Coherent Corp. · NYSE:COHR
Coherent — II-VI — Investor Presentation (May 2017)
12 slides from Coherent's investor presentation, May 9, 2017
Slide 1: May 2017
May 2017 Exhibit 99.1
Slide 2: Safe Harbor Statement
Matters discussed in this presentation may contain forward-looking statements that are subject to risks and uncertainties. These risks and uncertainties could cause the forward-looking statements and II-VI Incorporated’s (the “Company’s”) actual results to differ materially. In evaluating these forw
Slide 3: Reported Segments and Company Overview
Reported Segments FY16 Revenue Q3FY17 Revenue Q3FY17 Op Margin YOY 9 Months Revenue Growth Industrial Fiber Optic & Wireless Comm. Military Semi Cap Life Science, Consumer, Other Laser Solutions $303M $84M GAAP 10% (incl $0.10/share investment) 13% 74% 12% 3% 4% 7% Photonics $326M $109M 15% 35% 8% 8
Slide 4: Fiber Optics and Wireless Communications
Fiber Optics and Wireless Communications Enabling growing demand for intelligent networks Long Haul Submarine DCI DCI Metro Datacenter Interconnect CATV FTTx Wireless Base Stations Optical Components for Communications Market CAGR (’16-’20): 11% - Source: Ovum Key drivers in Q3FY17 & Q4FY17: Key end
Slide 5: High Power Lasers and Optics
High Power Lasers and Optics Leader in industrial material processing Laser Processing Heads & Beam Delivery Components Market CAGR (‘14-’19): 22% Source: Strategies Unlimited Experts in development and deployment of new materials for lower cost of ownership Leader in semiconductor lasers diodes and
Slide 6: Semiconductor Laser Technology Enabler of ubiquitous 3D sensing functionality
Optical Communications Internet of Things Semiconductor Laser Technology Enabler of ubiquitous 3D sensing functionality II-VI is rapidly ramping its capacity and capability to serve the growing opto-electronic device market Driver is anticipated demand for VCSELS - TAM expected to grow from $0.8B in
Slide 7: High Performance Semiconductor Platform
Fiber Optical Communications Wireless Communications Material Processing Electric Vehicles Renewable Energy Consumer Electronics In Growing Markets GaAs, GaN, SiC, InP, C - Diamond Recent Acquisitions: Vertically integrated platform for opto-electronic device market II-VI’s High Performance Semicond
Slide 8: Products on an Optical Line Card
Products on an Optical Line Card Laser Chip-on-Carrier Assembly Thermoelectric Cooler Optics Vertically integrated manufacturing footprints on world class products Key to Scale, Quality, Functionality and Profitability: Vertically integrated manufacturing 980 nm pump laser Optical channel monitor OT
Slide 9: Financial Trends
www.ii-vi.com Financial Trends Financials Expectations Gross Margin 38% 35%-40% EBITDA 18% 16%-20% Operating Margin 11% 7%-12% FY16 FY17 Cash and Equivalents Cash Flow from Operations Long-Term Debt (Including current portion) FY16 FY14 FY15 Shareholder’s Equity $218M $175M $174M $123M $95M $129M $2
Slide 10: Key Investment Considerations
Industry-Experienced Team with Deep Innovation Skills Leading Market Positions in Diverse End Markets 1 Vertically-Integrated and Scalable Manufacturing Successful Return on Investment Within 12-24 months 3 4 Significant Competitive Strengths and Differentiation for Emerging Markets 5 2 www.ii-vi.co
Slide 11: Reconciliation Tables
Reconciliation Tables $Millions (Unaudited) Three Months Ended Nine Months Ended Mar 31, 2017 Dec 31, 2016 Mar 31, 2016 Mar 31, 2017 Mar 31, 2016 Operating Income $29.0 $27.1 $19.4 $79.8 $62.9 Interest expense 1.9 1.4 0.8 4.5 2.0 Other expense(income), net (2.1) (6.1) 1.3 (9.6) (0.8) Income taxes 6.
Slide 12: Materials That Matter
IVI MATERIALS THAT MATTER