Skywater Technology, Inc. · NASDAQ:SKYT
Skywater Technology — Q4 2021 Earnings Presentation
16 slides from Skywater Technology's earnings presentation, Feb 22, 2022
Slide 1: SkyWater Technology (Nasdaq: SKYT)
SkyWater Technology (Nasdaq: SKYT) February 22, 2022
Slide 2: Forward-Looking Statements
SkyWater Technology Forward-Looking Statements This presentation and the accompanying oral presentation, including answers to questions, contains “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements that are based on the Compan
Slide 3: SkyWater's Unique Model Accelerates Disruption
SkyWater’s Unique Model Accelerates Disruption WHO WE ARE Technology as a Service (TaaS) SM SM Innovation as a Service Manufacturing as a Service Advanced Technology Services (ATS) Wafer Services enable co-creation of differentiated solutions supply customers with ICs and which are the unique expres
Slide 4: 2021 Business Progress
2021 Business Progress Completed IPO in April 2021 Radiation Hardened Platform • Completed processing of critical test chip vehicles with copper back-end processing • Opened customer support office at Westgate of NSWC Crane in Indiana • Planning for productization and qualification stage in 2022 Het
Slide 5: 2021 Financial Progress
2021 Financial Progress Grew Revenue 16% ◦ Revenue growth driven by Advanced Technology Services (an NRE business) through both new and existing program expansion (as well as $109 million of deferred revenue, not yet recognized) ◦ Increased customer base by over 70% from April ‘21 IPO to 2021 year e
Slide 6: Q4 2021 Financial Summary
Q4 2021 Financial Summary Revenue In USD millions Q4 21 Q4 20 Y/Y • Total revenue increased 15%, excluding: ATS Revenue $24.4 $26.3 (7)% ◦ $2.5M for additional operating week in Q420 ◦ Non-recurring tool revenue of $1.1M in Q421 and Wafer Services Revenue $14.2 $13.4 5% $4.9M in Q420 • Wafer Service
Slide 7: 2021 Financial Summary
2021 Financial Summary Revenue In USD millions 2021 2020 Y/Y • 19% ATS growth through existing program expansion ATS Revenue $111.7 $94.0 19% and new customer wins • Wafer Services growth as fab increased production levels Wafer Services Revenue $51.2 $46.4 10% Gross Margin Net Revenue $162.8 $140.4
Slide 8: Revenues
Revenues in USD $ millions $162.8 $48.1 $136.7 $140.4 $41.2 $39.8 $38.5 $36.9 $35.0 $33.0 $30.8 +6% (3)% Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 2019 2020 2021 Wafer Services Advanced Technology Services Proprietary 8
Slide 9: Net Income / Adjusted EBITDA
Net Income / Adjusted EBITDA in USD $ millions $5.6 $21.9 $5.3 $5.3 $2.5 $14.4 $1.3 $(1.4) $(0.8) $(1.7) $(2.8) $(2.7) $(5.3) $(4.9) $(2.6) $(7.0) (16.4) $(12.3) (20.6) $(13.9) (50.7) $(27.0) Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 2019 2020 2021 Net Income Adjusted EBITDA Pr
Slide 10: 2022 Business Outlook
2022 Business Outlook Expect revenue growth near long-term model of 25% Investments in RadHard and HI Platforms Implementing strategies to manage labor and supply chain costs Anticipate gross margin expansion Leverage operating expense investments from 2021 Expect to use cash in operations but antic
Slide 11: S= SKyWwater
S= SKyWwater
Slide 12: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation We provide supplemental non-GAAP financial information that our management utilizes to evaluate our ongoing financial performance and provide additional insight to investors as supplemental information to our U.S. GAAP results. We provide non-GAAP gross profit, non-GA
Slide 13: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Q1 Q2 Q3 Q4 2020 Q1 Q2 Q3 Q4 2021 (In thousands) GAAP revenue $ 36,904 $ 30,759 $ 33,003 $ 39,772 $ 140,438 $ 48,101 $ 41,189 $ 35,025 $ 38,533 $ 162,848 Estimated impact of additional operating week — — — (2,491) (2,491) — — — — — Tool revenue (3,173) — (360) (4,895)
Slide 14: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Q1 Q2 Q3 Q4 2020 Q1 Q2 Q3 Q4 2021 (In thousands) GAAP net loss to shareholders $ (1,372) $ (5,293) $ (1,654) $ (12,298) $ (20,617) $ (2,811) $ (6,979) $ (13,870) $ (27,036) $ (50,696) Inventory write-down — — — — — — — — 13,442 13,442 Paycheck Protection Program loan
Slide 15: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Q1 Q2 Q3 Q4 2020 Q1 Q2 Q3 Q4 2021 (In thousands) Net loss to shareholders $ (1,372) $ (5,293) $ (1,654) $ (12,298) $ (20,617) $ (2,811) $ (6,979) $ (13,870) $ (27,036) $ (50,696) Interest expense 1,462 1,322 1,303 1,412 5,499 1,058 912 733 839 3,542 Income tax expense
Slide 16: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Q1 Q2 Q3 Q4 2020 Q1 Q2 Q3 Q4 2021 (In thousands) GAAP EPS Net loss attributable to SkyWater Technology, Inc. $ (1,372) $ (5,293) $ (1,654) $ (12,298) $ (20,617) $ (2,811) $ (6,979) $ (13,870) $ (27,036) $ (50,696) Undistributed preferred return to Class B preferred un