Slide 1: AIXTRON Investor Presentation – IR Presentation 9M/2016
AIXTRON Investor Presentation IR Presentation – 9M/2016 (FSE: AIXA, ISIN DE000A0WMPJ6; AIXC, ISIN DE000A2BPYT0; NASDAQ: AIXG, ISIN: US0096061041) © AIXTRON Investor Relations, November 2016
Slide 2: Disclaimer: Additional information
Disclaimer 2 Additional information This document is for informational purposes only and is neither an offer to purchase nor a solicitation of an offer to sell securities. The takeover offer for the outstanding ordinary shares (including ordinary shares represented by American depositary shares) of
Slide 3: Cautionary statement regarding forward-looking statements
Disclaimer 3 Cautionary statement regarding forward-looking statements This document contains forward-looking statements, including statements regarding the expected consummation of the proposed transaction and AIXTRON SE’s future performance, which involves a number of risks and uncertainties, incl
Slide 4: Who we are
ABOUT AIXTRON 4 Who we are Headquarters based in Herzogenrath, Germany Technology leader in deposition systems Worldwide presence with 12 sales/representatives offices More than 3,000 deposition systems delivered and production facilities all over the world Company founded in 1983 – over 3
Slide 5: Global Presence
ABOUT AIXTRON 5 Global Presence
Slide 6: Our Vision
ABOUT AIXTRON 6 Our Vision Technology. Materials. Performance. Technology. Materials. Performance. We are the recognized We enable our We deliver the technology leader customers to performance driving in complex material successfully shape the economic success deposition. markets of the future, thro
Slide 7: Our Technology. Your FUTURE.
AIXTRON TECHNOLOGIES 7 Our Technology. Your FUTURE. Compound Semiconductors Silicon Semiconductors LED Lighting Memory & Logic Organic Carbon OLED Power Management
Slide 8: Our Technology Portfolio
AIXTRON TECHNOLOGIES AND PRODUCTS 8 Our Technology Portfolio Silicon Compound Semiconductors Organic Carbon Semiconductors MOCVD ALD/MOCVD OVPD®/PVPD®/TFE PECVD LEDs, Lasers and Power Management Silicon Graphene, Organic Electronics Optoelectronics GaN / SiC Semiconductors CNTs and CNWs • LEDs for d
Slide 9: Revenue Analysis
OPERATIONS 9 Revenue Analysis 9M/2016: 9M/2016: 9M/2016: by equipment & spares by end application by region (equipment only) 4% 20% 21% 28% 35% 17% 63% 29% 72% 11% LED Equipment Silicon Asia Spares Power Electronics Europe Optoelectronics USA Others
Slide 10: 24-Month Business Development
FINANCIALS 10 24 - Month Business Development (€ million) Equipment (only) 49.7 50.2 49.3 48.9 52.5 44.4 51.1 69.0 Order Intake 34.4 31.3 @ $1.35 @ $1.25 @ $1.10 Equipment (only) 91.2 86.2 104.0 79.0 72.3 Order Backlog 66.4 70.7 65.2 67.7 42.9* @ $1.35 @ $1.25 @ $1.10 *) revalued on Jan.1, 2016 to €
Slide 11: Consolidated Income Statement
Financials 11 Consolidated Income Statement* (€ million) 9M/16 9M/15 +/- Q3/16 Q2/16 +/- Revenues 106.6 135.3 -21% 51.2 34.1 50% Cost of sales 79.7 105.1 -24% 34.2 27.2 26% Gross profit 26.9 30.2 -11% 16.9 6.9 145% Gross Margin 25% 22% 3 pp 33% 20% 13 pp Selling expenses 9.0 9.0 0% 3.2 2.9 10% Gener
Slide 12: Consolidated Statement of Financial Position
Financials 12 Consolidated Statement of Financial Position* (€ million) 30/9/16 31/12/15 30/9/15 Property, plant & equipment 75.6 81.3 80.9 Goodwill 73.8 75.9 75.7 Other intangible assets 5.5 6.4 6.4 Others 3.6 3.9 4.6 Non-current assets 158.5 167.6 167.6 Inventories, WIP & Finished Goods 79.1 70.8
Slide 13: Consolidated Statement of Cash Flows
Financials 13 Consolidated Statement of Cash Flows* (€ million) 9M/16 9M/15 Q3/16 Q2/16 Cash Flow from operating activities -35.0 -13.5 4.3 -19.9 Cash Flow from investing activities 39.3 11.1 12.9 19.3 Cash Flow from financing activities 0.3 -0.2 0.2 0.1 Exchange rate changes -3.5 3.5 -0.9 0.1 Net c
Slide 14: Market Prospects
FUTURE MARKETS 14 Market Prospects Short-Term • Further increasing adoption of LEDs for Solid State Lighting • Increasing demand adoption of optoelectronic components for tele- and data communication applications • Increased emergence of wide band gap GaN or SiC based devices for energy efficient po
Slide 15: AIXTRON Investor Presentation
AIXTRON INVESTOR PRESENTATION 15
Slide 16: AIXTRON – Key Enabler for Innovative Future
AIXTRON TECHNOLOGIES AND PRODUCTS 16 AIXTRON – Key Enabler for Innovative Future New Complex Materials Tech Trends Compound Semiconductors • GaAs/ GaN (Sensors) • GaN/SiC (RF/Power – Mobile) LOREM • GaAs/InP (Laser - Datacom) • GaN (LED – LiFi) Silicon Semiconductors Big Data LOREM • III-V (Next-gen
Slide 17: Compound Semiconductors – MOCVD
AIXTRON TECHNOLOGIES AND PRODUCTS 17 Compound Semiconductors – MOCVD Two Reactor Technologies Planetary Reactor® & Close Coupled Showerhead® (CCS) • Addressing multiple industries • Established industry standard & market leading • Configurable, extendable common platform • Introduced the latest MO
Slide 18: LED Lighting Market – Multiple Tipping Points
INDUSTRY & MARKETS 18 LED Lighting Market – Multiple Tipping Points Source: AIXTRON, IHS 2016, Strategies Unlimited LED Lighting Cycle Various Different Numerous Applications Regions Players Global LED lamp shipments LED Market Forecast 4.5 40% 16 4.0 35% 14 Market size (in US$ billion) 3.5 30% 12 L
Slide 19: Compound Semiconductors – Increasing Demand in Optoelectronics
AIXTRON TECHNOLOGIES AND PRODUCTS 19 Compound Semiconductors – Increasing Demand in Optoelectronics Telecom/Datacom/Wireless • Data center AIXTRON – Optoelectronics equipment revenues • Broadband • FTTH • 3G → 4G → 5G 50 40% • …… 45 35% 40 30% 35 Automotive EUR million 25% 30 • Connected cars 25 20%
Slide 20: Compound Semiconductors – Wide Band Gap Power Electronics
AIXTRON TECHNOLOGIES AND PRODUCTS 20 Compound Semiconductors – Wide Band Gap (WBG) Power Electronics Consumer Electronics & IT Automotive Energy Industrial Power Management Power Switching 30V 600V 1.2 kV ≥2kV • Electronic appliances • Infotainment • General automotive electro • Power Grid / Smart m
Slide 21: Compound Semiconductors – Wide Band Gap Power Electronics
AIXTRON TECHNOLOGIES AND PRODUCTS 21 Compound Semiconductors – Wide Band Gap (WBG) Power Electronics Source: DOE, IHS 2016 WBG GaN and SiC based Power Management Device Shipments ~9x CAGR: 24% ~5x 1x (2015: Indexed=1z) 2015 2022e 2025e Higher- Reduced Energy High Voltage Improved power Higher temper
Slide 22: Carbon Nanomaterials – PECVD
AIXTRON TECHNOLOGIES AND PRODUCTS 22 Carbon Nanomaterials – PECVD Graphene and Carbon Nanotube Deposition Systems • Proprietary thermal and plasma enhanced chemical vapour deposition technology • Excellent uniformity and reproducibility with fast turnaround cycle times • BM platform: BM R&D (2-inch)
Slide 23: Organic Electronics – OVPD + Encapsulation
AIXTRON TECHNOLOGIES AND PRODUCTS 23 Organic Electronics – OVPD® + Encapsulation Source: DisplaySearch, AIXTRON OLED manufacturing process Cleaning Cleaning Glass cutting ITO deposition Organic material deposition Bonding Coating Etching Cathode deposition Aging Stripping Encapsulation Final test Te
Slide 24: Organic Electronics – OVPD
AIXTRON TECHNOLOGIES AND PRODUCTS 24 Organic Electronics – OVPD® Product Description – OVPD Proprietary carrier-gas enhanced gas phase deposition approach for organic thin films* Based on AIXTRON‘s core competence of carrier gas enhanced vapour phase deposition Free scalability: suitable for a
Slide 25: Organic Electronics – OPTACAP PECVD
AIXTRON TECHNOLOGIES AND PRODUCTS 25 Organic Electronics – OPTACAP™ PECVD Product Description – OptaCap™ PECVD Proprietary PECVD technology based on linear plasma sources Based on AIXTRON‘s core competence of carrier gas enhanced vapour phase deposition “Disruptive deposition technology Free s
Slide 26: Silicon Semiconductors – Leading Edge Technologies
AIXTRON TECHNOLOGIES AND PRODUCTS 26 Silicon Semiconductors – Leading Edge Technologies Source: Gartner 2016 At the forefront to extend Moore’s Law Memory Logic transistor Interconnects (ALD) (MOCVD- III-V) (Graphene/CNT) >3x ≤22nm fab capacities “More than Moore” ~1.1x Total fab capacities (2015: I
Slide 27: Silicon Semiconductors – ALD
AIXTRON TECHNOLOGIES AND PRODUCTS 27 Silicon Semiconductors – ALD Product Description – ALD • 300mm ALD Technology • QXP-8300 Mini-batch system • High throughput : 2 Process Chambers – 8 stations “Best-in class technology, state of the art • Up to 3 vaporizers and one bubbler deposition system, lowe
Slide 28: Technology Position
AIXTRON TECHNOLOGIES AND PRODUCTS 28 Technology Position MOCVD for LEDs, MOCVD for Power Lasers and Management Optoelectronics MOCVD for III-V on ALD for Memory ALD for Memory Silicon Customer B Customer A OVPD for OLED deposition Thin-Film Carbon Encapsulation for OLED R&D Demo &Qualification P
Slide 29: Semiconductor Growth Opportunities in China
29 Semiconductor Growth Opportunities in China Source: Gartner 2016; IC insights 2016 • China domestic IC production is expected to increase and gradually narrow the IC consumption/production gap ratio. • 2016e semiconductor capex in China is estimated to be doubled than 2014. 2017e-2020e annual spe
Slide 30: Consolidated Income Statement
FINANCIALS 30 Consolidated Income Statement* (€ million) 2015 2014 2013 Revenues 197.8 193.8 182.9 Cost of sales 147.9 154.1** 204.7** Gross profit 49.8 39.7** -21.8** Gross Margin 25% 21% -12% Selling expenses 11.5 14.1** 14.5** General & admin expenses 16.3 19.3 18.2 R&D 55.4 66.7 57.2 Net other o
Slide 31: Consolidated Statement of Financial Position
Financials 31 Consolidated Statement of Financial Position* (€ million) 31/12/15 31/12/14 31/12/13 Property, plant & equipment 81.3 77.3 79.9 Goodwill 75.9 64.8 64.1 Other intangible assets 6.4 2.5 3.1 Others 3.9 4.6 5.7 Non-current assets 167.6 149.2 152.7 Inventories, WIP & Finished Goods 70.8 81.
Slide 32: Consolidated Statement of Cash Flows
FINANCIALS 32 Consolidated Statement of Cash Flows* (€ million) 2015 2014 2013 Cash Flow from operating activities -45.7 -33.8 8.2 Cash Flow from investing activities 41.2 -23.2 -39.7 Cash Flow from financing activities -0.1 0.2 101.6 Exchange rate changes 4.3 5.9 -2.4 Net change in Cash & Cash Equi
Slide 33: Annual Equipment Revenues by Application (excl. spares)
OPERATIONS 33 Annual Equipment Revenues by Application (excl. spares) 800 (EUR million) 700 600 500 400 300 200 100 0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 LED Silicon Power Electronics Optoelectronics* Others * Optoelectronics includes applications in
Slide 34: Equipment Order Intake per Quarter
OPERATIONS 34 Equipment Order Intake per Quarter driven by strategic (EUR million) 250 China investments Overcapacity driven by LED TV Absorption, Industry 200 driven by Consolidation notebook driven by driven by backlighting 150 telecom/datacom mobile phone and mobile phone penetration 100 50 0 1Q9
Slide 35: Global Presence
ABOUT AIXTRON 35 Global Presence AIXTRON SE Headquarters AIXTRON Ltd. AIXTRON Inc. Herzogenrath, Germany Cambridge, United Kingdom Sunnyvale, California, USA Core of AIXTRON’s activities is Focus on key MOCVD reactor Focus on silicon applications for the Technology and R&D Center component technolog
Slide 36: Financial Calendar & Contact Data
36 Financial Calendar & Contact Data • February 2017 FY/2016 Results, Conference Call • April 2017 Q1/2017 Results, Conference Call • May 2017 Annual General Meeting, Aachen • July 2017 H1/2017 Results, Conference Call For further information please contact: Investor Relations & Corporate Communicat
Slide 37: Thank you very much for your attention.
Thank you very much for your attention. AIXTRON SE Dornkaulstr. 2 52134 Herzogenrath Germany Phone +49 (2407) 9030-0 Fax +49 (2407) 9030-40 E-Mail invest@aixtron.com