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SÜSS MicroTec SE

Interim / Quarterly Report Nov 5, 2015

422_10-q_2015-11-05_2d3b846f-5730-47dd-b5e7-0cf052a7a7b7.pdf

Interim / Quarterly Report

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Nine Month Report 2015

January 1 – September 30

Key figures

in € million Q3/2015 Q3/2014 Change 9M/2015 9M/2014 Change
Business Development
Order entry 39.2 29.1 34.7% 108.9 90.3 20.6%
Order backlog as of September 30 92.1 82.2 12.0%
Total sales 38.3 25.6 49.6% 93.4 95.0 -1.7%
Sales margin 3.1% -11.3% 14.4%-points -3.6% -0.9% -2.7%-points
Gross profit 12.3 7.9 55.7% 30.5 30.2 1.0%
Gross margin 32.1% 30.9% 1.2%-points 32.7% 31.8% 0.9%-points
Cost of sales 26.0 17.8 46.1% 62.9 64.8 -2.9%
R&D costs 2.9 2.5 16.0% 9.3 7.4 25.7%
EBITDA 3.3 -2.1 1.4 3.3 -57.6%
EBITDA margin 8.6% -8.2% 16.8%-points 1.5% 3.5% -2.0%-points
EBIT 2.2 -3.3 -1.7 0.1
EBIT margin 5.7% -12.9% 18.6%-points -1.8% 0.1% -1.9%-points
Earnings after tax 1.2 -2.9 -3.4 -0.9 <-100.0%
Earnings per share (in €) 0.06 -0.16 -0.18 -0.05 <-100.0%
Balance sheet and cash flow
Equity 114.6 110.5 3.7%
Equity ratio 65.9% 64.2% 1.7%-points
Return on equity 1.0% -2.6% 3.6%-points -3.0% -0.8% -2.2%-points
Balance sheet total 173.8 172.1 1.0%
Net Cash 25.5 31.8 -19.8%
Free cash flow1 0.1 -1.7 -13.1 -4.1 <-100.0%
Further key figures
Investments 0.7 1.0 -30.0% 2.1 2.2 -4.5%
Investment ratio 1.8% 3.9% -2.1%-points 2.2% 2.3% -0.1%-points
Depreciation 1.1 1.1 0.0% 3.2 3.1 3.2%
Employees as of September 30 693 658 5.3%

1 before consideration of purchase or sale of available-for-sale securities

Contents

Foreword of the Management Board 4
Investor Relations 8
Business Development in the First Nine Months 11
Financial Report 14
Service 26

Foreword of the Management Board

Dear Shareholders,

We are currently operating in an economic environment characterized by uncertainty. The sudden weakening of economic growth in China has left its mark on the stock market and is also expected to affect the real economy. In addition, the semiconductor industry – and therefore our immediate economic environment – is facing a challenging situation. Several competitors in the semiconductor equipment area have already rescinded their expectations for the second half of 2015 and are now providing a very cautious outlook. The most recent estimates of the SEMI industry association as of September 2015 are confirming this trend. Since July 2015, the association has again lowered its estimates for the current fiscal year and now expects only 5.0 percent instead of 7.1 percent growth in the semiconductor equipment sector in 2015.

Within this context, we can be proud of a positive third quarter in 2015. In comparison to the previous year, we have succeeded in increasing order entry significantly, exceeding our initial expectations. After a subdued first half of 2015, we concluded the third quarter with significantly higher sales than in the previous year and the previous quarter, as expected. In addition, we were able to generate positive earnings before interest and taxes (EBIT).

Despite the restrained market forecasts, we are looking forward to the future with cautious optimism. As already announced in the 2014 Annual Report, we have focused on strengthening our core business and systematically expanding new and promising technologies. Through targeted development measures, we have already been able to achieve initial successes in recovering lost market share in the area of coater /developers, and expanding our leading position in mask aligners. In addition, in September we secured the first large order from a major international semiconductor manufacturer for our DSC300 Gen2 projection scanner. We were awarded this order following the customer's qualification process, during which substantial productivity improvements were made to our product. We are confident that this order demonstrates the strong viability for our improved scanner product for advanced packaging applications, resulting in further additional orders from other semiconductor manufacturers. The DSC300 Gen2 is ideally suited for advanced packaging applications since it offers a significantly higher throughput and thus much lower costs of ownership than conventional projection steppers at comparable resolution and overlay performance. Furthermore, it is the only system on the market that combines the advantages of full-field exposure, such as high depth of focus and ability to handle warped wafers, with those of projection lithography in one tool.

We also reached an important milestone in the Substrate Bonder division in the third quarter. With the market launch of the new semi-automatic XB8 high-force wafer bonder, we have once again demonstrated our leading edge capabilities in the area of permanent bonding. This innovative system has new enabling technologies for high precision permanent bonding for the MEMS market. Through the introduction of this new system, we plan to increase order entry and gain market share in the area of permanent bonding.

Strategic Orientation

Ladies and gentlemen, in the following discussion we would like to offer you an overview of the most important pillars of our revised corporate strategy. Following a comprehensive review of the Company's strategy, we confirm that the overall strategic direction of the Company is generally sound, so that no fundamental change of direction is necessary. However, some adjustments and enhanced focus are required in certain areas. Our priorities are in the process of being readjusted to be more market opportunity driven in the short and mid-term, while our long term R&D programs will be refocused on top strategic priorities. As discussed above, we were able to recover lost market share in the area of coater /developers and we have gained traction for our scanner technology through focused development projects. Yet these are only first steps, which will be followed by many others.

Walter Braun, Chief Operating Officer of SUSS MicroTec AG

Dr. Per-Ove Hansson, Chief Executive Officer of SUSS MicroTec AG

Michael Knopp, Chief Financial Officer of SUSS MicroTec AG

In the future, we will prioritize research and development with even greater focus on attractive markets in order to make the necessary resources available for strategically important projects in a timely manner. Our customers are progressively making short-term decisions about capacity increases, and they expect us to provide flexible and individualized solutions for specific technology challenges.

One of our strategic objectives is to gain market share with our lithography solutions and to become the recognized market leader in advanced packaging. In this process, our innovative projection scanners and mask aligners, which are established in the market, as well as our coater /developers play an important role. In addition, we aim to be the preferred partner for our customers in implementing their technology roadmaps. We also want to make mid and backend contributions to the further development of sophisticated technologies in the semiconductor industry. Moreover, we will continue to serve the dynamic MEMS market with our products, where we intend to generate profitable growth by winning market share.

A new important piece of our corporate strategy is entering new adjacent markets. These are markets where we can leverage existing technology to enter new areas. We are currently in an early phase, but we see potential for tangible opportunities in the future.

Ladies and gentlemen, we are ready to face the multiple challenges ahead but we also see a lot of opportunities for our Company. The Management Board are certain that we will utilize our chances with decisiveness and focus, to the benefit of the company.

The First Nine Months in Figures

When looking at the third quarter only, order intake increased from EUR 29.1 million in 2014 to EUR 39.2 million, this translates into a plus of 34.7 percent. Sales increased by 49.6 percent to EUR 38.3 million, compared to EUR 25.6 million in the corresponding quarter 2014. The EBIT in the third quarter increased to EUR 2.2 million after EUR -3.3 million in the previous year. Earnings in the third quarter of 2014 included a provision for severance payments of EUR 1.0 million. The corresponding expense was disclosed under administrative costs in 2014.

In the first three quarters of 2015 SUSS MicroTec generated sales of EUR 93.4 million, 1.7 percent less than the EUR 95.0 million of the prior year. Order entry increased by 20.6 percent on a year on year basis to EUR 108.9 million after EUR 90.3 million in the prior year. This leads to an order backlog of EUR 92.1 million as of September 30, 2015 (September 30, 2014: EUR 82.2 million).

Earnings before interest and tax (EBIT) came in at EUR - 1.7 million after EUR 0.1 million in the previous year. Earnings in the third quarter of 2014 included a provision for severance payments of EUR 1.0 million. Earnings after taxes (EAT) amounted to EUR -3.4 million, compared to EUR -0.9 million in the previous year. The basic earnings per share (EPS) totaled EUR -0.18 (previous year: EUR -0.05). Net liquidity amounted to EUR 25.5 million (September 30, 2014: EUR 31.8 million). The Free Cash Flow for the first nine months, before security transactions, was EUR -13.1 million (previous year: EUR -4.1 million).

Outlook

The management board of SUSS MicroTec reiterates the guidance for the fiscal year 2015 and expects sales to be in the bandwidth of EUR 135 to 145 million. The EBIT expectation for the full year is slightly positive in the low single-digit million EUR range. For the fourth quarter 2015, the Company expects an order intake in the range of EUR 35 to 45 million.

Garching, Germany, November 2015

The Management Board

Dr. Per-Ove Hansson, Chief Executive Officer Michael Knopp, Chief Financial Officer Walter Braun, Chief Operating Officer

Investor Relations

OUTLOOK REMAINS POSITIVE IN EUROPE

According to the joint forecast of leading economic research institutes published in October 2015 as well as the ifo Eurozone Economic Outlook, the economic outlook remains positive. The eurozone economy is expected to grow by 0.4 percent in the third quarter and by another 0.5 percent in the fourth quarter. This results in expected growth in the eurozone for all of 2015 of 1.5 percent, after 0.9 percent in the previous year. However, the global economic outlook has dimmed significantly as a result of the current performance of the world's second-largest economy, China (ifo Institute, Munich). Aside from China's weakening economy, the political situation in numerous crisis areas, for example, in Syria, Turkey, or Ukraine, are weighing on the economic mood.

The Stock Market in the First Nine Months of 2015

After a strong start to the year, with values over 12,000 points, the DAX ended the third quarter of 2015 at a much lower closing price of 9,660 points.

After the debt situation in Greece eased as a result of a new aid package, slower economic growth in China became the main reason for volatility in the global stock exchanges. The rating agency Moody's warned about a drop in equity and real estate markets in China. A sharp and sustained correction in asset prices in the most populous country is one of the largest dangers for the world economy, Moody's indicated in its quarterly growth forecast. Last year the gross domestic product of the People's Republic of China grew by 7.4 percent, the lowest rate since 1990. In the first two quarters of 2015, growth amounted to only 1.4 and 1.7 percent (Kiel Institute for the World Economy – ifw).

The SUSS MicroTec Share

In the first six months of 2015, the SUSS MicroTec share performed well and was able to conclude the first half of the year at a closing price of EUR 5.08. This corresponds to an increase of four percent from EUR 4.88 at the beginning of the year. The SUSS MicroTec share ended the third quarter in a difficult stock market environment at a closing price of EUR 5.65, corresponding to an increase of approximately 16 percent from the beginning of the year. The reasons for the positive development are higher expected sales for the full year of 2015 as well as prospects for slightly positive earnings before interest and taxes (EBIT). Order entry has also performed better than expected recently, and the Company was able to boost order entry guidance for the third quarter. In addition, SUSS MicroTec succeeded in the third quarter in winning an important large order for innovative scanner systems.

Over the same period, the TecDAX gained 26 percent, while the Prime IG Semiconductor benchmark index rose by only ten percent.

The average daily trading volume of SUSS MicroTec shares on the German XETRA and Frankfurt stock exchanges in the first nine months of 2015 amounted to approximately 139 thousand (9M 2014: average daily trading volume of approximately 104 thousand shares).

SUSS MicroTec Share Performance in 2015

Ownership Information as of September 30, 2015

SUSS MicroTec Share Performance in 2015

SUSS MicroTec share price on January 2, 2015: € 4.88

SUSS MicroTec AG, indexed TecDAX, indexed Prime IG Semiconductor, indexed

Business Development in the First Nine Months 11 Overview 11 Orders Position and Sales by Region 11 Business Development in the Individual Divisions 12 Financial Report 14 Consolidated Statement of Income (IFRS) 14 Statement of Comprehensive Income (IFRS) 15 Consolidated Balance Sheet (IFRS) 16 Consolidated Statement of Cash Flows (IFRS) 18 Consolidated statement of shareholders' equity (IFRS) 20 Segment Reporting (IFRS) 22 Selected Explanatory Notes to the Consolidated Interim Report 24 Service 26 Legal Structure 26 Financial Calendar 2015/2016 27 Credits and Contact 27

Business Development in the first nine months

OVERVIEW

In the quarterly comparison, order intake increased from € 29.1 million to € 39.2 million, this translates into a plus of 34.7%. Sales increased by 49.6% to € 38.3 million, compared to € 25.6 million in the corresponding quarter 2014. The EBIT in the third quarter increased to € 2.2 million after € -3.3 million in the previous year. Earnings in the third quarter of 2014 included a provision for severance payments of € 1.0 million. The corresponding expense was disclosed under administrative costs in 2014.

In the first three quarters of 2015 SUSS MicroTec generated sales of € 93.4 million, 1.7% less than the € 95.0 million of the prior year. Order entry increased by 20.6% on a year on year basis to € 108.9 million after € 90.3 million in the prior year. This leads to an order backlog of € 92.1 million as of September 30, 2015 (September 30, 2014: € 82.2 million).

Earnings before interest and tax (EBIT) came in at € -1.7 million after € 0.1 million in the previous year. Earnings in the third quarter of 2014 included a provision for severance payments of € 1.0 million. Earnings after taxes (EAT) amounted to € -3.4 million, compared to -0.9 € million in the previous year. The basic earnings per share (EPS) totaled -0.18 € (previous year: -0.05 €). Net liquidity amounted to € 25.5 million (September 30, 2014: € 31.8 million). The Free Cash Flow for the first nine months, before security transactions, was € -13.1 million (previous year: € -4.1 million).

Orders Position and Sales by Region

In the first nine months of 2015, the EMEA and Rest of Asia regions recorded significant growth of 12.9% and 45.4%, respectively. It was possible to win individual large orders in both regions. During the same period, the Japan region experienced a decline in order entry by 48.0%. The same trend applied to the region of North America, where the decline in order entry amounted to 9.2%.

Regional sales performed contrastingly in the first nine months of the year. While sales in Rest of Asia scarcely changed, the North America region recorded significant sales growth of 35.2%. By contrast, the EMEA and Japan regions both displayed lower sales. In Japan, the contribution to sales fell by 15.0% in the first nine months of 2015 from € 7.2 million to € 6.1 million. During the same period, EMEA recorded a decline of 18.1% from € 30.5 million to € 25.0 million.

Business Development in the Individual Divisions

Lithography

The Lithography division includes the development, manufacture, and sale of the mask aligner, UV projection scanner, laser processing tools, developer, and coater product lines. The mask aligner, coater, and developer product lines are manufactured in Germany at the locations in Garching near Munich and Sternenfels. UV projection scanners and laser processing tools are manufactured in a site in Corona, California (USA). With a contribution to sales of more than 60%, the Lithography division is SUSS MicroTec Group's largest division. The components that are manufactured with these tools are sent primarily to the end markets of advanced packaging, microelectromechanical systems, compound semiconductors (LED), and 3D integration.

The Lithography division recorded a significant increase in order entry in the first nine months of the 2015 fiscal year. Order entry of € 87.1 million was 33.8% above its total of € 65.1 million a year earlier. Division sales in the first nine months amounted to € 64.8 million after € 60.0 million in the previous year. Earnings in the segment declined from € 3.0 million to € 2.3 million as a result of an unfavorable product mix compared to the previous year.

Lithography Division Overview

in € million 9M/2015 9M/2014
Order entry 87.1 65.1
Division sales 64.8 60.0
Division earnings 2.3 3.0
Net assets 57.7 44.0

Substrate Bonder

The Substrate Bonder division comprises the development, production, and sale of the substrate (wafer) bonder product line. Manufacturing is located at our largest site in Sternenfels. Markets addressed by the substrate bonder systems include microelectromechanical systems (MEMS), compound semiconductors, and 3D integration.

In the first nine months of 2015, the Substrate Bonder division recorded a decline in order entry from the previous year's period, reaching an amount of € 6.7 million after € 10.3 million in the previous year. In the first nine months, sales fell from € 16.4 million in the same period of the previous year to € 8.9 million. The reason for the significant decline in order entry and sales was the termination of the bond cluster product line in the permanent bond systems area. Division earnings of € -2.3 million were stable relative to € -2.4 million in the previous year's period.

Substrate Bonder Division Overview

in € million 9M/2015 9M/2014
Order entry 6.7 10.3
Division sales 8.9 16.4
Division earnings -2.3 -2.4
Net assets 6.6 8.6

Photomask Equipment

The Photomask Equipment division, which is located at the Sternenfels site near Stuttgart, comprises the development, manufacture, and sale of specialized tools for the cleaning and processing of photomasks for the semiconductor industry. Among the markets targeted by the Photomask Equipment division is the semiconductor industry, where SUSS MicroTec is active on the front end.

So far in the 2015 fiscal year, the Photomask Equipment division has recorded stable order entry and sales development. Order entry was € 10.0 million, compared to € 10.9 million in the previous year. Division sales declined only slightly from € 14.6 million to € 14.3 million. Division earnings were a positive € 0.4 million in the first nine months after € 2.4 million in the previous year. The segment result very much depends on the few single orders and can fluctuate substantially from one quarter to another. In the first nine months of 2014, the Photomask Equipment division had profited from the reversal of a value adjustment for receivables in the amount of € 0.5 million.

Photomask Equipment Division Overview

in € million 9M/2015 9M/2014
Order entry 10.0 10.9
Division sales 14.3 14.6
Division earnings 0.4 2.4
Net assets 6.6 6.4

Others

The Others division comprises Micro-optics activities at the Hauterive, Switzerland location, the C4NP business, and the costs for central Group functions that generally cannot be attributed to the main divisions.

In the first three quarters of 2015, division sales increased from the previous year to € 5.4 million, while order entry also rose to € 5.1 million (previous year: € 4.0 million). Division earnings of € -2.2 million were above € -2.8 million in the previous year. Earnings in the third quarter of 2014 included a provision for severance payments of € 1.0 million.

Others Division Overview

in € million 9M/2015 9M/2014
Order entry 5.1 4.0
Division sales 5.4 4.0
Division earnings -2.2 -2.8
Net assets 20.3 19.6

Financial Report

of SUSS MicroTec AG

Consolidated Statement of Income (IFRS)

in € thousand 07/01/2015–
09/30/2015
07/01/2014–
09/30/2014
01/01/2015–
09/30/2015
01/01/2014–
09/30/2014
Sales 38,341 25,611 93,393 95,038
Cost of sales -26,035 -17,751 -62,925 -64,816
Gross profit 12,306 7,860 30,468 30,222
Selling costs -4,916 -3,986 -13,160 -12,385
Research and development costs -2,971 -2,523 -9,326 -7,375
Administration costs -3,330 -4,321 -9,878 -10,856
Other operating income 1,281 1,384 3,322 3,267
Other operating expenses -191 -1,674 -3,171 -2,743
Analysis of net income from operations (EBIT)
EBITDA (Earnings before Interest and Taxes,
Depreciation and Amortization)
3,274 -2,144 1,405 3,277
Depreciation and amortization of tangible assets,
intangible assets and financial assets
-1,095 -1,116 -3,150 -3,147
Net income from operations (EBIT ) 2,179 -3,260 -1,745 130
Financial income 36 68 206 253
Financial expenses -108 -133 -391 -412
Financial result -72 -65 -185 -159
Profit / loss before taxes 2,107 -3,325 -1,930 -29
Income taxes -935 417 -1,504 -870
Net profit / loss 1,172 -2,908 -3,434 -899
thereof equity holders of SUSS MicroTec AG 1,172 -2,908 -3,434 -899
thereof non-controlling interests 0 0 0 0
Earnings per share (basic)
Earnings per share in € 0.06 -0.16 -0.18 -0.05
Earnings per share (diluted)
Earnings per share in € 0.06 -0.16 -0.18 -0.05

Statement of Comprehensive Income (IFRS)

in € thousand 01/01/2015–09/30/2015 01/01/2014–09/30/2014
Net profit / loss -3,434 -899
Items that will not be reclassified to profit and loss
Remeasurements on defined benefit pension plans 0 0
Deferred taxes 0 0
Other comprehensive income after tax for items that will not
be reclassified to profit and loss
0 0
Items that will be reclassified subsequently to profit and loss
Fair value fluctuations of available for sale securities -12 -6
Foreign currency adjustment 1,925 2,068
Cash flow hedges 63 -145
Deferred taxes -15 49
Other comprehensive income after tax for items that will be
reclassified to profit and loss
1,961 1,966
Total income and expenses recognized in equity 1,961 1,966
Total income and expenses reported in the reporting period -1,473 1,067
thereof equity holders of SUSS MicroTec AG -1,473 1,067
thereof non-controlling interests 0 0

Consolidated Balance Sheet (IFRS)

Assets in € thousand 09/30/2015 12/31/2014
Non-current assets 43,229 44,718
Intangible assets 4,418 4,471
Goodwill 15,709 15,546
Tangible assets 19,682 20,198
Tax refund claims 32 50
Other assets 603 563
Deferred tax assets 2,785 3,890
Current assets 130,590 123,246
Inventories 75,069 58,883
Trade receivables 17,603 13,390
Other financial assets 155 204
Securities 13,973 1,026
Tax refund claims 490 725
Cash and cash equivalents 20,836 47,309
Other assets 2,464 1,709
Total assets 173,819 167,964
Liabilities&Shareholders' Equity in € thousand 09/30/2015 12/31/2014
Equity 114,597 116,070
Total equity attributable to shareholders of SUSS MicroTec AG 114,597 116,070
Subscribed capital 19,116 19,116
Reserves 95,150 98,584
Accumulated other comprehensive income 331 -1,630
Non-current liabilities 13,162 13,929
Pension plans and similar commitments 4,942 4,751
Provisions 17 29
Financial debt 8,170 9,100
Other financial liabilities 33 49
Current liabilities 46,060 37,965
Provisions 2,137 3,238
Tax liabilities 1,172 1,495
Financial debt 1,186 1,187
Other financial liabilities 5,640 5,807
Trade payables 4,618 3,446
Other liabilities 31,307 22,792
Total liabilities&shareholders' equity 173,819 167,964

Consolidated Statement of Cash Flows (IFRS)

01/01/2015–09/30/2015 01/01/2014–09/30/2014
-3,434 -899
935 1,133
2,215 2,014
41 59
2,191 1,443
135 -855
0 -506
-391 369
-17,058 2,307
-4,014 1,448
-746 304
191 49
1,110 -1,288
8,140 -4,648
-1,344 -2,763
1,035 -98
-10,994 -1,931
in € thousand 01/01/2015–09/30/2015 01/01/2014–09/30/2014
Disbursements for tangible assets -1,373 -1,374
Disbursements for intangible assets -713 -789
Purchases of current available-for-sale securities -13,969 -24,914
Proceeds from redemption of available-for-sale securities 1,000 1,028
Cash flow from investing activities -15,055 -26,049
Repayment of bank loans -930 -930
Change in other financial debt -1 -3
Cash flow from financing activities -931 -933
Adjustments to funds caused by exchange-rate fluctuations 507 237
Change in cash and cash equivalents -26,473 -28,676
Funds at beginning of the year 47,309 45,059
Funds at end of the period 20,836 16,383
Cash flow from operating activities includes:
Interest paid during the period 287 319
Interest received during period 221 285
Tax paid during the period 528 1,083
Tax refunds during the period 277 88

Consolidated statement of shareholders' equity (IFRS)

in € thousand Subscribed capital Additional
paid-in capital
Earnings reserve Retained earnings
As of 01/01/2014 19,116 97,614 433 -4,076
Net income/ loss -899
Total income and expenses recognized in equity -899
Total comprehensive income/ loss
As of 09/30/2014 19,116 97,614 433 -4,975
As of 01/01/2015 19,116 97,614 433 537
Net income/ loss -3,434
Total income and expenses recognized in equity
Total comprehensive income/ loss -3,434
As of 09/30/2015 19,116 97,614 433 -2,897
Equity Non
controlling
interests
Total equity
attributable to
shareholders of
­SUSS
MicroTec AG
Accumulated other comprehensive income
Items that will be reclassified to profit and loss in later periods Items that will not be reclassified
to profit and loss
Deferred
taxes
Fair value
fluctuations of
available-for
sale securities
Cash flow
hedges
Foreign currency
adjustment
Deferred
taxes
Remeasurements
on defined benefit
pension plans
109,432 0 109,432 80 30 -342 -2,425 333 -1,331
-899 -899
1,966 1,966 49 -6 -145 2,068 0 0
1,067 0 1,067 49 -6 -145 2,068 0 0
110,499 0 110,499 129 24 -487 -357 333 -1,331
116,070 0 116,070 133 11 -486 493 532 -2,313
-3,434 -3,434
1,961 1,961 -15 -12 63 1,925 0 0
-1,473 0 -1,473 -15 -12 63 1,925 0 0
114,597 0 114,597 118 -1 -423 2,418 532 -2,313

Segment Reporting (IFRS) Segment information by business segment

The Segment Reporting is part of the notes to the consolidated financial statements.

Lithography Substrate Bonder
in € thousand 9M/2015 9M/2014 9M/2015 9M/2014
External Sales 64,842 59,971 8,889 16,404
Internal Sales 0 0 0 0
Total Sales 64,842 59,971 8,889 16,404
Result per segment (EBIT) 2,279 2,992 -2,256 -2,448
Income before taxes 2,265 2,947 -2,257 -2,451
Significant non-cash items -813 -825 -714 162
Segment assets 86,852 73,978 10,067 12,487
thereof Goodwill 15,709 15,478 0 0
Unallocated assets
Total assets
Segment liabilities -29,151 -29,998 -3,418 -3,859
Unallocated liabilities
Total liabilities
Depreciation and amortisation 1,371 1,457 234 257
thereof scheduled 1,371 1,457 234 257
thereof impairment loss 0 0 0 0
Capital expenditure 840 713 98 155
Workforce at 09/30 435 406 98 99

Segment information by region

Sales Capital expenditure Assets (without Goodwill)
in € thousand 9M/2015 9M/2014 9M/2015 9M/2014 9M/2015 9M/2014
EMEA 25,013 30,539 1,745 1,996 91,104 69,233
North America 17,952 13,282 284 80 19,749 16,573
Japan 6,122 7,201 0 61 2,808 908
Rest of Asia 44,306 44,016 58 26 3,438 2,977
Consolidation effects 0 0 0 0 -327 15,203
Total 93,393 95,038 2,087 2,163 116,772 104,894
Photomask Equipment Other Consolidation effects Total
9M/2015 9M/2014 9M/2015 9M/2014 9M/2015 9M/2014 9M/2015 9M/2014
14,280 14,619 5,382 4,044 93,393 95,038
0 0 4,505 3,554 -4,505 -3,554 0
14,280 14,619 9,887 7,598 -4,505 -3,554 93,393 95,038
426 2,388 -2,194 -2,802 -1,745 130
423 2,384 -2,361 -2,909 -1,930
-647 594 -355 -1,051 -2,529 -1,120
13,473 12,684 22,089 21,223 132,481 120,372
0 0 0 0 15,709 15,478
41,338 51,753
173,819 172,125
-6,916 -6,277 -1,799 -1,593 -41,284 -41,727
-17,938 -19,899
-59,222 -61,626
163 126 1,382 1,307 3,150
163 126 1,382 1,307 3,150
0 0 0 0 0
82 267 1,067 1,028 2,087
103 100 57 53 693

Selected Explanatory Notes to the Interim Report

of SUSS MicroTec AG as of September 30, 2015

(1) General Accounting Policies

The consolidated financial statements of SUSS MicroTec AG as of December 31, 2014, have been prepared in accordance with the International Financial Reporting Standards (IFRS) applied by the International Accounting Standards Board (IASB) as of the closing date. The consolidated interim financial statements as of September 30, 2015, which were prepared on the basis of International Accounting Standards (IAS) 34 "Interim Financial Reporting," do not contain all of the necessary information as required for the preparation of the Annual Report and should be read in conjunction with the consolidated financial statements of SUSS MicroTec AG as of December 31, 2014. In the interim financial statements as of September 30, 2015, the same accounting methods were applied as in the consolidated financial statements for the 2014 fiscal year.

All of the interpretations of the International Financial Reporting Interpretations Committee (IFRIC) in effect as of September 30, 2015 have been applied.

For additional information about specific accounting and measurement methods, please see the consolidated financial statements of SUSS MicroTec AG as of December 31, 2014.

The Group auditor has neither audited nor reviewed the interim financial statements.

(2) Changes in the Scope of Consolidation

The consolidated financial statements include the financial statements of SUSS MicroTec AG and of all material companies over which, independent of the level of its participatory investment, the proprietary company can exercise control (i.e. the control principle).

Compared with the consolidated financial statements as of December 31, 2014, there were no changes to the scope of consolidation.

(3) Mandatory Disclosures

The available-for-sale securities recognized in the statement of financial position include commercial papers with a remaining term of up to six months. The securities have been measured at market prices.

Other issues influencing assets, liabilities, shareholders' equity, the result for the period, or cash flows and unusual in terms of their nature, magnitude, or frequency did not arise during the interim reporting period.

(4) Change in Presentation

No changes in presentation have been made; the presentation of the consolidated financial statements of SUSS MicroTec AG as of September 30, 2015 is analogous to the presentation as of December 31, 2014.

(5) Changes in Estimates

To the extent that estimates were made in the interim reports, the methodology underlying the estimates remained fundamentally the same during the fiscal year and in comparison to the previous fiscal year.

In a departure from the approach used at the end of the fiscal year, income tax expense in each interim reporting period is recorded on the basis of the best estimate of the weighted average annual income tax rate that is expected for the entire fiscal year.

SUSS MicroTec AG currently assumes that the annual income tax rate will deviate from the expected tax rate of approximately 28%. The primary reason for this is that the losses accrued by foreign subsidiaries cannot be capitalized.

Otherwise there are no changes requiring disclosure that would have a material impact on the current interim reporting period.

(6) Bonds and Equity Securities

During the reporting period, no issuances, repurchases, or repayments occurred involving either bonds or other equity securities.

(7) Dividends Paid

During the reporting period, no dividend was distributed nor was such a distribution proposed.

(8) Significant Events After the End of the Interim Reporting Period

No material events occurred after the end of the interim reporting period.

(9) Contingent Liabilities and Receivables

There are no contingent receivables. There were no substantial changes in contingent liabilities since the previous reporting date of December 31, 2014.

(10) Earnings per Share

Basic earnings per share are calculated by dividing the net profit or loss for the period (net of minority interests) by the average number of shares.

In order to calculate diluted earnings per share, the profit or loss for the period attributable to shareholders (net of minority interests) and the weighted average of outstanding shares are adjusted for the impact of all potential dilutive shares.

The following table shows the calculation of the basic and diluted earnings per share:

in € thousand 9M/2015 9M/2014
Profit / loss which accrue to shareholders of SUSS MicroTec AG -3,434 -899
Weighted average number of outstanding shares 19,115,538 19,115,538
Effect of the (potential) exercise of stock options (number of options) 0 0
Adjusted weighted average number of outstanding shares 19,115,538 19,115,538
Earnings per share in € – basic – -0.18 -0.05
Earnings per share in € – diluted – -0.18 -0.05

Legal Structure

of SUSS MicroTec Group

Sales Production Other /Non-operating

Financial Calendar 2015/2016

Nine Months Report 2015 November 5, 2015
Equity Forum 2015, Frankfurt am Main November 23–25, 2015
Annual Report 2015 March 30, 2016
Quarterly Report 2016 May 4, 2016
Shareholders' Meeting 2016 June 15, 2016
Interim Report 2016 August 5, 2016
Nine Months Report 2016 November 9, 2016

Credits

Published by SUSS MicroTec AG Edited by Finance, Julia Natterer Investor Relations, Franka Schielke Concept and Design Whitepark GmbH&Co., Hamburg

Photography Creativ Fotostudio Allan Richard Tobis Translation English Business, Hamburg

ContaCt

SUSS MicroTec AG Schleissheimer Straße 90 85748 Garching, Germany Phone: +49 (0)89-32007-0 E-mail: [email protected]

Investor Relations Phone: +49 (0)89-32007-161 E-mail: [email protected]

Forward-looking statements: These reports contain forward-looking statements. Statements that are not historical facts, including statements about our beliefs and expectations, are forward-looking statements. These statements are based oncurrent plans, estimates, and projections,and should be understood as such. Forward-looking statements speak only as of the date they are made, and we undertake no obligation to update any of them in light of new information or future events. Forward-looking statements involve inherent risks and uncertainties. We caution readers that a number of important factors could cause actual results or outcomes to differ materially from those expressed in any forward-looking statement.

SUSS MicroTec AG Schleissheimer Straße 90 85748 Garching, Germany Phone: +49 (0)89-32007-0 E-mail: [email protected]

www.suss.com

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