Coherent Corp. · NYSE:COHR
Coherent — II-VI — Investor Presentation (May 2015)
15 slides from Coherent's investor presentation, May 15, 2015
Slide 1: Our Technologies for Tomorrow's Innovations
Our Technologies for Tomorrow’s Innovations www.ii-vi.com NASDAQ: IIVI Investor Presentation May 2015 A global leader powered by engineered material solutions that fully satisfy our customers Exhibit 99.1 ***********************************************************************************************
Slide 2: Our Core – Material Excellence
Our Core – Material Excellence
Slide 3: Global Leader in Engineered Materials
Global Leader in Engineered Materials Headquartered in Saxonburg, PA ~ 8,000 Employees in 14 Countries FY14: $683M Revenue, 5.6% ROS 9 mos YTD: $545M Revenue, 7.7% ROS 2% insider ownership 4 CONSECUTIVE DECADES OF PROFITABILITY AND COUNTING Fiscal Year Revenues $187 $224 $255 $310 $280 $333 $487 $51
Slide 4: Laser Solutions Segment
5 Laser Solutions Segment Rev. TAM Share $214M $254M $218M $1,000M $900M $555M 30% 28% 39% FY15YTD FY14 FY13 Leading merchant supplier of CO , Fiber, and Direct Diode industrial laser components Leading supplier of CO optics for an install base of >70,000 high power lasers First to service EUV Litho
Slide 5: Laser Solutions Segment
6 Laser Solutions Segment Vertical Cavity Surface Emitting Laser (VCSEL) Market CAGR (‘13-’18): 33% Source: BCC Research Laser Processing Heads & Beam Delivery Components Market CAGR (‘14-’19): 22% Source: Strategies Unlimited
Slide 6: Photonics Segment
7 Photonics Segment Rev. TAM Share $189M $217M $141M $2.5B $2.0B $1.5B 10% 11% 9% FY15YTD FY14 FY13 Worldwide supplier of cutting edge amplification, pump, and transmission products for optical communication networks Leading Supplier of crystals, fiber optics, precision optics, and optical assemblie
Slide 7: Photonics Segment
8 Photonics Segment EDFA/Raman Amplifiers Market CAGR (‘14-’19): 30% Source: Ovum 40G/100G Transceivers for Datacom Market CAGR (‘14-’19): 45% Source: Ovum
Slide 8: Performance Products Segment
Performance Products Segment Rev. TAM Share FY15YTD FY14 FY13 $143M $213M $192M $2.4B $2.3B $2.1B 8% 10% 9% Focus on strategic markets where II-VI material expertise and technology enables growth and new functionality Free Standing Diamond Precision Optical Systems High Value Material Reclamation Re
Slide 9: Performance Products Segment
10 Performance Products Segment Sapphire Material and Optics Market CAGR (‘14-’19): 10% Source: Internal Power Generation Products Market CAGR (‘14-’19): 30% Source: Internal
Slide 10: Profitability and Expectations
Expectations Expect FY15 to exceed FY14 by 250bps in all 3 margin categories Gross Margin EBITDA Operating Margin Margin Performance Profitability and Expectations FY11 FY12 FY13 FY14 9mos YTD FY15 41.6% 39.0% 36.9% 33.2% 36.1% 26.0% 23.9% 21.7% 15.1% 16.7% 19.6% 15.8% 13.0% 6.8% 9.8% FY15 FY16 35%-
Slide 11: Cash and Liquidity
Cash and Liquidity Cash and Liquidity Cash and Equivalents Cash Flow from Operations Long-Term Debt (Including current portion) Shareholders' Equity FY13 $185M $108M $114M $636M FY14 $175M $95M $241M $675M FY15YTD $155M $86M $188M $711M
Slide 12: Company Position
Company Position Positive Profit Outlook Leading Market Positions In Diverse End Markets Investing In Fast Growing Markets Strong Cash Position Global Manufacturing Footprint Growth Via Organic And Acquisitions Ongoing $50M Stock Buyback Program
Slide 13: Non-GAAP Reconciliations
Non-GAAP Reconciliations Nine Months Ended March 31, 2015 Reconciliation of EBITDA to Net Earnings EBITDA 126,609 123,213 119,438 103,218 91,257 Interest expense 1,160 4,479 3,086 Depreciation and amortization 28,313 34,523 40,792 53,098 39,242 Settlement Agreement (7,650) Income taxes 18,517 17,760
Slide 14: www.ii-vi.com
www.ii-vi.com I NASDAQ: IIVI * * * * * * * *************************
Slide 15: Organization
Photonics Performance Products Laser Solutions Strategic Resources Corporate G&A R&D NPI Organization M&A / Integration Tech Management Trade Compliance Operation Metrics Quality SCM Legal