INFICON Holding AG · SIX:IFCN

INFICON — Q4 2022 Earnings Presentation

26 slides from INFICON's earnings presentation, Mar 2, 2023

  1. Slide 1: Earnings Release - Press/Analyst Conference Q4 & FY 2022

    Earnings Release - Press/Analyst Conference Q4 & FY 2022 March 2, 2023, Zurich

  2. Slide 2: Agenda & Speakers

    Agenda & Speakers Oliver Wyrsch, President and CEO  Key Messages & Figures Q4 2022 and FY 2022  Target market business review  Expectations 2023 Matthias Tröndle, Vice President and CFO  Financials Q4 2022 and FY 2022  Guidance  Dividend  Corporate Calendar

  3. Slide 3: 2022 Results

    2022 Results Strong growth in all markets and in all regions. Orders higher than sales. After capacity build-up supply chain remained bottleneck. Defended profitability against headwinds from supply chain costs Sales  Sales increase of 13% to USD 581.3 MUSD across all regions and all segments  Str

  4. Slide 4: Worldwide Markets & Sales

    Worldwide Markets & Sales Good growth in all regions. North America fastest growing in 2022, then EMEA (Local Currency) and then Asia Worldwide net sales in FY 2022 by region Quarterly Sales Trend by Region Full Year 2022 Sales and Growth by Region Asia: ~ 276 MUSD +11% Europe: ~ 145 MUSD + 9% North

  5. Slide 5: Semi & Vacuum Coating – Performance & Outlook

    Semi & Vacuum Coating – Performance & Outlook Semiconductor, Display, Optics, Solar While Semiconductor market is softening short-term, we see good growth opportunities mid-term Performance  2022 sales increase of approx. +17% vs. 2021  #1 position in process control, leak detection, smart manufac

  6. Slide 6: Automotive & Refrigeration, Air Conditioning – Performance & Outlook

    Automotive & Refrigeration, Air Conditioning – Performance & Outlook Strong position on RAC & Automotive market with battery testing as largest opportunity Performance  2022 sales increase of ~ + 1% vs. 2021. Negative FX impact EUR in 2022 Sales to End Market Refrigeration, Air Conditioning &  #1

  7. Slide 7: General Vacuum Market – Performance & Outlook

    General Vacuum Market – Performance & Outlook The broad industrial market is addressed though a multi-brand strategy and long-term channel partners. Growth comparable to general economic dynamic in each region Performance  2022 sales increase of ~ +14% vs. 2021  Most competitive “full liner” in va

  8. Slide 8: Security & Energy – Performance & Outlook

    Security & Energy – Performance & Outlook Security and energy have both growth potentials but often depend on specific government initiatives and policies with their own dynamic, which is a diversification factor versus the other markets Performance  2022 sales increase of ~ +10 % vs. 2021. Second

  9. Slide 9: Sustainability Achievements in 2022

    Sustainability Achievements in 2022 INFICON has a smart follower strategy with regards to sustainability. We made good progress recently, in particular around the CO2 emissions Balzers, LI renewable electricity 23% 100% New HVAC system used in all major Waste reduction to including heat recuperation

  10. Slide 10: Expectations 2023

    Expectations 2023 Given the backlog and selected market segment growth, we are mostly optimistic for 2023, even in a slow general economical environment with risks  Even with weakness and risks in the markets we are mostly optimistic given the improvements in the supply chain and the size of the or

  11. Slide 11: Agenda & Speakers

    Agenda & Speakers Oliver Wyrsch, President and CEO  Key Messages & Figures Q4 2022 and FY 2022  Target market business review  Expectations 2023 Matthias Tröndle, Vice President and CFO  Financials Q4 2022 and FY 2022  Guidance  Dividend  Corporate Calendar

  12. Slide 12: Q4 Highlights

    Q4 Highlights Record sales and profitability, growth in all regions and end-markets, high working capital levels Book to Bill Sales Gross Margin % Operating Income >1 159.4 MUSD 46.1% 33.9 MUSD +10% -0.6%pts +9% organic +17% +1.1 %pts vs Q3 21.3% of Sales CAPEX Working Capital Cash Flow Net cash 5.8

  13. Slide 13: FY Highlights

    FY Highlights FY2022 a record year, high investments and working capital level. Tremendous progress on our sustainability goals Book to Bill Sales Gross Margin % Operating Income >1 581.4 MUSD 45.9% 111.6 MUSD +12.7% - 2.1%pts +11.2% organic +17.7% 19.2% of Sales CAPEX Equity Ratio Cash Flow 33.7 MU

  14. Slide 14: Sales

    Sales Year-over-year and sequentially, growth in all markets, Semi &Vacuum Coating and Security & Energy strong 159.4 159.4 +10.8% FX-Effect 143.8 +10.3% -9.4 MUSD 144.5 Q4 2022 Sales and Growth by Region Asia: ~ 78 MUSD + 5% Europe: ~ 36 MUSD + 5% North America: ~44 MUSD + 27% Rest of World: ~1 MUS

  15. Slide 15: Gross Profit, Costs, and Operating Income Q4

    Gross Profit, Costs, and Operating Income Q4 Profit Growth, margin impacted by supply chain and broker costs Gross Profit Margin  Gross profit margin: Decrease in margin of 57 bps. -57 bps Improved by 9% in absolute numbers and improved by 46.7% 46.1% 114 bps vs. previous quarter. Higher volume par

  16. Slide 16: Income Tax and Net Income Development

    Income Tax and Net Income Development Net Profit Growth  Income tax: Tax rate of 8.0% compared with 13.8% in Q4 last year. Tax rate impacted by the profit mix of the various international entities and favorable deferred tax provisions  Net income: Increase driven by improved operating income at lo

  17. Slide 17: Balance Sheet Highlights

    Balance Sheet Highlights Solid balance sheet; working capital level increased due to higher inventories; this in combination with high capex/investments with impact on cash flow and net cash Q4 22 Q4 21 Net Cash 2.5 54.6 DSO 53.1 52.4 Inventory Turns 2.8 3.2 Working Capital 208.5 151.8 Operating Cas

  18. Slide 18: Fiscal Year 2022 Results

    FISCAL YEAR 2022 RESULTS @INFICON

  19. Slide 19: Full-Year Sales

    Full-Year Sales Sales increase in all end-markets and all regions Semi & Vacuum Coating and General Vacuum with strongest growth; Organic increase of 17.7% Full-Year 2022 Sales and Growth by Region Asia: ~ 276 MUSD +11% Europe: ~ 145 MUSD + 9% North America: ~155 MUSD + 21% Rest of World: ~5 MUSD To

  20. Slide 20: Gross Profit, Costs, Operating Income (YoY)

    Gross Profit, Costs, Operating Income (YoY) Profit Growth, margin impacted by supply chain and broker costs  Gross profit: Margin decrease of 201 bps; increase of 8% in absolute terms; higher volume partially offset by rising material prices, increasing broker fees, and logistics costs  R&D cost:

  21. Slide 21: Net Income and EPS development (YoY)

    Net Income and EPS development (YoY) Net Profit Growth  Income tax: Tax rate of 17.2% compared with 19.4% in last year. Slight decrease due to the mix in the profit composition of our various international entities  Net income: Increase in line with operating income development

  22. Slide 22: Key Balance Sheet Data (YoY)

    Key Balance Sheet Data (YoY) Investments and Inventory increase Operating Cash Flow ($M and % of Sales) 16.5 %  Operating cash flow: Decrease clearly 8.0% driven by higher inventory balances and 85.1 liabilities, partially compensated by higher net income 46.2  CAPEX: 17% increase due to investmen

  23. Slide 23: Guidance 2023

    Full-Year 2022 Guidance Cautiously optimistic Sales (MUSD) Guidance 2023 INFICON is mostly optimistic about the outlook for the coming quarters, given all the global uncertainties. This is based on the high order backlog, the ongoing order intake, Operating Income (MUSD) and the assessment of the va

  24. Slide 24: Distribution for 2022

    Distribution for 2022 Reflecting investments  Solid Balance Sheet , Cash Generation impacted by investments and working capital for future growth  USD 2.5 million net cash  Shareholders’ equity ratio at 65%  Board of Directors intends to propose a cash distribution of CHF 18 per share  CHF 18 a

  25. Slide 25: Thank You for Your Attention Q&A

    Thank You for Your Attention Q&A Next Events on Corporate Calendar 2023  Annual General Meeting of Shareholders March 30, 2023  Q1 FY 2023 Earnings Conference Call April 26, 2023  Q2 and HY 2023 Earnings Conference Call July 27, 2023  Q3 FY 2023 Earnings Conference Call October 19, 2023 **Earnin

  26. Slide 26: INFICON believes that a deep understanding of our customers’ challenges and their visions for

    INFICON believes that a deep understanding of our customers’ challenges and their visions for success are paramount to everything we do. These long-standing partnerships and the commitment to see our customers succeed inspire our dedicated, talented employees to develop and build market-leading inst

Inficon — Q4 2022 Earnings Presentation on 6ix