封面 LandMark Optoelectronics Corporation 1
Agenda Company Profile Products & competitive advantages Industry Overview Business performance Future Development Source: ERP Guru 2
Company Information Established June, 1997 Capital NT$552,890,920 Products Address Headcounts Epi-wafer for laser diode (LD) Epi-wafer for photo-detector (PD) No.12, Nanke 9th Rd., Shanhua Dist., Tainan City (Southern Taiwan Science Park) 173 people 3
Management Team Title Name Education/work experience General Manager Lin, Wei Ph.D. of EE, Cheng Kung University; joint principal investigator of Chunghwa Telecom Laboratories projects; more than 20 years experience in OMVPE field VP of Sales Department Wu, Yu-Hui Ph.D. of EE, Cheng Kun University; AVP of manufacturing department of South Epitaxy Corporation; more than 15 years experience in OMVPE field. VP of Manufacturing Department VP of R&D Department CFO Hsu, Jong-Tai Komatsu Keiro Yang, Chi-Yu Ph.D. of EE, Cheng Kun University; manager of R&D department of South Epitaxy Corporation; more than 15 years experience in OMVPE field. Electrical Engineering Dept. of Yokohama National University; manager of compound semi-conductor component department of NEC Corporation; senior researcher of compound semi-conductor department of Renesas Electronics Corporation. MBA, National Cheng Chi University; CAP (R.O.C.); Chartered Financial Analyst(CFA) CFO of CMOX Technology Co., Ltd. 4
Company Vision Vision The best laser Epi-wafer manufacture of the world Business Concepts Providing the best service to customers and pursuing the best quality of products Providing products with stable quality, flexible lead-time and competitive price to our customers Committing ourselves to environment protection Pursuing the best interest of shareholders and firming up the ground of company s sustainable development 5
Products Portfolio LD epiwafer InP material (1.2~1.65μm) 2.5G/10G FP LD 2.5G/10G DFB LD (base wafer) 2.5G/10G C-DFB LD (grating and overgrowth completed) PD epiwafer GaAs material Edge emitting LD (0.6~1.06μm) VCSEL InGaAs PD /APD (0.9~1.65μm) GaAs PD (0.6~0.85μm) GaAs InP 6
Product Applications Optical Telecom FTTX / 4G Industrial/ Consumer Applications Cloud Computing/ Silicon Photonic 7
Operation Cycle Joint R&D Specification confirmation and mass production Specification from customer Output simulation and trial production Product Structure design 8
Competitive Advantage Fully comprehend the characteristic of III-V materials, and have plentiful database for structure design Co-develop new products with US and Japan partners with advanced technology Adequate capacity for mass production Advanced technology/ advantage of economics scale Low operational cost Part of the machines have been fully depreciated Streamlined human resource/ automated production line The only dedicated epitaxy manufacturer in Greater China region Key upstream material supplier in Laser industry Key position in the supply chain of the industry Re-growth services Shorten the development time of customer s products;increase customer s dependence on our product/service Increase ASP and profit 9
Architecture of optical communication Source: ZTE 10
Supply chain of optical laser Epitaxy Device Fabrication Module Fabrication LMOC s Customers System 11
Market trend of optical communication Sources: TelecomPaper, Dutch Broadband Million US dollars Statistics and prediction of Global Laser Market 14,000 12,133 12,000 15.82 11,080 10,153 10,000 8,660 8,810 9,330 7,944 8,000 6,859 9.01 8.82 9.13 9.5 6,000 5.9 4,000 1.73 2,000 0-2010 2011 2012 2013 2014 2015 2016 2017 % 20 15 10 5 0 Source:IEK 2014.02 Amount Growth Rate 12
4G / LTE Bandwidth Demand Data transmission capacity of 4G is estimated to be 20 times of 3G+2G in 2017 13
Introduction of Si Photonics Production Process of Si-Photonics Si Manufacturing Optical Communications High Volume Low cost Very high bandwidth Highly integrated Scalable Light weight Long distances Immunity to electrical noise Solve the physical limitation of copper wire Significantly reduce the power consumption of data transmission 14
Development of Si Photonics Source: YOLE 15
Market Size of Si Photonics The CAGR of year is estimated to exceed 38% Source: YOLE Source: PhotonIC Corp 16
Market of industrial/consumer laser The vertical-cavity surface-emitting laser (VCSEL) market is increasing at a compound annual growth rate (CAGR) of 33.1% from $501m in 2013 to nearly $2.1bn in 2018, estimates BCC Research Source : JDSU Source : Oclaro 17
Revenue geography 2014 Others 2% U.S. 40% Taiwan 25% 2013 Others 3% China 33% U.S. 26% Taiwan 27% 2012 Others 3% China 44% U.S. 18% Taiwan 44% China 35% 18
Major Customers 2014 C 27.87% 2013 C 12.12% D 23.59% Others 35.20% A 13.34% B 23.31% 2012 Others 54.93% C 5.06% A 9.64% B 23.02% A 26.22% Others 45.70% 19
Financial Information NTD$1,000 1,400,000 1,200,000 1,000,000 800,000 600,000 400,000 200,000-2011 2012 2013 2014 Net Operating revenue 470,308 600,877 714,904 1,307,263 EPS 3.29 4.41 5.02 11.19 NTD$ 12 10 8 6 4 2 0 Net Operating revenue EPS Income statement(ifrss) (Unit: NTD$ 1,000) FY2014 FY2013 Growth Rate 1Q15 1Q14 Growth Rate Net operating revenue 1,307,263 714,904 82.86% 388,655 284,013 36.84% Gross margin 61% 56% 8.93% 64% 63% 1.59% Operating expenses 92,834 76,357 21.58% 30,716 20,909 46.90% Operating profit ratio 54% 45% 20.00% 57% 55% 3.64% Earning before tax margin 57% 46% 23.91% 57% 56% 1.79% Profit margin 47% 38% 24.30% 47% 47% 0.26% EPS 11.19 5.02 122.91% 3.3 2.45 34.69% 20
Financial Information(cont.) Balance Sheet(IFRSs) (Unit: NTD$ 1,000) 3/31,2015 FY2014 FY2013 FY2012 Cash and cash equivalents 764,717 614,264 345,724 31,261 Current Assets 1,304,426 1,111,450 657,005 564,190 Property, plant and equipment 667,730 660,072 474,321 305,735 Total Assets 2,034,321 1,783,938 1,143,768 886,308 Current Liabilities 360,930 293,128 154,061 120,060 Non-current Liabilities 4,579 4,651 2,684 3,245 Total Liabilities 365,509 297,779 156,745 123,305 Capital Stock 552,891 552,891 452,416 366,280 Retained Earnings 1,074,027 796,859 437,058 336,234 Total Shareholders' Equity 1,668,812 1,486,159 987,023 763,003 % ROE 50 40 30 20 10 0 30.57 33.53 30.87 49.64 46.31 2011 2012 2013 2014 1Q,2015 21
Product Development Plan Silicon Photonics and Data transmission of data center FTTX Industrial/Consumer application Epi-wafer for High speed 25G(>10G) 1.5/1.3um EML 1.3um DFB-LD base + Modulator for SiP Epi-wafer for high speed (25~40G) VCSEL Epi-wafer for high speed 25G C-DFB laser Epi-wafer for 4xλ CWDM C-DFB 1.27~1.33um Epi-wafer for >25G (Max. ~50G)edge coupled PD (ECPD) Epi-wafer for High power LASER(wavelength <1100nm) Epi-wafer for 10G APD base/c-apd 22
Developing Goals of the Company The leading supplier of epiwafers for global optical communication and silicon photonics Laser products Focusing on three major application field, and becoming leading supplier of epiwafers for consumer laser products of the world Investing in comprehensive automated production line and equipment for high speed laser 23
Thank you! Source: Huawei 24