Ams-osram Ag · SIX:AMS
Ams-osram — FY2024 Earnings Presentation
49 slides from Ams-osram's earnings presentation, Feb 11, 2025
Slide 1: Full Year and Fourth Quarter 2024 Results Investor Presentation
Sense the power of light Full Year and Fourth Quarter 2024 Results Investor Presentation Aldo Kamper, CEO Rainer Irle, CFO Dr Juergen Rebel, SVP Investor Relations 11 February 2025 1
Slide 2: ams OSRAM at a glance
ams OSRAM at a glance A company in transition to structural growth in automotive, industrial/medical & selected consumer applications with 110+ years of combined company history Our segments & technologies Revenues by application1 & Market positions Semiconductors Lamps & Systems Automotive: Sensors
Slide 3: Our segments - overview of business units and applications
Our segments - overview of business units and applications AUT = Automotive, I&M = Industrial & Medical, CON = Consumer Opto Semiconductors (OS) CMOS Sensors & ASICs (CSA) Lamps & Systems FY24 ~1.4 bn€ ~1.0 bn€ ~1.0 bn€ AUT ~6% I&M ~26% In-Cabin Sensing Forward Lighting (FWL) High pixelated FWL Clas
Slide 4: Q4/24: Revenues and adj. EBITDA above mid-point of the guidance
Q4/24: Revenues and adj. EBITDA above mid-point of the guidance Auto lamps with strong aftermarket season, solid auto semi revenues compensated weak I&M semi business All figures in EURm / % of revenues Group revenues EBITDA, EBITDA margin (adj.)2) ø EUR/USD 1.08 1.09 1.08 1.10 1.07 16.5% 14.6% 18.8
Slide 5: Semiconductors: structural growth in consumer compensates cyclical weakness in automotive and I&M
Semiconductors: structural growth in consumer compensates cyclical weakness in automotive and I&M All figures in EURm / % of revenues Total semi revenues Automotive revenues I&M revenues Consumer revenues -14% -3% +21% -11% +3% -6% ~non-core for exit -9% -14% 279 629 647 608 253 251 234 240 578 596
Slide 6: Free Cash Flow positive in Q4 and FY24
Free Cash Flow positive in Q4 and FY24 All figures in EURm / % of revenues Free Cash Flow (FCF)1) incl. divestments, incl. net interest paid 188 Q4/23 Q1/24 Q2/24 12 FY 23 2 -60 FY 24 -125 -119 Q3/24 Q4/24 -332 1) Free Cash Flow (FCF) defined as Operating CF (incl. net interest paid) – Capex + proce
Slide 7: FY24 achievements
FY24 achievements Staying on course in executing the strategic efficiency program RtB in spite of major change in microLED strategy 1 Revenue growth of ~7% yoy in the semi core portfolio 2 ‘Re-establish- the Base’ (RtB) savings implementation ahead of plan & upsized 3 Non-core semiconductor portfoli
Slide 8: FY24 – new consumer ramps compensated slow industrial & automotive business
FY24 – new consumer ramps compensated slow industrial & automotive business Growth in the core semi-portfolio, decline in reported revenue due to L&S deconsolidation & non-core semi portfolio exit Group Revenues Lamps & Systems2) Semiconductors2) -1% YoY like-for-like1) +0% 3,590 3,437 2,426 2,429 1
Slide 9: FY24 – adj. EBITDA margin stable
FY24 – adj. EBITDA margin stable All figures in EURm / % of revenues adj. EBITDA, EBITDA margin 1) adj. EBIT, EBIT margin 1) -5% 16.8% 16.8% +3% 604 575 233 241 (6.5%) (7.0%) FY 23 FY 24 FY 23 FY 24 − Adj. EBITDA: market weakness offset improvements due to ‘Re-establish the Base’, lower cost base an
Slide 10: Target model: Semiconductor business to grow 6% to 10% through cycle until 2027
Target model: Semiconductor business to grow 6% to 10% through cycle until 2027 Evolution of target operating model to focus on semi growth and reflect current market environment and semi-cycle Growth model Over-the-cycle targets Semiconductor - Revenues Key semi growth elements ~200 m€ non-core 1.
Slide 11: ams OSRAM holds leading positions in its core semiconductor & lamps markets
ams OSRAM holds leading positions in its core semiconductor & lamps markets Leverage strong positions with focused core portfolio and commitment to Automotive, Industrial, Medical markets #2 in LED #1 in Light Sensors #1 in Traditional Auto Lamps LED Suppliers by 2024(E) market share Light Sensor Su
Slide 12: FY 2024 – continued design-win traction underpinning structural growth model
FY 2024 – continued design-win traction underpinning structural growth model Q4 design-wins >1 bn EUR, across the board, strong traction with automotive in China Senlor ICs (Industrial) triple digit m€ Colored ambient lighting – iRGB / RGB (Automotive) dToF Sensors (Industrial) triple digit m€ doubl
Slide 13: 'Re-establish the Base' implementation ahead of schedule
‘Re-establish the Base’ implementation ahead of schedule Run-rate savings of EUR ~110m reached by end of FY24 – upsized total target EUR ~225m by end-of-2026 Run-rate savings at end of period vs. 2023 reference1) Implementation status End-24: 250 Set-up & Infrastructure - New set-up working target-l
Slide 14: ams OSRAM wins the German Future Award 2024
ams OSRAM wins the German Future Award 2024 ams OSRAM ideally positioned for emerging pixelated headlight market ams OSRAM wins the German Future Award 2024 Innovation Realized application Potential applications Awarded Technology 25k pixel ‘digital – Microscopic LED pixel headlight’ EVIYOSTM − Micr
Slide 15: Well diversified revenue streams by end market, region and healthy customer split
Well diversified revenue streams by end market, region and healthy customer split Strong exposure to structural growth markets, strong regional presence and very balanced customer portfolio End market split Revenues by region Top customers split (FY 2024) (FY 2024) (FY 2024) Top 3 customers Consumer
Slide 16: Summary Q4 & FY2024
Summary Q4 & FY2024 Highlights Q4: - revenue and profitability above mid-point of the guidance - FCF1) positive FY24: - FCF1) positive with EUR 12m - FY24 growth in the core semi-conductor portfolio of approx. 7%, driven by ramp of new consumer products - FY24 reported revenues -5% due to L&S de-con
Slide 17: Business outlook
Business outlook Q1 2025 Guidance FY 2025 comments − Revenues: 2nd half-year much stronger than 1st half-year due to − Revenue EUR 750m – 850m product ramps and some market normalization − Adj. EBITDA 16% +/- 1.5% low double digit Seasonal & small cyclical uptick % increase BtB improving in Q1/25
Slide 18: Semiconductors: Automotive Growth Drivers
Sense the power of light Semiconductors: Automotive Growth Drivers 18
Slide 19: Offering full technology range and innovation leadership in automotive emitters and light sensors
Offering full technology range and innovation leadership in automotive emitters and light sensors Leading Positions in Automotive Semiconductor Sub-Segments #1 in Automotive Visible Emitters #1 in Automotive Light Sensors #16 in Automotive Semiconductors Auto LED suppliers by 2024(E) market share Au
Slide 20: ams OSRAM automotive content growth
ams OSRAM automotive content growth Driven by safety, convenience and digitalization In Cabin Sensing Display Illumination / Visualization Backlighting Battery Sensing Smart management Ambient Surface lighting Exterior Sensing (LiDAR) Head Up Dynamic Dynamic Display / signaling forward Projection li
Slide 21: Semiconductors: Opportunities & growth drivers in Medical & Industrial
Sense the power of light Semiconductors: Opportunities & growth drivers in Medical & Industrial 21
Slide 22: Addressing industrial / medical applications with key to system performance
Addressing industrial / medical applications with key to system performance Leveraging differentiated technology base into multi niches where we are key for the system performance Selected applications Structural growth drivers Typical ams OSRAM BoM potential − Aging population Medical Imaging & − L
Slide 23: Professional lighting – best light performance tailored to the application
Professional lighting – best light performance tailored to the application ams OSRAM works with most the top players with focus on Professional Lighting 6 out of the 8 top professional lighting (PL) players trust ams OSRAM Estimated sales of lighting fixtures (2022)1) USDm PL Player 1 5,145 PL Playe
Slide 24: ams OSRAM with key portfolio to benefit from nascent robotics megatrend
ams OSRAM with key portfolio to benefit from nascent robotics megatrend Best-in-class portfolio for making machines smarter, more autonomous and more effective in HMI BIDOS Family NIR emitter + sensor OSLON SFH4253 + SFH5721 Black/ P1616 Capacitive sensor AS8579 Global Shutter: Mira ALS/Flicker sens
Slide 25: Example of leading position in niche – medical imaging CT scan sensors/ICs
Example of leading position in niche – medical imaging CT scan sensors/ICs 8 out of 10 OEMs employ ams OSRAM products – solid revenue growth 2x market growth projected Top 10 CT Players Generation of 3D images based CT scan detectors (units) ams OSRAM on X-ray properties Customer Engagement ~10.9k #
Slide 26: Semiconductors: Opportunities & growth drivers in Consumer portable devices
Sense the power of light Semiconductors: Opportunities & growth drivers in Consumer portable devices 26
Slide 27: ams OSRAM's display management and camera enhancement are leading
ams OSRAM’s display management and camera enhancement are leading Our technologies and products are relevant or key for system performance Display Proximity sensing Flicker Detection Intensity or ToF-based sensors Elimination of artificial light for touch display on/off. modulation bands Spectral Am
Slide 28: ams OSRAM's spectral ambient light sensing makes the difference
ams OSRAM’s spectral ambient light sensing makes the difference ams OSRAM sensors enable superior camera performance in almost all premium smartphones Autofocus: “Fast and accurate Top Smartphones by Camera score autofocus, even in challenging light Smartphone Model Launch Date Camera score conditio
Slide 29: Lamps & Systems: Lamps for Automotive, Industrial and Entertainment
Sense the power of light Lamps & Systems: Lamps for Automotive, Industrial and Entertainment 29
Slide 30: Strong and stable profit contributor with excellent position in lamps business
Strong and stable profit contributor with excellent position in lamps business AMSP is covering automotive, entertainment and industry applications End market split in L&S Automotive Automotive lamps ~80% Traditional LED & Laser LED replacement Fixtures & lamps modules (e.g. XLS) lamps car accessori
Slide 31: ESG commitments
Sense the power of light ESG commitments 31
Slide 32: Creating sustainable value and improving lives with innovative light and sensor solutions
Creating sustainable value and improving lives with innovative light and sensor solutions ESG update: Climate strategy, carbon neutrality goal, ESG Committee ESG achievements ESG goal: Carbon neutrality by 2030 − Ongoing implementation of a comprehensive group climate − Group to be carbon neutral (S
Slide 33: ESG ratings: Our committment to sustainability pays off
ESG ratings: Our committment to sustainability pays off Improvement of ecovadis and confirmation of the Group’s ESG performance by S&P and ISS Institution Rating Comment Climate Change CDP B (Management) (improvement from C) ecovadis Platinum Improvement from gold to platinum among the top 1% of com
Slide 34: Additional Details of Selected Financials
Sense the power of light Additional Details of Selected Financials 34
Slide 35: Lamps & Systems: strong aftermarket in Q4, continued weakness in industrial
Lamps & Systems: strong aftermarket in Q4, continued weakness in industrial All figures in EURm / % of revenues L&S revenues EBITDA, EBITDA margin (adj.)1) EBIT, EBIT margin (adj.)1) -1% +11% +18% +4% +46% 19.2% +35% 13.2% 13.6% 14.9% 12.2% 22.5% 18.2% 17.4% 17.6% 16.0% 279 268 275 223 233 60 51 48
Slide 36: OS: automotive stable, I&M very weak, adj. EBITDA in line w/ fall-through
OS: automotive stable, I&M very weak, adj. EBITDA in line w/ fall-through All figures in EURm / % of revenues OS revenues EBITDA, EBITDA margin (adj.)1) -4% -26% -8% -42% 22.7% 23.1% 19.0% 19.3% 14.6% 365 372 381 345 350 84 88 69 67 51 Q4/23 Q1/24 Q2/24 Q3/24 Q4/24 Q4/23 Q1/24 Q2/24 Q3/24 Q4/24 - Qo
Slide 37: CSA: solid performance in consumer & ramp of sensors in automotive
CSA: solid performance in consumer & ramp of sensors in automotive All figures in EURm / % of revenues CSA revenues EBITDA, EBITDA margin (adj.)1) +38% +15% -2% 21.3% -3% 17.9% 15.3% 9.4% 262 266 258 2.2% 55 233 224 48 40 21 5 Q4/23 Q1/24 Q2/24 Q3/24 Q4/24 Q4/23 Q1/24 Q2/24 Q3/24 Q4/24 - QoQ: slight
Slide 38: Group: adj. R&D significantly reduced due to NRE payments in OS segment
Group: adj. R&D significantly reduced due to NRE payments in OS segment All figures in EURm / % of revenues Gross profit (adj.)1) R&D expenses (adj.)1) SG&A expenses (adj.)1) OPEX (adj.)1) 28.7% 28.4% 29.7% 29.7% 27.1% 10.1% 13.5% 12.2% 9.3% 8.4% 12.7% 11.0% 11.6% 11.2% 12.0% 21.8% 23.3% 22.8% 20.4%
Slide 39: Group adj. Depreciation & Amortization and adj. EBITDA
Group adj. Depreciation & Amortization and adj. EBITDA All figures in EURm D&A (adj.)1) EBITDA (adj.)1) +0% +3% -10% +7% 166 87 84 90 150 150 80 79 135 124 Q4/23 Q1/24 Q2/24 Q3/24 Q4/24 Q4/23 Q1/24 Q2/24 Q3/24 Q4/24 39 1) Excluding microLED strategy adaption expenses, M&A-related, other transformati
Slide 40: Reconciliation from EBITDA IFRS reported to EBITDA adjusted figures
Reconciliation from EBITDA IFRS reported to EBITDA adjusted figures Q4 2024, All figures in EURm 25 20 3 7 5 1 130 150 EBITDA IFRS Transformation microLED M&A-related costs Share-based Result from the Result from EBITDA Adj costs compensation sale of businesses Equity . costs Investments − EBITDA Ad
Slide 41: Reconciliation from EBIT IFRS reported to EBIT adjusted figures
Reconciliation from EBIT IFRS reported to EBIT adjusted figures Q4 2024, All figures in EURm 56 30 19 3 7 5 0.3 60 0 EBIT IFRS Transformation microLED M&A-related costs Share-based Result from the Result from EBIT Adj. Asset costs compensation sale of businesses Equity restructuring costs Investment
Slide 42: Free Cash Flow positive in Q4
Free Cash Flow positive in Q4 All figures in EURm / % of revenues Operating Cash Flow (OCF) Cash Flow related to Capex Inflow from Divestments Free Cash Flow (FCF)1) (including net interest paid) incl. divestments, incl. net interest paid 27.9% Q4/23 Q1/24 Q2/24 Q3/24 Q4/24 Q4/23 Q1/24 Q2/24 Q3/24 Q
Slide 43: 'RtB' reduces OPEX by -10%, keeps Gross Margin stable against headwinds
‘RtB’ reduces OPEX by -10%, keeps Gross Margin stable against headwinds All figures in EURm / % of revenues Gross profit (adj.)1) R&D expenses (adj.)1) SG&A expenses (adj.)1) 28.7% 28.7% 11.4% 10.8% 11.9% 11.4% -5% -9% -8% 1,031 984 408 370 426 392 FY23 FY24 FY23 FY24 FY23 FY24 − Adj. gross profit/m
Slide 44: Adj. net result / adj. EPS dropped quarter over quarter while remaining positive
Adj. net result / adj. EPS dropped quarter over quarter while remaining positive All figures in EURm / EUR per share Net results (adj.)1) EPS diluted (adj.)1) 2) CHF -0.33 -0.34 -0.01 0.35 0.02 Net financing result Q4/23 Q1/24 Q2/24 Q3/24 Q4/24 37 0.37 3 0.03 Q4/23 Q1/24 Q2/24 Q4/23 Q1/24 Q2/24 -35
Slide 45: FY24 - adj. net result reduced yoy, IFRS net result improved but not yet positive
FY24 - adj. net result reduced yoy, IFRS net result improved but not yet positive All figures in EURm / EUR per share Net result (adj.)1) EPS diluted (adj.)1) 2) Net result IFRS EPS diluted IFRS 2) CHF 1.53 0.03 50 1.61 CHF -49.40 -7.56 3 0.03 FY23 FY24 FY23 FY24 FY23 FY24 -7.94 FY23 FY24 -785 -1,61
Slide 46: Working Capital
Working Capital All figures in EURm Working Capital Inventories +13% +36% -4% +14% 814 843 809 833 752 730 716 665 613 605 Q4/23 Q1/24 Q2/24 Q3/24 Q4/24 Q4/23 Q1/24 Q2/24 Q3/24 Q4/24 Trade Receivables Trade Payables +5% -18% +27% -7% 511 496 572 598 566 470 505 472 392 357 Q4/23 Q1/24 Q2/24 Q3/24 Q4
Slide 47: Strong available liquidity and balanced maturity profile with diversified funding mix
Strong available liquidity and balanced maturity profile with diversified funding mix Current capitalization Current debt maturity profile €m, IFRS values as of December 2024 €m, repayment amounts as of December 2024 €m, IFRS values as of December 2023 December 2024 IFRS book values EUR million Cash
Slide 48: Cash and debt overview – almost unchanged in Q4 2024
Cash and debt1) overview – almost unchanged in Q4 2024 All figures in EURm Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 384 394 401 441 441 1,312 1,399 1,576 1,399 1,413 2,458 2,475 2,476 2,496 2,511 1,696 1,793 1,840 1,854 1,146 1,076 1,977 900 1,097 1,098 Gross debt Cash Net debt SLB liability − QoQ: f
Slide 49: ams OSRAM Investor Relations
ams OSRAM Investor Relations Dr. Jürgen Rebel Investor Relations contact SVP & Head of Investor Relations juergen.rebel@ams-osram.com Premstaetten Office + 43 3136 500-0 + 43 3136 500-0 Internet https://ams-osram.com/about-us/investor-relations Email investor@ams-osram.com Juliana Baron Senior Direc