Macronix — Interim / Quarterly Report 2023

Aug 29, 2023

Macronix International Co., Ltd. Second Quarter 2023 Results July 25, 2023

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Safe Harbor Statement

The presentation and discussion contain certain forward-looking statements with respect to the results of operation, financial condition and current expectation. The forward-looking statements are subject to known and unknown uncertainties and risks that could cause actual results to differ from those or materially expressed implied by such statements.

Such risks and uncertainties include but are not limited to the impact of competitive products and pricing, timely design acceptance by our customers, timely introduction of new technologies, ability to ramp new products into volume, industry wide shifts in supply and demand for semiconductor products, industry overcapacity, availability of manufacturing capacity, financial stability in end markets, and other risks.

The forward-looking statements in this release reflect the current belief of Macronix as of the date of this release and Macronix undertakes no obligation to update these forward-looking statements for events or circumstances that occur subsequent to such date.

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Copyright © Macronix International Co., Ltd. 1
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A enda g

Welcome C.Y. Lu 2Q23 Financial Results Paul Yeh Business Update C.Y. Lu Remarks and Q&A C.Y. Lu

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2Q23 Financial Highlights

2Q23 1Q23 2Q22 Revenue NT$ 7.4 NT$ 7.1 NT$ 11.3 (Billion NT$) Gross 28.3% 25.1% 48.2% margin % Operating (2.2% ) (6.2%) 26.3% margin %

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1H23 Financial Hi hli hts g g

1H23 1H22 Revenue NT$ 14.5 NT$ 22.9 (Billion NT$) Gross 26.8% 48.3% margin % Operating (4.2% ) 27.0% margin %

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A enda g

Welcome C.Y. Lu 2Q23 Financial Results Paul Yeh Business Update C.Y. Lu Remarks and Q&A C.Y. Lu

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Quarterly Financial Results

Unit：NTD Million (except EPS) Net Sales Gross Profit Gross Margin% Operating Expenses Operating Income (Loss) Operating Margin% Net Non-Operating Income (Loss) (Loss)Income Before Taxes Income Taxes Benefit (Expense) Net(Loss)Income	2Q23 1Q23 2Q22	QoQ YoY
	7,429 7,104 11,340 2,103 1,786 5,465 28.3% 25.1% 48.2% (2,269) (2,225) (2,484) (166) (439) 2,980 (2.2%) (6.2%) 26.3% 249 51 409 83 (388) 3,389 (12) 33 (454) 71 (355) 2,935	5% (34%) 18% (62%) 3.2ppt (19.9ppt) 2% (9%) (62%) (106%) 4.0ppt (28.5ppt) (121%) (98%) (120%) (98%)
Basic EPS(NT$)	0.04 (0.19) 1.59
EBITDA EBITDA % Weighted avg outstanding million shares	1,193 755 4,579 16% 11% 40% 1,854 1,854 1,849

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1H23 Revenue and O eratin Mar in p g g

Unit：NTD Million (except EPS) Net Sales Gross Profit Gross Margin% Operating Expenses Operating Income Operating Margin% Net Non-Operating Income (Loss) Income Before Taxes Income Taxes Benefit (Expense) Net Income	1H23 1H22	YoY
	14,533 22,938 3,888 11,069 26.8% 48.3% (4,494) (4,871) (606) 6,198 (4.2%) 27.0% 300 597 (305) 6,795 21 (931) (284) 5,864	(37%) (65%) (21.5ppt) (8%) (110%) (31.2ppt) (104%) (105%)
Basic EPS(NT$)	(0.15) 3.17
EBITDA 1,948 9,156 EBITDA% 13% 40% Weighted avg outstanding million shares 1,854 1,844

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Sales and Gross Mar in Rate g

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2019 2020 2021 2022
34,995M 39,801M 50,573M 43,487M
Sales
NTD M Net Sales Gross Margin% Margin%
16,000 80%
14,974
14,545
11,906 11,598
12,000 11,427 11,340 [11,471 ] 60%
10,957
10,158
9,581 9,415 9,271 9,627
9,078
47% [48%] [48%]
8,000 7,479 43% 44% 7,104 [7,429 ] 40%
6,029 39%
35% [36%]
32% [34%] 34%
31%
30%
28%
4,000 25% [27%] 26% 25% 20%
0 0%
1Q19 2Q 3Q 4Q 1Q20 2Q 3Q 4Q 1Q21 2Q 3Q 4Q 1Q22 2Q 3Q 4Q 1Q23 2Q
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Cor orate Value p

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2Q23 2Q22
Basic EPS -- NT$ 0.04 1.59
Book Value -- NT$ 26.70 26.36
Basic EPS Book Value
NTD NTD
4.85
NT$ 1.8
1.58 1.59 NT$ 1.8 cash dividend
1.35 cash dividend
0.33
0.04
1Q22 2Q 3Q 4Q 1Q23 2Q
(0.19)
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Return On Equity (GAAP)

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16%
13%
(LTM [] ) (LTM)
58% 180%
(LTM) (LTM)
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Note ：[*] LTM (Last Twelve Months)

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Quarterly Consolidated Condensed Balance Sheet

Unit: NTD Million (except BV)	6/30/'23	3/31/'23	6/30/'22
Cash	15,885	14,999	20,078
Inventory(Net)	14,224	14,959	15,241
Property, Plant and Equipment	40,186	39,914	35,278
Total Assets	81,783	81,740	83,722
Interest bearing debt - short term	5,429	5,325	3,220
Interest bearing debt - long term	11,841	8,790	8,678
Total Liabilities	32,290	29,132	34,845
Debt Ratio (%)	39.5%	35.6%	41.6%
Shareholders' Equity	49,493	52,608	48,877
Book Value -- NT$	26.70	28.38	26.36

Note: MXIC Issues 2023/06/30 outstanding million shares of 1,854

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Quarterly FCF and Capex Plan

Unit: NTD Million	2Q23	1Q23	2Q22
Cash Flow from Operating	(506)	(425)	4,090
Depreciation & Amortization	1,044	1,076	1,141
Cash Flow from Investing	(1,746)	(2,689)	(1,956)
Capital Expenditures	(1,703)	(2,748)	(2,126)
Cash Flow from Financing	3,167	(1,566)	(294)
Net Change*	887	(4,765)	1,545
EndingBalance	15,885	14,999	20,078
Free Cash Flow**	(2,210)	(3,173)	1,964
*Net change includes the effect of exchange rate changes
**Free Cash Flow=Cash Flow from Operating		- Capital Expenditures

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Quarterly Sales Breakdown by Products (Parent Company)

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Unit: NTD Million
12,000
15%
8,000
QoQ YoY
9%
11% Change Change
58%
NAND -8% -57%
46%
53%
4,000 NOR -7% -47%
ROM +35% +40%
18% 39%
30%
FBG -5% -59%
9%
0 6% 6% * FBG (Foundry Business Group)
2Q22 1Q23 2Q23
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A enda g

Welcome C.Y. Lu 2Q23 Financial Results Paul Yeh Business Update C.Y. Lu Remarks and Q&A C.Y. Lu

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Business U date - ROM p

 ROM business

• Strong high density products shipment in Q2’23

• Consumers’ feedback on the legendary game title is good

Density shipment index: 1Q18 =100

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Business U date - NOR p

 NOR business

• Inventory digestion takes longer time due to the macroeconomic slowdown

• End applications markets demand is lukewarm while the decline slope is getting slower than previous quarter

Density shipment index: 1Q18 =100

≧75 nm 55 nm

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The Best Flash Solution for Automobile A lications pp

 Auto business

The leading automotive brands keep launching their innovative auto solutions with more electronics devices and smart functions

NOR Flash by Automotive Density shipment Index: 1Q18 =100

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Business Update – NOR Breakdown (Parent Company)

 High Value-add Markets

Beside high density, Macronix helps our innovative customers with various density of NOR such as automotive, industrial and medical applications

Net Sales % NOR breakdown by density

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22%
31%
36% 35%
42% 40% 41% 42%
50% 48% 52% 51% 50% 47% 45%
High
45%
40%
38% 39%
34%
34% 35%
32% 31% 28% 31% 33% 37% [36%] [38%] Mid
(32Mb~128Mb)
33%
29%
26% 24% 26% 26% 24% Low
18% 21% 20% 18% 17% 16% 19% 20%
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'18 '19 '20 '21 '22 1Q21 2Q 3Q 4Q 1Q22 2Q 3Q 4Q 1Q23 2Q

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Business Update NOR – Quarterly (Parent Company)

1Q23 NOR Revenue Breakdown 2Q23 NOR Revenue Breakdown

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Computer	Consumer	Communication	Automotive	I.M.A
+1% QoQ	-10% QoQ	-12% QoQ	-6% QoQ	-11% QoQ
-49% YoY	-52% YoY	-58% YoY	-28% YoY	-46% YoY

Note ：[] Comm: including handsets ；[*] I(Industrial), M(Medical), A(Aerospace-defense)

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A enda g

Welcome C.Y. Lu 2Q23 Financial Results Paul Yeh Business Update C.Y. Lu Remarks and Q&A C.Y. Lu

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Copyright © Macronix International Co., Ltd. 20
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For more information regarding Macronix http://www.macronix.com

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For all inquiries, suggestions and comments ir@mxic.com.tw