Analysts Conference March 20, Copyright 2014 Elmos Semiconductor AG. All rights reserved. No redistribution without prior admission.

Transcription

1 Analysts Conference March 20, 2014 Copyright 2014 Elmos Semiconductor AG. All rights reserved. No redistribution without prior admission.

2 Who we are Leading edge analog mixed signal ICs Founded 1984 >1,000 employees 1 Own fabs >250m ICs per year 2 Almost all automotive OEMs use Elmos ICs Design resources with 25+ years of experience Guaranteed global supply out of multiple fabs Approved and audited automotive quality Excellent financial stability Commitment to long term customer relationships Source: Elmos 1 1,060 at year-end in

3 A global Elmos network with German headquarter St.Petersburg Silicon Valley, MEMS HQ Detroit Seoul Shanghai Tokyo Singapore Berlin Dortmund, Global HQ Bruchsal Frankfurt Oder Dresden Pretoria Sales by region 2013 Asia/ Pacific Other 23% 7% EU countries (incl. Germany) Source: Elmos 3 U.S. 8% 62%

4 Elmos supplies to nearly all car OEMs Selected Elmos automotive customers Car OEMs trust in Elmos technology Baojun Source: Elmos 4

5 Elmos industrial segment is growing Selected Elmos industry customers Source: Elmos 5

6 Source: Elmos 6

7 Sensor Portfolio Park Distance Control ASIC s Digital USPA (2-wire, 3-wire & SPI) Smart USPA Industrial US IC s Ultrasonic Optical Proximity Sensors Gesture Recognition IR Distance Rain/Light Sensors Sun Angle Sensors Smoke/Dust Sensors Passive IR Sensors IR Temp Sensors Inductive Sensors Capacitive Sensors Magnetic Sensors Other Pressure Safety Pressure Sensors MAP/TMAP/BAP Sensors Low Pressure Sensors SSP s for Pressure, Strain, Force, Torque Source: Elmos 7

8 Motor Control Portfolio HVAC Flap Grill Shutter HVAC Fan Headlight Adjustment Fuel, Hydraulic, Oil and Water Pumps Building Climatisation Lawn Mower Accumulator Drill Stepper Stepper BLDC DC DC Fuel, Hydraulic, Oil and Water Pumps Cooling Fans Pulse Count Window Wiper Turbo Charger Positioning Systems Source: Elmos 8

9 Embedded Solutions Portfolio Elmos ASICs enable our customers to develop and market innovative products and solutions with our expertise, technology and system know-how ACUs Squib Drivers DCUs Transceivers (FlexRay, PSI5, KNX, IO-Link) SBCs - System Basis Chips (LIN, CAN) ASPPs - Application Specifics Power Products Stepper Interface Power ASICs BLDC Safety DC Engine Control Lighting Glow Plug Control IGBT Ignition Driver E-Kat/ SCR/ Compartment Heater Exterior LED Driver RGB/W LED Driver Source: Elmos 9

10 Selection of new ICs in 2014 Source: Elmos 10

11 HALIOS -ICs are entering different markets Source: Elmos 11

12 Source: Elmos 12

13 Asia / Pacific: Continuously growing share Sales in million Euro % 74.9% 72.5% 67.9% 62.6% 61.6% EU countries U.S. Other Asia/Pacific 7.1% 9.5% 8.5% +125% 7.1% 7.6% 12.8% +47% 7.5% 6.7% 9.2% 7.9% 7.7% 7.1% +20% +6% 17.9% 20.5% 23.4% Source: Elmos 13

14 Production: Fab light strategy guarantees flexibility and limited capex Source: Elmos 14

15 Production: 8 transition for higher efficiency 6 and 8 wafer processing on 5,000 square meters Technology roadmap with line width down to 0.13µm Long term product availability enabled by own production Source: Elmos 15

16 Corporate News 2013 in touch with Customers and Investors Source: Elmos 16

17 2013 Guidance fulfilled Sales growth 2013 (vs. 2012) EBIT margin (in % of sales) Adjusted Free Cash Flow Capex (in % of sales) Guidance Mid single-digit percentage Ist 5.0% >2012 level (6.3%*) 6.7% Positive <15% 8.2% +7.6m Euro * Due to the adjustments of prior-year amounts, the 2012 EBIT has slightly changed as well, so that the EBIT margin comes to 6.4% after said adjustments. At the time of the preparation of the forecast, the 2012 EBIt margin was 6.3%. Source: Elmos 17

18 2013: Financial overview China & U.S. drive the Worldwide Automotive Sales (China +23%/ U.S. +8%) but Western Europe hits the brakes again (Europe -2%) Elmos sales have increased throughout the year profitability rose steadily leading to a strong 4 th quarter (record sales of 52.7m Euro / EBIT margin of 13.6%) Dividend: proposal of 0.25 Euro per share Source: Elmos 18

19 Returned to growth path in 2013 revenues in million Euro % Upper single digit % range employees 1,100 1, , , , e 2014 growth should be realized with almost constant employment Source: Elmos 19

20 Sales Source: Elmos 20

21 Sales and gross margin in million Euro +5.0% in % % 41.9% % in million Euro in % % -1.9% % 43.1% % 39.0% Q Q Q Q After a slow start into the year 2013 business gradually improved over the course of the year New quarterly sales record in Q4 2013: 52.7m Euro Significant improvement of quality of earnings over the course of the year caused by increasing sales level and Lower cost burden from the production conversion from 6 inch to 8 inch Source: Elmos 21

22 Functional costs grew less than sales Research & development in million Euro -1.6% Marketing & selling +2.1% Administrative expenses +3.9% % of sales 19.4% 18.2% 9.8% 9.6% 8.8% 8.7% Majority of products in development are ASSPs Slight decline explained by higher R&D subsidies Marketing activities in Asia are paying off and will be ongoing ASSPs are becoming a more and more important pillar of Elmos sales Administrative expenses well under control Source: Elmos 22

23 EBIT and EBIT margin in million Euro in % % MAZ effect 6.4%* 5.4% % 6.7% in million Euro in % % % % 13.6% Q Q Q Q Prior-year EBIT benefitted from the revaluation of the old interest in MAZ from the first-time consolidation included in other operating income (1.8m Euro in Q2 2012) * Adjustment of prior-year amounts due to amendment to IAS 19 Source: Elmos 23

24 Net finance expenses and tax expenses Net finance expenses (in million Euro) Tax expenses (in million Euro) Tax rate 13.6% 20.8% 2012 interest expenses included the write-down on the investment in TetraSun (1.2m Euro) 2012 tax rate significantly benefitted from tax-free income (MAZ effect) Source: Elmos 24

25 Net income* and earnings per share in million Euro 8.1** Q Q Q Q % of sales 4.5% 5.0% 1.0% 2.2% 6.6% 9.3% Basic earnings per share in Euro 0.42** Proposal to the AGM: dividend of 0.25 Euro per share - Performance of earnings and development of cash flows proved to be sustainably positive * attributable to the owners of the parent ** Adjustment of prior-year amounts due to amendment to IAS 19 Source: Elmos 25

26 Focus on cashflow generation Operating cashflow (in million Euro) Operating Cash flow Capital expenditures * Capital expenditures (in million Euro) * % of 16.4% 13.9% 11.9% 6.0% 6.7% 10.0% 9.9% 8.2% sales * Adjustment of prior-year amounts Source: Elmos 26

27 leads to a solid and continuously improving net cash position Adjusted Free Cashflow* (in million Euro) Net Cash Position (in million Euro) * Cash flow from operating activities, less capital expenditure for intangible assets, less capital expenditure for property, Source: Elmos plant and equipment, less payments for investments, plus disposal of investments 27

28 Source: Elmos 28

29 Economy still not stable Source: Elmos 29

30 but Automotive starts to lighten up Source: Elmos 30

31 Outlook economic environment Still difficult economic situation in Europe Further development of the events in the Ukraine and other countries very unsecure But German Association of the Automotive Industry (VDA) is (cautiously) positive: Fortunately there are more and more indications for a slow stabilization of the European market. China & U.S. are still the growth drivers VDA: 2014 new car registration rise worldwide +3% to 74.7 million Average value of semiconductor/car continues to grow: 2013: 326 U.S.-Dollar 2017: 348 U.S.-Dollar Elmos Market recovery is becoming more and more visible in the order book and sales All indicators show that Elmos will growth stronger than the worldwide automotive market Source: Elmos 31

32 Outlook 2014 Outlook 2014 Sales EBIT margin Capex Free Cash Flow (adjusted) Increase in the upper single-digit percentage range upper single-digit percentage range Less than 15% of sales Positive Elmos will continue to pursue its strategy has made very good progress at acquiring new projects & customers will help to raise sales level in the mid-term Source: Elmos 32

33 Thank you for your attention Copyright 2014 Elmos Semiconductor AG. All rights reserved. No redistribution without prior admission.

34 Elmos shareholder structure supports business stability Listed at German Stock Exchange Weyer Beteiligungsgesellschaft mbh Anchor shareholders hold controlling stake A well governed and transparent company 20.4% 15.1% 15.5% ZOE-VVG GmbH Free float 42.7% Own shares 1.7% Further non free float 4.6% Jumakos Beteiligungsgesellschaft mbh Source: Elmos 34

35 Research coverage Close Brothers Seydler Research Veysel Taze Deutsche Bank Johannes Schaller DZ Bank Harald Schnitzer Hauck & Aufhäuser Tim Wunderlich Natixis Securities Stéphane Houri, Maxime Mallet Mirabaud Securities Susan Anthony Montega AG Robert-Jan van der Horst Warburg Research Malte Schaumann WGZ Bank / Independent Research Matthias Engelmayer Source: Elmos 35

36 Key financials Five-year overview In million Euro unless otherwise indicated * 2013 Sales Gross profit R&D Operating income EBIT Net income attributable to owners of the parent Basic earnings per share (Euro) Operating cash flow Capital expenditures for intangible assets and property, plant and equipment Free cash flow** Adjusted free cash flow*** Employees (annual average) 1, ,034 1,053 * Adjustment of prior-year amounts due to amendment to IAS 8, 16 and 19R ** Cash flow from operating activities less cash flow from investing activities *** Cash flow from operating activities, less capital expenditure for intangible assets, less capital expenditure for property, plant and equipment, less payments for investments, plus disposal of investments Source: Elmos 36

37 Balance sheet In million Euro unless otherwise indicated 2011* 2012* 2013 Intangible assets Property, plant and equipment Other non-current assets Inventories Trade receivables Other current assets Total assets Equity Non-current liabilities Trade payables Other current liabilities Total equity and liabilities * Adjustment of prior-year amounts due to amendment to IAS 8, 16 and 19R Source: Elmos 37

38 Cash flow data In million Euro unless otherwise indicated * 2013 Cash flow from operating activities % of sales 17.1% 14.0% 11.3% Capital expenditures for intangible assets and property, plant and equipment % of sales -10.0% -9.9% -8.2% Cash flow from investing activities Free cash flow** Adjusted Free cash flow*** * Adjustment of prior-year amounts due to amendment to IAS 8, 16 and 19R ** Cash flow from operating activities less cash flow from investing activities *** Cash flow from operating activities, less capital expenditure for intangible assets, less capital expenditure for property, plant and equipment, less payments for investments, plus disposal of investments Source: Elmos 38

39 Elmos Semiconductor AG Heinrich-Hertz-Str Dortmund Germany Telephone: Telefax: info@elmos.com DISCLAIMER This presentation contains forward-looking statements based on beliefs of Elmos management. Such statements reflect the company s current views with respect to future events and are subject to risks and uncertainties. Many factors could cause the actual results to be materially different, including, among others, changes in general economic and business conditions, changes in currency exchange rates and interest rates, introduction of competing products, lack of acceptance of new products or services and changes in business strategy. Actual results may vary materially from those projected here. Elmos does not intend or assume any obligation to update these forward-looking statements. Source: Elmos 39