Slide 1: Q4'20 Financial Results
February 11, 2021 Q4’20 Financial Results February 11, 2021 Page 1
Slide 2: Cautionary Statement Regarding Forward Looking Statements
Cautionary Statement Regarding Forward Looking Statements Forward Looking Statements: Certain statements contained in this presentation may be considered forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, including statements regarding strong
Slide 3: Business Update
Business Update February 11, 2021 Page 3
Slide 4: Summary
Summary Revenue Non-GAAP Gross Margin(1) Non-GAAP EPS(1) $202.4M 45.0% $0.73 44.0% 39.9% $150.6M $0.27 $142.0M -$0.01 Q4'19 Q3'20 Q4'20 Q4'19 Q3'20 Q4'20 Q4'19 Q3'20 Q4'20 • Q4’20 revenue and orders set • Q4’20 gross margin increased • Record backlog entering 2021 new record; exceeded guidance 510 b
Slide 5: FY20 and Q4'20 Orders by Segment
FY20 and Q4’20 Orders by Segment 40% 29% 60% (FY20) 71% (Q4’20) Recurring Systems 20% 11% 8% 6% 6% 6% 3% 19% 18% 10% 9% 6% 3% 6% All Markets Mobility Automotive Consumer Industrial & Computing & PCB Test IoT / IoV & Medical Network Optoelectronics - Contactors & Pins - RF 5G to mmWave - Autonomous d
Slide 6: Neon – Market Leading Inspection Yield
Neon – Market Leading Inspection Yield Key Features • Up to 40,000 UPH with 6S inspection • Highest yield microscale defect inspection Automotive Mobility • Infrared imaging for improved accuracy • 3D Flex® for True Ball/Bump co-planarity • Thin die handling technology IoT/IoV & Computing & • Design
Slide 7: Q4'20 Financials and Q1'21 Guidance
Q4’20 Financials and Q1’21 Guidance February 11, 2021 Page 7
Slide 8: Q4'20 Non-GAAP Results
Q4’20 Non-GAAP Results Q3’20 Q4’20 Q4’20 Actual Guidance(2) Actual Revenue $150.6M $195 - $200M $202.4M Gross Margin(1) 44.0% 45% - 46% 45.0% Operating Expenses(1) $48.3M ~$53M $51.7M Non-GAAP EPS(1) $0.27 $0.73 Adjusted EBITDA(1) 13.5% ~20% 20.9% ❑ Mobility (RF testers and handlers), Automotive EV
Slide 9: Target Model Delivers Strong Leverage
Target Model Delivers Strong Leverage Target Quarterly Model Revenue $190M $210M $235M $250M Gross Margin(1) 46% 47% 48% 49% Operating Expenses(1) 28% 27% 25% 24% Adjusted EBITDA(1) 20% 22% 24% 25% Non-GAAP EPS(1) $0.55 $0.70 $0.90 $1.00 Free Cash Flow(2) > 13% > 15% > 17% > 18% ❑ Updated model deli
Slide 10: Balance Sheet
Balance Sheet [$Million] Q3’20 Q4’20 Cash and Investments $171 $170 Accounts Receivable $117 $152 Total Debt $346 $326 Capital Additions $5.6 $5.1 Cash Flow From Operations $14.7 $22.3 ❑ Q4 cash balance of $170M supports operational needs of ~$80M, funding for production ramp and debt service ❑ Debt
Slide 11: Q1'21 Outlook
Q1’21 Outlook Q4’20 Q1’21 Actual Guidance Revenue $202.4M $212 - $232M Gross Margin(1) 45.0% 45% - 46% Operating Expenses(1) $51.7M $53 - 54M Adjusted EBITDA(1) 20.9% ~ 23% (mid-point of guidance) ❑ Low end of revenue guidance considers some supply chain uncertainty caused by COVID-19 and risks asso
Slide 12: Appendix
Appendix Use of Non-GAAP Financial Information: This presentation includes non-GAAP financial measures, including non-GAAP Gross Margin/Profit, Income and Income (adjusted earnings) per share, Operating Income, Operating Expense and Adjusted EBITDA that supplement the Company’s Condensed Consolidate
Slide 13: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation 3 Months Ending 3 Months Ending 3 Months Ending Dec 28, Diluted Sep 26, Diluted Dec 26, Diluted Earnings Reconciliation 2019 EPS 2020 EPS 2020 EPS Income (Loss) From Continuing Operations - GAAP $ (16,281) $ (0.39) $ (6,646) $ (0.16) $ 14,861 $ 0.34 Share based compen
Slide 14: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation 3 Months Ending 3 Months Ending 3 Months Ending Dec 28, % of Net Sep 26, % of Net Dec 26, % of Net Gross Profit Reconciliation 2019 Sales 2020 Sales 2020 Sales Net Sales $ 142,011 $ 150,647 $ 202,355 Gross Profit - GAAP 54,075 38.1% 63,500 42.2% 91,241 45.1% Share Bas