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AIXTRON : FY 2025 RESULTS PRESENTATION
AIXTRON : FY 2025 RESULTS
About this update from Aixtron Se
FY 2025 Investor Presentation Dr. Felix Grawert, CEO Dr. Christian Danninger, CFO February 26 th , 2026 This document may contain forward-looking statements regarding the business, results of operations, financial condition and earnings outlook of AIXTRON. These statements may be identified by words such as "may", "will", "expect", "anticipate", "contemplate", "intend", "plan", "believe", "continue" and "estimate" and variations of such words or similar expressions. These forward-looking statements are based on the current assessments, expectations and assumptions of the executive board of AIXTRON, of which many are beyond control of AIXTRON, based on information available at the date hereof and subject to risks and uncertainties. You should not place undue reliance on these forward-looking statements. Should these risks or uncertainties materialize or should underlying expectations not occur or assumptions prove incorrect, actual results, performance or achievements of AIXTRON may materially vary from those described explicitly or implicitly in the relevant forward-looking statement. This could result from a variety of factors, such as those discussed by AIXTRON in public reports and statements, including but not limited those reported in the chapter "Risk Report". AIXTRON undertakes no obligation to revise or update any forward-looking statements as a result of new information, future events or otherwise, unless expressly required to do so by law. Due to rounding, numbers presented throughout this report may not add up precisely to the totals indicated and percentages may not precisely reflect the absolute figures for the same reason. Our registered trademarks: AIXACT®, AIX-Multi-Ject®, AIXTRON®, Close Coupled Showerhead®, EXP®, EPISON®, Gas Foil Rotation®, HXP®, HYPERION®, Multi-Ject®, Planetary Reactor®, PVPD®, STExS®, TriJet® FY/2025: AIXTRON performs well in soft market environment Order Intake with EUR 544m down by -9% yoy with a slight recovery in Q4/25 Revenues with EUR 557m down -12% yoy as expected (in original and adjusted guidance range) Gross Profit at EUR 222m ; Gross Margin at 40% (-1pp yoy driven by lower utilization, G10 ramp - up adjustments and one - off restructuring costs.) EBIT at EUR 100m ; EBIT Margin at 18% (-3pp yoy) Net Profit at EUR 85m down -20% Q4/2025: Strong quarterly performance Order Intake with EUR 170m up 37% qoq Revenues with EUR 187m -18% yoy; Gross Profit down -16% yoy with Gross Margin at 46% (up 1pp yoy) EBIT at EUR 58m down -18% yoy; EBIT Margin at 31% (flat yoy) Strong cash flow and cash position at year end Operating cash flow of EUR 208m (up by EUR >180m yoy) Free cash flow of EUR 182m (up by EUR >250m yoy) Cash and cash equivalents at EUR 225m at year end (vs. EUR 65m end of 2024) AGM 2025: Dividend Proposal EUR 0.15 Euro dividend per share to be proposed to shareholders - unchanged to build a strong cash position FY/2026 Guidance 1 introduced ▪ ▪ ▪ Revenues FY/26E: ~EUR 520m in a range of +/- 30m; Q1/26E: ~EUR 65m in a range of +/- 10m Gross Margin FY/26E: 41% - 42% EBIT Margin FY/26E: 16% - 19%; includes mid-single-digit million euro restructuring expenses Market Dynamics 2026 - AI as the key driver of revenue Optoelectronics / laser set for strong growth yoy in 2026, driven by AI need for optical interconnects GaN power with moderate growth, partially by AI, partially by GaN gaining traction across all market segments SiC power weak in 2026 due to overcapacity and slow momentum in EVs LED / Micro LED demand largely unchanged EUR million 630 633 557 520 +/- 30e 429 463 269 2020 2021 2022 2023 2024 2025 2026e Optoelectronics and Communication¹ LED incl. Micro LED GaN-Power SiC-Power Other incl. R&D After Sales FY26 Guidance low end FY26 Guidance high end Revenues Gross Profit Margin EBIT Margin Q4 € 187.1 m -18% YoY € 86.1 m 46% -16% YoY € 58.0 m 31% -18% YoY FY/25 € 556.6 m -12% YoY € 222.4 m 40% -15% YoY € 100.3 m 18% -24% YoY Gross Margin significantly improved in Q4 vs. 9M due to volume and improved product mix EBIT Margin significantly improved in Q4 vs. 9M due to volume, improved mix and reduced OpEx OpEx down yoy mainly due to -11% lower R&D cost driven by reduced external contract work and consumables 5 Working Capital 1 Operating Cash Flow Free Cash Flow Cash Balance 2 Q4 € 336.2 m € -9.2 m vs. Q3/25 € 79.9 m € +81.9 m YoY € 71.7 m € +86.1 m YoY € 224.6 m € +71.3 m vs. Q3/25 FY/25 € 336.2 m € -108.8 m vs. Q4/24 € 208.4 m € +182.1 m YoY € 181.9 m € +254.4 m YoY € 224.6 m € +160.0 m vs. Q4/24 Strong Operating Cash Flow driven by Net Result and continued Working Capital reduction; further positive impact expected throughout 2026 FCF with strong improvement due to Net Result and continued reduction of Working Capital & Capex Cash Balance with € 224.6m significantly up by € +160.0m vs. Q4/24 Working Capital = Inventories + Trade Receivables - Trade Payables - Contract Liabilities for Advance Payments; FX-effects excluded in illustrated Change in Working Capital Including other current financial assets 6 1 Power Electronics SiC Power EV main inverters and EV OBCs EV charging infrastructure Data centers: AC/DC Wind & PV Traction & large drives SiC GaN 2 GaN Power & RF Fast charging / mobile devices Data centers: AC/DC & DC/DC Motor drives, e.g., white goods AI power delivery EV OBCs Base stations Optoelectronics / LEDs 4 Lasers Optical data communication 3D sensing LiDAR Industrial power lasers AsP AsP GaN 3 Micro LEDs / Specialty LEDs Industrial displays (in/ outdoor) TVs Smart watches / AR glasses Automotive Horticulture 1 Update AIXTRON maintains a strong (leading) position in SiC power segments 2026 : Continued Market slowdown and underutilization Mid-term (2027-2029) : OEM's switching from 400V to 800V battery systems using SiC will increase demand Benefits from the shift toward AI - powered architectures (800V HVDC) Qualification efforts at further customers are ongoing, expect to benefit over-proportionally when the market is taking up again. ~doubling of annual tool demand by 2029 due to Continued EV ramps Market share gains of SiC vs. silicon due to rapidly declining prices of SiC wafers SiC power - faster growth than market due to market share gains G10-SiC tool Update AIXTRON maintains a leading (dominant) position in GaN power segments 2026 : Moderate growth in 2026 as GaN adoption expands across a broader range of applications Launch of 300mm technology in 2026 Co-existence of 200mm and 300mm wafer sizes expected Mid-term (2027-2029) : accelerated (~3x) growth of annual tool demand due to GaN penetrating more and more applications GaN replacing silicon (energy efficiency) AI power delivery G10-GaN tool GaN power - acceleration of growth due to additional demand from AI GaN power - growth is fueled by adding more and more applications ≥ 1200 V Voltage EV main Inverter AI power delivery Smartphone fast chargers AC/DC for datacenters Class-D audio DC/DC for datacenters Wireless charging LV motor drives battery consumer Battery tools, Industrial PSU devices (e-bikes, …) Low speed electric vehicles AI power delivery Micro-Inverters Solar Time of Flight / Lidar 2020 - 2023 2024 - 2026 2027 - 2028 EV On-Board Charger (OBC) HV motor drives, home appliances < 200 V 500-700 V Time of market adoption GaN power - selected case examples HV motor drives, home appliances Up to 40% energy consumption reduction Ramp from 2025 onwards High unit volume, large dies --> high wafer consumption AI "On Board" power delivery Replacement of silicon power chips around the GPUs Up to 50% lower power loss in a compact form factor Battery tools and consumer devices Longer battery life Smaller size and reduced weight b/c less cooling GaN power - selected case examples Status of GaN for EV main inverters >= 1200V breakdown for GaN devices demonstrated, achieving key parameters required for HVM Multiple companies with 650V or 1200V prototypes in the roadmaps for traction inverters Potential for cost reduction in main inverter Test at several OEMs ongoing GaN achieves > 1200V breakdown voltage 3-Phase traction inverter powered by GaN devices GaN power - AIXTRON leads the market in 200mm today and is ready for 300mm ramp 200mm GaN multi-wafer tool G10-GaN Leading platform for 150mm / 200mm wafer size Based on 20+ years GaN experience Used by all key GaN-players worldwide today (tool of record) 300mm GaN single-wafer tool Hyperion Key ingredients from 200mm technology transferred to 300mm Builds on prior experience in GaN Experience gained from today's installed base 300mm showerhead technology (30+ years) Technological outperformance vs. 200mm platform recently confirmed by a leading customer 2 GaN PE market to be dominated by 200mm in near term - expanding in voltage range 300mm to penetrate market from Low and Mid voltage mid term Voltage 300mm Epi wafers Expanding further to higher voltage range 200mm Epi wafers 150/200mm Epi wafers transition towards 200mm on-going first products for low and mid voltage 2020 - 2022 2023 - 2025 2026 - 2028 Time of market adoption Co-existence of 200mm and 300mm GaN power expected for extended periods of time Reuse strategies for chip-making equipment expected as key driver for 200mm vs. 300mm decisions 1 2 NVIDIA - HVDC Architecture combines SiC and GaN devices NVIDIA 800 V HVDC Architecture will power the next generation of AI Factories Key efficiency gains Up to 5% improvement in end-to-end power efficiency Maintenance costs reduced by up to 70% due to fewer PSU failures and lower labor costs for component upkeep Lower cooling expenses from eliminating AC/DC PSUs inside IT racks Source: NVIDIA Navitas developing next generation 800V HVDC architecture with NVIDIA Source: Navitas Source: Powerelectronicsnews + Infineon 3 Micro LED / LED - work continues until ramp in 2027+ G5+ G10-AsP Update Continued work in Asia on LED brightness and cost per display ROY LEDs: China dominates market; local consolidation drives vertical partnerships (e.g. with panel makers). Micro LED : Still early-stage; secured orders are targeting the exploration of the potential of the product , but cost-effective production still remains the biggest challenge for High Volume Manufacturing G10-AsP Platform: Securing top-tier engagements G10 AsP recognized as tool of record by leading customers -further engagements progressing with additional prospects. Demand for InP-based edge-emitting lasers remained robust, driven by AI and datacenter applications PICs driving the number of orders : Multiple photonic components are integrated on a single chip, enabling faster, energy-efficient data transmission using light. Transition from 3 or 4" to 150mm wafer size is needed to leverage advanced processing of epiwafers G10-AsP "in-situ clean" is ideally suited to multi-step processes of PIC devices Applications: AI, data center, 5G, LiDAR and quantum computing. New NVIDIA Co-Packaged Optics (CPO) chip enables the new Quantum-X photonics switch to connect over 10,000 GPU with 144 ports of 800Gb/s Source: NVIDIA 17 G10-AsP: Tool of record Data Demand Explosion: Driven by AI, 5G, sensing Bandwidth doubling every ~2 years Shift to Co-Packaged Optics (CPO) in hyperscale data centers Surge in laser demand for AI workloads Estimated optical lane growth in data centers Source: Lightcounting Optics for AI, 01/25 Photonic Integrated Circuits (PICs): Replacing discrete lasers Higher performance, smaller size, lower energy Transition to 150mm InP substrates G10-AsP optimized for high-yield InP production PICs market projection $ 41 bn +16% $14.5 bn Source: Market and Data report 18 EUR million Guidance 1 Q1/2026 FY/2026 Revenue Guidance FY/2026 EUR million ~ 100 ~ 280 +/-30 ~ 140 2026 Revenues from After Sales 2026 Revenues from Equipment Order Backlog 2026 Revenues from New Orders Revenues ~EUR 65m +/- 10m ~EUR 520m +/- 30m Gross Margin (%) 41% - 42% EBIT Margin (%) 16% - 19% 1: At $1.20/€ Budget Rate for 2026; please refer to "Expected Financial and Earnings Position" in the AIXTRON 2025 Annual Report for further information 19