AT&S First choice for advanced applications

Transcription

1 AT&S First choice for advanced applications Investor and Analyst Presentation January 2017 AT & S Austria Technologie & Systemtechnik Aktiengesellschaft Fabriksgasse 13 A-8700 Leoben Tel +43 (0) info@ats.net

2 Table of Contents Company Overview Strategy & Market Financials Annex 1

3 AT&S a world leading high-tech PCB company High-end interconnection solutions for Mobile Devices, Automotive, Industrial, Medical Applications 9,315 employees Continuously outperforming market growth One of the most profitable players in the industry # 3 in high-end technology worldwide 762.9m revenue in FY 2015/16; 5.2% organic growth # 1 manufacturer in Europe Cost-competitive production footprint with 6 plants in Europe and Asia 2

4 Our competitive advantages Technology leverage between customer segments Strategic focus on high-end technologies and applications Cost advantage as first high-end IC substrates manufacturer in China Quality Outstanding process know-how and process efficiency 3

5 What guides us Vision First choice for advanced applications Targets Strategy Strengthening the technology leadership Long-term profitable growth with the target to be one of the most profitable players in the industry Generation of shareholder value Focus on high-end technologies and applications with above average growth potential and long-term profitability Focus on highest service-level and customer orientation Focus on operational excellence Focus on cash flow generation 4

6 High-end PCBs for high-end applications Segment Selected Applications Revenue Share* Selected Market Leaders** Mobile Devices & Substrates Smartphones Tablets, Ultrabooks, 2 in 1 Consumer Electronic Wearables 58% GoPro Huawei Sony Samsung LG Xiaomi Canon ZTE Qualcomm Intel Blackberry Apple Lenovo Automotive: Navigation, Advanced Driver Assistance Systems, Infotainment... Medical: MRT, hearing aids, pacemaker, patient monitoring... 42% Continental Osram Harman Hella EADS Siemens General Electric Automotive, Industrial, Medical Industrial: Machine-2-Machine communication, industry computer... * Based on external revenue ** Does not reflect actual customer base 5

7 AT&S Key Facts Strong track record 1 Balanced portfolio/global customer base 2 Split revenue: Business Unit, H1 2016/ % +9% +13% +14% % 58% Mobile Devices & Substrates Automotive, Industrial, Medical (6) 2011/ / / / /16 H1 2015/16 in millions H1 2016/17* Split revenue: Customer Region, H1 2016/17 based on sold to party Revenue EBITDA EBIT Revenue growth 54% 7% 25% 6% Germany/Austria Other European countries Asia 15% Americas * Based on ramp-up effects for new plants in China 6

8 Global footprint ensures proximity to supply chain & cost efficiency European production facilities: high mix/low volume Asian production facilities: high volume/low mix Sales network spanning three continents 9,315 employees* AT&S plants AT&S sales offices Plant Leoben, Austria Headquarters Staff: 983* Plant Fehring, Austria Staff: 373* Plant Nanjangud, India Staff: 1,122* Plant Chongqing, China In ramp phase Staff: 1,929* Plant Shanghai, China Staff: 4,539* Plant Ansan, Korea Staff: 291* * Average, FTE, H1 2016/17; 78 employees in other locations 7

9 PCB market Overview Moderate growth of 2.4% forecast for the total PCB market until AT&S outperformed a flat market in the past 5 years and is set to continue to do so also in the future CAAGR : 2.4% 2.4% 4.9% 4.5% 1.3% Index (2011 = 100)* % * PCB & substrates market AT&S revenue 2.3% AT&S outperformed the market by scaling high-end any-layer technology and by leveraging HDI technology to the Computer-, Consumer-, Automotive-, Industrial and Medical market. USD in billions Computing Communication Consumer Automotive Industrial/Medical Military/Aerospace Source: Prismark, Feb * Basis 2011: PCB & substrates market: USD 55.4bn AT&S revenue: 514m 8

10 Table of Contents Company Overview Strategy & Market Financials Annex 9

11 AT&S positioning Current Strategic focus on high-end technologies AT&S revenue structure in 2015/16 based on technologies High-end technology share > 70% HDI and any-layer PCBs, Embedding High-end HDI PCBs and IC substrates ~ 30% Single-sided (SS), double-sided (DS), multilayer (ML), flex and rigid-flex (RF) PCBs ~ 70% Complementary technology share: < 30% SS, DS, ML, Flex, RF Structure of general PCB market based on technologies 10

12 Market Player/Position HDI Technology Market position HDI Technology Revenue (USD in millions) Rank Country Supplier HDI Non HDI PCBs IC substrates Total revenue 1 TWN Unimicron ,130 2 TWN Compeq ,110 3 AUT AT&S JPN Ibiden ,493 5 KOR SEMCO ,562 6 USA TTM 376 1,046-1,422 7 TWN Zhen Ding 369 2,114-2,483 8 TWN Tripod 321 1,070-1,391 9 TWN Unitech CHN Kingboard (E&E) Source: Prismark, 2015; JMS 2015; NTI 2015; AT&S Strategy 11

13 Driving Future Trends: Internet of Things (IoT) Applications Everything is going to be smart and/or connected Wearable Electronics Smart Mobility Smart City Healthcare & Fitness Smart Watches and Glasses Autonomous Driving Car2X Communication Smart Lighting Smart Buildings Smart Production/Industry 4.0 Smart Healthcare Smart Energy Home/Building Automatization Smart Home Devices Automatization/Robotics Machine-to-Machine Communication Connected Patient Monitoring Systems Connected Consumer Healthcare Devices Smart Metering Building Blocks of IoT Modules: Sensing, Connectivity, Energy Storage/Harvesting, Power Management billion of Things will be connected in 2020 Wearable electronic devices offer revenue opportunities of USD 61.7bn beyond the smartphone market in 2020 Source: Gartner Inc

14 The world is changing miniaturization & modularization as main drivers 2003/ x? Type Mobile Phone Smartphone Smartphone All in One PCB 125x55mm 85x20mm 80x20mm 25x25mm? FF ? L/S 100/100µm 40/40µm 30/30µm 10/10µm Techn. 1-n-1 Any-layer msap Any-layer FO/SAP/mSAP 13

15 From vision to strategy Vision: First choice for advanced applications Targets/Key Performance Indicators Strengthening technology leadership Leading player in the high-end core business Medium-term: leading player in new business areas Innovation Revenue Rate: > 20% Long term profitable growth/to be one of the most profitable players in the industry Medium-term EBITDA margin target of 18-20% Medium-term revenue target of ~ 1bn Generation of shareholder value Medium term ROCE of 12% Strategy Continuous innovation and focus on high-end technologies and applications Focus on innovative solutions Focus on technologies and applications with aboveaverage growth potential and long-term profitability Focus on highest service-level and customer orientation Focus on operational excellence Focus on cash flow generation Sustainable development focusing on ROCE Stable dividend policy The best employees and executives Talent Programs Trainings Leadership Excellence Program Sustainable management To be the benchmark of the industry by reduction of: 5% CO 2 emissions p.a. 3% freshwater consumption p.a. Capital Excellence Equity ratio: > 40% Financing costs of < 2% (in a corresponding interest environment) Payback period of < 3 years 14

16 Research and development as the key for technological leadership 19.6% of AT&S total revenue in 2015/16 is generated by products with new, innovative technologies introduced to the market within the last three years (Innovation Revenue Rate). IRR decreased due to a generation of mature products. 162 patent families, resulting in 212 patents. R&D expenses: 95.5m in the financial year 2015/16. R&D quota (i.e. relation to revenue): 12.5% (vs. 8.7% in the previous year). Adjusted for project IC substrates: 4.5%. R&D expenses IRR (Innovation Revenue Rate) Patents / / / / / / / / / / / / / / /16 in millions in % Quantity 15

17 Future positioning as leading high-end interconnection solutions provider New interconnection solutions > supporting miniaturization and modularization New and existing Application Areas High-end Toolbox e-ic substrate Mobile Devices Industrial NEW TECHNOLOGIES IC substrates Advanced Packaging Substrate-like PCBs EXISTING TECHNOLOGIES Multilayer PCBs HDI any-layer PCBs Embedding Flexible PCBs More comprehensive positioning in the value chain Advanced Packaging/SLP (SiB) Advanced Packaging/(SiP) e-interposer CORE BUSINESS Multilayer PCBs, HDI any-layer PCBS, Embedding, Flexible PCBs Automotive INTERNET of THINGS New and existing customers Semiconductors Packaging companies (OSATs) Original Electronic Manufacturers (OEMs) Tier 1 suppliers Medical 16

18 AT&S advanced technology solutions General Description & Technology Application Areas Customer Base High-end (HDI) PCBs PCBs are the interconnection platform for electric, electronic & mechanical components (such as resistors, capacitors, ICs, connectors, etc.) Density: Line/Space > 35 micron Computer, Consumer, Communication, Automotive Industrial, Medical OEMs Tier 1 Tier 2 Substrate-like PCBs OEMs Tier 1 Tier 2 Substrate-like PCBs are the next evolution of high-end HDI PCBs with higher density: Line/Space < 30 micron Mobile Applications like Wearables 17

19 AT&S advanced technology solutions General Description & Technology Application Areas Customer Base IC substrates High-end processors for Computer, Communication, Automotive, Industrial OEMs Semiconductor Industry IC substrates serve as interconnection platform with higher density (Line/Space < 15 micron) between semiconductors (Chips) & PCBs Embedded Component Packaging (ECP ) Embedded Component Packaging allows to embed active/passive components (e.g. wafer level dies) within the layers of a PCB contributes to miniaturization Power Electronics, e.g. for Automotive, Industrial OEMs Semiconductor Industry 18

20 Growth Project Chongqing Total investment: 480m* in first phase (until mid 2017) Depreciation & Amortization: average of 10 years; roughly additional 40m in FY 2016/17 IC substrate project Investment* Phase 1: Investment* as of 30/09/2016: ~ 280m 238m Substrate-like PCB project Investment* Phase 1: Investment* as of 30/09/2016: ~ 200m 155m * CAPEX for tangible fixed assets 19

21 Challenge: Ramp of three production lines within 12 months FY 2015/16 FY 2016/17 Q4 2015/16 (January March 2016) Q1 2016/17 (April June 2016) Q2 2016/17 (July September 2016) Q3 2016/17 (October December 2016) Q4 2016/17 (January March 2017) Ramp: PRODUCTION LINE 1 IC SUBSTRATES Ramp: PRODUCTION LINE 2 IC SUBSTRATES Ramp: PRODUCTION LINE 1 SUBSTRATE-LIKE PCBs 20

22 Table of Contents Company Overview Strategy & Market Financials Annex 21

23 Sound top-line growth, above industry margins and increasing cash conversion Revenue YoY growth EBITDA and EBITDA-margin Operating Cash Flow YoY development % 18.9% 21.6% 25.1% 22.0% 24.1% 13.5% 25.8%* 23.7%* 24.3%* 23.8%* (0.2%) * (13) in millions in millions; % * Adjusted for Chongqing effects in millions Stable revenue in H1 2016/17; first revenue from Chongqing plants balanced expected Q1 seasonality effects. EBITDA impacted by negative effects from ramp-up of new plants in Chongqing. EBITDA margin adjusted for Chongqing effects almost on high level of H1 2015/16. Decrease is based on lower EBIT and higher depreciation. 22

24 Business Development Mobile Devices & Substrates Good demand in Q2 Chongqing revenue contribution almost compensated stronger seasonality in Q1 and negative FX effect Effects from Chongqing and price/product mix impacted profitability in millions (unless otherwise indicated) H1 2015/16 H1 2016/17 Change in % Revenue (1.1%) Revenue with external customers (1.7%) EBITDA (63.8%) EBITDA margin 24.8% 9.1% - EBITDA adjusted* (14.9%) EBITDA margin adjusted* 25.3% 22.7% - Revenue per quarter** Q1 14/15 Q2 14/15 Q3 14/15 Q4 14/15 Q1 15/16 Q2 15/16 Q3 15/16 Q4 15/16 Q1 16/17 Q2 16/17 in millions; * Adjusted for Chongqing effects; ** Revenue with external customers 23

25 Business Development Automotive, Industrial, Medical Automotive: continuous high demand for HDI PCBs (e.g. driver assistance systems and safety features) Medical: strong growth based on new technologies and functionalities Industrial: on same high level as last year On EBITDA level, positive impact from release of a provision for unused production space in millions (unless otherwise indicated) H1 2015/16 H1 2016/17 Change in % Revenue % Revenue with external customers % EBITDA % EBITDA margin 11.3% 13.2% - Revenue per quarter* Q1 14/15 Q2 14/15 Q3 14/15 Q4 14/15 Q1 15/16 Q2 15/16 Q3 15/16 Q4 15/16 Q1 16/17 Q2 16/17 in millions; * Revenue with external customers 24

26 Net CAPEX & Staff Net CAPEX CAPEX spending of 142.5m in H1 2016/17 includes investments in Chongqing project (whereof 105.2m in H1) and technology investments in existing locations. STAFF* The increased headcount is primarily based on Chongqing. 8,390 8,555 8,688 8,759 9,165 9,315 1,049 1,152 1,289 1,380 1,826 1, ,341 7,403 7,399 7,379 7,339 7,386 Q1 2015/16 Q2 2015/16 Q3 2015/16 Q4 2015/16 Q1 2016/17 Q2 2016/17 Q1 2015/16 Q2 2015/16 Q3 2015/16 Q4 2015/16 Q1 2016/17 Q2 2016/17 Core business Employees Chongqing in millions * Incl. leased personnel, FTE, average for the period 25

27 Financials H1 2016/17 in thousands (unless otherwise stated) STATEMENT OF PROFIT OR LOSS H1 2015/16 H1 2016/17 Change YoY Revenue 387, ,510 (0.2%) produced in Asia 80% 81% 1pp produced in Europe 20% 19% (1pp) EBITDA 93,230 52,115 (44.1%) EBITDA margin 24.1% 13.5% (10.6pp) Negative impact of 37.3m from project Chongqing. EBITDA adjusted 93,681 89,380 (4.6%) EBITDA adjusted margin 24.3% 23.8% (0.5pp) EBIT 50,742 (5,818) (>100%) EBIT margin 13.1% (1.5%) (14.6pp) EBIT adjusted 55,403 51,688 (6.7%) EBIT adjusted margin 14.4% 13.8% (0.6pp) Finance costs net 25 (10,046) (>100%) Income taxes (8,630) 1,025 >100% Slight reduction vs. prior year due to price/product mix could not be compensated by cost savings. Includes negative FX effects of 3.7m. Last year includes positive FX impact of 3.4m. Profit/loss for the period 42,137 (14,839) (>100%) Earnings per share 1.08 ( 0.38) (>100%) 26

28 Financials H1 2016/17 in thousands (unless otherwise stated) 31 Mar Sep 2016 Change STATEMENT OF FINANCIAL POSITION Non-current assets 866, , % Current assets 478, , % Equity 568, ,928 (6.5%) Non-current liabilities 421, , % Reduction due to net loss of 14.8m, dividend payment of 14.0m and FX. Current liabilities 354, , % Total assets 1,344,650 1,461, % Net debt 263, , % Increase due to high CAPEX spending. Net gearing 46.3% 82.6% 36.3pp Net working capital 88, , % Net working capital per revenue 11.6% 16.1% 4.5pp Equity ratio 42.3% 36.4% (5.9pp) 27

29 Gross debt, financial assets and cash, net debt Net debt/ebitda / / / / /16 H1 2016/17 in millions Gross debt Financial assets and cash Net debt 2011/ / / / /16 Based on 242m financial assets and cash: repayment of the bond in November 2016, financing the start-up phase and outstanding payments for investments of the first phase of Chongqing are secured. Expected multiple in temporary peak of Chongqing investments: ~ 3.5x 28

30 Overview Debt Portfolio Duration Maturity in millions* < 1 Year 1-5 Years > 5 Years Total Bond Promissory note loans Promissory note loans Promissory note loans Subsidized loans Bank Borrowings and others Total 30/09/ Currency mix of debt portfolio 3.1% 15.3% 81.6% EUR USD RMB Total 31/03/ * Including accrued interest and placement costs Average debt portfolio duration: 3.4 years (2015/16: 3.9 years) Average financing costs: 2.6% (as of 30/09/2016) 152m of credit lines not utilized (as of 30/09/2016) Currency mix of EUR and USD to support natural hedging strategy 29

31 Financials H1 2016/17 in thousands STATEMENT OF CASH FLOWS H1 2015/16 H1 2016/17 Change YoY Operating result (EBIT) 50,742 (5,818) (>100%) Paid/received interests (2,379) (3,066) (28.8%) Paid taxes (4,346) (9,219) (>100%) Non cash bearing of profit or loss 41,375 55, % Cash flow from operating activities before changes in working capital 85,392 36,918 (56.8%) Changes in working capital (29,757) (49,955) (67.9%) Cash flow from operating activities 55,635 (13,037) (>100%) Net working capital increase due to seasonality. Cash flow from investing activities (97,485) (155,072) (59.1%) Cash flow from financing activities (9,879) 138,838 >100% Change in cash and cash equivalents (51,729) (29,271) 43.4% Increase includes payout of promissory note loans of 150m. 30

32 Net Working Capital Management Net Working Capital development 18.0% 19.0% 15.6% 14.3% 16.1% 11.6% / / / / /16 H1 2016/17 Net Working Capital development in millions; % of revenue Net Working Capital as a percentage of revenues 31

33 AT&S Stock Profile Listing: Indices: Thomson Reuters (A): Bloomberg (A): Vienna Stock Exchange, Prime Standard ATX Prime, WBI ATSV.VI ATS:AV # of shares outstanding 38.85m Average daily volume: ~ 80,400 shares* Performance YTD: %* Dividend 2015/16: EUR 0.36/per share Dividend yield: 2.8% * 01/01/ /12/2016 Financial Calendar Shareholder structure Results for the first three quarters 2016/17 31 January 2017 Annual results 2016/17 09 May 2017 Record Date Annual General Meeting 26 June rd Annual General Meeting 06 July 2017 Ex-Dividend Day 25 July 2017 Record Date Dividend 26 July 2017 Dividend Payment Day 27 July

34 Outlook FY 2016/17 Focus on: - Chongqing plant 1 (IC substrates): capacity utilization of first production line of IC substrates and ramp of the second production line - Chongqing plant 2 (Substrate-like PCBs): ramp of the first production line - Partial adjustment of capacities for the new technology in the Shanghai plant for Cost and price management AT&S expects stronger seasonality in Q4 and continuous low visibility Based on a macroeconomic stable environment, FX relation of USD-EUR on a similar level than FY 2015/16 and a stable demand in the core business, management expects revenue growth of 4-6%. EBITDA margin should be on a level of 15-16%, based primary on costs related to the ramp of Chongqing. EBITDA margin in core business should be on a similar level than in FY 2015/16. Higher depreciation for the project Chongqing of additional ~ 40m in FY 2016/17 will have a clear impact on EBIT level. 33

35 Table of Contents Company Overview Strategy & Market Financials Annex 34

36 AT&S Product Portfolio I ECP : Embedded Component Packaging IC substrates Substrate-like printed circuit boards Embedded Component Packaging allows to embed active/passive components (e.g. wafer level dies) within the layers of a PCB contributes to miniaturization. IC substrates serve as interconnection platform with higher density (Line/Space < 15 micron) between semiconductors (Chips) & PCBs. Substrate-like PCBs are the next evolution of highend HDI PCBs with higher density: Line/Space < 30 micron. Production site Leoben Chongqing Chongqing, Shanghai Applications Devices such as smartphones, tablets, digital cameras and hearing aids High-end processors for Computer, Communication, Automotive, Industrial Mobile applications like wearables 35

37 AT&S Product Portfolio II HDI any-layer printed circuit boards HDI microvia printed circuit boards high density interconnect Multilayer printed circuit boards Double-sided printed circuit boards IMS printed circuit boards insulated metal substrate Further technological enhancement to HDI microvia: All electrical connections in HDI any-layer boards consist of laser-drilled microvias. Advantage: further miniaturization, and higher performance and reliability. AT&S produces HDI any-layer in 4 to 12 layers. HDI: high density interconnect, meaning laser-drilled connections (microvias). HDI is first step towards miniaturization. AT&S can produce 4-layer laser PCBs up to 6-n-6 HDI multi layer PCBs. Found in almost every area of industrial electronics. AT&S produces printed circuit boards with 4 to 28 layers, in quantities from individual prototypes to small batches and mass production. Used in all areas of electronics. AT&S focuses on double-sided printed circuit boards with thicknesses in the range of mm. IMS: insulated metal substrate. Primary function: heat dissipation for use mainly with LEDs and power components. Production site Shanghai Shanghai, Leoben Leoben, Nanjangud, Fehring Fehring, Nanjangud Fehring Applications Smartphones, Tablets, Notebooks Mobile phones and nearly all electronic applications including automotive (navigation, infotainment and driver assistance systems) Used in all electronic applications including touch panels, and in products ranging from aircraft to motorcycles, from storage power plants to solar arrays Primarily industrial and automotive applications Lighting industry 36

38 AT&S Product Portfolio III Flexible printed circuit boards Semi-flexible printed circuit boards Rigid-flex printed circuit boards Flexible printed circuit boards on aluminum AT&S patented technologies ECP : Embedded Component Packaging Used to replace wiring and connectors, allowing for connections and geometries that are not possible with rigid printed circuit boards. More limited bend radius than flexible printed circuit boards. The use of a standard thin laminate makes them a cost-effective alternative. Combine the advantages of flexible and rigid printed circuit boards, yielding benefits for signal transmission, size and stability. Production site Ansan, Fehring Fehring Leoben, Ansan Ansan Applications Nearly all areas of electronics, including measuring devices and medical applications Automotive applications Industrial electronics, such as production machines and industrial robots Used when installing LEDs in car headlights, for example, where the printed circuit board is bonded to an aluminum heat sink to which the LEDs are then attached. Lighting, automotive, building lighting ECP is a patented AT&S packaging technology used to embed active and passive electronic components in the inner layers of a printed circuit board. ECP technology is used in ever smaller, more efficient and more powerful devices, such as smartphones, tablets, digital cameras and hearing aids. Production site: Leoben 2.5D Technology Platform Combines mechanical and electronic miniaturization, and enables partial reduction of the thickness of a circuit board. Advantage: populated assemblies have a thinner profile. Can be also used to make cavities in the printed circuit board, e.g. for acoustic channels. Major application for this technology is the 2.5D rigid-flex printed circuit board, a lower cost alternative for flex-to install applications. Production sites: Leoben, Shanghai 37

39 Management Andreas Gerstenmayer, CEO Born 1965; joined AT&S as CEO in 2010 Previous positions include: 18 years of work experience at Siemens, including Managing Director with Siemens Transportation Systems GmbH Austria and CEO of the Drive Technology business unit in Graz from 2003 to 2008 Partner at FOCUSON Business Consulting GmbH after leaving Siemens Education and other positions: Member of the Research Council of Styria Degree in Production Engineering from Rosenheim University of Applied Sciences Responsibilities: Sales and Marketing Human Resources Investor Relations, Public Relations and Internal Communications Business Development & Strategy Compliance CSR & Sustainability Karl M. Asamer, CFO Born 1970; joined AT&S as CFO in 2014 Previous positions include: Managing Director of GEKA Group in Germany Managing Director of Sell GmbH in Germany Education: Degree: Doctorate in business administration in Linz, Austria Responsibilities: Finance and Accounting, Treasury Controlling Legal Affairs, Risk Management and Internal Audit IT and Organization Procurement Heinz Moitzi, COO Born 1956; COO since 2005; with AT&S since 1981* Previous positions include: Various management positions within AT&S Measurement engineer with Leoben University of Mining and Metallurgy Education: Degree from Higher Technical College of Electrical Engineering * He was already with the founding company of AT&S Responsibilities: Research & Development (R&D) Operations Quality Management Business Process Excellence Environment Safety 38

40 Milestones in the Group s history 1987 Founding of the Group, emerging from several companies owned by the Austrian State Owned Industries Privatization and acquisition by Messrs. Androsch, Dörflinger, Zoidl Initial public offering on Frankfurt Stock Exchange ( Neuer Markt ). Acquisition of Indal Electronics Ltd., largest Indian printed circuit board plant (Nanjangud) today, AT&S India Private Limited Start of production at new Shanghai facility one of the leading HDI production sites in the world Start of production at plant II in India New production direction: Austrian plants produce for high-value niches in the automotive and industrial segment; Shanghai focuses on the high-end mobile devices segment Construction starts on new plant in Chongqing, China. Capacity increase in Shanghai by 30% AT&S changes to Vienna Stock Exchange AT&S enters the IC substrates market in cooperation with a leading manufacturer of semiconductors AT&S again achieves record high sales and earnings for financial year 2014/15 and decides to increase the investment program in Chongqing from 350m to 480m Acquisition of Korean flexible printed circuit board manufacturer, Tofic Co. Ltd. today, AT&S Korea Co., Ltd AT&S starts the serial production of IC substrates at the plant in Chongqing. 39

41 CSR as a key to sustainable business success CSR gains importance in long term success Improving efficiency Motivated and qualified staff The importance of sustainability is rising within: Authorities (basis for securing operation licenses) Customers (relevant for placing orders) Five core dimensions of sustainability within AT&S Energy and carbon footprint Water Resources AT&S a learning organization Thinking ahead shaping the future 40

42 AT&S saves CO 2 and Water Sustainability Figures and Fields of Action CO 2 -Footprint* ) AT&S aims to minimize its environmental footprint by reducing the CO 2 emissions per m 2 PCB attributable to production processes by 5% a year. 2011/ / / / /16 * in kg per sqm weighted PCB Freshwater consumption** ) AT&S aims to reduce the Group s annual fresh water consumption per m 2 PCB by 3% ) Since 2012/13 calculation according to EICC standards; before that AT&S internal calculation 2011/ / / / /16 ** in liters per sqm weighted PCB 41

43 AT&S First choice for advanced applications IR contact: Elke Koch Fabriksgasse 13, 8700 Leoben/Austria Tel: Mobile: Fax: Visit: IR_PR; YouTube AtundS 42

44 Disclaimer This presentation is provided by AT & S Austria Technologie & Systemtechnik Aktiengesellschaft, having its headquarter at Fabriksgasse 13, 8700 Leoben, Austria ( AT&S ), and the contents are proprietary to AT&S and for information only. AT&S does not provide any representations or warranties with regard to this presentation or for the correctness and completeness of the statements contained therein, and no reliance may be placed for any purpose whatsoever on the information contained in this presentation, which has not been independently verified. You are expressly cautioned not to place undue reliance on this information. This presentation may contain forward-looking statements which were made on the basis of the information available at the time of preparation and on management s expectations and assumptions. However, such statements are by their very nature subject to known and unknown risks and uncertainties. As a result, actual developments, results, performance or events may vary significantly from the statements contained explicitly or implicitly herein. Neither AT&S, nor any affiliated company, or any of their directors, officers, employees, advisors or agents accept any responsibility or liability (for negligence or otherwise) for any loss whatsoever out of the use of or otherwise in connection with this presentation. AT&S undertakes no obligation to update or revise any forwardlooking statements, whether as a result of changed assumptions or expectations, new information or future events. This presentation does not constitute a recommendation, an offer or invitation, or solicitation of an offer, to subscribe for or purchase any securities, and neither this presentation nor anything contained herein shall form the basis of any contract or commitment whatsoever. This presentation does not constitute any financial analysis or financial research and may not be construed to be or form part of a prospectus. This presentation is not directed at, or intended for distribution to or use by, any person or entity that is a citizen or resident or located in any locality, state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation or which would require any registration or licensing within such jurisdiction. 43