.7 (Q2: 1.1) Backlog decreased to €295m © 2009 ASM Confidential and Proprietary Information Thursday, November 01, 2012 25
Slide 26: Financial Outlook
Financial Outlook Based upon the current backlog and our current visibility: Based on the current order book we expect for the fourth quarter a double digit sales decrease for both Front-end and Back-end. For our Back-end B k d operations ti we do d only l see a recovery earliest li t in i the th co
Slide 27: Back-up slides
Back-up slides © 2009 ASM Proprietary Information
Slide 28: Selected Front End Products
Selected Front End Products Eagle® XP Pulsar® PECVD ALD ALD High-k leader PEALD Common Pl tf Platform Epsilon® 3200 A412 Epitaxy Vertical Furnace Advanced Highest strain productivity layers © 2009 ASM Proprietary Information Thursday, November 01, 2012 28
Slide 29: ASM Products and Solutions Back End
ASM Products and Solutions Back End © 2009 ASM Proprietary Information Thursday, November 01, 2012 29
Slide 30: Innovative Solutions for Fast Growing LED Packaging Market
Innovative Solutions for Fast Growing LED Packaging Market Material Die Sorting Die Bonding Curing - Leadframe & Wafer Post Curing Encapsulation / Phosphor Application Wire Bonding Lens Attach / Jetting Lens Molding Singulation Testing, Sorting and Taping Finished © 2009 ASM Proprietary Information
Slide 31: Serving the Markets Requiring Power Applications
Serving the Markets Requiring Power Applications eClip Automatic Clip Bonding System HA501 Automatic Heavy Aluminum Bonding System © 2009 ASM Proprietary Information Thursday, November 01, 2012 31
Slide 32: ASM in Surface Mount Technology
ASM in Surface Mount Technology SIPLACE provides unique capabilities to allow customized processes, utilize leading edge technologies, technologies and establish build-to-order concepts! © 2009 ASM Proprietary Information Thursday, November 01, 2012 32