Slides
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Earnings Release – Analyst/Media Conference Q4 2024March 13, 2025
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Agenda & Speakers 2 Oliver Wyrsch, President & CEO•Key Messages & Figures 2024•Target Market Business Review•Expectations 2025Matthias Tröndle, Vice President & CFO•Financials Q4 2024 and FY2024•Guidance•Dividend / Share Split•Corporate Calendar
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3 INFICON is based on three core instrumentation technologies. This strong foundation is continuously growing with more capabilities and products INFICON Inc.Syracuse, NY, USAINFICON AGBalzers, LiechtensteinINFICON GmbHCologne, GermanyVacuum Control Products IPO: 20001969 - 2019 Intelligent Sensor SolutionsLeak Detection Tools
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Leveraging our strong instrumentation foundation, we added Data Analytics/AI, and Smart Manufacturing capabilities to our products over the past two decades Intelligent Operational Excellence & Factory Scheduling Integrated Process State Sensors and Gauges with Sophisticated Data Analytics/AI Yield Maximization & AI Based Equipment and Wafer Intelligence FabGuard®Smart SensorsFabGuard® FPS 4
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2024 ResultsSALES•Challenging market environment. After strong growth 2023 (+16%) maintained Sales at 671 MUSD (-0.4% YoY)•Continued growth of Semiconductor (+9%). Record sales•Strong RAC/Auto sales in consolidation year after strong growth (+2%) . Record sales•General Vacuum showed a decrease of 20% after backlog reduction in ‘23, back down to normalized level at slightly higher sales as ’22•Security & Energy showed strong growth (+21%). Record salesOPERATING RESULT•Improved operating income of 136.0 MUSD or record high 20.3%, increase of 0.6% YoY•Gross margin improved by +1.2 %pts YoY•Operating cash flow of 116.5 MUSD (-2 MUSD) stable at very high levelORGANIZATION•Continued investments in R&D (7.6% of sales FY) and production capacity (CAPEX 28 MUSD) Strong result in challenging environment. Maintaining sales YoY . Fourth quarter strongest quarter of 2024. FY record sales in Semiconductor, RAC & Auto and Security & Energy. Orders still slowSales FY 2024(FY 2023) 5
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Worldwide Markets & SalesWorldwide Net Sales in FY 2024 by RegionSolid year for Asia and Americas in challenging environment. Europe slowQuarterly Sales Trend by RegionFY 2024 Sales and Growth by Region North America27%Rest of World1%Europe23%Asia49%6+ 1.2 %~ 330 MUSDAsia:- 5.3 %~ 158 MUSDEurope:+ 1.0 %~ 179 MUSDAmericas:- 0.4 %(vs. FY 2023)~ 671 MUSDTotal:(including ROW)
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Growth Markets for INFICON TechnologiesProviding leading edge measuring and analytics capabilities to diversified technology markets.Strong growth and profitability potential *) ICAPS: Internet of Things (IoT), Communications, Automotive, Power and Sensors Old & New GasesBig ScienceLifescienceSecurity & EnvironmentSpace & Robotics Solar EnergyHVAC-RBattery & Auto Smart Manufacturing & Sustainable Sub Fab Leading Logic ICAPS* Memory Tool Makers Display Industrial Vacuum Semiconductor industryOther high tech industries 7
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Watch all sessions on www.inficon.com/techday 𝗠𝗶𝘀𝘀𝗶𝗼𝗻: 𝗣𝗼𝘀𝘀𝗶𝗯𝗹𝗲INFICON 𝗚𝗼𝗲𝘀 𝘁𝗼 𝘁𝗵𝗲 𝗠𝗼𝗼𝗻!Launch February 26 from Kennedy Space Center Watch: https://www.youtube.com/watch?v=tL9pM_xggOI Read: INFICON Technology Prepares for Takeoff to the Moon | INFICON Image Credits: NASA, Intuitive Machines, Space X
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Semiconductor & Vacuum Coating – Performance & OutlookStrong position. Continuous growth in challenging environment. Record sales in Q4, increase both YoY and QoQ. Slower market in slower recovery than expected, growth anticipated to pick up in 2025 Sales to Semi & Vacuum Coating +15.7% CAGR (2019 – 2024), (in MUSD)Sales Q4 ‘24 by Region (in MUSD) 9 PERFORMANCE•Record sales for FY and Q4 (+9% and +22%)•#1 position in process control, leak detection, smart manufacturing software and thin film monitoring•#2 for pressure measurement. Closing up to #1OUTLOOK•Market expectations for 2025: Flat/GrowthStarting soft with improvement expected to start later in 2025. Mid-and long-term very strong growth drivers for Semi•Most submarkets moderately positive for 2025, with mixed picture at start and improvements after. Ramp expected to start later in 2025. Current positive dynamics narrow around AI investment in HPC* and HBM* and respective customers•Ongoing investments in leading edge nodes and advanced chip design. Increasing sensor and process monitoring usage in general. Semi initiatives globally ongoing•Strong R&D pipeline at INFICON with new products, applications and solutions. Reason for additional business and wins in 2025 in demanding environment e.g. new sensors, CPX, UL product lines* HPC = High Performance Computing, HBM = High Bandwidth Memory
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Automotive & Refrigeration, Air Conditioning – Performance & OutlookPERFORMANCE•Record sales 2024 with some more growth (+2%) after very strong growth 2023. Q4 sales increase of 5% •#1 position in RAC and Battery market. Market share gainsOUTLOOK•Market Expectations 2025: FlatAfter nearly 30% growth 2023, slowed growth especially due to EV transition and slow macro environment•Battery/EV temporarily slow due to overall slow automotive market. Consumer battery more resilient. Mid term good growth opportunities in driven by energy transition (Li-ion batteries, plus other types and fuel cells). Recovery towards end 2025 expected•Good growth with new distribution and product initiatives for hand-held after-sales service products •RAC resilient with growth in demanding macro environment. Change of regulations and new refrigerants support growth as well as upgrading to advanced, fully automated smart manufacturing solutions, incl. new intelligent software •Strong R&D pipeline at INFICON with new products, applications and solutions. Market gains e.g. ELT, Stratus product lines Strong position. Solid development in Asia; Europe and Americas with slower momentumSales to Automotive & Refrigeration, Air Con.+9.7% CAGR (2019 – 2024) (in MUSD)Sales Q4 ‘24 by Region (in MUSD) 10
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General Vacuum – Performance & OutlookPERFORMANCE•Decrease of 20% after backlog reduction in ‘23, back down to normalized level, slightly higher than ’22•Most competitive “full liner” in vacuum instrumentation•Remain #1 positionOUTLOOK•Overall market expectations 2025: Flat/Growth•Normalized backlog. Slow in demanding macro environment in all regions. Weakness especially in Asia and Europe•Significant impact of slow Solar due to consolidation with recovery expected ‘26•Working to further expand market reach into industrial and analytical OEM markets•Multi-brand strategy and multi-channel strategy Slow year, especially in Asia. Outlook flat, some upside. Broad industrial market addressed through multi-brand strategy and long-term channel partners. Strong positionSales to General Vacuum+7.9% CAGR (2019 – 2024) (in MUSD)Sales Q4 ‘24 by Region (in MUSD) 11
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Security & Energy – Performance & OutlookStrong position. Good growth. Cycles largely depending on government programs and policies with their own dynamic. Good diversification factor versus other end marketsSales to End Market Security & Energy+9.0% CAGR (2019 – 2024) (in MUSD)Sales Q4 ‘24 by Region (in MUSD) 12 PERFORMANCE•Security & Energy showed strong growth (+21%)•Typically, significant fluctuations over time due to large programs•Unchanged #1 position•Supply chain at times still instable and limiting salesOUTLOOK•Market expectations 2025: Decrease•US DoD programs delivered several phases. Next phase timing unclear. Therefore, expect slower 2025 in the least H1•New HAPSITE generation with new features and expanded capabilities addressing new additional applications. Early days still on adoptions of new applications of CDT in Explosives, Narcotics, Environmental•Cyclical: Still highly dependent on government spending•Some Chinese competition for environmental applications, but also new opportunities.
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Sustainability Achievements in 2024INFICON has a smart follower strategy with regards to sustainability. We made good progress recently, in particular around CO2emissions -9%-44%reduction of greenhouse gas emissions to 1.406 T CO2in 2024(vs 2020)(vs 2023)96%certified green electricity used in all production sites (2023: 93%)50%recycling rate of wasteof energy carrier is electricity74%Mobility initiatives: share-a-ride, bike shelter, e-charging stations 5 Years in a rowcontinuous reduction in absolute greenhouse gas emissions (CO2) despite +68% sales growthEnergy savings: innovative HVAC systems, optimizing of building and production infrastructure, use of solar Plastic & packaging reduction: glass bottles, water dispenser, biodegradable pallet overwraps Note: FY23 and FY24 data reflects the expansion of the scope of coverage: Addition of 4 further production sites (now 100%) and inclusion of gasoline/diesel consumption for the vehicle fleet
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Expectations 2025•We see some positive momentum in certain markets despite the weaknesses and risks across the markets. The visibility is poor, but based on current assumptions, we assume a slow start and some upside in the second half•There are mixed signals as to the shape and timing of the next cycle in the Semiconductor business. We currently expect the acceleration to start in the course of 2025 Moderately optimistic outlook for the upcoming quarters. Growth in selected markets, despite the global uncertainties on the timing of the Semi ramp and risks in a demanding macro environment Guidance for 2025Sales 660 - 710 MUSDOperating Income approx. 20%14
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Product Highlights 2024INFICON launched a series of new products and technologies, including various first-of-a-kind innovations as well as updated versions of existing products. 15 LSP500, LCM025 -vacuum measurement to attract Chinese solar marketZevision® IMC300 -Enabling Efficient Solar Energy, Smart Car Sensors and OLED ELT Vmax -World’s First Solution for Fast, Precise Battery Electrolyte Leak TestingTrigonTM-Next Generation Gauge with New Features Boosting Productivity and LongevityTranspector® CPX -The most Versatile Gas Analyzer Enabling Advanced Semi ProcessesFabGuard® -Smart Facilities Monitor for Sustainable ManufacturingLDS3000 EcoBoost - Saves You Up to 90% on Helium FabTime® -Flexible Factory Reporting with Instant Insights into the Factory HAPSITE® CDT -Protecting Our Environment and First RespondersLSP500, LCM025 -Vacuum Measurement for China’s Solar Market, Ensuring Performance & AdaptabilitySMART-Spray -Revolutionarily Easy Leak Detection with Portable Helium Spray Gun
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Recently at INFICONGreat moments that drive us forward… Connect with us! www.inficon.com/news Formation of Advanced Data Science TeamTechDay 2024Volcano Monitoring Project U.S. Senate celebrates NY Semiconductor Superhighway Lam Research – Supplier Excellence AwardImproving Earthquake Forecasting KOKUSAI ELECTRIC -Excellent Partner Award NASA Moon Mission with INFICON Space Sensor
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Agenda & Speakers 17 Oliver Wyrsch, President & CEO•Key Messages & Figures Q4 2024•Target Market Business Review•Expectations 2025Matthias Tröndle, Vice President & CFO•Financials Q4 2024 and FY 2024•Guidance•Dividend / Share Split•Corporate Calendar
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Q4 2024 Highlights 18 Increased sales and profitability, strong cash generation Except otherwise noted all comparisons vs. previous year Q4 Book to BillSalesGross Margin %< 1Totals presented may not sum due to rounding Operating IncomeEquity RatioCash FlowNet cashCAPEX
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FY 2024 Highlights 19 Increased sales and profitability, strong cash generation Except otherwise noted all comparisons vs. previous year Book to BillSalesGross Margin %< 1Totals presented may not sum due to rounding Operating IncomeCash FlowCAPEX People1‘667+3+0.2%Energy96% certified green electricityFY23: 93%CO2emissions1’406 tons-9%
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Sales 20 Overall Growth, record sales in Semi & Vacuum Coating Note: All figures in MUSDTotals presented may not sum due to rounding Q4 2024 Sales and Growth by Region+ 5.3 %~ 95 MUSDAsia:+ 0.3 %~ 38 MUSDEurope:+ 0.9 %~ 43 MUSDAmericas:+ 3.1 %(vs. Q3 2024)~ 177 MUSDTotal:(including ROW)
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Gross Profit, Costs, and Operating Income Q4 21 Solid Profitability and Gross margin, costs under controlUp 1% in absolute figures and down 0.3 percentage points compared to Q4 previous year. Unfavorable mix and some inventory costs as main driverIncrease due to additional headcounts, costs for several initiatives and performance related expenseIncrease of 9.2%. Our development efforts and investments continue to support future product launches Decrease of 5.5% compared to Q4 2023 driven by slightly lower gross profit margin in combination with moderate increase in operational costsGross profit marginR&D cost (in MUSD)SG&A (in MUSD)Operating income (in MUSD) Totals presented may not sum due to rounding19.5% of NS20.2% of NS 21.9% of NS 20.3% of NS
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Income Tax and Net Income Development 22 Net Profit improved Slightly lower tax rate of 8.4% compared with 8.8% in Q4 last year. Increase driven by an improved financial result (mainly FX) at a slightly lower tax rate. Net income margin at 19.3% (18.6% in Q4 2023)Income Tax (in MUSD)Net Income (in MUSD) Totals presented may not sum due to rounding 18.6% of NS 19.3% of NS
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Balance Sheet Highlights 23 Solid balance sheet, net cash and working capital progress Note: All figures in MUSD Balance Sheet Structure 2024Q4 23Q4 2444.474.9Net Cash51.647.2DSO2.42.4Inventory Turns225.2214.8Working Capital38.929.1Operating Cash FlowTotals presented may not sum due to roundingCash Flow
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FISCAL YEAR 2024 RESULTS24
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Full-Year Sales 25 Growth in all markets and regions, except General Vacuum and EuropeSecurity & EnergyRefrigeration, Air Conditioning & AutomotiveSemi & Vacuum CoatingGeneral VacuumFY 2024 Sales and Growth by Region+ 1.2 %MUSD330~Asia:- 5.3 %MUSD158~Europe: + 1.0 %MUSD178~North America:+ 4.6 %MUSD5~Rest of World: - 0.4 %MUSD671.0Total:(vs. FY 2023)Note: All figures in MUSDTotals presented may not sum due to rounding
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Gross Profit, Costs, and Operating Income YoY 26 Profit Growth, thanks to improved gross margin with contained operating expense Improved margin. Plus 2.1% in absolute numbers and increased by 1.2 %pts vs. previous year, primarily driven by cost efficiencies in the supply chain and a favorable product mixAdditional headcounts and related personnel expense as main drivers for the cost increase. Including IT, Service, Digitalization and other initiativesRise due to continuous development efforts for future product launches as well as higher personnel costs due to additional employees Improved in absolute numbers by 0.6%, as % of sales by 0.2%pts due to solid sales volume in combination with improved Gross Profit Margin and moderate growth in cost Gross profit marginR&D cost (in MUSD)SG&A (in MUSD) Totals presented may not sum due to rounding Operating income (in MUSD) 20.1% of NS 20.3% of NS
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Income Tax and Net Income Development YoY 27 Net Profit Growth Tax rate of 17.3% compared with 17.9% in 2023. A slight decrease in the tax rate, which was influenced by the different composition of the profits of our various international unitsIncrease driven by higher operating income and the improved financial result (mainly FX) at a slightly lower tax rate Income Tax (in MUSD)Net Income (in MUSD) Totals presented may not sum due to rounding 15.7% of NS 16.8% of NS
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Key Balance Sheet Data YoY 28 Improved cash generation and solid balance sheetStable development after record levels from 2023 Decrease mainly due to lower A/R and inventory levels; as a % of sales with improvementHigher than 2023. Focus on investments in capacity, i.e. mostly land, buildings and machinery and equipment Improved and solid levelOperating Cash Flow (in MUSD and % of Sales)CapExp (in MUSD and % of Sales) Working Capital (in MUSD and % of Sales)Equity Ratio Totals presented may not sum due to rounding 32.3% of NS30.2% of NS3.5% of NS 4.2% of NS17.6% of NS 17.4% of NS
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Full-Year 2025 Guidance 29 Moderately optimistic outlook for the upcoming quarters despite global risks and uncertaintiesOutlook 2025INFICON is moderately optimistic about the outlook despite all the global uncertainties and the mixed signals regarding the extent and timing of the next cycle in the semiconductor businessGuidance for 2025Sales 660-710 MUSDOperating Income approx. 20% Sales(MUSD) Operating Income (MUSD)17.0%15.6%19.5%19.2%20.1%~20.0%
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Distribution for 2024 30 Consideration of strong 2024 performance Strong 2024 performanceSolid Balance Sheet, Cash Generation improved•USD 75 million net cash •Shareholders’ equity ratio at 72%Board of Directors intends to propose a cash distribution of CHF 21 per share•CHF 21 as ordinary dividend, represents 5% increase vs. 2024•Annual General Meeting of Shareholders on April 8, 2025•Returning ̴USD 57 million cash to shareholders in 2025•Payout ratio ̴51%
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Share Split 31 1:10 to align stock priceBetter alignment of stock price with average price levels of other SIX listed companiesEnhance liquidity and tradabilityBoard of Directors intends to propose a Share Split of 1:10 to the AGM April 8, 2025•The first trading day after the share split will be April 16, 2025
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Thank you for your attention.Q&A 32Next Events on Corporate Calendar 2025**Earnings dates are subject to change**Annual General Meeting of Shareholders April 8, 2025Q1 FY 2025 Earnings Conference Call, Thursday, April 24, 2025Q2 and HY 2025 Earnings Conference Call, Wednesday, July 30, 2025Q3 FY 2025 Earnings Conference Call, Thursday, October 23, 2025
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INFICON believes that a deep understanding of our customers’ challenges andtheir visions for success are paramount to everything we do. These long-standing partnerships and the commitment to see our customers succeed inspire ourdedicated, talented employees to develop and build market-leading instrumentsthat are a winning combination of outstanding innovation and proven performance.And we value the trust our customers have in us to take risks, move fast andcontinue learning as we push the limits of technology to help them succeed.