Be Semiconductor Industries N.v. · EURONEXT:BESI
Be Semiconductor Industries — Investor Presentation (April 2025)
50 slides from Be Semiconductor Industries's investor presentation, April 2025
Slide 1: Investor Presentation April 2025
INVESTOR PRESENTATION April 2025
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 presentation, including, but not limited to, statements relating to exp
Slide 3: Agenda
Agenda I. Company Overview II. Market Overview III. End-User Market Trends IV. Financial Update and Summary April 2025 3
Slide 4: I. Company Overview
I. COMPANY OVERVIEW April 2025 4
Slide 5: Company History
Company History Consistent focus on Advanced Packaging has 700 created an industry leader • Focus on most rapidly growing segments of assembly market • Growth organically and via acquisitions 70% € 605.3 • Expanded share of wallet with key industry leaders each cycle 600 • Expansion of customer base
Slide 6: Summary Strategy
Summary Strategy Maintain best in class technology leadership Reward Expand shareholders presence in via capital wafer level allocation assembly policy Strategic Acquire Objectives Increase companies market with presence in complementary addressable technologies markets and products Exceed Enhance c
Slide 7: Superior Long Term Value Creation
Superior Long Term Value Creation Capital Allocation Strategic/Financial Shareholder Return Superior Total Returns**: Disciplined execution has Attractive capital created leader in 97% (3 year) allocation program advanced packaging 353% (5 year) 2,145% (10 year) € 2.2 billion of dividends Consistent
Slide 8: Market Positioning: From Processed Wafer to Assembled Chip
Market Positioning: From Processed Wafer to Assembled Chip Total Semiconductor Manufacturing Equipment 2024 (E): $ 117B Front end: $ 104.9B Assembly: $ 4.6B Test: $ 7.7B (89%) (4%) (7%) Besi focus Assembly Process Dicing Die Attach Wire Bond Packaging Plating Leadframe Wire Bond Substrate Wire Bond
Slide 9: Industry Leading Assembly Equipment Portfolio
Industry Leading Assembly Equipment Portfolio Die Attach (81% of 2024 Revenue) Multi-Module Epoxy / Soft Flip-chip Direct Lid Embedded Thermo Hybrid Attach Solder Attach Bridge Attach Compression Bonding Packaging and Plating (19% of 2024 Revenue) Leadframe Substrate Wafer and Panel Trim and Form Si
Slide 10: Serving Blue Chip Customers Across Key End-Markets
Serving Blue Chip Customers Across Key End-Markets Customers End-User Markets • Diversified, blue chip customer base Independent Device Manufacturers (IDMs) • Top 10 customers ~52% of 2024 revenue • One customer > 10% Computing 43% • Supplying leading IDMs, fabless producers and subcontractors • Sel
Slide 11: Global Operations Supported by European Development Centers and Asian Production Footprint
Global Operations Supported by European Development Centers and Asian Production Footprint/Supply Chain Chandler Korea Suzhou Chengdu Shanghai Leshan Q1-25 LTM Taiwan Shenzhen Revenue (€ MM) India Europe/RoW Thailand Philippines 34% Duiven and ‘s-Hertogenbosch (NL) Vietnam Malaysia 605.3 Singapore A
Slide 12: Disciplined, Strategic Execution
Disciplined, Strategic Execution 2024 Highlights ✓ Navigated extended industry downturn at high profitability levels ✓ Significant growth in AI related revenue for hybrid bonding and photonics applications ✓ Cumulative hybrid bonding orders in excess of 100 units. Adoption expanded to 15 customers ✓
Slide 13: Progress Continues on Besi's Sustainability Agenda
Progress Continues on Besi’s Sustainability Agenda 2024 Sustainability Highlights ✓ Met or exceeded substantially most of 2024 targets set in 2022 ✓ First reporting under ESRS ✓ Scope 1 & 2 declined by 93% versus 2023 and 97% versus 2021 ✓ Increased energy from renewable sources to 99% versus 71% in
Slide 14: Summary Financials
Summary Financials Year Ended December 31, 2022 2023 2024 Q1-24 Q1-25 Long-term growth in cyclical business (€ MM) • Increased revenue, profitability and market share per cycle Orders 663.7 548.3 586.7 127.7 131.9 2024 revenue and net income +4.9% and +2.8% vs. 2023 Growth (%) -29% -17% +7% 3% • Str
Slide 15: Business Model Objectives
Business Model Objectives Revenue € 1 billion+++ Addressable market share 40%+ Gross margin 62-66% Operating margin 35-50% Headcount split 75% Asia/25% Europe/NA Scope 1 & 2 emissions Net Zero GHG by 2030 Global energy needs 100% from renewable sources April 2025 15
Slide 16: II. Market Overview
II. MARKET OVERVIEW April 2025 16
Slide 17: Semiconductor Sales Expected to Reach $1 Trillion by 2030
Semiconductor Sales Expected to Reach $1 Trillion by 2030 Driven by Various Megatrends Annual Semiconductor Sales $ Bn 1,200 1,000 Tesla Model 3 Quantum Computing 800 1B Users AI Agents 600 AR / VR Generative AI 400 Vehicle Electrification 200 Social Media and Streaming Smartphone 0 2000 2005 2010 2
Slide 18: Government Funding Helps Drive New Fab Capacity Globally
Government Funding Helps Drive New Fab Capacity Globally China Big Fund EU Chips Act $ 27 Bn (Phase 2) $ 46.5 Bn Initiated 2019 Initiated 2023 $ 47.5 Bn (Phase 3) Includes $ 3.1 Bn R&D South Korea $ 19.7 Bn Initiated 2022 US Chips Act Japan $ 52.7 Bn $ 13.9 Bn Initiated 2022 Initiated 2021 Includes
Slide 19: Assembly Equipment Market Trends
Assembly Equipment Market Trends Assembly Market ($B) 6.6 6.6 5.6 5.2 4.6 Market expected to recover in 2025/2026 4.1 3.9 • Estimated to start in H2-25 • Forecast $ 6.6 billion in 2026 • +60% from 2023 levels • Growth trajectory subject to many variables Secular fundamentals intact: • AI, Datacenter
Slide 20: Assembly Equipment Market Composition
Assembly Equipment Market Composition Assembly Equipment Market (2024E) Besi Addressable Market (2024E) Wire Plating Bonding 2% Inspection, 13% Dicing,Other 45% Packaging $4.6Bn 38% $1.6Bn Die Attach Die Attach 60% 21% Other Bonding Plating 5% Packaging 1% 16% Source: TechInsights, March 2025 April
Slide 21: Besi Focuses on Highest Growth Segments of Assembly Market
Besi Focuses on Highest Growth Segments of Assembly Market Assembly equipment market Besi addressable market Advanced die placement $MM $MM $MM CAGR (2024-2029E) CAGR (2024-2029E) CAGR (2024-2028E) Assembly market ~12% Die attach ~19% Advanced die placement ~25% Packaging and plating ~11% Total addr
Slide 22: Increasing Market Share in Key Market Segments
Increasing Market Share in Key Market Segments Besi Market Share 35% 22% 31% 32% 17% 18% 15% 16% Addressable 28% Packaging & Market* 26% +9p.p. Plating +5p.p. 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 43% 39% 39% 67% 69% 68% 67% 35% Advanced Die 54% Die Attach 31% +12p.p. Placement** +13p.p
Slide 23: III. End-User Market Trends
III. END-USER MARKET TRENDS April 2025 23
Slide 24: Besi's End-User Market Trends
Besi’s End-User Market Trends 17% 17% 16% 9% 11% 9% % of Total Revenue 12% 16% 18% 20% 28% 30% 43% 30% 24% 2022 2023 2024 Computing Mobile Automotive Industrial & Other Spares / Services April 2025 24
Slide 25: Principal Growth Drivers in Besi's End-User Markets
Principal Growth Drivers in Besi’s End-User Markets Computing Mobile Automotive Industrial / Other Generated by ImageFX Generative AI On Device AI Autonomous Driving Factory Automation • Adv. cameras & 3D imaging • Advanced cameras/sensors • Datacenters • Smart grid • 5G advanced → 6G • Vehicle elec
Slide 26: Generative AI Primary Driver of Datacenter Computing Growth
Generative AI Primary Driver of Datacenter Computing Growth Total Datacenter AI Chip and Accelerator Market 2023-2029E $400 $355 $350 $317 $300 $277 Revenue ($ billions) $250 $238 $200 $194 $150 $138 $100 $54 $50 $- 2023 2024 2025 2026 2027 2028 2029 Source: TechInsights, December 2024 April 2025 26
Slide 27: AI PC/Tablets Another Major Driver of Computing Growth
AI PC/Tablets Another Major Driver of Computing Growth 60% 400 350 50% 48% 300 40% 280 Units (millions) 250 282 30% 200 28% 276 150 262 20% 16% 100 134 10% 50 80 2% 44 0 5 0% 2024 2025 2026 2027 AI PC Non-AI PC AI PC Penetration (RHS) Source: Morgan Stanley Research, May 2024 April 2025 27
Slide 28: GenAI Smartphones Fastest Growing Mobile Segment
GenAI Smartphones Fastest Growing Mobile Segment CAGR Smartphone Segments (2023-2028) GenAI Smartphones 78.4% Total Smartphones 2.3% Source: Counterpoint Research AI 360, October 2024 April 2025 28
Slide 29: Favorable Automotive Market Outlook
Favorable Automotive Market Outlook Global Vehicle Production Avg. Semiconductor Content per Vehicle (MM Units) ($/Unit) 101 1,306 91 831 x 2023 2031 2023 2031 TAM of Auto Semiconductor ($ Bn) 130 75 2023 2031 Source: TechInsights, December 2024 April 2025 29
Slide 30: Advanced Packaging Solutions Critical to Next Generation Applications
Advanced Packaging Solutions Critical to Development of Next Generation Applications Besi’s 2.5D/3D Process Advanced Packaging End-User Applications Applications Solutions • Hybrid bonding • 3D IC logic • Mobile: • TCB chip-to-wafer • High Bandwidth Memory (HBM) • On-device AI • High accuracy flip-c
Slide 31: And Extension of Moore's Law
And Extension of Moore’s Law Moore’s Law Scaling Is Slowing Cost Per Transistor Is Increasing April 2025 31
Slide 32: Chiplet Usage Increasing Rapidly Due to Favorable Economics
Chiplet Usage Increasing Rapidly Due to Favorable Economics for Advanced Applications Wafer Foundry Addressable Market Chiplet Adoption Drives Higher Capital Intensity $ Bn 300 30% 26% 25% 70 225 23% 20% 55 15% 37 150 11 15% 1 24 197 8% 168 75 149 8% 129 126 131 1% 0 0% 2022 2024 2026 2028 2030 2032
Slide 33: Chiplet Packages Use Variety of 2.5D/3D Assembly Processes
Chiplet Packages Use a Variety of 2.5D/3D Assembly Processes Including Hybrid Bonding and Thermo Compression Bonding (TCB) High Performance Computing High Bandwidth Memory Hybrid dominant Hybrid and TCB interconnect complementary technology for High technologies – Both Performance needed for next ge
Slide 34: Hybrid Bonding Enables Faster, More Complex Devices
Hybrid Bonding Enables Faster, More Complex Devices With Submicron Placement Accuracy and Less Power/Heat Generation Direct Cu-Cu 3D Interconnect Heterogeneous Chiplet Integration Source: Intel Source: IMEC 1,000x increase in contact density More transistors per package New Chip Architectures Increa
Slide 35: Important Process Step In Future Product Roadmaps
Important Process Step In Future Product Roadmaps SoC Split Die Chiplets and Hybrid Bonding Opteron Server CPUs 1st Gen EPYC CPU (2017) 2nd Gen EPYC (2019) 3rd Gen EPYC (2022) with Hybrid Bonding Sapphire Rapids CPU (2023) Clearwater Forest CPU w/ Hybrid Bonding (2025) H100 GPU B100 GPU (2024) Futur
Slide 36: Besi's Hybrid Bonding Roadmap
Besi’s Hybrid Bonding Roadmap Generation 1: Generation 1+: Generation 2: 200nm 100nm 50nm New Standard: 100nm Bonder Working on 50nm Bonder Industry Standard for … Hybrid Bonding 10% Productivity increase 30% Productivity increase Bump Pitch 10 µm 9 µm 8 µm 7 µm 6 µm 5 µm 4 µm 3 µm 2 µm 1 µm 2023 20
Slide 37: Hybrid Bonding Market Potential
Hybrid Bonding Market Potential – Logic and Memory Cases Confirmed Total # of installed hybrid bonding systems Estimated 900 – 2,000 systems by 2030 2000 Application High case 1800 Changes vs. prior forecast Processors • Market potential for each case increased 6% 1600 adopting Hybrid because of HB
Slide 38: TCB Next Complements Hybrid Bonding for Next Gen AI Applications
TCB Next Complements Hybrid Bonding To Offer Customers Complete Portfolio for Next Gen AI Applications 9800 TC Next Thermo Compression Bonder Key Features Best in Class C2W TCB for Chiplet Packages • NCF, NCP, TC-CUF and TC fluxless bonding processes with micro-inert chamber • Chip-to-Wafer and chip
Slide 39: HBM4/5 Adoption Expected Starting in 2026
HBM4/5 Adoption Expected Starting in 2026. Important Drivers for Both Hybrid Bonding and TCB Next Growth 140 120 120 120 120 112 23% 7% 100 95 48% Units (millions) 68% 80 74 60 40 35 20 - 2023 2024 2025 2026 2027 2028 2029 HBM2/2E HBM3/3E HBM4/5 Source: Yole, December 2024 April 2025 39
Slide 40: Silicon Photonics Another Driver of 2.5D/3D Assembly Growth
Silicon Photonics Another Driver of 2.5D/3D Assembly Growth NVIDIA Confirms Hybrid Bonding Adoption In CPO Switches Introduced family of network switch products using co-packaged optics (CPO) in March 2025 Ethernet Transceiver Unit Shipment Forecast* 2023 – 2029 160 Spectrum-X Ethernet switch with 3
Slide 41: IV. Financial Update and Summary
IV. FINANCIAL UPDATE AND SUMMARY April 2025 41
Slide 42: Through Cycle Revenue and Gross Margin Trends
Through Cycle Revenue and Gross Margin Trends € millions Revenue Gross Margin Gross Margin 800 70% 64.3% 700 60% 58.0% 600 51.1% 749 50% 605 500 516 593 39.5% 40% 424 400 34.1% 379 30% 300 302 4 year 351 averages 20% 200 164 191 10% 100 0 0% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 201
Slide 43: Revenue/Order Trends
Revenue/Order Trends Quarterly Trends 250 Revenue Orders Q1-25 vs. Q4-24 200 185 • Revenue: -€ 9.3 million (-6.1%) • Lower demand for high-end mobile applications 151 157 152 153 146 144 150 128 132 • Orders: +€ 10.0 million (+8.2%) € millions 122 • Increased demand for AI related datacenter applica
Slide 44: Significant Expansion of R&D Spending
Significant Expansion of R&D Spending in Support of New Product Introductions 90 Gross R&D* % of Revenue 20% 80 82.2 78.7 70 60 63.9 15% 13.6% 13.0% € millions 50 52.1 10.8% 11.0% 40 10% 38.4 30 7.0% 20 5% 10 0 0% 2019 2021 2023 2024 Q1-25 LTM * Gross R&D spending excludes impact from capitalization
Slide 45: Headcount Trends
Headcount Trends 2,500 30% 2,141 2,071 1,946 25% 2,000 1,819 1,870 251 496 134 134 144 20% 1,500 • Increasing European and Asian fixed headcount to support wafer Headcount 15% 1,249 1,251 level assembly expansion 1,162 1,193 1,154 1,000 10% 500 5% 491 513 543 563 569 0 0% 2021 2022 2023 2024 Q1-25 E
Slide 46: Spares/Service Activities Important Area of Growth
Spares/Service Activities Important Area of Growth Spares & Service % of Revenue 140 35% • Revenue +37% since 2020 119.5 120 30% • Represent ~16% of revenue 100.2 • Diverse customer base 96.7 98.4 100 95.0 25% • Less cyclical part of business • Highly profitable 80 € millions 20% 73.0 • Revenue will
Slide 47: Strong Liquidity Position Maintained
Strong Liquidity Position Maintained Q1-25 Cash and Net Cash Position Increased Sequentially 800 Cash and Deposits Net Cash 685.7 Q1-25 vs. Q4-24 700 672.2 671.7 672.3 • Cash and deposits of € 685.7 million € 435.5 million • + € 13.4 million primarily due to: 600 capital allocation • + € 44.4 millio
Slide 48: Attractive Capital Allocation Policy Continues
Attractive Capital Allocation Policy Continues 500 Dividends € 2.2 Billion Distributions Since 2011* 435.5 Share Repurchases 416.3 400 • € 251.3 million distributed in 2024 146.8 213.4 300 • New € 100 million share repurchase 251.3 program: • € 51.4 million purchased through Q1-25 € millions 79.8 20
Slide 49: Guidance Q2-25
Guidance Q2-25 Revenue Gross Margin Total Operating Expenses 0% +10% € 144.1 to 63.6% 62%-64% € 52.5 to -10% -10% Q1-25 Q2-25 Q1-25 Q2-25 Q1-25 Q2-25 Flat +/- 5% € in millions April 2025 49
Slide 50: Investment Considerations
Investment Considerations Assembly market Long term secular Wafer level assembly Disciplined strategic ever more critical in trends drive for AI applications focus has created an semiconductor value advanced packaging promising new industry leader chain growth growth opportunity Market presence has
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