Monolithic Power Systems, Inc. · NASDAQ:MPWR
Monolithic Power Systems — Investor Presentation (November 2022)
34 slides from Monolithic Power Systems's investor presentation, Nov 3, 2022
Slide 1: MPS Management
MPS Management November 3, 2022
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation includes forward-looking statements that involve risks and uncertainties, including our belief in continued expansion of our product lines, advances in our technology, anticipated market opportunities, gross margin targets, net & operating margin targets,
Slide 3: MPS Growing, Even in Tough Markets ($M)
MPS Growing, Even in Tough Markets ($M) * Industry Downturn MPS Above Market 2019 +16% Above Market 2012 +16% Above Market 2009 +13% Above Market * Wall Street analysts' average revenue 2011 MPS 27.5% Transformation MPS 3 Yr CAGR 2
Slide 4: Great Revenue Diversification by GEO & End Customer
Great Revenue Diversification by GEO & End Customer 4.5% Revenue Mix by End Customer 4.0% 3.5% 3.0% 36% 11% 36% 8% 2.5% 9% 2.0% 1.5% 1.0% 50% of revenue comes from 0.5% ‘long tail’ end customers 0.0% 3
Slide 5: Growth Drivers by End Market
Growth Drivers by End Market Computing Automotive Industrial Infrastructure Consumer Cloud Based Body Control Instrumentation 5G and Wireless IOT Data Center Factory & Bldg Wireless GPU’s Lighting Base Stations Automation Charging Power Portable ADAS Robotics Networking Management Augmented Storage
Slide 6: Leveraging 4000+ Products
Leveraging 4000+ Products AC/DC Power Conversion DC/DC Power Conversion Isolated Solutions Battery Management • High-Voltage Buck Regulators • Step-Up (Boost) • Isolated Gate Drivers • Li-Ion Single and Multi-Cell • High-Voltage LDOs • Step-Down (Buck) • Isolated Power Module • USB-Complaint Charger
Slide 7: Diverse End Markets
Diverse End Markets 2018-2021 % of Revenue 2010 2020 2021 22Q3 CAGR Storage and 10.4% 21.4% 21.2% 22.8% 29.9% Computing Consumer 65.1% 26.1% 23.4% 18.0% 15.3% Automotive 1.9% 12.9% 16.9% 17.6% 36.6% Enterprise Data - 8.6% 9.6% 15.2% 40.2% Communications 17.8% 16.9% 13.6% 14.6% 32.5% Industrial / Oth
Slide 8: MPS Technology Evolution
MPS Technology Evolution Proprietary Technologies Drive SAM Proliferation $21B(1) $16B(1) $10B(1) SiC • Multi KWatts Green Power • Full Integration • Ultimate Integration (SoC) • Power • Power • Highest Density • Analog • Analog Si • Integrated Power • Digital/ • uController Analog Memory • Memory •
Slide 9: SAM Expansion
SAM Expansion Market 2015 SAM 2018 SAM 2021 SAM Automotive $4B $6B $7B Motion Control $2B $3B $4B ACDC $1B $2B $2B Modules $1B $2B $2B Cloud Computing (Server / Storage) $800M $1B $4B Networking / Telecom $600M $1B $1B Battery Management $600M $1B $1B Total Market SAM $10B $16B $21B 8
Slide 10: MPS Global Footprint: R&D Centers and MFG Partners
MPS Global Footprint: R&D Centers and MFG Partners Milan Munich UK Budapest Kirkland Beijing / Shgh Seoul France San Jose Detroit S. Korea Switzerland Hangzhou Barcelona Chengdu Tokyo, Osaka N.Carolina Phoenix Shanghai Taiwan Taiwan Malaysia Singapore R&D Facilities MFG Partners 9
Slide 11: EPS Growing Faster Than Revenue
EPS Growing Faster Than Revenue * Wall Street Forecast 10
Slide 12: Execution Against Our Commitments
Execution Against Our Commitments Goal: Grow revenue 20% to 25% 60% Annual Revenue Growth% SIA Growth% 50% 40% 30% 20% 10% 0% 2017 2018 2019 2020 2021 2022* -10% Street Est’ Goal: Diversify revenue from consumer 100% Consumer 80% Enterprise Data 60% Storage/Computing Communications 40% Automotive 20
Slide 13: Computing
Computing mrS
Slide 14: >$4B SAM and Rapidly Growing
From Board Level Power to Rack and Beyond >$4B SAM and Rapidly Growing CPU Server Board GPU AI Server Rack Data Center POL eFuse <2018 2020 2022 2024 POL eFuse + CPU power DDR power + 48V IBC GPU Power + Rack AC-DC PSU 48V BBU Greener, Smarter, 48V PDU SSD Storage Denser Cooling Fan Power Cooling Pu
Slide 15: Server Board Level Power Solutions
Server Board Level Power Solutions CPU Server: $1B SAM $80 MPS Content / Server CPU Power $600M SAM DDR5 Memory Power $280M SAM Point of Load $60M SAM EFuse $60M SAM GPU Server: $1B SAM 14
Slide 16: Why is MPS Winning?
Why is MPS Winning? Size & Frequency Solution 1400 3.5 Frequency Size (MHz) 1200 3 CMP 1000 2.5 MPS 800 2 600 1.5 CMP 400 1 200 0.5 0 0 2017 2019 2018 2020 2019 2021 2020 2022 While Others Hitting Size and Frequency Boundaries, MPS Monolithic Solution Takes Off 15
Slide 17: Direct to Data Center Builders & Owners, Additional $2B SAM
Direct to Data Center Builders & Owners, Additional $2B SAM Datacenter Rack Front View Rack Side View Network Switch 12V MPS 48V CPU Servers to 5V/12V GPU Servers Cooling Pump Fan Network Storage MPS AC to 48V DC Battery Power Rack Management Battery Pack AC Power Supply System AC 16
Slide 18: Automotive
Automotive mrS
Slide 19: Automotive Business is Accelerating – $7B SAM
Automotive Business is Accelerating – $7B SAM MPS Automotive Revenue $200 ($ Millions) 1.5 Billion 17% Automotive ICs shipped to date Total company business $150 +87% 20% EMEA 20% Korea $100 17% 30% 13% Americas Rest of Asia China $50 $- 2017 2018 2019 2020 2021 18
Slide 20: Automotive Applications Covered
Automotive Applications Covered 19
Slide 21: MPS Exclusive Solutions for ADAS / Electrification
MPS Exclusive Solutions for ADAS / Electrification ONLY Single Vendor 40% Smaller Footprint 4X Higher Power Density Smaller, Safer ADAS $40 $8 $8 /car /car /car MPSafe™ High Power Controller + DrMOS MPSafe™ Camera PMIC 30W Buck-Boost Converter For ADAS Compute SoC For L2/L3/L4 Surround View Cameras
Slide 22: Relentless Expansion of Product Categories
Relentless Expansion of Product Categories New Portfolio Launches Electrification System Safety Sequencer GaN Driver New products Hall-Effect Current Sensor allow MPS to ADAS Intelligent Dynamic LED Driver address up to Precision Voltage Monitor $400/car additional Isolated Power / Gate Drivers sock
Slide 23: MPS Automotive: $1B Wins in Pipeline
MPS Automotive: $1B Wins in Pipeline Infotainment and Telematics Luxury OEM Infotainment Infotainment Digital Cluster Android Module Telematics Collision Avoidance Domain Advanced Backup ADAS Domain Controller Triple Forward Camera Master Backup Camera Surround View Monitor Near-Range Camera Camera
Slide 24: Data Com
Data Com mrS
Slide 25: Data Com / Security – $4B SAM
Data Com / Security – $4B SAM Satellite & Ground Receiver: Dish + Wifi Router DSL/VDSL & Security Systems Enterprise WiFi & Security Systems 24
Slide 26: Clean Energy & Storage
Clean Energy & Storage mrS
Slide 27: $2B SAM Opportunities in Carbon Reduction: Clean Energy and Storage
$2B SAM Opportunities in Carbon Reduction: Clean Energy and Storage Over $150M design wins 25+ products in development Wind Farm Solar Inverter In development Geothermal In development Megawatt Battery Home Battery Smart meter Storage Storage 26
Slide 28: Other Revenue
Other Revenue mrS
Slide 29: Over $3B SAM
Over $3B SAM Super Computer / 5G Base Station Semi-equipment Inspection Robot Co-Robot UltraSound Big Data Home appliances Point of sale USB PD RV&Boat X-Ray 28
Slide 30: Well Positioned with Excellent Financial Strength
Well Positioned with Excellent Financial Strength
Slide 31: Consistent Revenue Growth & Shareholders’ Return
Consistent Revenue Growth & Shareholders’ Return Stock Price Revenue in millions $600 2021: MPS 43.0% vs. Analog 33.1% $1,950 $550 $1,800 $500 $1,650 $450 $1,500 $400 Revenue $1,350 $350 MPWR Stock Price $1,200 $300 SOX Index $1,050 $250 $900 $200 $750 $150 $600 $100 $450 $50 $300 $0 $150 | 2011 | 2
Slide 32: Capital Allocation – 49% of Cash Returned to Shareholders
Capital Allocation – 49% of Cash Returned to Shareholders 49% Cash returned to shareholders through stock buybacks and dividends 31
Slide 33: MPS grows regardless of the market environment
MPS grows regardless of the market environment
Slide 34: Q&A
Q&A 33
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