GlobalFoundries Inc. · NASDAQ:GFS
GlobalFoundries — Q1 2023 Earnings Presentation
21 slides from GlobalFoundries's earnings presentation, May 9, 2023
Slide 1: First Quarter 2023 Financial Results
First Quarter 2023 Financial Results(unaudited) May 9, 2023 1
Slide 2: Disclaimer
Disclaimer This presentation and the accompanying oral presentation include “forward-looking statements,” that reflect our current expectations and views of future events. These forward-looking statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Ac
Slide 3: Q1'23 Results
Q1'23 Results 3
Slide 4: Key Q1'23 Results
Key Q1'23 Results (Unaudited) Revenue Adjusted EBITDA & Margin Wafer Shipments Millions USD Millions USD 300mm equivalents (k) -5% -6% -18% 698 655 1,940 1,841 625 511 36.0% 39.1% 35.6% Q1'22 Q1'23 Q1'22 Q1'23 Q1'22 Q1'23 Note: We define adjusted EBITDA as net income, excluding the impact of finance
Slide 5: Key Recent Announcements
Key Recent Announcements GF announced GF and Amkor The European announced a Strategic Technology, Inc. formed Commission approved University Partnership a strategic partnership to the award of direct grant agreement with Georgia establish the first at- funding to GF and Tech. This agreement scale ba
Slide 6: Quarterly Revenue Trend
Quarterly Revenue Trend (Unaudited, Millions USD) 2,074 2,101 1,993 -5% 1,940 Y/Y 1,841 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 GlobalFoundries © 2023 All Rights Reserved 6
Slide 7: Adjusted Gross Margin Trend
Adjusted Gross Margin Trend (Unaudited) 29.9% 30.1% 28.0% 28.5% 25.3% +320 bps Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Note: Adjusted gross profit a Non-IFRS measure which we define as gross profit for a particular period, adjusted for share-based compensation expense; adjusted gross margin is adjusted gross
Slide 8: Adjusted EBITDA Margins Trend
Adjusted EBITDA Margins Trend (Unaudited) 39.3% 39.1% 38.2% 36.0% 35.6% (40) bps Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Note: Adjusted EBITDA is a Non-IFRS measure which we define as net income, excluding the impact of finance income, finance expense, income tax expense, depreciation, amortization, share-bas
Slide 9: Q1'23 Financial Summary
Q1'23 Financial Summary (Unaudited, in millions USD, except per share data and wafer shipments) Year-over-year Sequential Q1'23 Q4'22 Q1'22 Q1'23 vs Q1'22 Q1'23 vs Q4'22 Net revenue $ 1,841 $ 2,101 $ 1,940 $ (99) (5)% $ (260) (12)% Gross profit 515 622 469 $ 46 10 % $ (107) (17)% Gross margin 28.0 %
Slide 10: Q1'23 Revenue by End Market
(Unaudited, in millions USD) Q1'23 Revenue by End Market Year-over-year Sequential Q1'23 Q4'22 Q1'22 Q1’23 vs Q1’22 Q1’23 vs Q4’22 Smart Mobile Devices $696 $823 $977 $(281) (29)% $(127) (15)% Communications Infrastructure & Datacenter $352 $386 $327 $25 8% $(34) (9)% Home and Industrial IoT $344 $4
Slide 11: Revenue Mix by End Market
Revenue Mix by End Market (Unaudited) 10% 13% Smart Mobile Devices 2% 2% 4% Communications Infrastructure & Datacenter 38% 10% Home & Industrial IoT 17% Q1'22 50% Q1'23 Automotive 19% Personal Computing 17% 19% Non-Wafer & Corporate Other GlobalFoundries © 2023 All Rights Reserved 11
Slide 12: Q2'23 Guidance
Q2’23 Guidance 12
Slide 13: Q2'23 Guidance
Q2’23 Guidance (Unaudited, in millions USD except per share amounts) IFRS Share-Based Non-IFRS Adjusted Compensation Net revenue $1,810 - $1,850 — — Gross Profit $481 - $512 $15- $17 $498 - $527 Gross Margin (mid-point) 27.1% 28.0% Operating Profit $238 - $287 $40 - $50 $288 - $327 Operating Margin
Slide 14: Appendix: Summary Financials and Reconciliations
Appendix: Summary Financials and Reconciliations 14
Slide 15: Statement of Operations
Statement of Operations (Unaudited, in millions USD except per share amounts) 2021 2022 2023 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Net revenue $ 1,418 $ 1,620 $ 1,700 $ 1,847 $ 1,940 $ 1,993 $ 2,074 $ 2,101 $ 1,841 Cost of sales 1,319 1,389 1,400 1,463 1,471 1,455 1,464 1,479 1,326 Gross profit (loss) $ 99 $ 2
Slide 16: Balance Sheet
Balance Sheet (Unaudited, in millions USD) As of March 31, 2023 December 31, 2022 Assets: Cash and cash equivalents $ 2,256 $ 2,352 Receivables, prepayments and other 1,296 1,487 Marketable securities 653 622 Inventories 1,423 1,339 Current assets 5,628 5,800 Deferred tax assets 271 292 Property, pl
Slide 17: Statement of Cash Flows
Statement of Cash Flows (Unaudited, in millions USD) Three Months Ended (in millions USD) March 31, 2023 March 31, 2022 Cash flows from operating activities: Net income $ 254 $ 178 Depreciation and amortization 343 408 Finance expense, net and other(1) 7 9 Deferred income taxes 22 19 Other non-cash
Slide 18: IFRS to Non-IFRS Reconciliations
IFRS to Non-IFRS Reconciliations (Unaudited, in millions USD except per share amounts) 2021 2022 2023 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Gross profit for the period $99 $231 $300 $384 $469 $538 $610 $622 $515 Gross profit margin 7.0% 14.3% 17.6% 20.8% 24.2% 27.0% 29.4% 29.6% 28.0% Share based compensation —
Slide 19: IFRS to Non-IFRS Reconciliations
IFRS to Non-IFRS Reconciliations (Unaudited, in millions USD) 2021 2022 2023 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Net Income (Loss) for the period $(127) $(174) $5 $43 $178 $264 $336 $668 $254 Depreciation and amortization 377 408 415 419 408 411 395 409 343 Finance expense 29 29 28 28 29 26 28 28 31 Finance
Slide 20: Adjusted Financial Measures (Non-IFRS)
Adjusted Financial Measures (Non-IFRS) In addition to the financial information presented in accordance with IFRS, this earnings presentation includes the following adjusted non-IFRS metrics: adjusted gross profit, adjusted operating profit, adjusted net income (loss), adjusted diluted earnings (los
Slide 21: Thank you
For further information, please contact: Investor Relations [email protected] Thank you The information contained herein is the property of GlobalFoundries and/or its licensors. This document is for informational purposes only, is current only as of the date of publication and is subject to change by Global