SÜSS MicroTec SE

Investor Presentation • Mar 30, 2016

SUSS MICROTEC INVESTOR PRESENTATION

April 2016

DISCLAIMER

This presentation contains forward-looking statements relating to the business, financial performance and earnings of SUSS MicroTec AG 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 AG. Consequently, actual developments as well as actual earnings and performance may differ materially from those which explicitly or implicitly assumed in the forwardlooking statements. SUSS MicroTec AG does not intend or accept any obligation to publish updates of these forward-looking statements.

TABLE OF CONTENT

I. SUSS MicroTec at a Glance

• II. Products & Markets
• III. Financials
• IV. Outlook

SUSS MICROTEC AT A GLANCE

Global leader in manufacturing equipment for semiconductor devices

• SUSS' Equipment creates micro structures that connect micro electronic devices
• Focus on growth segments: advanced packaging, MEMS, and 2.5D / 3D Integration
• Attractive end markets: smartphones, tablets, automotive, LED, sensors, IoT, …

Sales FY 2015: €148.5 million

• EBIT FY 2015: € 5.0 million (EBIT-margin: 3.4%)
• Net Cash 2015: € 40.0 million
• Market Cap 03/24/2016: € 185 million

SUSS MICROTEC – A GLOBAL PLAYER

NORTH AMERICA

Order Entry 27.6 € million Sales 28.0 € million Employees 116

EMEA

Order Entry 48.8 € million Sales 40.5 € million Employees 448

ASIA

Order Entry 112.2 € million Sales 80.0 € million Employees 134

TABLE OF CONTENT

I. SUSS MicroTec at a Glance

II. Products & Markets

• III. Financials
• IV. Outlook

SUSS MICROTEC IN THE VALUE CHAIN

MARKET DRIVERS

Connectivity & Data Processing	+ Connection through apps, social media, data streaming + Connectivity of devices, Internet of Things (IoT) + Permanent internet connectivity provided by smartphones and tablet PCs at affordable cost + Industry 4.0 connectivity of manufacturing units
Mobility & Automotive	+ Autonomous, electric and plug in hybrid cars, E-Bikes, trains drive the need for power devices and high performance ICs at the same time + Growing electronic content and sensors (MEMS) for autonomous cars

Energy Efficiency	+ Environmental awareness and rising energy costs drive the demand for energy efficient devices + Energy efficiency in industrial production + Smart energy management in household applications
	+ Green energy management systems

SEGMENTS AND MARKETS

Adjacent Markets

Micro Optics

SEGMENTS AND PRODUCTS

Wafer-level packaging (WLP) and assembly equipment

Source: Gartner, January 2016

Attractive growth opportunities within wafer-level packaging:

• Fan-out WLP
• Copper pillar
• Bumping
• Grow market share for core products in advanced packaging: coater/developer, mask aligner
• Achieve traction for new advanced lithography products from SUSS MicroTec Photonic Systems:
• Further HVM orders for scanner products

• Qualification of laser products at key customers

• Internet of Things (IoT)

• Smartphones and tablets
• Automotive applications
• Health/biomedical applications
• Grow market share for core products for MEMS: coater/developer, mask aligner, substrate bonder
• Market re-entry permanent bonder with new differentiated product

Source: Yole, May 2015

IC SCALING TECHNOLOGIES FROM 2D TO 3D

• Increased performance and complexity of ICs by shrinking transistor geometry according to Moore's Law
• New technologies like EUV and multiple patterning drive further scaling

• Technical challenges and limitations make it increasingly more difficult and expensive to reduce the feature size

• Combining of several devices on an interposer addresses the limitations of traditional shrinking while enhancing performance

• Increased packaging density
• Reduced footprint
• Packaging becomes enabler and addresses performance slow down of Moore's Law

2D Packaging 2.5D Packaging 3D Integration (TSV)

• Stacking of several devices horizontally enables high performance at a low footprint
• TSV and bonded thin Si technology becomes key enabler for scaling
• Performance and complexity increase combined with smaller footprint
• Reduced energy consumption

SUSS MicroTec's equipment and process solutions enable 2D shrinking ("Moore's Law") and 2.5D / 3D integration ("More than Moore")

TABLE OF CONTENT

• I. SUSS MicroTec at a Glance
• II. Products & Markets

III. Financials

IV. Outlook

ORDER ENTRY Q4 2015 AT RECORD LEVEL

Order Entry by Segment Order Entry by Region

Order Entry in € million Sales in € million

Order Backlog in € million

Free Cash Flow in € million

Net Cash in € million

EBIT in € million

* Including a -13.2 € milion one-off effect from restructuring of the product line permanant bonding (-0,69 € per share)

Sales in € million

Order Backlog in € million

Free Cash Flow EBIT in € million in € million

Net Cash in € million

in € million	2015	2014	in %
Order Intake	188.6	134.3	+40.4%
Order Backlog 12/31	117.6	75.6	+55.6%
Revenue	148.5	145.3	+2.2%
EBIT	5.0	8.4	-40.5%
EBIT in % of Sales	3.4%	5.8%	-2.4%pt.
Earnings after tax	0.2	4.6	-95.7%
EPS in €	0.01	0.24	-95.8%
Net Cash*	40.0	38.0	+5.3%
Free Cash Flow**	1.3	2.1	-38.1%
Employees 12/31	698	659	+5.9%

* before consideration of purchased / sold interest-bearing securities

TABLE OF CONTENT

• I. SUSS MicroTec at a Glance
• II. Products & Markets
• III. Financials
• IV. Outlook

ROADMAP TARGETS

Short-term	 Grow market share for core products in all market segments  Traction for new advanced lithography products from SUSS MicroTec Photonic Systems  Stabilize Company at positive EBIT and cash generation, continue revenue growth:  Gross margin 30-35%
Mid-term	 Focused product portfolio  Positive EBIT from Bonder Division and Photonic Systems  Successful new adjacent market entries (leverage existing technologies to grow SAM)  Continue revenue growth at positive EBIT and cash generation:  Sales of >200M  Gross margin >35%  EBIT margin >5%
Long-term	Continue revenue growth at positive EBIT and cash generation:   Sales of >200M  Gross margin >35%  EBIT margin 10%

OUTLOOK 2016

Market Outlook	 Market environment becomes challenging in 1H 2016 and customers become more cautious with investments
	 Outlook of SUSS MicroTec and our peer group is cautiously optimistic for H2 2016
	 Market analysts expect the semi market to grow by 1 - 2% in 2016
	 Market for WLP and assembly equipment expected to be flat
	Market forecasts show a return to the growth path in WLP  and assembly with double digit yoy growth in 2017 and 2018
SUSS MicroTec Outlook	 FY 2016: Sales 170 - 180 € million EBIT 9 – 13 € million
	 Q1 2016: Order Intake 25 - 35 € million

SÜSS MicroTec AG Schleissheimer Str. 90 85748 Garching

www.suss.com

Franka Schielke

Tel.:	+49 89-32007- 161
Fax.:	+49 89-32007- 451
Email:	franka.schielke@suss.com

SÜSS MicroTec AG Schleissheimer Strasse 90 85748 Garching Germany www.suss.com

Contact Financial Calendar 2016 German Equity Forum, Frankfurt 23-25 Nov

Financial Calendar 2015

KeplerCheuvreux Investment Conference, Frankfurt	20 Jan
Annual Report 2015	30 Mar
Quarterly Report 2016	4 May
Annual General Meeting 2016, Munich	15 Jun
Interim Report 2016	5 Aug
Nine-month Report 2016	9 Nov

SHARE PRICE DEVELOPMENT AND MAJOR HOLDERS

(Price of the SUSS MicroTec Share at January 2, 2015: 4.88 € )

Average daily trading volume January 2015 – March 2016: ~ 165,000

Date	Institution	Analyst	Recommendation	Target
11.02.2016	Hauck & Aufhäuser	Tim Wunderlich	Buy	12,50 EUR
15.02.2016	Baader Bank AG	Günter Hollfelder	Buy	8,00 EUR
24.03.2016	Warburg Research	Malte Schaumann	Buy	12,00 EUR
24.03.2016	DZ Bank AG	Harald Schnitzer	Hold	7,50 EUR
11.02.2016	Kepler Cheuvreux	Bernd Laux	Hold	8,00 EUR
11.02.2016	Berenberg	Tammy Qiu	Buy	9,00 EUR
12.02.2016	equinet Bank AG	Adrian Pehl	Auccumulate	8,50 EUR
28.01.2016	Bankhaus Lampe	Dr. Karsten Iltgen	Hold	8,00 EUR
08.05.2015	Oddo Seydler	Veysel Taze	Buy	6,00 EUR
13.08.2014	Deutsche Bank	Uwe Schupp	Buy	9,00 EUR

LONG TERM BUSINESS DEVELOPMENT BY QUARTER

EBIT, FREE CASH FLOW AND NET CASH DEVELOPMENT

* one-off effect from restructuring the product line permanent bonding

MAIN COMPETITORS AND PEER GROUP

Peer Group
BE Semiconductor:	equipment for leadframe, substrate and WLP applications (die attach, wire-bonding, plating), target markets include electronics, computer, automotive, industrial, LED and solar energy
Ultratech:	steppers for the semiconductor market, advanced packaging, nanotechnology, laser processing (LSA)
Kulicke & Soffa:	design and manufacture of equipment for semiconductor, LED and electronic assembly (wire-bonding, advanced packaging)
Rudolph Tech:	equipment and software solutions for macro defect inspection, probe card test and analysis, thin film metrology, advanced packaging lithography systems (steppers)
EV Group:	equipment for wafer-bonding, lithography/nanoimprint lithography (NIL), metrology, photoresist coating, cleaning and inspection for the target markets: advanced packaging, compound semiconductor and silicon-based power devices, MEMS, nanotechnology and SOI

MAIN PRODUCTION SITES

*Production site is owned by SUSS MicroTec