Be Semiconductor Industries N.v. · EURONEXT:BESI
Be Semiconductor Industries — Q3 2016 Earnings Presentation
19 slides from Be Semiconductor Industries's earnings presentation, Oct 27, 2016
Slide 1: Investor Presentation Q3-2016 Results
INVESTOR PRESENTATION Q3-2016 RESULTS OCTOBER 27, 2016 October 27, 2016 Page 1
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation contains statements about management's future expectations, plans and prospects of our business that constitute forward-looking statements, which are found in various places throughout the press release, including, but not limited to, statements relating to ex
Slide 3: Table of Contents
Table of Contents I. Key Highlights II. Financial Review III. Strategic Highlights IV. Outlook October 27, 2016 Page 3
Slide 4: I. Key Highlights
I. KEY HIGHLIGHTS October 27, 2016 Page 4
Slide 5: Key Financial Highlights
Key Financial Highlights Besi Reports Strong Q3-16 Results New Share Repurchase Program Initiated Q3-16 YTD-16 Revenue Revenue • € 94.3 million: • -13.5% vs. Q2-16 • € 282.3 million: • +30.7% vs. Q3-15 • +4.0% vs. 2015 Orders Orders • € 78.1 million: • € 282.4 million: • -22.3% vs. Q2-16 • +4.2% vs.
Slide 6: Solid Q3-16 Results. Strong Profit Growth and Margin Development YTD-16
Solid Q3-16 Results. Strong Profit Growth and Margin Development YTD-16 Q3-16/Q2-16 YTD-16/YTD-15* Revenue Net Income Revenue Net Income € 120 300 € € 109.0 90% +4.0% € 282.3 € 271.4 90% -13.5% € 100 80% 80% € 94.3 250 € 70% 70% Gross Margin Gross Margin € 80 200 € 50.9% -0.4 points 50.5% 60% 48.5%
Slide 7: II. Financial Review
II. FINANCIAL REVIEW October 27, 2016 Page 7
Slide 8: Revenue/Order Trends
Revenue/Order Trends Quarterly Trends 120 Revenue Orders Q3-16 vs. Q2-16 104.2 104.3 103.9 109.0 • Revenue: € 94.3 million (-13.5%) 100.5 100 94.9 94.3 • Lower die attach demand by Asian 91.9 subcontractors 77.8 77.3 79.0 78.1 • Lower mobile applications. Partial offset: (euro in millions) 80 72.1 7
Slide 9: Gross Margin Trends
Gross Margin Trends Quarterly Trends Revenue Gross Margin Adjusted Gross Margin 160 60% Q3-16 vs. Q2-16 • 50.5% vs. 50.9% 140 55% 49.0% 50.0% 49.2% 50.9% 50.5% • Higher labor and freight costs 47.9% 48.7% 120 50% • Partial offset increased material cost efficiencies 100 48.2%* 104.3 109.0 45% • No m
Slide 10: Base Line Operating Expense Trends
Base Line Operating Expense Trends 35 32.0 28.7 29.2 29.1 30 28.2 6.3 26.5 25.3 4.3 Other Opex 5.1 5.7 3.6 25 4.1 3.5 Base Opex 20 15 25.7 24.8 24.6 23.6 22.4 23.5 21.8 10 5 0 Q1-15 Q2-15 Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 Baseline Opex 21.8 25.7 23.6 22.4 23.5 24.8 24.6 Other Operating Expenses Capitali
Slide 11: Net Income Trends
Net Income Trends Quarterly Trends Q3-16 vs. Q2-16 Adjusted Net Income Adjustments Adjusted Net Margin • -€ 7.4 million 27 € 24.0 40% € 0.9 • -13.5% revenue 24 35% • -0.4% gross margin 21 30% • + 4.2% effective tax rate € 17.5 € 15.5 € 16.6 (euro in millions) 18 € 0.2 25% • Partial offset: lower ope
Slide 12: Liquidity Trends
Liquidity Trends Cash Debt Net Cash Q3-16 vs. Q2-16 180 169.8 • Net cash +€ 21.2 million (+19.2%) to 161.6 € 45.4 MM € 131.9 million 157.8 160 Dividend 153.3 € 56.9 MM Dividend Q3-16 cash movements 148.4 Principal sources of cash 140 132.8 132.1 133.1 136.5 • € 30.1 million cash from operations 131.
Slide 13: III. Strategic Highlights
III. STRATEGIC HIGHLIGHTS October 27, 2016 Page 13
Slide 14: Strategic Agenda Update
Strategic Agenda Update Operational Initiatives • Transfer of Die Attach functions to Singapore completed • Chinese die bonding production successfully ramped • Die sorting production transfer from Austria to Malaysia completed in Q3-16 R&D/Product Initiatives • Roll out of next generation products
Slide 15: IV. Outlook
IV. OUTLOOK October 27, 2016 Page 15
Slide 16: Assembly Equipment Market Trends
Assembly Equipment Market Trends Assembly Equipment Market Market Size YoY Growth Rate 5.0 4.0 40% 3.1 4.0 4.1 30% 4.0 3.3 3.6 (US$ billions) 27.9% 20% 3.0 10% 10.0% 9.6% 2.0 3.9% 0% -10% 1.0 -16.3% -20% -21.9% 0.0 -30% 2013 2014 2015 2016E 2017E 2018E Source: VLSI September 2016 Besi Revenue Revenu
Slide 17: Besi H2 Seasonal Revenue Trends
Besi H2 Seasonal Revenue Trends Q3/Q2-16Δ Q4E/Q3-16Δ Average -15.8% decrease Average -12.4% decrease -13.5% 2016 -12.5% 2016E* -30.8% 2015 7.9% 2015 -10.9% 2014 -14.0% 2014 -9.7% 2013 -18.9% 2013 -14.3% 2012 -24.5% 2012 * Assumes midpoint of Q4-16 guidance • Besi quarterly revenue development influe
Slide 18: Q4-16 Guidance
Q4-16 Guidance Revenue Gross Margin € 94.3 50.5% -10% 51% to - -15% 49% Q3 Q4 Q3 Q4 Operating Expenses € 28.2 0% to 5% Q3 Q4 October 27, 2016 Page 18
Slide 19: Financial Calendar
Financial Calendar 3-Nov-16 Roadshow New York, organized by KeplerCheuvreux 15-Nov-16 Roadshow Barcelona, organized by NIBC Markets 16-Nov-16 Morgan Stanley TMT Conference, Barcelona 24-Nov-16 Benelux Conference Kempen, London 8-Dec-16 ING Benelux Conference, New York 10/12-Jan-17 Needham Conference
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