Asml Holding Nv · EURONEXT:ASML
Asml Holding Nv — Q1 2007 Earnings Presentation
28 slides from Asml Holding Nv's earnings presentation, May 2, 2007
Slide 1: ASML 2007 1st Quarter Results: Confirming growth for 2007
ASML 2007 1st Quarter Results Confirming growth for 2007 April 18, 2007
Slide 2: Agenda
Agenda ASML overview Financial summary Market Accomplishments Immersion
Slide 3: ASML overview
Customers Serving 85% of the top 20 IC manufacturers in the world ASML overview The world's leading supplier of lithography equipment Key facts: Headquarters: Veldhoven, the Netherlands Revenue 2006 ~ €3.6 B Market cap ~ €9 B Employees Q1 '07 ~ 6000 Employees Q1 '07 ~ 6000 Employees Q1 '07 ~ 6000 Em
Slide 4: Financial summary
Financial summary sows ASML
Slide 5: Total revenues M€ - Record first quarter
Total revenues M€ - Record first quarter 318 453 685 629 1,543 2,465 2,529 3,597 960
Slide 6: Revenue breakdown: Q1 2007
Revenue breakdown: Q1 2007 Value per type Value per technology TWINSCAN 93% Other systems 7% Value per region Value per end-use Foundry 15% Memory 69% IDM 16% KrF 34% ArF 56% i-line 10% U.S. 17% Taiwan 15% Korea 31% China 10% Europe 10% ROW 8% Units TWINSCAN Others 61 16 ArF KrF i-line 24 30 23 Japa
Slide 7: Profit & Loss statement M€
Profit & Loss statement M€ Numbers have been rounded for readers' convenience * Excluding one-off charge for Brion of € 23 million, operating income is € 220 million or 22.9% of sales
Slide 8: System average selling price (ASP)
System average selling price (ASP) ASP of all systems decreased to € 11.2 million due to: Mix of shipped tools favoring i-line and KrF due to market share gains in less critical systems High number of used equipment
Slide 9: Key financial trends 2006 - 2007
Key financial trends 2006 - 2007 Numbers have been rounded for readers' convenience
Slide 10: Backlog as of April 1, 2007
Backlog as of April 1, 2007 78 % of unit backlog carry Q2 + Q3 2007 shipment dates Q1 net bookings of 62 systems with a value of € 911 million including 59 new tools with an ASP of € 15.2 million Note: Due to possible customer changes in delivery schedules and to cancellation of orders, our backlog
Slide 11: Backlog: litho units and value
Backlog: litho units and value Backlog value M€ Backlog units
Slide 12: Backlog lithography per April 1, 2007
Backlog lithography per April 1, 2007 Total value € 2,163 million Value per type Value per technology TWINSCAN 97% Other systems 3% i-line 8% ArF immersion 30 % Value per region Value per end-use Foundry 15% Memory 54% IDM 31% KrF 22% ArF dry 40 % Numbers have been rounded for readers' convenience U
Slide 13: Backlog summary
Backlog summary Backlog value increased due to: Immersion bookings (wet ArF) valued at € 197 million or 21% of total bookings Dry ArF bookings valued at € 435 million or 47% of total bookings Q1 bookings strength is related to leading edge capacity additions and process development tools for shrink
Slide 14: Market
Market & ASML
Slide 15: Trends by sector - Flash
Trends by sector - Flash Gartner Dataquest forecast 48% flash unit growth in 2007 ASML's current shipment plan supports forecast with no significant overcapacity in flash by the end of 2007 Sensitivity studies around the forecast indicates that a +/- 10% demand variation results in a +/- 1 calendar
Slide 16: Trends by sector - DRAM
Trends by sector - DRAM Gartner Dataquest forecast 36% DRAM unit growth in 2007 ASML's current shipment plan supports forecast with no overcapacity in DRAM by the end of 2007 Sensitivity studies around the forecast indicates that a +/- 5% demand variation results in a +/- 1 calendar quarter shift in
Slide 17: Trends by sector - Foundry and IDM
Trends by sector - Foundry and IDM Foundry Utilization in factories appears to have bottomed in Q1 16% of Q1 bookings in value are received from foundries Announced to ramp immersion by the end of 2007 with volume manufacturing starting in 2008/2009 IDM IDM investment level is in-line with industry
Slide 18: Accomplishments
Accomplishments won ASML
Slide 19: Q1 accomplishments
Q1 accomplishments Growth Revenue 960 million, up 53% year-on-year Record high backlog at € 2,163 million Brion acquisition completed Profitability Recurring net income (excluding amortization in process R&D Brion) at 176 million or 18.3 % of sales Gross margin at 40.9% Cash Cash flow from operation
Slide 20: Brion accomplishments
Brion accomplishments Integration with ASML has begun and in progress Brion leads the worldwide market for optical proximity correction (OPC) verification, and is rapidly expanding in the OPC market Over 20 semiconductor manufacturers utilize Tachyon to verify their designs With Brion products there
Slide 21: Excess cash strategy - improving shareholder value
Excess cash strategy - improving shareholder value ASML is a growth company Regular share buybacks is optimum instrument to create significant value Dividend is certainly an option in slower growth model ASML will maintain a strong gross cash liquidity buffer of M€1,000 to M€1,500 and use upside cas
Slide 22: Q2 2007 outlook
Q2 2007 outlook ASML expects to ship 69 systems ASP for new + refurbished systems expected to be € 12.0 million Gross margin will range between 40 - 41% R&D is expected to increase to € 120 million net of credit (including Brion) to strengthen technology leadership and enabling lithography growth SG
Slide 23: Immersion
Immersion ASML
Slide 24: XT:1700i performance
XT:1700i performance XT:1700i's are now running in production Imaging down to 45 nm Overlay less than 7 nm Productivity greater than 122 wafers per hour Defect levels improving continuously Proven production machine output well over 1000 wafers per day per machine with a clear roadmap to 2000 wafers
Slide 25: XT:1900i - 5th generation immersion
XT:1900i - 5th generation immersion Only system available specified at 40 nm resolution and below in volume manufacturing First shipment planned for early Q3 2007 Evolutionary single barrel catadioptric lens shows excellent performance
Slide 26: 36.5 nm dense lines
36.5 nm dense lines Dipole Illumination k1= 0.255 C-quad Illumination k1= 0.258 37 nm horizontal and vertical dense lines XT:1900i resolution performance of 36.5 nm Near perfect image contrast at max. scan speed of 600 mm/s
Slide 27: 2007 Outlook
2007 Outlook Industry Analysts forecast about € 5.5 billion ($ 6.8 Billion) litho investment in 2007 (source: Gartner Dataquest and VLSI Research) We expect overall increased market share and ramp of the XT:1900i in H2 2007 ASML's record current backlog of € 2.163 billion and Q1 results support a st
Slide 28: Commitment
SS ASML Commitment