I N V E S T O R S P R E S E N T A T I O N

Transcription

1 I N V E S T O R S P R E S E N T A T I O N Rafi Amit, CEO Moshe Eisenberg, CFO April 2018

2 SAFE HARBOR The information presented today contains forward-looking statements that relate to anticipated future operating results and performance. These statements are only predictions based on management s current expectations and assumptions, including with respect to market size, Total Available Market (or TAM ) and revenue targets, and necessarily involve risks and uncertainties. Moreover, our stated revenue targets are inspirational and should not be taken as projections of actual future results. We do not assume any obligation to update the information provided. Actual events or results may differ materially from those projected, including as a result of changing industry and market trends, reduced demand for our products, the timely development of our new products and their adoption by the market, increased competition in the industry, price reductions and other subsequent developments and business conditions, as well as due to risks and other important information identified in the documents filed with the Securities and Exchange Commission, including the Company s Annual Reports on Form 20-F and Reports on Form 6-K. The presentation includes non-gaap financial measures which are not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. Management uses both GAAP and non-gaap measures when evaluating the business internally and therefore believes it is important to make these non-gaap measures available to the financial community. Reconciliations of non-gaap measures to the most relevant GAAP amounts are included in the Company press releases. This presentation includes the company s estimations on Market size and TAM, ( Total Available Market, or TAM ) these estimations can vary and may be differ materially from the reality and are based on internal estimations. TAM or market size is the company s estimation on the total yearly market size. Copyright of Camtek Ltd All rightsreserved 2

3 CAMTEK ID Develops, manufactures and sells inspection and metrology systems to the semiconductor market Market Cap $250m* Net Cash $44m* Employees 270 GLOBAL PRESENCE: China, Taiwan, Korea, Singapore, Hong Kong, USA, Europe 2017 revenues $93m 2017 net income $10m Q417E op. margin 15% +18% YoY +315% YoY *Market CAP as of Apr-10, 2018 Net Cash as of Dec-31, 2017 Copyright of Camtek Ltd All rightsreserved 3

4 WHAT WE DO INSPECTION METROLOGY SOFTWARE SOLUTIONS Advanced Packaging Post Dicing MEMS, RF CMOS Image Sensors RDL Bumping Memory Copyright of Camtek Ltd All rightsreserved 4

5 STRONG CUSTOMER BASE Copyright of Camtek Ltd All rightsreserved 5

6 STRONG AND IMPROVING OPERATING PERFORMANCE Camtek semiconductor revenue and operating income ($m) REVENUE double digit growth More than DOUBLED Semi revenue organically from 2013 to ~15% OI Growth from leverage E Copyright of Camtek Ltd All rightsreserved 6

7 PERFORMANCE HIGHLIGHTS Doubled semiconductor revenues Successfully improved profitability to 15% op. margin Strongest ever balance sheet: net cash YE 2017 Highest ever semi backlog: strong start to 2018 with a number of wins Significant margin improvement: expect to continue in 2018 Growth engines to drive performance DOUBLE REVENUES Again in next 3-5 years Copyright of Camtek Ltd All rightsreserved 7

8 SEMICONDUCTOR MARKET GROWTH ENGINES Multiple Growth Drivers Mobility & Connected Devices Cloud Artificial Intelligence & Machine Learning Blockchain Technologies Autonomous Car Augmented & Virtual Reality Digital Healthcare RF Filters MEMS Advanced Packaging Data Centers & Storage Processing Power Semi-market size $300B $400B $ B Source: Cisco Global Cloud Index, Gartner, Camtek estimates Copyright of Camtek Ltd All rightsreserved 8

9 Count (x1000 wspy 300 mm eq.) ADVANCED PACKAGING Driving Increased Inspection & Metrology Capital Spending Advanced Packaging wafer forecast x1000 wspy 300 mm eq. 45,000 Advanced Packaging penetration expected to DOUBLE ,000 35,000 30,000 20,000 20,000 15,000 10,000 5,000 And # of bumps / wafer is growing Driving AOI spending growth much faster CAGR FC 13,256 15,415 16,455 18,626 21,501 24,902 29,062 14% FO WLP ,968 3,037 3,880 4,882 5,817 54% FI WLP 3,587 3,892 4,134 4,512 4,910 5,327 5,756 8% 2.5D / 3D 1,350 1,798 2,268 2,853 3,463 4,239 5,900 26% TOTAL 17,271 19,901 22,557 26,176 30,290 35,111 40,635 15% Copyright of Camtek Ltd All rightsreserved 9

10 AUTOMOTIVE INDUSTRY TRENDS Today ~70 electronics modules With 4-8k chips by 2020 ~100+ electronics modules expected Engine control unit Power steering HID, LED lighting Diagnosis unit Airbag Climate control Electrical drives (e.g. mirror, seat, sun roof, wiper, window) Dashboard Transmissio n control Keyless entry, Central lock, immobilizer Telematics, multimedia, infotainment, GPS, navigation, E- call, tracking & car alarm system Connectivity TV module Audio system ABS, ESP, TPMS, electro-hydraulic brake, traction control ADAS (e.g. ACC, parking sensor, blind spot detection, radar, lane change assistance) Trunk latches LED lighting Bus interface protection Copyright of Camtek Ltd All rightsreserved 10

11 OUR AVAILABLE MARKET IS GROWING Maintain leading position Increase market share New market 3D Bump Metrology ME 2D Inspection & Metrology Macro Inspection Growth driven by demand for higher reliability, HIGHER RELIABILITY 100% INSPECTION, DEFECT-FREE PRODUCTS US$M Source: Yole, Gartner, Camtek Copyright of Camtek Ltd All rightsreserved 11

12 CAMTEK FOCUS Advanced Packaging OUR TARGET SEGMENTS SHOW DOUBLE-DIGIT GROWTH Fan-out 21% Installed Base 3D IC 19% Based on 800 machines installed worldwide CIS 12% MEMS 12% 16% RF 11% 14% 50% Memory Foundry 7.6% 7.6% 20% Semi total 7% Advanced Packaging Inspection and Metrology CIS RF/POWER/MEMS General Inspection Source: Yole, Gartner, IC Insights % CAGR Memory will grow in 2017 by 60% Copyright of Camtek Ltd All rightsreserved 12

13 WHY ARE WE WINNING TOP Putting our customers 1st High performance systems & technologies Strong R&D Dedicated Solutions Excellent sales and CS Flexible operation organization Copyright of Camtek Ltd All rightsreserved 13

14 INSPECTION CAPABILITIES Bumped wafer defects ICI* 4.9um / pix Multi-layer RDL Chipping CMOS Image Sensor Surface defects INSPECTION *Inner crack detection Copyright of Camtek Ltd All rightsreserved 14

15 METROLOGY CAPABILITIES Bump Height Dicing Process Control Layer Thickness / CD / Overlay RDL (down to 2um) METROLOGY Copyright of Camtek Ltd All rightsreserved 15

16 SOFTWARE SOLUTIONS Automatic Defect Classification Fully automated inspection process Deep Learning based algorithms Yield Analysis Yield enhancement Process control Enhanced data visualization Defect classification Map Analysis Pattern SOFTWARE SOLUTIONS Copyright of Camtek Ltd All rightsreserved 16

17 ONGOING REVENUE GROWTH Camtek Quarterly Revenue Growth (US$) since Q Q4 2017: RECORD SEMI RESULTS $25.8m revenue; +20% YoY GM of 48.7%, approaching target model 16.8 operating income (non-gaap): $3.8m ;14.8% margin LOOKING AHEAD: Highest ever level of backlog Q118 revenue guidance of $26-27m; +25% YoY Double-digit growth for the year; 50% GM & 15% OM Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 Q118E Copyright of Camtek Ltd All rightsreserved 17

18 STRATEGIC PLAN AHEAD Double revenue in 3-5 years: Growth though organic growth and leverage cash for potential M&A Capitalize on new products Next generation metrology system Leverage strength in 3D: growth in 2D through new 2D capabilities Inner Cracks detection capability: brand new market solution Increased software sales higher margins and recurring revenues New growth engines and new segments in expanding markets Macro inspection Leverage on Chinese market expansion where Camtek is well positioned Improving profitability Operating leverage, lower ongoing expenses & increased software component Copyright of Camtek Ltd All rightsreserved 18

19 PROGRESS TO LONG-TERM OPERATING MODEL* *Illustrative Purposes Only we expect double-digit revenue growth in 2018, and combined with our strong operating leverage, we expect to enjoy a strong year of profitability. Rafi Amit, CEO 100% double digit growth from semi 2014 (inc. PCB) 50-52% % 46% 15-20% % % % (inc. PCB) Revenue Gross Margin drivers software sales, leverage Operating Margin drivers efficiencies, leverage Copyright of Camtek Ltd All rightsreserved 19

20 INVESTMENT HIGHLIGHTS GOAL End markets continue to grow quickly Focus on the fastest growing segments of the semiconductor industry Continued improvement in margins & profitability Double revenues again within 3-5 years Copyright of Camtek Ltd All rightsreserved 20

21 T H A N K Y O U!

22 GAAP FINANCIAL RESULTS Annual Annual 2017 FY FY Q1 Q2 Q3 Q4 (US $ in Millions) Revenues Gross Profit Gross Margin 41% 49% 48% 49% 50% 48% R&D % 14% 17% 15% 13% 13% SG&A % 15% 26% 26% 24% 20% Reorganisation Loss from litigation Operating Profit (Loss) Operating Margin 39% -3% 7% -48% 12% 14% Continuing Operations Discontinued Operations Net Profit (Loss) Copyright of Camtek Ltd All rightsreserved 22