Ichor Holdings · NASDAQ:ICHR

Ichor — Q1 2022 Earnings Presentation

16 slides from Ichor's earnings presentation, Mar 15, 2022

1. Slide 1: Investor Presentation Q1 2022 Update

   Investor Presentation Q1 2022 Update Proprietary

2. Slide 2: Forward-Looking Statements, Non-GAAP Financials and COVID-19

   Forward-Looking Statements, Non-GAAP Financials and COVID-19 This Presentation and the accompanying oral presentation include “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,

3. Slide 3: Ichor Overview

   Ichor Overview World’s Leading Provider of Critical Fluid Delivery Subsystems and Components for Semiconductor Capital Equipment  Gas and chemical delivery subsystems Gas Delivery Chemical Delivery are key elements of process tools used in Subsystems Subsystems the manufacturing of semiconductor de

4. Slide 4: Investment Highlights

   Investment Highlights Combining Revenue Outperformance and Increasing Profitability to Drive Earnings Leverage and Free Cash Flow  Revenue growth outperforming the industry... 6-year revenue CAGR of 25% through 2021, outpacing industry, peers and customers… 7-year CAGR through 2022 expected to be 2

5. Slide 5: New M&A Announced November 2021 - IMG

   New M&A Announced November 2021 - IMG Key M&A Strategies  Expand Portfolio of Proprietary Product Offerings  Expand Served Markets and Geographic Footprint  Expand and Diversify Customer Base  Gain Market Share with Key OEM Customers  Accretive to Gross and Operating Margins; Target Returns > W

6. Slide 6: Revenue Growth Outperforming WFE and Primary Process Tool SAM

   Revenue Growth Outperforming WFE and Primary Process Tool SAM WFE(1) Dry Etch & CVD(2) Ichor Revenue (pre-IMG) (3) $100 WFE in $B $100 Primary SAM in $B Ichor Revenues ($M) $38 $1,333 $90 $85 $80 $33 $1,097 $70 $914 $60 $61 $824 $54 $22 $50 $50 $20 $48 $19 $656 $40 $17 $621 $36 $30 $32 $12 $406 $11

7. Slide 7: Key Technology Transitions Driving Growth in Ichor SAM

   Key Technology Transitions Driving Growth in Ichor SAM WFE Intensity Increasing(1) Etch and Deposition Intensity Increasing(2) EUV Ramping(3) WFE as % of Semi. Rev. 2.50 EUV Est. Sales ($B) 3D NAND SAM DRAM SAM Foundry/Logic SAM $12 17% 16% 2.00 $10 15% 1.50 $8 14% 13% $6 1.00 12% $4 11% 0.50 10% $2

8. Slide 8: $5B SAM Expands to $7B+ with IMG Acquisition

   $5B SAM Expands to $7B+ with IMG Acquisition Established Position Opportunity Served Markets and Market Opportunity (Semi) Chemical Delivery Sub-Assembly Customer Gas Delivery Precision Machining Other Components (including LDM) (Weldments) ($1.8B) ($0.8B) ($1.3B pre-IMG) ($0.8B pre-IMG) ($0.2B) IMG

9. Slide 9: Track Record of Successful M&A – Deals Prior to IMG

   Track Record of Successful M&A – Deals Prior to IMG Key M&A Strategies  Expand Portfolio of Proprietary Product Offerings  Expand Served Markets and Geographic Footprint  Expand and Diversify Customer Base  Gain Market Share with Key OEM Customers  Accretive to Gross and Operating Margins; Targ

10. Slide 10: Growing Share of Semiconductor System Sales & WFE

    Growing Share of Semiconductor System Sales & WFE ~65% of WFE Requires Fluid Delivery Subsystems & Components Ichor's Expanding Share (1) 3.5% 3.3% Multiple Drivers for Increasing Share of Industry Revenues 3.0%  Industry Trends 2.7%  Increasing trend toward outsourcing 2.5% 2.2%  Increasing impo

11. Slide 11: Key Financial Strategies

    Key Financial Strategies Outgrow the Industry Drive Gross Margin Improvement Focus on semi: next-generation device nodes Grow share in higher-margin require more fluid delivery components businesses e.g., Weldments and Precision Machining Levered to etch, deposition and EUV Increase content of propr

12. Slide 12: Quarterly Momentum at Top and Bottom Lines

    Quarterly Momentum at Top and Bottom Lines (Revenue $M) (EPS)  YoY Revenue Growth of 20% in 2021 after 47% growth in 2020(2) $300 $287 $300 $1.00 $282  Gross Margin +210bp(2) $265 $263 $0.90  Operating Margin +240bp(2) $0.90 $0.90 $0.92 $250 $245  Net income growth of 65%(2) $0.80 $228 $220 $222

13. Slide 13: Target Model with Significant Operating Leverage

    Target Model with Significant Operating Leverage ($ in millions) (1) Non-GAAP results and model reflect net income from continuing operations; excluding amortization of intangible assets, share-based compensation expense, tax adjustments related to those non- GAAP adjustments, tax benefits from acqu

14. Slide 14: Strong Free Cash Flow Generation

    Strong Free Cash Flow Generation Prudent & Efficient Capital Deployment Strategy since IPO ($ in millions) Total Sources of Capital Total Uses of Capital $28 $25 $75 $54 $68 $234 $139 $92 $465 $218 Beginning cash (1) IPO proceeds Proceeds from 2020 equity raise M&A Stock buybacks Capex Cash on hand

15. Slide 15: Conclusion

    Conclusion Industry-Leading Execution of Strategic Objectives Business Objectives Financial Objectives Expanding Share at Top Semi Cap  Customers  Revenue Growth Outpacing Industry Expanding Product Offerings and Strong Profitability Through Industry  IP Content  Cycles Financial Model with Oper

16. Slide 16: NASDAQ: ICHR

    NASDAQ: ICHR Proprietary 16

Ichor Holdings — Q1 2022 Earnings Presentation on 6ix