Slide 1: Investor Presentation Q1 2014 Results
INVESTOR PRESENTATION Q1 2014 RESULTS April 24, 2014 ASM proprietary information © 2014 ASM
Slide 2: Safe Harbor Statements
SAFE HARBOR STATEMENTS Safe Harbor Statement under the U.S. Private Securities Litigation Reform Act of 1995: All matters discussed in this business and strategy update, except for any historical data, are forward-looking statements. Forward-looking statements involve risks and uncertainties that co
Slide 3: Investment Highlights
INVESTMENT HIGHLIGHTS › ALD is a key growth market ALD market expected to outperform the broader equipment market ASMI has leadership positions in ALD and PEALD › Strong revenue momentum ASMI grew revenue by 22% in 2013 Outperforming the overall equipment market › Improved profitability Gr
Slide 4: Q1 2014 Key Results
Q1 2014 KEY RESULTS Pro-forma EUR million Q1 2013 Q4 2013 Q1 2014 New orders 105.9 133.1 172.1 Net sales 80.0 126.9 150.7 Gross profit margin % 37.7% 39.3% 43.7% Operating results 1.1 15.8 32.5 Result from investments (excl. amortization and (0.5) 1.5 5.7 fair value purchase price allocation) Remeas
Slide 5: Semiconductor Equipment Market
SEMICONDUCTOR EQUIPMENT MARKET Equipment market segments (US$) › ASM focuses on deposition equipment Assembly › ASM is the market leader in ALD Test 3.3bn 3.4bn Lithography 7.8bn and PEALD Other Wafer Processes › Positions in Epitaxy, PECVD 3.9bn and Vertical Furnaces Etch and Process Clean Diagnost
Slide 6: Equipment Market Outlook
EQUIPMENT MARKET OUTLOOK Capital equipment spending › Gartner forecasts a double digit market increase for 2014 US$bn › Driven by investment in leading 60 +11% edge equipment 50 +13% -16% +12% -6% › Healthy investment levels in 40 -12% Foundry and Logic, capex 30 recovery in Memory segment 20 10 0 2
Slide 7: Mobility the Key End Market Driver
MOBILITY THE KEY END MARKET DRIVER M units 800 700 600 500 Feature phones 400 Smartphones Tablets 300 PCs 200 100 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2009 2010 2011 2012 2013 2014 VLSI Research, January 2014 Smartphones the strongest growing end market Driver fo
Slide 8: Wafer Fab Equipment Spending by Node
WAFER FAB EQUIPMENT SPENDING BY NODE Gartner, December 2013 Expanding opportunities for ALD and PEALD at 22nm, 14nm and below April 24, 2014 | ASM proprietary information | 8
Slide 9: ALD Is an Enabling Technology
ALD IS AN ENABLING TECHNOLOGY › ALD technology is a key enabler of Moore’s Law Strengths of Atomic Layer Deposition: high-precision deposition of smooth and conformal ultra-thin films, even on high aspect ratio structures Device scaling, new materials and 3D architectures increases demand for AL
Slide 10: Competitive Advantages
COMPETITIVE ADVANTAGES › Focused player, differentiated technologies › Track record of innovation › Global network, streamlined operations › Leadership in ALD Developing ALD technology since 1999 Largest player in both single wafer ALD and PEALD › Close cooperation with the leading IC manufactur
Slide 11: Customer Concentration
CUSTOMER CONCENTRATION ASMI revenue › Wider adoption number of top capex customers 100% › Diversification of customer 75% base from Logic to Memory and Foundries 50% › Weight of Asia growing 25% 0% 2009 2010 2011 2012 2013 Top 3 Nr 4-10 Rest Growing share of wallet with top clients April 24, 2014 |
Slide 12: Highlights
HIGHLIGHTS › Accelerated momentum ALD and PEALD ALD and PEALD further established as mainstream enabling technologies Record bookings in Q1, driven by ALD and PEALD › Strong improvement in results Record bookings in Q1 2014 Gross margin increased to 43.7%, EBIT margin 21.6% › Further actions
Slide 13: ASMPT Results
ASMPT RESULTS › As of 15 March 2013, our 40% share of ASMPT net profits is included in ‘result from investments’ › PPA regular amortization projected at € 22m for full year 2014 Pro-forma Q1 EUR million 2013 Q4 2013 Q1 2014 Sales ASMPT 207 262 233 Net profit ASMPT 0.4 4.6* 14.3 Net profit ASMPT attr
Slide 14: Financial Overview
FINANCIAL OVERVIEW April 24, 2014 | ASM proprietary information | 14
Slide 15: Q1 2014 Highlights
Q1 2014 HIGHLIGHTS › Revenues up 19% q-o-q and up 88% y-o-y on a pro-forma basis › Record bookings, up 29% q-o-q and up 63% y-o-y › Book-to-bill ratio of 1.1 › Q1 backlog of € 136m, up from € 115m in Q4 2013 › EBIT margin of 21.6% compared to 12.5% in Q4 2013 and 1.4% pro- forma in Q1 2013 › Cash fl
Slide 16: Financial Outlook
FINANCIAL OUTLOOK Based upon the current backlog and our current visibility: For Q2 2014 we expect for sales a low single digit decrease, on a currency comparable base. For the second half of 2014, the current visibility remains limited. After the very high order intake in Q1, the Q2 2014 order inta
Slide 17: Net Earnings
NET EARNINGS Pro-forma Q1 2014 vs Q1 2014 vs EUR million Q1 2013 Q4 2013 Q1 2014 Q4 2013 Q1 2013 New orders 105.9 133.1 172.1 29 % 63% Backlog 119.9 114.8 135.9 18 % 13% Book-to-bill 1.3 1.0 1.1 Net sales 80.0 126.9 150.7 19 % 88% Gross profit 30.2 49.9 65.9 32 % 118% Gross profit margin % 37.7% 39.
Slide 18: Cash Flow
CASH FLOW EUR million Q1 2013 Q4 2013 Q1 2014 Net earnings (21.7) (334.0) 27.1 Depreciation and amortization 4.9 5.7 5.1 PPA amortization and adjustments - 343.2 - Result from investments 3.0 (1.5) (0.3) Other adjustments 14.0 4.7 3.6 Change in working capital 2.9 (6.1) 27.1 Net cash from operating
Slide 19: Balance Sheet
BALANCE SHEET Dec 31, 2013 Mar 31, 2014 EUR million Cash and cash equivalents 312 371 Accounts receivable 83 78 Inventories 105 110 Other current assets 18 18 Investments and associates 950 953 Property, plant and equipment 57 58 Other non-current assets 33 33 Total Assets 1,551 1,621 Accounts payab
Slide 20: Working Capital
WORKING CAPITAL EUR million Days 160 140 130 140 120 120 110 100 100 80 90 80 60 70 40 60 20 50 0 40 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 11 12 13 14 11 12 13 14 Working capital Quarterly sales Days of working capital April 24, 2014 | ASM proprietary informat
Slide 21: Bookings and Backlog
BOOKINGS AND BACKLOG EUR million 200 180 160 140 120 100 80 60 40 20 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 09 10 11 12 13 14 Bookings Backlog April 24, 2014 | ASM proprietary information | 21
Slide 22: Historical Development
HISTORICAL DEVELOPMENT EUR million EUR million 160 40 140 30 120 20 100 10 80 - 60 10- 40 20- 20 30- 0 40- Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 09 10 11 12 13 14 Net Sales (lhs) EBIT (rhs) April 24, 2014 | ASM proprietary information | 22
Slide 23: April 24, 2014 | ASM proprietary information
April 24, 2014 | ASM proprietary information | 23