SÜSS MicroTec SE

Investor Presentation • Apr 2, 2020

SUSS MICROTEC

ANNUAL FIGURES FOR FISCAL YEAR 2019

APRIL 2, 2020

This presentation contains forward-looking statements relating to the business, financial performance and earnings of SUSS MicroTec SE and its subsidiaries and associates. Forward-looking statements are based on current plans, estimates, projections and expectations and are therefore subject to risks and uncertainties, most of which are difficult to estimate and which in general are beyond the control of SUSS MicroTec SE. Consequently, actual developments as well as actual earnings and performance may differ materially from those which explicitly or implicitly assumed in the forward-looking statements. SUSS MicroTec SE does not intend or accept any obligation to publish updates of these forward-looking statements.

FINANCIAL YEAR 2019 AT A GLANCE

• Order entry started behind expectation and increased in late Q3/19 by approx. 45%
• Continuously strong business in Photomask Equipment and Microoptics
• Opened demo center in the US through cooperation with BRIDG in Florida
• Project start for the new production site in Taiwan
• Change in the Management Board: Oliver Albrecht appointed as new CFO
• Acquisition of PiXDRO jet-coating technology in Dec 19 (closing 31 Mar 20)
• Market outlook for Scanner and Laser Stepper: shut-down of US production
• Financial performance below expectations due to low margins and special one-off effects

KEY GROUP FIGURES 2019

I € i l l i n m o n	F Y 2 0 1 9	F Y 2 0 1 8	% D l t e a	Q 4 2 0 1 9	Q 4 2 0 1 8	% D l t e a
d O t r e r e n r y	2 1 9. 3	1 9 1. 0	1 4. 8	6 1. 4	6 5. 8	6, 5 -
/ b k l d O 3 1 1 2 r e r a c o g	9 3. 2	8 4. 7	1 0. 0	9 3. 2	8 4. 7	1 0. 0
l S a e s	2 1 3. 8	2 0 3. 9	4. 9	8 2. 7	7 1. 1	1 6. 3
E B I T	1 3. 8 -	1 0. 9	--	8. 1 -	4. 1	--
i E B I T m a r g n	6. 5 % -	5. 3 %	1 1. 8 p -	9. 8 % -	5. 8 %	1 5. 6 p -
d d j E B I T t a s e u	0. 5	1 0. 9	9 5. 4 -	6. 2	4. 1	5 1. 2
i d j d E B I T t m a r g n a u s e	% 0. 2	% 5. 3	-5 1 p	% 7. 5	% 5. 8	1. 7 p
f i E t t a r n n g s a e r a x	1 6. 3 -	4. 8	--	6 -7	1. 5	--
E P S i € n	0. 8 5 -	0. 2 5	--	0. 3 9 -	0. 0 8	--
h f l F r e e c a s o w	3 6. 9 -	-5 0	--	8. 2 -	1 7. 7	--
/ h N 3 1 1 2 t e c a s	1 8. 0 -	2 8. 2	--	1 8. 0 -	2 8. 2	--
/ l 3 2 E 1 1 m p o y e e s	9 3 7	8 8 0	6. 5	9 3 7	8 8 0	6. 5

SEGMENT OVERVIEW 2019

M icr t ics oo p					L i t ho hy g ra p
in M io €	2 0 1 9	2 0 1 8			in M io €	2 0 1 9	2 0 1 8
Or de try r e n	2 3. 6	1 4. 2			Or de try r e n	1 0 6. 0	1 1 1. 0
Sa les	2 2. 6	1 3. 1			Sa les	1 1 7. 3	1 1 9. 5
E B I T	2. 2	0. 6			E B I T	-1 9. 3	6. 3
E B I T m in in % arg	9. 7	6 4.			E B I T m in in % arg	-1 6. 4	3 5.
S t t h r o n g g r o w	i d n o r e r				E B I T h i l e a v y i l f f t s p e c a e e c s	f f d t a e c e f l r o m c	f r o m i o s n g
l E t e n r s a e s, y,	B I T.		S U S S M ic ro in Mio €	Te G c ro up	C o r o n a p r	d t i o c o u	i t n s e.
			Or de try r e n	2 1 9. 3
			Sa les	2 1 3. 8
			E B I T	-1 3. 8
S l i d d t o o r e r e n r	h y, o w e	v e r	E B I T in ma rg	-6 5 in %	S t r o n g g	h i t r o w n	d o r e r
b k- t r e a e v e n n o r	h d e a c e		E B I T d j. a	0. 5	t e n r	l y, s a e s,	E B I T.
t. e y			E B I T in ma rg a	0. 2 d j.
Bo de n r					P ho to k Eq ip m as u	t me n
in M io €	2 0 1 9	2 0 1 8			io € in M	2 0 1 9	2 0 1 8
Or de try r e n	2 4. 6	2 0. 1			Or de try r e n	6 4. 0	4 6 5.
Sa les	2 6. 4	3 6. 9			Sa les	6. 4 4	3 3. 8
E B I T	-0. 3	4. 8			E B I T	9. 7	4. 7
E B I T m in in % arg	-1. 0	1 3. 1			E B I T m in in % arg	2 1. 1	1 4. 0

ORDER ENTRY: QUARTERLY PERFORMANCE

BALANCE SHEET

in million Euro

ASSETS

SÜSS MicroTec SE Investor Presentation

BRIDGE FROM GUIDANCE TO FINAL RESULTS

	in mi llio Eu n ro
Gu i da 2 0 1 9 nc e	Sa le s	E B I T- in m ar g
2 7. 0 3. 1 9	2 0 0 2 1 5 -	% % 6, 5 8, 0 -
0 6. 1 1. 1 9	2 0 0 2 1 5 -	4, 0 % 5, 0 % -
2 7. 0 1. 2 0	2 0 0 2 1 5 -	0 <

Gu i da E B I T 2 0 1 9 ( in i l l io € ) nc e m n	9, 7	4, 5 1 %
f fe 3 f D i t p du t m ix in Fo t tu l ig in re n ro c re ca s vs . a c a ur es Q 4	-2 5 ,
De ia ion l ise d ins fo d ins t te + v re a ma rg vs re ca s ma rg de bs t ion un ra or p	-2 4 ,
A d j tm ts f inv to lua t ion ty ls + us en o en ry va w ar ra n ac cru a	-1 8 ,
In ion ls S M O cre as e p en s a cc ru a	-0 8 ,
O Un de t im te d P E X re s a	-0 6 ,
Se ts ve ra nc e p ay me n	-0 5 ,
A dv iso fe ( M & A de l + Re f ina ing ) ry es a nc	-0 3 ,
F X f fe t e c	-0 2 ,
To ta l	-9 2 ,
A d j te d E B I T 2 0 1 9 us	0, 5	0, 2 %
A l low fo inv to S M T P S an ce r en ry	-1 3, 1
W i te f f a ts S M T P S r -o ss e	-1 2 ,
To ta l	-1 4, 3
E B I T 2 0 1 9	-1 3, 8	-6 5 % ,

MEASURES TO IMPROVE PROFITABILITY AND CASH FLOW

Short term actions

• • Change in purchasing policy
• Re-negotiation of purchase conditions,
• More global sourcing
• -Procurement in Asia: start in Taiwan, China to follow
• -Re-structure internal organization for more efficiency
• • Secure stable cash position in the given environment (postpone investments, increase down payments, etc.)

Longer term actions

• -More focus on design to cost
• -More standardization of products
• -Improve manufacturing system for more efficiency
• -Increase internal transparency and responsibilities

STRATEGIC DECISION: PRODUCT DISCONTINUATION

• -Discontinuation of product lines (stepper/scanner & laser)
• -Closing of production site by the end of ²⁰²⁰
• -Continuation of Sales & Service functions in the US

E f f t e c s
2 0 1 9	1 4, 2 M i € o	f f d l t i o n e- o e a a o n v u
2 0 2 0	i d d l d i i b i M i €	f t h i t d d u r e r w r e o w n s a n
	t m e o n e- g n u m e r n o	l t c o s u r e c o s s

SALES 2019 PER REGION

• -Asia/Pacific has become the dominant region
• -Start production of Coaters out of Taiwan in 2020
• -First manufacturing and procurement, application and demo center to follow

MARKET OUTLOOK

• Market outlook is very positive but impacted by COVID-19 uncertainties

• Unclear how the whole economy will develop throughout the year

• Right now it has become visible to everybody: we need to invest in broadband communication systems

• Significant increase in demand from telecom market
• Emerging technologies like 5G, IoT, high-performance computing, augmented reality, artificial intelligence, autonomous driving etc. will drive future demand
• Customers are still pushing for shorter delivery times
• China is on the way to "normal" production level
• If we get our act together on supply chain and delivery we will be fine!

GUIDANCE ²⁰²⁰

• -Q1 2020 + Q2 2020: Order entry of € 100 million to € 110 million
• -FY 2020 *): Sales of € 230 million to € 240 million

EBIT-margin: 2.5% to 3.5% (including one-off effects from closing Corona)

EBIT-margin (adjusted): 4.5% to 5.5% (excluding one-off effects)

SÜSS MicroTec SE Investor Presentation ¹²-*) Guidance might be highly impacted by effects from Covid19 virus pandemic