Jenoptik Ag · XETR:JEN

Jenoptik — Investor Day (November 2021)

75 slides from Jenoptik's investor day presentation, Nov 30, 2021

Slide 2: Agenda 2025 “More Value”
Agenda 2025 “MORE VALUE“ Dr. Stefan Traeger
Slide 3: Agenda
Agenda Welcome and introduction – Dr. Stefan Traeger 13:00 Agenda 2025 – “More Value” Market and Business Deep Dive 13:45 Dr. Ralf Kuschnereit, Kevin Chevis 15:00 Q+A session 15:30 Coffee break Central initiatives of the Jenoptik Group 16:00 Maria Koller, Dr. Stefan Traeger Financial Summary – Hans-
Slide 5: Our cultural change led us to our brand house
Our cultural change led us to our brand house Brighter futures with the power of light External expression Better futures by harnessing the potential of light What we say externally to the world Delivering the power of light Customer promise We deliver photonic solutions What customers can always ex
Slide 6: Our strategy “More Value” for 2022-2025 builds on “More Light”
Our strategy “More Value” for 2022-2025 builds directly on the achievements of our previous strategy “More Light” EBITDA Revenue margin Strategy 2022 Strategy 2025: More Value 14% Goals 2016-2022 16-17% (underlying) ~20% 685 Mid to high single-digit growth ~1,200 880 – 900 200 bps EBITDA margin exte
Slide 7: Our core competence: transferring complex photonic challenges into industrialized products
Our core competence: transferring complex photonic challenges of our customers into industrialized products and solutions Strengths: Solve complex photonic challenges Weaknesses: Generating economies of scale − Design and industrialization of complex optics and photonics − Revenue and profitability
Slide 8: Future Jenoptik setup with focus on three core markets
Future Jenoptik setup with focus on three core markets: Semiconductor & Electronics, Life Science & MedTech, and Smart Mobility 2021e – Jenoptik present in 6+ markets 2025 – Jenoptik focuses on 3 core markets Consumer electronics Others Life Science Life science/ and MedTech Automotive/ MedTech Mech
Slide 9: Future core markets are attractive and suit Jenoptik’s core competencies
Future core markets are attractive and suit Jenoptik’s core competencies Overview of photonic markets 6 Semiconductor and Electronics Key Statements Photonics for lithography machines Genome- Life Science Future focus on Sequencing and MedTech 3 core markets Micro-lenses Quantum Optical test & AR/VR
Slide 10: Future Jenoptik setup with focus on three core markets
Future Jenoptik setup with focus on three core markets: Semiconductor & Electronics, Life Science & MedTech, and Smart Mobility 2025 – Jenoptik focuses on 3 core markets 2021e – Jenoptik present in 6+ markets Consumer electronics Others 75% B2B, hardware Life science/ Automotive/ supply and service
Slide 11: We build the two new divisions on today’s divisions
We build the two new divisions building on today’s divisions, and adding a structure that holds non-photonic portfolio companies Stand-alone Integrated businesses businesses Advanced Photonic Solutions Smart Mobility Solutions (B2B Business) (B2G Business) Prodomax INTEROB Semiconductor and Electron
Slide 12: Four central initiatives to take us to the next level
Four central initiatives to take us to the next level: Operational Excellence, ESG, Human Resources Management, and Digitization Human Operational resources excellence Winning in the The new Jenoptik "War for Talent" Business System Digitization ESG and innovation Continuously re-inventing Our susta
Slide 13: Semiconductor and Electronics / Life Science and MedTech
Semiconductor and Electronics/ Life Science and MedTech Dr. Ralf Kuschnereit
Slide 14: Semiconductor and Electronics
Semiconductor and Electronics Deep-dive included today Ambition We aspire to bring the next level of digitization to the people by photonic innovations Businesses 1,200 Semiconductor and 50% Semiconductors EUR mn Electronics Optical Test & Measurement Extended reality (AR/VR) Quantum Technologies Fr
Slide 15: Well-balanced portfolio of high growth and high market share businesses
In the Semiconductor and Electronics market we have a well-balanced portfolio of high growth and high market share businesses Deep-dive included today Invest to increase market share High Augmented and virtual reality Quantum Technologies Free Space Optical Communication Optical Test & Measurement S
Slide 16: Semiconductor end-markets expected to grow ~7% longer-term
Semiconductor end-markets expected to grow ~7% longer-term Smartphone (bUSD) Consumer electronics (bUSD) Personal computing (bUSD) Forecast +2.6% +6.7% Drivers for growth +7.8% 132 210 98 120 119 161 160 93 102 86 100 109 110 113 − Smartphones, 5G, 115 116 144 155 155 64 69 66 67 70 83 78 108 106 48
Slide 17: Continued strong market growth for Semiconductor Equipment
Continued strong market growth for Semiconductor Equipment Unprecedented growth in demand for Semiconductor Equipment, driven by CAGR 9.6% Technology − Data centers, faster wireless communication and automotive are driving advanced logic & memory chips Semiconductor Chips1 Semi Revenue (bUSD) Geopol
Slide 18: Business Fields and Strategic Approaches
Business Fields and Strategic Approaches IC Display “Where to Play, how to Win” IC Litho. End Products with Electronics Inspection (Insp. & Litho) Equipment Equipment Equipment A Grow share of wallet with major customers Semiconductors (IC, Display) B Gain market share from competition and grow shar
Slide 19: Grow share of wallet with key customers – Achievements
Grow share of wallet with key customers Achievements 1. New ebeam lithography system ordered, production start scheduled for begin of 2023 2. New Microoptics Cleanroom Fab at Dresden approved and detailed planning started, production start scheduled for early 2025 − Investment of approx. 70 EUR mn −
Slide 20: Summary and Outlook 2025
Summary and Outlook 2025: we continue to build our business and are well-prepared for the future Jenoptik honored with Outlook to 2025 ASML Sustainability Excellence Award 2021 We continue to build our Semiconductor business along the lines we just outlined − Grow share of wallet with key customers
Slide 21: Optical Test & Measurement
Optical Test & Measurement Ambition We aspire to be globally recognized as the leading provider of application-specific optical test and measurement solutions for optics in high-end electronic products 1,200 Semiconductor and Businesses 50% EUR mn Electronics Semiconductors Optical Test & Measuremen
Slide 22: TRIOPTICS – strong growth and high profitability
TRIOPTICS – strong growth and high profitability − Gold standard for measuring and testing optics (for lenses, lens systems, and camera modules) in mobile devices − Measurement solutions for augmented and virtual reality optics to enable the production of ever higher quality VR and AR products For t
Slide 23: Broad product portfolio of optical test and measurement solutions
Jenoptik combines a broad product portfolio of optical test and measurement solutions and is positioned in attractive growth markets End-user Devices Jenoptik provides application-specific test and measurement solutions based on optical technology Components & Subsystems combined with Glass Lenses L
Slide 24: Attractive portfolio mix; growth driven by AR/VR and ADAS
Attractive portfolio mix; Growth is expected to be driven by AR/VR and advanced driving assistance systems (ADAS) applications CAGR 7% 10 % 18 % 6% Optics manufacturing Smartphones Automotive2 Communication − Glass and lenses − Mobile phone cameras − ADAS cameras − Infrared systems − Optics mounting
Slide 25: Strategic initiatives to accelerate growth in key industries
Strategic initiatives to accelerate growth in key industries Market Mobile Phone ADAS AR/VR Winning Safeguard Jenoptik’s leading position in the Become the number one supplier for testing of Position Jenoptik as the number one supplier Aspiration mobile phone segment camera modules and improve marke
Slide 27: Extended Reality
Extended Reality Ambition Jenoptik aspires to be globally known for enabling consumer acceptance of AR/VR devices by ensuring outstanding quality for optical components 1,200 Semiconductor and 50% EUR mn Electronics Businesses Semiconductors Optical Test & Measurement Extended reality Quantum Techno
Slide 28: Three types of extended reality: augmented, mixed and virtual
We distinguish between three types of extended reality: augmented, mixed and virtual XR = Extended Reality Real world with additions Virtual world AR MR VR Augmented Reality Mixed Reality Virtual Reality User still sees the real world, User is linked to both real and User only experience the digital
Slide 29: Extended reality is at an inflection point
Extended reality is at an inflection point – a large variety of hardware solutions are there; content is about to be developed… “Metaverse” Today‘s AR/VR value chain offers attractive EBIT margin >25% Value chain Content provider AR/VR hardware AR/VR software Component supplier Testing (gaming for V
Slide 30: VR market larger than AR in 2020 but extraordinary growth predicted for AR
The VR market is significantly larger than AR in 2020 but an extraordinary growth is predicted for AR Most optimistic scenario Base scenario VR headset market, 2020–2025, in EUR bn AR headset market, 2020–2025, in EUR bn 65.5 Growth assumptions: Growth assumptions: Technical maturing of the market p
Slide 31: Quantum Technologies
Quantum Technologies Ambition We aspire to be the photonics partner of choice in industrialization of selected Quantum Technology solutions 1,200 Semiconductor and Businesses 50% EUR mn Electronics Semiconductors Optical Test & Measurement Extended reality Quantum Technologies Free space optical com
Slide 32: Quantum Technologies are a major market opportunity
Quantum Technologies are a major market opportunity and scaling starts now Market potential in base scenario, EUR bn x Range across low and high scenario Quantum computing enables new Quantum sensing provides territories of computing and allows for measurements of various quantities exponential perf
Slide 33: Right-to-play: broad portfolio of high-performance optical technologies
Right-to-play: Jenoptik has a broad portfolio of high-performance optical technologies and is already active in Quantum Computing development Technology Broad portfolio of high performance optical technologies Customer access Existing customers Trusted development partner for optical systems with tr
Slide 34: We want to intensify overall efforts in quantum technologies
In future: we want to intensify overall efforts in quantum technologies 1 Long-term contacts in the industry 4 Responsiveness and fast deliveries 2 Complex deliveries that work to specification 3 Reliability and expertise 11/30/2021 Jenoptik Capital Markets Day 2021
Slide 35: Jenoptik already has a starting point in selected Quantum Technologies
In selected Quantum Technologies, Jenoptik has already a starting point Quantum Computing Quantum Communications Quantum Sensing Existing business Development possible Development possible − Jenoptik delivers optical systems − Jenoptik delivers optical components − Jenoptik has strong capabilities i
Slide 36: Life Science and MedTech – Ambition
Life Science and MedTech Ambition Life Science and MedTech We aspire to be the leading photonic OEM partner helping to improve the lives 25% of millions of people around the world 1,200 EUR mn 11/30/2021 Jenoptik Capital Markets Day 2021 36
Slide 37: Strengthening global photonics business
Strengthening global photonics business Acquisition of Berliner Glas Medical and SwissOptic: - Accelerated growth and stronger focus on photonics - Expansion of global presence in attractive markets (semicon, medical) - Broadening of customer and product portfolio 11/30/2021 Jenoptik Capital Markets
Slide 38: Acquisition of Berliner Glas Medical and SwissOptic – Broadening of offering
Acquisition of Berliner Glas Medical and SwissOptics – Broadening of product and technology offering Medical Technology Semicon Jenoptik’s existing medical technology Strengthening offering for major semicon customers business will almost double − Complementary product portfolios resulting in a comp
Slide 39: Our ambitious growth path until 2025
Our ambitious growth path until 2025 Portfolio as of end 2021 Including portfolio additions Revenue breakdown in Life Science and MedTech 2021-2025e, EUR mn Key takeaways ~300 We have the ambition to grow our Life Science and MedTech business 170-200 to ~300 EUR mn Possibility of M&A related growth
Slide 40: Smart Mobility Solutions
Smart Mobility Solutions Kevin Chevis
Slide 41: Smart Mobility ambition: global full-solution provider
In the Smart Mobility market we aim to become a global full-solution provider Ambition We aspire to become a global full-solution 1,200 EUR mn provider in Smart Mobility, equipping and servicing critical infrastructure with an 25% innovative product portfolio while earning at least 50% recurring rev
Slide 42: Smart Mobility Solutions for road safety, emission control and fair road charging
We offer Smart Mobility Solutions to increase road safety, enable emission control and fairness of payment for road use Our solutions Our markets Our value proposition We provide photonics-based Smart Mobility Our domestic markets are Germany, United Kingdom, We know market-specific regulatory requi
Slide 43: Ambition to significantly grow the business until 2025
We have the ambition to significantly grow the business until 2025 Revenue breakdown 2021-2025e, EUR mn Situation and outlook ~300 We’re a profitable business with a strong background in hardware provision and support Until 2025 we aspire to become a full solution provider in Smart Mobility Solution
Slide 44: Increase offering along the value chain and grow in service provision
We aim to increase our offering along the value chain and grow in service provision Our value chain Incident Technology Service Provision of roadside equipment Provision of additional services along the along with software, including value chain, including review and payment installation, support an
Slide 45: Innovating with Photonics and Artificial Intelligence
We innovate by leveraging our Photonics and Artificial Intelligence expertise, pushing the boundaries – of what was previously thought impossible Using synthetic data: We now have the capability to create and use synthetic training data to accelerate the development of new number plate formats and s
Slide 46: Driving to the future world of autonomous vehicles
We accelerate and drive to the future world of autonomous vehicles V2X development – Vehicle to infrastructure: Collaborated development with TRL (Transport Research Laboratory) on our V2X protocol. Project running for 6 months in UK with first results in relation to communication, integration and t
Slide 47: Further expand in home markets, Middle East and Africa
We plan to further expand in our home markets, as well as Middle East and Africa Further grow and expand in our domestic as well as new markets in Europe Key objectives for future growth Geographical expansion within our core business; market access to new areas Further develop position in North Val
Slide 48: Strengthening service business increases share of recurring revenues
By strengthening our service business, we increase the share of recurring revenues Revenue breakdown 2021-2030e by recurrence Key takeaways We already have 44% recurring revenues which increase resilience against economic downturns Ambition to increase share of recurring 40% Non-recurring revenues u
Slide 49: Four key actions to reach revenue ambition in 2025
Summary: we execute four key actions to enter the prioritized markets so that we can reach our revenue ambition in 2025 of ~300 EUR mn Revenue breakdown 2021-2025e, EUR mn Organic growth ~300 ~190 1 Build out value chain and customer relationships, especially in North America Organic and non-organic
Slide 52: Human Resources
Human Resources Maria Koller
Slide 53: Recap: Initiatives endorsing our values 2018 to 2021
Recap: Initiatives endorsing our values 2018 to 2021 Open Driving Confident • Performance feedback • Globally aligned target setting • New Employer Branding • Engagement survey • Project SPEED • Leadership programs & learning journeys • Diversity initiatives • SuccessFactors • Globally graded positi
Slide 54: Recap: KPIs proving cultural transformation 2018 to 2021
Recap: KPIs proving cultural transformation 2018 to 2021 Diversity FKI Engagement Vol. attrition Quarterly reporting of Yearly external audit Yearly reporting of Quarterly reporting of women and international of our diversity Engagement Score & voluntary attrition employees in management initiatives
Slide 55: Bridge from cultural change 2018-2021 to 2025
Bridge from implemented cultural change 2018-2021 to what is needed for 2025 Past  We have done well, becoming more open. In terms of driving and confident there is room to grow … Today  Question: How to become more driving, more confident, and more like a "a lean & mean photonics machine“? → We a
Slide 56: What we will do differently until 2025
What we will do differently from today until 2025: Confident. Driving. Performance! Focus 2: the Organization  We systematically review our organizational set up and our talent funnel per unit Focus 1: the Individual  “Empty Seat Kaizen”: We force ourselves to  Leadership principles Top-Down for
Slide 57: Plan to roll out share-based compensation
To support a Jenoptik performance-driven organization, we plan to role out a share-based compensation Aspiration: Build a program that creates incentives for long-term and sustainable value creation Explore options we have  Several models to pick from Decision to make  Models varying in  Pick the
Slide 58: Jenoptik Business System
Jenoptik Business System Dr. Stefan Traeger
Slide 59: A Business System helps solving challenges in management
Successful Companies and Corporations have an Efficient Business System A Business System helps solving Challenges in Management and drives the right Way towards future Success. At Jenoptik, we are implementing our Business System thoughtfully over the course of the next years. We emphasize on train
Slide 60: Components of our Roll-out
Components of our Roll-out 2022 2023 2024 2025 2026 2022: Focus fundamental Tools and Processes − Strategy Deployment Pilot phase 2023: Focus Customer − Functional Excellence − Voice of the Customer − Sales Excellence Pilot phase 2024: Focus innovation − Kaizen − Customer Centric Product Development
Slide 61: Never-ending cycle of change & improvement
How do we control and monitor Execution of the Strategy? 4 Years “Agenda 2025” Every Year Monthly (maybe weekly) Long Term Tools; Never-ending cycle of change & improvement Strategic Planning Strategic Goals Problem Solving Process Valid for the entire strategy cycle Growth targets break down Long-t
Slide 63: Financial Summary
Financial Summary Hans-Dieter Schumacher
Slide 64: Financial targets in alignment with “More Value” strategy until 2025
Financial targets in alignment with our “More Value” strategy until 2025 Our ambition is to significantly grow our business organically and non-organically and improve profitability. Our balanced portfolio offers more resilience against potential market fluctuations and drives growth.  Revenue incr
Slide 65: We aim to achieve ~1.2bn EUR of revenues in 2025
We aim to achieve ~1.2bn EUR of revenues in 2025 including acquisitions and divestments • JENOPTIK aims to achieve revenue of ~1.2bn EUR in 2025 • Besides organic growth, a mix of further acquisitions and divestments will support our growth ambitions ~8% Revenue, ~17% in mn EUR ~1.200 880 – 900 767
Slide 66: Target EBITDA margin of ~20% by 2025
Our target is a steadily growing profitability with an EBITDA margin of ~20% by 2025 • JENOPTIK targets for an EBITDA margin of ~20% in 2025 • Our profitability targets will be supported by further portfolio optimization focusing on photonic growth segments EBITDA, >15% 16-17% ~20% margin (underlyin
Slide 67: Underlying ROCE excluding goodwill to increase to around 20% in 2025
Underlying ROCE excluding goodwill will increase to around 20% in 2025 EBITDA 121 144 2021: excl. Earn-Outs Simulation ~245 Trioptics and Interob EBIT 68 88 ~155 ROCE excl. 15% 18% ~20% Goodwill 400 1.578 362 -83 300 236 Goodwill -231 1.178 126 100 845 CE w/o Goodwill -314 897 234 WC in % of Sales 5
Slide 68: Firepower sufficient to support growth through further acquisitions
Our firepower will be sufficient to support the growth ambitions through further acquisitions of our strategy More Value until 2025 Simulation >650* Debt >550* capacity, mn EUR 269 Group Acquisition Divest Potential Capital Further Group 2021 Group Group 2021FC Berliner Glas/ VINC divestments increa
Slide 69: Summary of Agenda 2025 “More Value”
Summary of Agenda 2025 „MORE VALUE“ Dr. Stefan Traeger
Slide 70: Megatrends will drive demand for photonics solutions
Megatrends will drive demand for photonics solutions of the future – Jenoptik well positioned with its broad and innovative portfolio and expertise - Digitization: growing demand for chips for various applications; increasing usage of augmented and virtual reality>> Jenoptik supplies high-performanc
Slide 71: Future Jenoptik setup with focus on three core markets
Future Jenoptik setup with focus on three core markets: Semiconductor & Electronics, Life Science & MedTech and Smart Mobility 2021 – Jenoptik present in 6+ markets 2025 – Jenoptik focuses on 3 core markets Consumer electronics Others 75% B2B, hardware Life science/ Automotive/ supply and service Me
Slide 72: Create more value for our stakeholders
Create more value for our stakeholders by… Transforming Jenoptik into a globally leading pure photonics player Focusing on three highly attractive growth markets Our agenda Driving organic and non-organic growth 2025 „More Value“ Expanding profitability Increasing financial firepower for additional
Slide 73: Thank you for your attention!
Thank you for your attention! Agenda 2025 – More Value 11/30/2021 Jenoptik Capital Markets Day 2021
Slide 75: Disclaimer
Disclaimer This presentation can contain forward-looking statements that are based on current expectations and certain assumptions of the management of the Jenoptik Group. A variety of known and unknown risks, uncertainties and other factors can cause the actual results, the financial situation, the

Jenoptik — Investor Day (November 2021) on 6ix

Jenoptik — Investor Day (November 2021)

Slide 1: Jenoptik Capital Markets Day 2021 – Webcast

Slide 2: Agenda 2025 “More Value”

Slide 3: Agenda

Slide 4: Video “More Light”

Slide 5: Our cultural change led us to our brand house

Slide 6: Our strategy “More Value” for 2022-2025 builds on “More Light”

Slide 7: Our core competence: transferring complex photonic challenges into industrialized products

Slide 8: Future Jenoptik setup with focus on three core markets

Slide 9: Future core markets are attractive and suit Jenoptik’s core competencies

Slide 10: Future Jenoptik setup with focus on three core markets

Slide 11: We build the two new divisions on today’s divisions

Slide 12: Four central initiatives to take us to the next level

Slide 13: Semiconductor and Electronics / Life Science and MedTech

Slide 14: Semiconductor and Electronics

Slide 15: Well-balanced portfolio of high growth and high market share businesses

Slide 16: Semiconductor end-markets expected to grow ~7% longer-term

Slide 17: Continued strong market growth for Semiconductor Equipment

Slide 18: Business Fields and Strategic Approaches

Slide 19: Grow share of wallet with key customers – Achievements

Slide 20: Summary and Outlook 2025

Slide 21: Optical Test & Measurement

Slide 22: TRIOPTICS – strong growth and high profitability

Slide 23: Broad product portfolio of optical test and measurement solutions

Slide 24: Attractive portfolio mix; growth driven by AR/VR and ADAS

Slide 25: Strategic initiatives to accelerate growth in key industries

Slide 26: Video “Metaverse”

Slide 27: Extended Reality

Slide 28: Three types of extended reality: augmented, mixed and virtual

Slide 29: Extended reality is at an inflection point

Slide 30: VR market larger than AR in 2020 but extraordinary growth predicted for AR

Slide 31: Quantum Technologies

Slide 32: Quantum Technologies are a major market opportunity

Slide 33: Right-to-play: broad portfolio of high-performance optical technologies

Slide 34: We want to intensify overall efforts in quantum technologies

Slide 35: Jenoptik already has a starting point in selected Quantum Technologies

Slide 36: Life Science and MedTech – Ambition

Slide 37: Strengthening global photonics business

Slide 38: Acquisition of Berliner Glas Medical and SwissOptic – Broadening of offering

Slide 39: Our ambitious growth path until 2025

Slide 40: Smart Mobility Solutions

Slide 41: Smart Mobility ambition: global full-solution provider

Slide 42: Smart Mobility Solutions for road safety, emission control and fair road charging

Slide 43: Ambition to significantly grow the business until 2025

Slide 44: Increase offering along the value chain and grow in service provision

Slide 45: Innovating with Photonics and Artificial Intelligence

Slide 46: Driving to the future world of autonomous vehicles

Slide 47: Further expand in home markets, Middle East and Africa

Slide 48: Strengthening service business increases share of recurring revenues

Slide 49: Four key actions to reach revenue ambition in 2025

Slide 50: Q&A session

Slide 51: Webcast

Slide 52: Human Resources

Slide 53: Recap: Initiatives endorsing our values 2018 to 2021

Slide 54: Recap: KPIs proving cultural transformation 2018 to 2021

Slide 55: Bridge from cultural change 2018-2021 to 2025

Slide 56: What we will do differently until 2025

Slide 57: Plan to roll out share-based compensation

Slide 58: Jenoptik Business System

Slide 59: A Business System helps solving challenges in management

Slide 60: Components of our Roll-out

Slide 61: Never-ending cycle of change & improvement

Slide 62: Video “Enabling the amazing”

Slide 63: Financial Summary

Slide 64: Financial targets in alignment with “More Value” strategy until 2025

Slide 65: We aim to achieve ~1.2bn EUR of revenues in 2025

Slide 66: Target EBITDA margin of ~20% by 2025

Slide 67: Underlying ROCE excluding goodwill to increase to around 20% in 2025

Slide 68: Firepower sufficient to support growth through further acquisitions

Slide 69: Summary of Agenda 2025 “More Value”

Slide 70: Megatrends will drive demand for photonics solutions

Slide 71: Future Jenoptik setup with focus on three core markets

Slide 72: Create more value for our stakeholders

Slide 73: Thank you for your attention!

Slide 74: Q&A session

Slide 75: Disclaimer