Slide 1: Second Quarter Fiscal 2013 Earnings Conference Presentation
© Supermicro 2013 Confidential Second Quarter Fiscal 2013 Earnings Conference Presentation January 22, 2013
Slide 2: Safe Harbor Statement
Confidential 2 Safe Harbor Statement This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements may relate, among other things,
Slide 3: Non-GAAP Financial Measures
Confidential 3 Non-GAAP Financial Measures Non-GAAP gross margin in this presentation excludes stock-based compensation expense. Non- GAAP net income and net income per share in this presentation exclude stock-based compensation expense and the related tax effect of the applicable items. Management
Slide 4: Q2 FY2013 Non-GAAP Financial Highlights
Confidential 4 Q2’FY2013 Non-GAAP Financial Highlights (in millions, except per share data) Q2'13 YoY Sequential Revenue $291.5 16.6% 7.7% Profit after Tax $7.8 -29.9% 156.5% EPS $0.18 -28.0% 157.1% Change
Slide 5: Summary of Results
Confidential 5 Summary of Results Revenues were 16.6% higher year over year OEM and Direct business was 45% of total revenues and Internet Data Center was 14.2% of total revenues System business was 43.3% of total revenues Revenues by Geography: US – 53.7% Europe – 23% Asia – 20.7% O
Slide 6: New Technology Progressions – Q2 FY13
Confidential New Technology Progressions – Q2 FY13 FatTwin™ Architecture New FatTwin™ Architecture: 8/4/2 nodes in 4U, 16% better power efficiency 8HS 3.5” HDDs in 1U, Front I/O, 135W CPU, PUE Optimized Hadoop and GPU-optimized models are sampling HPC Optimized Products First with NVIDIA
Slide 7: Complete System Solution
Confidential Complete System Solution FatTwin™ Architecture Datacenter Optimized Rackmount High Performance Switching L2 1G Switch 10G Switch Thermal Engineering High Efficiency Power Battery Backup Datacenter Management Software Solutions High Capacity Storage Blade Solutions 7
Slide 8: Revenue Trend
Confidential 8 Revenue Trend Y/Y 3.8% 2.5% 6.0% 9.2% 16.6% Seq. 0 -3 9 14 9 -1 9 7 7 Q2'12 Q3'12 Q4'12 Q1'13 Q213 $250 $240 $276 $271 $291 #039;s millions Supermicro Revenue Trend
Slide 9: Revenue Analysis
Confidential 9 Revenue Analysis Q2'12 Q3'12 Q4'12 Q1'13 Q2'13 $140 $124 $153 $164 $165 $110 $116 $123 $107 $126 #039;s millions Supermicro Subsystems/System Revenue Subsystems Systems
Slide 10: Non-GAAP Gross Margins
Confidential 10 Non-GAAP Gross Margins Q2'12 Q3'12 Q4'12 Q1'13 Q2'13 17.1% 17.0% 15.5% 13.0% 13.8%
Slide 11: Non-GAAP Gross Profit
Confidential 11 Non-GAAP Gross Profit $- $10.0 $20.0 $30.0 $40.0 $50.0 Q2'12 Q3'12 Q4'12 Q1'13 Q2'13 $42.8 $40.9 $42.6 $35.3 $40.3 Gross Profit #039;s millions
Slide 12: Summary P&L non-GAAP
Confidential 12 Summary P&L non-GAAP (in millions, except per share data) Q2'13 YoY Sequential Q2'12 Q1'13 Operating Expense $29.8 $3.2 -$0.8 $26.6 $30.7 Operating Expense Ratio 10.2% -0.4% -1.1% 10.6% 11.3% Operating Income $10.5 -$5.7 $5.9 $16.2 $4.6 Net Income $7.8 -$3.3 $4.8 $11.2 $3.1 EPS $0.18
Slide 13: Q1 FY2013 YTD Summary Statement of Cash Flows
Confidential 13 Q1 FY2013 YTD Summary Statement of Cash Flows ($’s millions) 6 Months Ended 6 Months Ended 31-Dec-12 31-Dec-11 Net Income $5.8 $17.3 Depreciation and amortization $4.0 $3.1 Stock comp expense $5.8 $4.8 Other reserves $1.9 $6.8 Net change in AR, Inventory, AP -$15.4 -$2.1 Other prepai
Slide 14: Q2 FY 2013 Summary of Balance Sheet Metrics
Confidential Q2 FY 2013 Summary of Balance Sheet Metrics ($’s millions) Q2'13 Q1'13 Change Cash Equivalents & Investments 91.1$ 61.3$ 29.8$ Accounts Receivable 118.9$ 112.8$ 6.1$ Inventory 243.6$ 263.2$ (19.6)$ Accounts Payable 149.4$ 140.1$ 9.4$ DSO 37 37 0 DIO 93 105 -12 DPO 53 61 -8 Cash Cycle Da
Slide 15: Supplemental Financials Second Quarter Fiscal 2013
Confidential 15 Supplemental Financials Second Quarter Fiscal 2013 Ended December 31, 2012
Slide 16: Non-GAAP Financial Summary
Confidential 16 Non-GAAP Financial Summary (in millions, except per share data) Q2'13 Q1'13 Q2'12 Net Sales 291.5$ 270.7$ 249.9$ Non-GAAP Gross Margin 13.8% 13.0% 17.1% Non-GAAP Operating Expenses 29.8$ 30.7$ 26.6$ Non-GAAP Operating Income 10.5$ 4.6$ 16.2$ Non-GAAP Net Income 7.8$ 3.1$ 11.2$ Non-GA
Slide 17: Prior Period Net Income Comparisons
Confidential 17 Prior Period Net Income Comparisons (in millions, except per share data) * Note: Non-GAAP, please see Non-GAAP financial measures on page 3. Q2'13 Q1'13 Q2'12 Net Income (GAAP) 4.9$ 0.9$ 8.8$ Stock Comp & Other Unusual Expense (tax affected)* 2.9$ 2.2$ 2.4$ Net Income (Non-GAAP)* 7.8
Slide 18: Quarterly Net Income (Loss) GAAP to Non-GAAP Reconciliation
Confidential 18 Quarterly Net Income (Loss) GAAP to Non-GAAP Reconciliation (in millions, except per share data) Q2'13 Q1'13 Q4'12 Q3'12 Q2'12 Net income (GAAP) 4.9$ 0.9$ 5.5$ 7.1$ 8.8$ Adjustments: Stock-based compensation expense 2.9$ 2.9 2.8 2.6 2.5 Income tax effects of adjustments (0.0)$ (0.7)