Spirox Corp. — Call Transcript 2022

Dec 22, 2022

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Spirox Corporation (Stock Code :3055) 2022 Third Quarter Earnings Conference

Spokesperson Noelle Ni 22 Dec 2022

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Spirox Confidential Delivering Smarter Solutions

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Safe Harbor Notice

• This presentation contains "forward-looking statements" and based on our own information and information from other sources we believe to be reliable. Our actual results of operations, financial condition or business prospects may differ materially from those expressed or implied in these forward-looking statements for a variety of risk factors which are beyond our control.

• The forward-looking statements in this presentation reflect our current expectations. About these forward-looking statements, we undertake no obligation to update any forward-looking statement, whether as a result of new information, future events, or otherwise.

• We didn’t expressed or implied any statement or promise, you should not place undue reliance on this presentation. The presentation does not constitute an offer of securities issuance.

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Agenda

• Financial Review

• 2022.4Q & 2023 Outlook

• Q&A

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Financial Review

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Spirox Confidential Delivering Smarter Solutions

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Statement of Consolidated Income(QoQ)

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Statement of Consolidated Income(YoY)

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Consolidated Balance Sheet

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Consolidated Cash Flow Highlights & Financial Ratio

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Consolidated Cash Flow Highlights

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Consolidated Revenue Status: 2022.1-9 v.s.2021.1-9

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Consolidated Revenue Status as of 2021.11 v.s.2021.9

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2022.4Q & 2023 Outlook

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Spirox Confidential Delivering Smarter Solutions

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2022.4Q & 2023 Outlook: Semiconductor Equipment Distribution

• China operation and shipping was impacted by Covid-19 epidemic and lockdown in Shanghai and result in 18% revenue decrease compared to which in 2021.

• Rebalance product portfolio and market strategy:

• Distribution: focus on non-local-competition and low US-tech involved products and transfer to buy-and-sell mode to increase gross profit, including

  • Ｗafer Prober (KOREA)：for wafer testing

  • Hamamatsu (JAPAN)： for wafer electrical failure analysis

  • Toray TCB(JAPAN)：for high-level stacked package

  • TESCAN(CZECH)：FIB SEM and Microscope

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2022.4Q & 2023 Outlook: Semiconductor Equipment Distribution

• Rebalance product portfolio and market strategy:

• The third generation semiconductor (SiC/ GaN) market： Integrate Southport optical analysis system and SEMICS prober to provide non-destructive testing service to customers to improve yield. Strong demand from SiC substrate and EPI in both China and Taiwan (Product: MA3055)

• Spirox OWN products: best way to increase gross profit rate

• MA6500 Macro Inspection System: 1st set was shipped in Nov 2022

• MA3055 Material Analysis System: for The third generation semiconductor Defective Wafer Detection. Expect to take orders from 2023.2Q.

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2022.4Q & 2023 Outlook: Subsidiaries & Investment

• Jetek Technology (Taiwan):

• ⎻ Keep developing CIS solution to generate revenue and profit in 2023 expectedly.

• VESP Technology (Hefei):

• ⎻ Approved by the Board of Directors, VESP Technology (Hefei) will be disposed.

• UnionSemicon (Hefei):

• ⎻ Holding 2.04% shares (17 million shares)

• ⎻ 2022-Q3 fair value at CNY 8.2 per share (Evaluated by Appraiser)

• ⎻ In restriction period (prescribed no-sale period). Shares will be released from

  • trading restrictions on 24[th] Nov 2023.

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Thank You !

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Spirox Confidential Delivering Smarter Solutions