Inficon Holding Ag · SIX:IFCN
Inficon — Q2 2017 Earnings Presentation
21 slides from Inficon's earnings presentation, Jul 26, 2017
Slide 1: Q2 2017 Earnings Conference Call
Q2 2017 EARNINGS CONFERENCE CALL July 26, 2017 Bad Ragaz, Switzerland
Slide 2: Speakers
Speakers Lukas Winkler, President and CEO Key figures Q2 2017 Target market business review Expectations 2017 Matthias Tröndle, Vice President and CFO Financials Q2 2017 Key financials first half-year 2017 Guidance Q2 2017 Earnings Conference July 26, 2017 2
Slide 3: Lukas Winkler
Lukas Winkler INFICON President and Chief Executive Officer
Slide 4: Q2 2017 – Key Figures
Q2 2017 – Key Figures Sales increase in all markets, except Security & Energy (S&E) • Sales increase of 24% to USD 93.6 million compared with Q2 2016, organic increase of 25%; new record level • Sequential sales increase of 5.7% over Q1 2017 • Book to bill ratio ~1 • Two markets (S&V, RAC&A) with
Slide 5: Net Sales by End Market
Net Sales by End Market USD 93.6 million in Q2 2017 vs. USD 75.5 million a year ago (+24.0%) Higher share in Semi & Vacuum Coating End Market Q2 2017 Earnings Conference July 26, 2017 5
Slide 6: Semi & Vacuum Coating
Semi & Vacuum Coating Solar, Display, Optics & Semiconductor Q2 2017 Sales to End Market Semi & Vacuum Coating Sales Q2 2017 increase of 55% to (in MUSD) 1.7% CAGR (2011 - 2016) USD 43.3 million vs Q2 2016 Sequential inrease of 7%, new record 120.6 Increase mainly driven by large investments 9
Slide 7: Security & Energy
Security & Energy Q2 2017 Sales to End Market Security & Energy Sales decrease 42% to USD 4.6 million 8.6% CAGR (2011- 2016) in Q2 2017 vs Q2 2016 and -14% vs Q1 (in MUSD) 35.9 2017 33.1 Weak start into 2017, due to low ship- 28.6 27.2 ments to large US Government customers 22.1 Small contribu
Slide 8: Refrigeration, Air Conditioning & Automotive
Refrigeration, Air Conditioning & Automotive Q2 2017 Sales to End Market Q2 2017 sales increase of 16% to Refrigeration, Air Conditioning & Automotive 6.2% CAGR (2011 - 2016) USD 20.4 million vs Q2 2016 (in MUSD) Growth in all three regions, new record 68.1 Sequential increase of 11% 57.6 54.3
Slide 9: General Vacuum
General Vacuum Q2 2017 Sales to End Market General Vacuum Q2 2017 sales grow 14% to USD 25.4 million -7.9% CAGR (2011 - 2016) vs Q2 2016, mainly due to higher sales to (in MUSD) 124.7 European and Asian customers 115.8 114.7 101.8 Sequential increase of 4% due to improved 87.9 world economy Mark
Slide 10: Outlook 2017
Outlook 2017 Positive – with mixed signals from the Security & Energy market Semiconductor market remains robust • Investments in new fabs (China) and new technologies (3D, <10nm, new Materials, MEMS) • High demand for new equipment (OEM business) incl. EUV lithography OLED flat panel display te
Slide 11: Matthias Tröndle
Matthias Tröndle INFICON Vice President and Chief Financial Officer
Slide 12: Sales (in USD million)
Sales (in USD million) 93.6 93.6 88.5 FX‐Effect +5.7% -0.8 MUSD 75.5 +24.0% Q2 16 Q2 17 Q1 17 Q2 17 All end-markets increased except Security & Energy Q2 2017 Earnings Conference July 26, 2017 12
Slide 13: Geographic Sales Breakdown (in USD million)
Geographic Sales Breakdown (in USD million) Europe Asia-Pacific North America +42.2% 42.8 +9.1% +17.3% 45.7% 30.1 26.5 23.7 24.3 39.9% 20.2 25.3% 28.3% 26.8% 32.2% Q2 16 Q2 17 Q2 16 Q2 17 Q2 16 Q2 17 Growth in all regions Q2 2017 Earnings Conference July 26, 2017 13
Slide 14: Gross Profit, Costs, and Operating Income
Gross Profit, Costs, and Operating Income Gross Profit Margin R&D (in MUSD) SG&A (in MUSD) Operating Income (in MUSD) +12.2% +56.5% 50.4% 50.4% 21.9 19.5 18.4 -5 +0.8% bps 11.8 19.7% 6.8 of NS 6.9 15.6% of NS Q2 16 Q2 17 Q2 16 Q2 17 Q2 16 Q2 17 Q2 16 Q2 17 Gross profit margin: 24% absolute increas
Slide 15: Net Income and EPS development
Net Income and EPS development Income Tax (in MUSD) Net Income (in MUSD) EPS (in USD, diluted) +43.2% 13.8 +40.4% 5.72 14.8% 9.7 of NS +97.6% 12.8% 4.08 4.0 of NS 2.0 Q2 16 Q2 17 Q2 16 Q2 17 Q2 16 Q2 17 Income tax: higher global tax rate of 22.2% driven by the mix in earnings and tax rates Net i
Slide 16: Balance Sheet Highlights (in USD million)
Balance Sheet Highlights (in USD million) Balance Sheet Structure 2017 MUSD 239.2 MUSD 239.2 Q2 17 Q4 16 Net Cash 51.4 63.9 23% Fixed assets DSO 48.7 47.4 5% Inventory Turns 4.3 3.8 Other non‐current assets 71% Working Capital 22.6% 20.7% 17% Equity Inventories Cash Flow 22% Receivables 4% Other cur
Slide 17: Financial Performance First Half-Year 2017
Financial Performance First Half-Year 2017 (USD million) Q1‐Q2 Net Sales Operating Cash Flow 53 Q3‐Q4 Q3‐Q4 Q1‐Q2 49 50 297 293 305 310 279 38 29 141 159 164 33 29 40 149 143 ‐ 27 15 ‐ 182 156 144 146 145 21 20 135 16 14 14 11 2012 2013 2014 2015 2016 2017 2012 2013 2014 2015 2016 2017 Operating Inc
Slide 18: Full Year 2017 Guidance
Full Year 2017 Guidance Sales (MUSD) > 340 297 293 305 310 279 Based on our current expectations for our end markets 2012 2013 2014 2015 2016 Guidance 2017 Sales > 340 MUSD Operating Income (MUSD) Op. Income > 18% 50 50 51 46 40 > 18% 16.9% 16.4% 16.5% 15.8% 14.3% 2012 2013 2014 2015 2016 Guidance 2
Slide 19: Corporate Calendar FY 2017
Corporate Calendar FY 2017 Q3 2017 Earnings Conference Call Thursday, October 19, 2017 Q4 and FY 2017 Earnings Conference Call Tuesday, March 13, 2018 Annual General Meeting Thursday, April 12, 2018 Q1 2018 Earnings Conference Call Friday, April 20, 2018 Q2 2018 Earnings Conference Call Th
Slide 20: Thank You! Q&A
THANK YOU ! Q&A Q2 2017 Earnings Conference July 26, 2017 20
Slide 21: Slide 21