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AT & S Austria Technologie & Systemtechnik Aktiengesellschaft | Fabriksgasse 13 | A-8700 Leoben
Tel +43 (0) 3842 200-0
www.ats.net
AT&S
First choice for advanced applications
Investor and Analyst Presentation
FY 2019/20
Investor and Analyst Presentation 1
AT & S Austria Technologie & Systemtechnik Aktiengesellschaft | Fabriksgasse 13 | A-8700 Leoben
Tel +43 (0) 3842 200-0
www.ats.net
Company overview
Investor and Analyst Presentation 2
Among the top
PCB producers
worldwide
A world leading high-tech PCB & IC substrates company
* For CY 2018
Source: Prismark
** For AT&S FY 2019/20
High-end interconnect solutions
for
Mobile Devices, Automotive, Industrial,
Medical Applications and Semiconductor
Industry
Outperforming
market growth
over the last
decade
# 1
high-end PCB producer
worldwide*
€ 1bn
revenue in
FY 2019/20
~ 10,000
Employees**
Efficient global production
footprint with
6
plants in Europe and Asia
Investor and Analyst Presentation 3
Leading provider of high-end PCBs and IC substrates
 Unique market position
 Broad product portfolio to serve all growth markets
 Long-standing customer relationships with technology and market leaders
 Technology innovator due to continuous R&D efforts
 Quality benchmark with outstanding process know-how, productivity and efficiency
 Growth oriented strategy
 Megatrend-driven markets with attractive growth potential
 Address growth opportunities with incremental investments
 Sustainable profitability
 AT&S has constantly outperformed the PCB and substrates market over the last years
 EBITDA margin of 20 – 25% above industry average
 Strong cash flow generation and therefore improved internal financing capabilities
 Solid balance sheet and attractive dividend policy
Well positioned for the future
3
Investor and Analyst Presentation 4
Market Segments & Product Applications
4
Computer,
Communications,
Consumer Appliances
Smartphones, Tablets,
Wearables, Ultrabooks,
Cameras
Industrial
Machine-2-Machine
Communication,
Robots, Industrial
Computer,
X2X Communication
Automotive
Advanced Driver
Assistance Systems,
Emergency-Call, X2X
Communication
Medical
Patient
Monitoring,HearingAids,
Pacemaker,
Neurostimulation, Drug
Delivery, Prosthesis
IC substrates
High Performance
Computer, Microserver
Segment Mobile Devices & Substrates Segment Automotive, Industrial, Medical
Investor and Analyst Presentation 5
AT&S – Key Facts
763
815
992
1,028 1,001
168
131*
226 250
195
77*
7*
90 117
47
2015/16 2016/17 2017/18 2018/19 2019/20
Revenue EBITDA EBIT
(2.7%)
Strong growth track record1 Balanced portfolio/Global customer base2
7%
+7%
+22%
€ in millions
*Based on ramp-up effects for new plants in China
+4%
Revenue growth
Revenue split by segment: FY 2019/20
Revenue split by customer: FY 2019/20
(based on customer’s headquarters)
5
69%
31%
Mobile Devices & Substrates
Automotive, Industrial,
Medical
68%
16%
8%
8%
Americas
Germany/Austria
Asia
Other European countries
Investor and Analyst Presentation 6
Global footprint ensures proximity
to supply chain & cost efficiency
977* 395* 1,315* 2,676* 4,542* 258*
Shanghai
China
Ansan
Korea
Chongqing
China
Leoben, Headquarters
Austria
Fehring
Austria
Nanjangud
India
AT&S plant & sales office
AT&S sales office
AT&S Headquarters
*Staff, Average, FTE, FY 2019/20; 75 employees in other locations
Investor and Analyst Presentation 7
Market players in the high-end segment
7
Market position HDI Technology (2018)
Rank Supplier Country/Region mSAP IC Substrates
HDI
(revenue in USD millions)
1 AT&S AUT   838
2 Unimicron TWN   799
3 Compeq TWN  779
4 TTM USA   681
5 Meiko JPN 472
6 Tripod TWN 443
7 Zhen Ding TWN 349
8 DAP KOR 276
9 CMK JPN 259
10 SEMCO KOR 245
Source: Prismark
Investor and Analyst Presentation 8
Strategic focus on high-end technologies
AT&S revenue structure – based on technologies
High-end
HDI PCBs and
IC substrates
~ 30%
Single-sided (SS), double-sided (DS), multilayer- (ML),
flex and rigid-flex (RF) PCBs
~ 70%
High-end technology share > 80%*
HDI and any-layer PCBs,
Embedding, IC substrates
Complementary technology
share: < 20%*
SS, DS, ML,
Flex, RF
Structure of general PCB market – based on technologies
* for FY 2019/20
Source: Prismark, AT&S
Investor and Analyst Presentation 9
R&D as the key for technological leadership
International
R&D Partners
as of FY 2019/20
* Revenue generated with products with new, innovative technologies introduced to the market within the last three years
R&D
Headquarters
Austria
Industrialization at the respective
production site
9.5%
R&D Quota
(equivalent to € 94.8 million)
30.8%
Innovation Revenue Rate *
International
R&D Partners
326
Patents
Investor and Analyst Presentation 10
More than AT&S
Printed circuit boards
Leading producer of high-
end PCB
IC substrates
One of the leading
producers
mSAP / SLP
Technology leader
PCBs/substrates
for modules
High growth
potential
Substrates for HPC
modules
Diversification of
application and
customer portfolio
Broadening the service range and opening up of new business opportunities
Module integration
services
Build-up of additional
capabilities
Technology
Innovation power
Clear focus on dedicated applications
Leading
provider of
interconnect
solutions
Investor and Analyst Presentation 11
AT & S Austria Technologie & Systemtechnik Aktiengesellschaft | Fabriksgasse 13 | A-8700 Leoben
Tel +43 (0) 3842 200-0
www.ats.net
Market update &
growth drivers
Investor and Analyst Presentation 12
PCB & IC substrates market outlook
6.8 8.9
2.7
3.1
2.6
3.2
1.3
1.54.8
9.3
17.2
23.8
14.5
16.9
8.0
10.0
CY 2019 CY 2025
Consumer
Computer
Communication
Substrates
Medical
Industrial
Aviation
Automotive
2019
76.6+4.7%
58.0
+2.4%
+3.8%
+2.5%
+5.6%
+11.4%
+4.5%
+2.8%
+3.1%
CAGR 2025
in US-$ billion
Source: Prismark, April 2020
Investor and Analyst Presentation 13
5G Big data AI IoT
Game changers for innovative applications
Investor and Analyst Presentation 14
92.7% CAGR
Total smartphones
2019: 1.37 billion units
2025: 821 million units
2025: 1.54 billion units
+1.9% CAGR
5G smartphones
2019:
16 million units
Source: IDC (2020), AT&S Analysis
5G
Big data
AI
5G – The new standard for connectivity
Significant growth opportunities ahead
Investor and Analyst Presentation 15
5G
Big data
AI
IoT Source: IDC (2019)
2025: 175 Zetabyte
2019:
40 Zetabyte
Connected devices Global data volume
2025: 56 billion units
2019: 38 billion units
+26.0% CAGR+6.9% CAGR
IoT and Big data
Strong growth drivers for IC substrates
Investor and Analyst Presentation 16
+11.4% CAGR
2025: US-$ 9.2 billion
2019:
US-$ 4.8 billion
High-end processor modules High-end IC substrates
2019: 1.18 billion units
+8.0% CAGR
More powerful
processors modules
require larger form factor,
higher layer count and
thus higher value IC
substrates
Embedding of
components further
increases AT&S value add
Source: IDC (2019) Prismark (2019), Yole (2019)
Growth by adding
value for AT&S5G
Big data
AI
IoT
2025: 1.88 billion units
IoT and Big data
Strong growth drivers for IC substrates
Investor and Analyst Presentation 17
Process and equipment
characterization
CertificationEquipment move
in and installation
Decision for IC substrates
expansion for HPC
Additional capacities
out of phase II (CHQ I)
Additional capacities
out of phase III (CHQ
III)
Start main building
structure CHQ III
Full capacities on
stream
190%
220%
360%
500%IC substrates capacities
 Strategic focus on business with
IC substrates for high-performance
computing modules
 Despite travel bans qualification of
new capacities out of phase II (CHQ I)
in 2020/21 fully on track
 Significant new capacities and
revenues out of phase II (CHQ I) in
2020/21
 CHQ3: Covid-19 related construction
delay of 7 weeks, catch-up plans
implemented and bearing fruits
1.9x
1.2x
1.6x
1.4x
100%
IC substrates business in Chongqing
Capacity expansion and technology investment pushed forward
Investor and Analyst Presentation 18
Module business
Investor and Analyst Presentation 19
Increased functionality - lower
space
Increased performance
Reduced time to market
Reduced cost
Scalable for various
applications
Customer requirements driving
demand for modularization
CAGR: 11.3%
 Changing customer requirements
driving the need for modularization
 Strong growth potential in module
integration market volume
 AI and 5G are further drivers for
module integration
2025: US-$ 60.6 billion
2019: US-$ 32.0 billion
Module integration market
Source: A.T. Kearney (8/2018), AT&S (4/2020)
Modules & module integration
AT&S solutions for the electronics industry
Investor and Analyst Presentation 20
AT&S solutions for the electronics industry
New business opportunities through entry into the module market
Investor and Analyst Presentation 21
AT & S Austria Technologie & Systemtechnik Aktiengesellschaft | Fabriksgasse 13 | A-8700 Leoben
Tel +43 (0) 3842 200-0
www.ats.net
FY 2019/20
Financials and
key figures
Investor and Analyst Presentation 22
Global market development
 Global trade frictions have eased, but are still creating some uncertainties in the market
 Economic environment further dampened by situation around COVID-19
 Covid-19 outbreak effected global logistics as well as production chains
 Uncertain consumer behavior causes low visibility especially in Mobile devices
 Growth in data drives the need for processor modules and therefore high-end IC substrates
 Although increase in electronic content partly compensates for lower units sales difficult market
situation in the automotive sector is expected to continue until 2021
 European industrial investment behaviour on low level
 Medical market so far resilient and supported by health systems
22
Investor and Analyst Presentation 23
AT&S development in FY 2019/20
Satisfying operating performance despite challenging environment
 Excellent crisis management helped to mitigate impact on revenue
 Lower volume and unfavourable product mix in Mobile Devices segment
 Strong trend at IC substrates business
 Automotive segment with almost stable performance despite difficult market situation
 Reduced volume in the Industrial segment
 Weaker market environment in the Industrial and Automotive segment causes temporary higher
price pressure
 Medical & Healthcare continued positive trend
23
Investor and Analyst Presentation 24
Financials in FY 2019/20
Revenue exceeds the one-billion-euro mark again
 Revenue at € 1,000.6 million (PY: € 1,028.0 million)
 Positively impacted by FX effects
 EBITDA at € 194.5 million (PY: € 250.1 million)
 Ongoing preparations for future applications demand higher R&D expenses
 Covid-19 impact due to downtime costs and lost production
 EBITDA margin with 19.4% (PY: 24.3%) within guided margin range of 18 – 20%
 EBIT at € 47.4 million (PY: € 117.2 million)
 Deviation from EBITDA development explained by higher depreciation
 Operating free cash flow at € -33.4 million (PY: € 69.7 million)
 IC substrates investment caused higher Capex
 Earnings per share down to € 0.34; dividend of € 0.25 proposed
24
Investor and Analyst Presentation 25
COVID-19 – Status quo
 Extensive measures in place to protect our people
 Experience from China was helpful in the group-wide implementation – no diagnosed cases
 Productions are in operations
 All sites in China have been manufacturing since mid-February
 India produces medical components despite governmental restrictions
 Other locations in Austria and Korea are in operations
 No shortages in the supply chain
 Increase in safety stocks
 Supply chain managed very well
Worldwide extensive measures are effective
has
Investor and Analyst Presentation 26
237.9 222.7
267.6 262.9 247.3
1,028.0
1,000.6
29.6 29.6
66.2 55.3 38.1
250.1
194.5
Q4 2018/19Q1 2019/20Q2 2019/20Q3 2019/20Q4 2019/20 FY 2018/19 FY 2019/20
Revenue EBITDA and margin
24.7%15.7%12.5% 21.0% 15.4% 24.3% 19.4%
Revenue and EBITDA development
in € millions
68%
16%
8%
8%
Americas
Germany/Austria
Asia
Other European countries
Revenue split by segment: FY 2019/20
Revenue split by region*: FY 2019/20
26
69%
31%
Mobile Devices & Substrates
Automotive, Industrial,
Medical
26
*based on customer’s headquarters*based on customer’s headquarters
Investor and Analyst Presentation 27
Business development – Mobile Devices & Substrates
150.6 143.8
186.0 190.1
166.0
16.3 23.8
55.4 50.1
29.4
Q4 2018/19 Q1 2019/20 Q2 2019/20 Q3 2019/20 Q4 2019/20
Revenue EBITDA
 Sales increase in IC substrates partly
compensates for unfavourable mix and
volume effects in Mobile Device and impact
of COVID-19 pandemic
 Market-related volume reduction caused
underutilization in Mobile Devices
 Revenue and earnings positively impacted
by FX effects
€ in millions (unless
otherwise indicated)
FY 2018/19 FY 2019/20 Change in %
Revenue 776.0 778.5 +0.3%
Revenue with external
customers 683.9 685.9 +0.3%
EBITDA 193.5 158.6 -18.1%
EBITDA margin 24.9% 20.4%
In € millions; * Revenue with external customers
Revenue* and EBITDA
Investor and Analyst Presentation 28
86.2
78.9 81.6
72.9
81.3
14.4 10.9 8.0 5.2 4.8
Q4 2018/19 Q1 2019/20 Q2 2019/20 Q3 2019/20 Q4 2019/20
Revenue EBITDA
Business development – Automotive, Industrial, Medical
 Medical & Healthcare continued robust
trend
 Automotive segment with almost stable
performance despite difficult market
situation
 Reduced volume in the Industrial segment
 Weaker market environment in the
Automotive and Industrial segments causes
temporary higher price pressure and
underutilization
€ in millions (unless
otherwise indicated)
FY 2018/19 FY 2019/20 Change in %
Revenue 365.2 350.4 -4.0%
Revenue with external
customers 338.9 314.7 -7.1%
EBITDA 52.6 28.9 -45.1%
EBITDA margin 14.4% 8.2%
Revenue* and EBITDA
In € millions; * Revenue with external customers
Investor and Analyst Presentation 29
Net CAPEX
in € millions
164.8
254.3
240.7
141.7
100.8
218.5
2014/15 2015/16 2016/17 2017/18 2018/19 2019/20
Investments in IC substrates and technology upgrades main reason for increase
Investor and Analyst Presentation 30
102.0 62.8
45.0
338.7
87.2
2020/21 2021/22 2022/23 2023/24 2024/25
Repayments Cash & Financial Assets
1,044.8
Unused credit lines
Unused credit lines
Solid finance structure
Existing funds and cashflow generation help to meet repayments and capex needs
Currency: EUR
Note: as of 31.03.2020
490.4
554.4
 High level of existing liquid funds
 Cash: € 418.0 million
 Financial assets: € 136.4 million
 Additional unused credit lines of € 490.4 million
 Future cashflow still to be considered
Investor and Analyst Presentation 31
AT & S Austria Technologie & Systemtechnik Aktiengesellschaft | Fabriksgasse 13 | A-8700 Leoben
Tel +43 (0) 3842 200-0
www.ats.net
Outlook
Investor and Analyst Presentation 32
Outlook for 2020/21
AT&S is well positioned to positively participate in intact market trends
 Future trends not harmed by COVID-19 pandemic
 Influences on customer demand in the coming months expected
 Product launches may be delayed in the Mobile Devices segment
 Visibility in Automotive business is limited
 Industrial segment continues to develop at a low level
 Stable development for medical applications
 Demand for IC substrates remains strong according to current forecasts
 Solid performance in Q1 with revenue and EBITDA at the level of previous year
 Outlook update as soon as economic framework conditions can be better quantified
 Investments in the IC substrate and module business to be consistently continued
 Depending on market developments CAPEX for maintainance and tech-upgrade of up to € 80 million
 CAPEX for strategic projects of up to € 410 million
Investor and Analyst Presentation 33
Medium-term guidance confirmed
Expansion of technology leadership
 Leading provider of new interconnect solutions
 Innovation revenue rate: > 20%
Focus on continued profitable growth
 Revenue target of € 2 billion
 Prosecution of sustainable margin improvement
 Medium-term EBITDA margin target of 25-30%
Creation of shareholder value
 Medium-term ROCE above 12%
Sustainability management
 80% renewable energy
 Eco-balancing of product groups
 30 % women in management positions
First choice
for advanced
applications
Technology development to module integration and capacitiy expansion
Investor and Analyst Presentation 34
AT & S Austria Technologie & Systemtechnik Aktiengesellschaft | Fabriksgasse 13 | A-8700 Leoben
Tel +43 (0) 3842 200-0
www.ats.net
Annex
Investor and Analyst Presentation 35
STATEMENT OF PROFIT OR LOSS
€ in thousands
01 Apr 2018 –
31 Mar 2019
01 Apr 2019 –
31 Mar 2020
Change
YoY
Revenue 1,027,983 1,000,577 (2.7%)
EBITDA 250,098 194,529 (22.2%)
EBITDA margin 24.3% 19.4% (4.9pp)
EBIT 117,210 47,402 (59.6%)
EBIT margin 11.4% 4.7% (6.7pp)
Finance costs – net (2,018) (6,465) (>100%)
Profit/(loss) for the year 89,027 21,456 (75.9%)
Earnings per share € 2.08 € 0.34 (83.7%)
Financials FY 2019/20
Revenue still above € 1 billion
lower volume out of market situation,
positive FX effects
Unfavourable product mix and temporary
underutilization in Mobile Devices,
Automotive and Industrial
higher R&D costs for future applications
Higher depreciation due to growing fixed
asset base and first-time application of
IFRS 16
Higher negative FX-effects
Investor and Analyst Presentation 36
Financials FY 2019/20
Positive profit for the year and negative FX
effects, dividend and hybrid coupon payout
Due to higher financial liabilities
Effect out of lower equity and
higher total assets
STATEMENT OF FINANCIAL POSITION
€ in thousands 31 Mar 2019 31 Mar 2020
Change
YoY
Equity 803,451 760,259 (5.4%)
Total assets 1,784,106 1,853,510 3.9%
Net debt 150,258 246,747 64.2%
Net working capital 160,537 144,418 (10.0%)
Equity ratio 45.0% 41.0% (4.0pp)
Lower trade receivables and higher trade
payables
Higher property plant and equipment
Investor and Analyst Presentation 37
Financials FY 2019/20
Positive effects from higher working capital and
negative effects from result
Higher net capex and lower temporary net
investment in financial assets
Previous year period impacted by issuance
of promissory note
Higher net capex mainly due to IC
substrates investment
STATEMENT OF CASH FLOWS
€ in thousands
01 Apr 2018 –
31 Mar 2019
01 Apr 2019 –
31 Mar 2020
Change
YoY
Cash flow from operating activities 170,534 185,123 8.5%
Cash flow from investing activities (276,579) (116,629) 57.8%
Cash flow from financing activities 147,199 17,924 (87.8%)
Change in cash and cash equivalents 41,154 86,418 >100%
Operating free cash flow1)
69,698 (33,404) (>100%)
Free cash flow2)
(106,045) 68,494 >100%
1) Cash flow from operating activities minus Net CAPEX
2) Cash flow from operating activities minus cash flow from
investing activities
Mainly due to shift between short- and
long-term financing activities
Investor and Analyst Presentation 38
AT&S – Stock Profile
Listing: Vienna Stock Exchange,
Prime Standard
Indices: ATX, Vönix, WBI
Thomson Reuters (A): ATSV.VI
Bloomberg (A): ATS:AV
Annual general meeting 09 July 2020
Publication of the first quarter 2020/21 04 August 2020
Publication of the first half-year 2020/21 03 November 2020
Financial Calendar Shareholder structure
# of shares outstanding 38.85m
Dividend for 2019/20*: € 0.25 per share
*Proposed to the AGM
Investor and Analyst Presentation 39
Gross debt, financial assets and cash, net debt
Key credit figures
523
593
540
717
801
260
212
331
567 554
263
381
209
150
247
2015/16 2016/17 2017/18 2018/19 2018/19
Gross debt Financial assets and cash Net debt
1.6
2.9
0.9
0.6
1.3
2015/16 2016/17 2017/18 2018/19 2019/20
 Target: < 3x
Net debt/EBITDA
Net debt increase due to higher financial liabilities
€ in millions Multiple
Investor and Analyst Presentation 40
AT&S PRODUCT PORTFOLIO – I
ECP®:
Embedded Component Packaging IC substrates Substrate-like printed circuit boards
mSAP
Embedded Component Packaging allows to embed
active/passive components (e.g. wafer level dies) within
the layers of a PCB – contributes to miniaturization.
IC substrates serve as interconnection platform with
higher density (Line/Space < 15 micron) between
semiconductors (Chips) & PCBs .
Substrate-like PCBs (mSAP technology) are the next
evolution of high-end HDI PCBs with higher density:
Line/Space < 30 micron.
Production site
Leoben, Shanghai Chongqing Chongqing, Shanghai
Applications
Devices such as smartphones, tablets, digital
cameras and hearing aids
High-end processors for
Computer, Communication, Automotive, Industrial
Mobile applications like smartphones
Investor and Analyst Presentation 41
HDI
any-layer printed circuit
boards
HDI microvia printed
circuit boards – high
density interconnect
Multilayer printed circuit
boards
Double-sided printed
circuit boards
IMS printed circuit boards
– insulated metal
substrate
Further technological
enhancement to HDI microvia:
All electrical connections in HDI
any-layer boards consist of laser-
drilled microvias. Advantage:
further miniaturization, and
higher performance and
reliability. AT&S produces HDI
any-layer in 4 to 12 layers.
HDI: high density interconnect,
meaning
laser-drilled connections
(microvias). HDI is first step
towards miniaturization.
AT&S can produce 4-layer
laser PCBs up to 6-n-6
HDI multi layer PCBs.
Found in almost every area of
industrial electronics. AT&S
produces printed circuit boards
with 4 to 28 layers, in quantities
from individual prototypes to
small batches and mass
production.
Used in all areas of electronics.
AT&S focuses on double-sided
printed circuit boards with
thicknesses in the range of 0.1-
3.2mm.
IMS: insulated metal substrate.
Primary function: heat
dissipation for use mainly with
LEDs and power components.
Production site
Shanghai Shanghai, Leoben Leoben, Nanjangud, Fehring Fehring, Nanjangud Fehring
Applications
Smartphones, Tablets,
Notebooks
Mobile phones and nearly all
electronic applications including
automotive (navigation,
infotainment and driver
assistance systems)
Used in all electronic
applications including touch
panels, and in products ranging
from aircraft to motorcycles,
from storage power plants to
solar arrays
Primarily industrial and
automotive applications
Lighting industry
AT&S PRODUCT PORTFOLIO – II
Investor and Analyst Presentation 42
Flexible printed
circuit boards
Semi-flexible printed
circuit boards
Rigid-flex printed
circuit boards
Flexible printed circuit
boards on aluminum
AT&S patented
technologies
Used to replace wiring and
connectors, allowing for
connections and geometries that
are not possible with rigid
printed circuit boards.
More limited bend radius than
flexible printed circuit
boards. The use of a
standard thin laminate
makes them a cost-effective
alternative.
Combine the
advantages of flexible
and rigid printed circuit
boards, yielding benefits
for signal transmission,
size and stability.
Used when installing LEDs
in car headlights, for
example, where the
printed circuit board is
bonded to an aluminum
heat sink to which the
LEDs are then attached.
Production site
Ansan, Fehring Fehring Ansan Ansan
Applications
Nearly all areas of
electronics, including
measuring devices and
medical applications
Automotive applications Industrial electronics,
such as production
machines and industrial
robots
Lighting, automotive,
building lighting
AT&S PRODUCT PORTFOLIO – III
ECP®: Embedded
Component Packaging
ECP® is a patented AT&S packaging
technology used to embed active
and passive electronic components
in the inner layers of a printed circuit
board. ECP® technology is used in
ever smaller, more efficient and
more powerful devices, such as
smartphones, tablets, digital
cameras and hearing aids.
Production sites: Leoben, Shanghai
2.5D® Technology
Platform
Combines mechanical and electronic
miniaturization, and enables partial
reduction of the thickness of a
circuit board. Advantage: populated
assemblies have a thinner profile.
Can be also used to make cavities in
the printed circuit board, e.g. for
acoustic channels. Major application
for this technology is the 2.5D® rigid-
flex printed circuit board, a lower
cost alternative for flex-to install
applications.
Production sites: Leoben, Shanghai
Investor and Analyst Presentation 43
MILESTONES IN THE GROUP’S HISTORY
1987
Founding of the Group, emerging
from several companies owned by
the Austrian State Owned
Industries
1994
Privatization and
acquisition by Messrs
Androsch, Dörflinger, Zoidl
1999
Initial public offering on Frankfurt Stock Exchange
(„Neuer Markt“). Acquisition of Indal Electronics
Ltd., largest Indian printed circuit board plant
(Nanjangud) – today, AT&S India Private Limited
2002
Start of production at new Shanghai
facility – one of the leading HDI
production sites in the world
2010
Start of production
at plant II in India
2009
New production direction: Austrian
plants produce for high-value niches
in the automotive and industrial
segment; Shanghai focuses on the
high-end mobile devices segment
2008
AT&S change
to Vienna Stock
Exchange 2006
Acquisition of Korean
flexible printed circuit
board manufacturer,
Tofic Co. Ltd. – today,
AT&S Korea Co., Ltd.
2015
AT&S again achieves record high sales and
earnings for financial year 2014/15 and
decides to increase the investment program in
Chongqing from € 350 million to € 480 million
2011
 Construction starts on new
plant in Chongqing, China
 Capacity increase in
Shanghai by 30%
2013
AT&S enters the IC substrate
market in cooperation with a
leading manufacturer of
semiconductors
2017
Successful introduction and
optimisation of the mSAP technology
in Shanghai and Chongqing
2016
AT&S starts serial production
of IC substrates at the plant
in Chongqing
2018
Start of the second
expansion phase at
plant 1 in Chongqing
2019
AT&S is the global
number one for high-
end printed circuit
boards
44
Thank you
for your attention!
AT & S Austria Technologie & Systemtechnik Aktiengesellschaft | Fabriksgasse13 | A-8700 Leoben
Tel +43 (0) 3842 200-0
www.ats.net
Investor and Analyst Presentation 45
Disclaimer
This presentation is provided by AT & S Austria Technologie & Systemtechnik Aktiengesellschaft, having its headquarter at Fabriksgasse 13, 8700 Leoben, Austria (“AT&S”), and the
contents are proprietary to AT&S and for information only.
AT&S does not provide any representations or warranties with regard to this presentation or for the correctness and completeness of the statements contained therein, and no
reliance may be placed for any purpose whatsoever on the information contained in this presentation, which has not been independently verified. You are expressly cautioned not
to place undue reliance on this information.
This presentation may contain forward-looking statements which were made on the basis of the information available at the time of preparation and on management‘s expectations
and assumptions. However, such statements are by their very nature subject to known and unknown risks and uncertainties. As a result, actual developments, results, performance
or events may vary significantly from the statements contained explicitly or implicitly herein.
Neither AT&S, nor any affiliated company, or any of their directors, officers, employees, advisors or agents accept any responsibility or liability (for negligence or otherwise) for any
loss whatsoever out of the use of or otherwise in connection with this presentation. AT&S undertakes no obligation to update or revise any forward-looking statements, whether as
a result of changed assumptions or expectations, new information or future events.
This presentation does not constitute a recommendation, an offer or invitation, or solicitation of an offer, to subscribe for or purchase any securities, and neither this presentation
nor anything contained herein shall form the basis of any contract or commitment whatsoever. This presentation does not constitute any financial analysis or financial research and
may not be construed to be or form part of a prospectus. This presentation is not directed at, or intended for distribution to or use by, any person or entity that is a citizen or
resident or located in any locality, state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation or which would
require any registration or licensing within such jurisdiction.

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AT&S IR Presentation FY_2019_20

  • 1. AT & S Austria Technologie & Systemtechnik Aktiengesellschaft | Fabriksgasse 13 | A-8700 Leoben Tel +43 (0) 3842 200-0 www.ats.net AT&S First choice for advanced applications Investor and Analyst Presentation FY 2019/20
  • 2. Investor and Analyst Presentation 1 AT & S Austria Technologie & Systemtechnik Aktiengesellschaft | Fabriksgasse 13 | A-8700 Leoben Tel +43 (0) 3842 200-0 www.ats.net Company overview
  • 3. Investor and Analyst Presentation 2 Among the top PCB producers worldwide A world leading high-tech PCB & IC substrates company * For CY 2018 Source: Prismark ** For AT&S FY 2019/20 High-end interconnect solutions for Mobile Devices, Automotive, Industrial, Medical Applications and Semiconductor Industry Outperforming market growth over the last decade # 1 high-end PCB producer worldwide* € 1bn revenue in FY 2019/20 ~ 10,000 Employees** Efficient global production footprint with 6 plants in Europe and Asia
  • 4. Investor and Analyst Presentation 3 Leading provider of high-end PCBs and IC substrates  Unique market position  Broad product portfolio to serve all growth markets  Long-standing customer relationships with technology and market leaders  Technology innovator due to continuous R&D efforts  Quality benchmark with outstanding process know-how, productivity and efficiency  Growth oriented strategy  Megatrend-driven markets with attractive growth potential  Address growth opportunities with incremental investments  Sustainable profitability  AT&S has constantly outperformed the PCB and substrates market over the last years  EBITDA margin of 20 – 25% above industry average  Strong cash flow generation and therefore improved internal financing capabilities  Solid balance sheet and attractive dividend policy Well positioned for the future 3
  • 5. Investor and Analyst Presentation 4 Market Segments & Product Applications 4 Computer, Communications, Consumer Appliances Smartphones, Tablets, Wearables, Ultrabooks, Cameras Industrial Machine-2-Machine Communication, Robots, Industrial Computer, X2X Communication Automotive Advanced Driver Assistance Systems, Emergency-Call, X2X Communication Medical Patient Monitoring,HearingAids, Pacemaker, Neurostimulation, Drug Delivery, Prosthesis IC substrates High Performance Computer, Microserver Segment Mobile Devices & Substrates Segment Automotive, Industrial, Medical
  • 6. Investor and Analyst Presentation 5 AT&S – Key Facts 763 815 992 1,028 1,001 168 131* 226 250 195 77* 7* 90 117 47 2015/16 2016/17 2017/18 2018/19 2019/20 Revenue EBITDA EBIT (2.7%) Strong growth track record1 Balanced portfolio/Global customer base2 7% +7% +22% € in millions *Based on ramp-up effects for new plants in China +4% Revenue growth Revenue split by segment: FY 2019/20 Revenue split by customer: FY 2019/20 (based on customer’s headquarters) 5 69% 31% Mobile Devices & Substrates Automotive, Industrial, Medical 68% 16% 8% 8% Americas Germany/Austria Asia Other European countries
  • 7. Investor and Analyst Presentation 6 Global footprint ensures proximity to supply chain & cost efficiency 977* 395* 1,315* 2,676* 4,542* 258* Shanghai China Ansan Korea Chongqing China Leoben, Headquarters Austria Fehring Austria Nanjangud India AT&S plant & sales office AT&S sales office AT&S Headquarters *Staff, Average, FTE, FY 2019/20; 75 employees in other locations
  • 8. Investor and Analyst Presentation 7 Market players in the high-end segment 7 Market position HDI Technology (2018) Rank Supplier Country/Region mSAP IC Substrates HDI (revenue in USD millions) 1 AT&S AUT   838 2 Unimicron TWN   799 3 Compeq TWN  779 4 TTM USA   681 5 Meiko JPN 472 6 Tripod TWN 443 7 Zhen Ding TWN 349 8 DAP KOR 276 9 CMK JPN 259 10 SEMCO KOR 245 Source: Prismark
  • 9. Investor and Analyst Presentation 8 Strategic focus on high-end technologies AT&S revenue structure – based on technologies High-end HDI PCBs and IC substrates ~ 30% Single-sided (SS), double-sided (DS), multilayer- (ML), flex and rigid-flex (RF) PCBs ~ 70% High-end technology share > 80%* HDI and any-layer PCBs, Embedding, IC substrates Complementary technology share: < 20%* SS, DS, ML, Flex, RF Structure of general PCB market – based on technologies * for FY 2019/20 Source: Prismark, AT&S
  • 10. Investor and Analyst Presentation 9 R&D as the key for technological leadership International R&D Partners as of FY 2019/20 * Revenue generated with products with new, innovative technologies introduced to the market within the last three years R&D Headquarters Austria Industrialization at the respective production site 9.5% R&D Quota (equivalent to € 94.8 million) 30.8% Innovation Revenue Rate * International R&D Partners 326 Patents
  • 11. Investor and Analyst Presentation 10 More than AT&S Printed circuit boards Leading producer of high- end PCB IC substrates One of the leading producers mSAP / SLP Technology leader PCBs/substrates for modules High growth potential Substrates for HPC modules Diversification of application and customer portfolio Broadening the service range and opening up of new business opportunities Module integration services Build-up of additional capabilities Technology Innovation power Clear focus on dedicated applications Leading provider of interconnect solutions
  • 12. Investor and Analyst Presentation 11 AT & S Austria Technologie & Systemtechnik Aktiengesellschaft | Fabriksgasse 13 | A-8700 Leoben Tel +43 (0) 3842 200-0 www.ats.net Market update & growth drivers
  • 13. Investor and Analyst Presentation 12 PCB & IC substrates market outlook 6.8 8.9 2.7 3.1 2.6 3.2 1.3 1.54.8 9.3 17.2 23.8 14.5 16.9 8.0 10.0 CY 2019 CY 2025 Consumer Computer Communication Substrates Medical Industrial Aviation Automotive 2019 76.6+4.7% 58.0 +2.4% +3.8% +2.5% +5.6% +11.4% +4.5% +2.8% +3.1% CAGR 2025 in US-$ billion Source: Prismark, April 2020
  • 14. Investor and Analyst Presentation 13 5G Big data AI IoT Game changers for innovative applications
  • 15. Investor and Analyst Presentation 14 92.7% CAGR Total smartphones 2019: 1.37 billion units 2025: 821 million units 2025: 1.54 billion units +1.9% CAGR 5G smartphones 2019: 16 million units Source: IDC (2020), AT&S Analysis 5G Big data AI 5G – The new standard for connectivity Significant growth opportunities ahead
  • 16. Investor and Analyst Presentation 15 5G Big data AI IoT Source: IDC (2019) 2025: 175 Zetabyte 2019: 40 Zetabyte Connected devices Global data volume 2025: 56 billion units 2019: 38 billion units +26.0% CAGR+6.9% CAGR IoT and Big data Strong growth drivers for IC substrates
  • 17. Investor and Analyst Presentation 16 +11.4% CAGR 2025: US-$ 9.2 billion 2019: US-$ 4.8 billion High-end processor modules High-end IC substrates 2019: 1.18 billion units +8.0% CAGR More powerful processors modules require larger form factor, higher layer count and thus higher value IC substrates Embedding of components further increases AT&S value add Source: IDC (2019) Prismark (2019), Yole (2019) Growth by adding value for AT&S5G Big data AI IoT 2025: 1.88 billion units IoT and Big data Strong growth drivers for IC substrates
  • 18. Investor and Analyst Presentation 17 Process and equipment characterization CertificationEquipment move in and installation Decision for IC substrates expansion for HPC Additional capacities out of phase II (CHQ I) Additional capacities out of phase III (CHQ III) Start main building structure CHQ III Full capacities on stream 190% 220% 360% 500%IC substrates capacities  Strategic focus on business with IC substrates for high-performance computing modules  Despite travel bans qualification of new capacities out of phase II (CHQ I) in 2020/21 fully on track  Significant new capacities and revenues out of phase II (CHQ I) in 2020/21  CHQ3: Covid-19 related construction delay of 7 weeks, catch-up plans implemented and bearing fruits 1.9x 1.2x 1.6x 1.4x 100% IC substrates business in Chongqing Capacity expansion and technology investment pushed forward
  • 19. Investor and Analyst Presentation 18 Module business
  • 20. Investor and Analyst Presentation 19 Increased functionality - lower space Increased performance Reduced time to market Reduced cost Scalable for various applications Customer requirements driving demand for modularization CAGR: 11.3%  Changing customer requirements driving the need for modularization  Strong growth potential in module integration market volume  AI and 5G are further drivers for module integration 2025: US-$ 60.6 billion 2019: US-$ 32.0 billion Module integration market Source: A.T. Kearney (8/2018), AT&S (4/2020) Modules & module integration AT&S solutions for the electronics industry
  • 21. Investor and Analyst Presentation 20 AT&S solutions for the electronics industry New business opportunities through entry into the module market
  • 22. Investor and Analyst Presentation 21 AT & S Austria Technologie & Systemtechnik Aktiengesellschaft | Fabriksgasse 13 | A-8700 Leoben Tel +43 (0) 3842 200-0 www.ats.net FY 2019/20 Financials and key figures
  • 23. Investor and Analyst Presentation 22 Global market development  Global trade frictions have eased, but are still creating some uncertainties in the market  Economic environment further dampened by situation around COVID-19  Covid-19 outbreak effected global logistics as well as production chains  Uncertain consumer behavior causes low visibility especially in Mobile devices  Growth in data drives the need for processor modules and therefore high-end IC substrates  Although increase in electronic content partly compensates for lower units sales difficult market situation in the automotive sector is expected to continue until 2021  European industrial investment behaviour on low level  Medical market so far resilient and supported by health systems 22
  • 24. Investor and Analyst Presentation 23 AT&S development in FY 2019/20 Satisfying operating performance despite challenging environment  Excellent crisis management helped to mitigate impact on revenue  Lower volume and unfavourable product mix in Mobile Devices segment  Strong trend at IC substrates business  Automotive segment with almost stable performance despite difficult market situation  Reduced volume in the Industrial segment  Weaker market environment in the Industrial and Automotive segment causes temporary higher price pressure  Medical & Healthcare continued positive trend 23
  • 25. Investor and Analyst Presentation 24 Financials in FY 2019/20 Revenue exceeds the one-billion-euro mark again  Revenue at € 1,000.6 million (PY: € 1,028.0 million)  Positively impacted by FX effects  EBITDA at € 194.5 million (PY: € 250.1 million)  Ongoing preparations for future applications demand higher R&D expenses  Covid-19 impact due to downtime costs and lost production  EBITDA margin with 19.4% (PY: 24.3%) within guided margin range of 18 – 20%  EBIT at € 47.4 million (PY: € 117.2 million)  Deviation from EBITDA development explained by higher depreciation  Operating free cash flow at € -33.4 million (PY: € 69.7 million)  IC substrates investment caused higher Capex  Earnings per share down to € 0.34; dividend of € 0.25 proposed 24
  • 26. Investor and Analyst Presentation 25 COVID-19 – Status quo  Extensive measures in place to protect our people  Experience from China was helpful in the group-wide implementation – no diagnosed cases  Productions are in operations  All sites in China have been manufacturing since mid-February  India produces medical components despite governmental restrictions  Other locations in Austria and Korea are in operations  No shortages in the supply chain  Increase in safety stocks  Supply chain managed very well Worldwide extensive measures are effective has
  • 27. Investor and Analyst Presentation 26 237.9 222.7 267.6 262.9 247.3 1,028.0 1,000.6 29.6 29.6 66.2 55.3 38.1 250.1 194.5 Q4 2018/19Q1 2019/20Q2 2019/20Q3 2019/20Q4 2019/20 FY 2018/19 FY 2019/20 Revenue EBITDA and margin 24.7%15.7%12.5% 21.0% 15.4% 24.3% 19.4% Revenue and EBITDA development in € millions 68% 16% 8% 8% Americas Germany/Austria Asia Other European countries Revenue split by segment: FY 2019/20 Revenue split by region*: FY 2019/20 26 69% 31% Mobile Devices & Substrates Automotive, Industrial, Medical 26 *based on customer’s headquarters*based on customer’s headquarters
  • 28. Investor and Analyst Presentation 27 Business development – Mobile Devices & Substrates 150.6 143.8 186.0 190.1 166.0 16.3 23.8 55.4 50.1 29.4 Q4 2018/19 Q1 2019/20 Q2 2019/20 Q3 2019/20 Q4 2019/20 Revenue EBITDA  Sales increase in IC substrates partly compensates for unfavourable mix and volume effects in Mobile Device and impact of COVID-19 pandemic  Market-related volume reduction caused underutilization in Mobile Devices  Revenue and earnings positively impacted by FX effects € in millions (unless otherwise indicated) FY 2018/19 FY 2019/20 Change in % Revenue 776.0 778.5 +0.3% Revenue with external customers 683.9 685.9 +0.3% EBITDA 193.5 158.6 -18.1% EBITDA margin 24.9% 20.4% In € millions; * Revenue with external customers Revenue* and EBITDA
  • 29. Investor and Analyst Presentation 28 86.2 78.9 81.6 72.9 81.3 14.4 10.9 8.0 5.2 4.8 Q4 2018/19 Q1 2019/20 Q2 2019/20 Q3 2019/20 Q4 2019/20 Revenue EBITDA Business development – Automotive, Industrial, Medical  Medical & Healthcare continued robust trend  Automotive segment with almost stable performance despite difficult market situation  Reduced volume in the Industrial segment  Weaker market environment in the Automotive and Industrial segments causes temporary higher price pressure and underutilization € in millions (unless otherwise indicated) FY 2018/19 FY 2019/20 Change in % Revenue 365.2 350.4 -4.0% Revenue with external customers 338.9 314.7 -7.1% EBITDA 52.6 28.9 -45.1% EBITDA margin 14.4% 8.2% Revenue* and EBITDA In € millions; * Revenue with external customers
  • 30. Investor and Analyst Presentation 29 Net CAPEX in € millions 164.8 254.3 240.7 141.7 100.8 218.5 2014/15 2015/16 2016/17 2017/18 2018/19 2019/20 Investments in IC substrates and technology upgrades main reason for increase
  • 31. Investor and Analyst Presentation 30 102.0 62.8 45.0 338.7 87.2 2020/21 2021/22 2022/23 2023/24 2024/25 Repayments Cash & Financial Assets 1,044.8 Unused credit lines Unused credit lines Solid finance structure Existing funds and cashflow generation help to meet repayments and capex needs Currency: EUR Note: as of 31.03.2020 490.4 554.4  High level of existing liquid funds  Cash: € 418.0 million  Financial assets: € 136.4 million  Additional unused credit lines of € 490.4 million  Future cashflow still to be considered
  • 32. Investor and Analyst Presentation 31 AT & S Austria Technologie & Systemtechnik Aktiengesellschaft | Fabriksgasse 13 | A-8700 Leoben Tel +43 (0) 3842 200-0 www.ats.net Outlook
  • 33. Investor and Analyst Presentation 32 Outlook for 2020/21 AT&S is well positioned to positively participate in intact market trends  Future trends not harmed by COVID-19 pandemic  Influences on customer demand in the coming months expected  Product launches may be delayed in the Mobile Devices segment  Visibility in Automotive business is limited  Industrial segment continues to develop at a low level  Stable development for medical applications  Demand for IC substrates remains strong according to current forecasts  Solid performance in Q1 with revenue and EBITDA at the level of previous year  Outlook update as soon as economic framework conditions can be better quantified  Investments in the IC substrate and module business to be consistently continued  Depending on market developments CAPEX for maintainance and tech-upgrade of up to € 80 million  CAPEX for strategic projects of up to € 410 million
  • 34. Investor and Analyst Presentation 33 Medium-term guidance confirmed Expansion of technology leadership  Leading provider of new interconnect solutions  Innovation revenue rate: > 20% Focus on continued profitable growth  Revenue target of € 2 billion  Prosecution of sustainable margin improvement  Medium-term EBITDA margin target of 25-30% Creation of shareholder value  Medium-term ROCE above 12% Sustainability management  80% renewable energy  Eco-balancing of product groups  30 % women in management positions First choice for advanced applications Technology development to module integration and capacitiy expansion
  • 35. Investor and Analyst Presentation 34 AT & S Austria Technologie & Systemtechnik Aktiengesellschaft | Fabriksgasse 13 | A-8700 Leoben Tel +43 (0) 3842 200-0 www.ats.net Annex
  • 36. Investor and Analyst Presentation 35 STATEMENT OF PROFIT OR LOSS € in thousands 01 Apr 2018 – 31 Mar 2019 01 Apr 2019 – 31 Mar 2020 Change YoY Revenue 1,027,983 1,000,577 (2.7%) EBITDA 250,098 194,529 (22.2%) EBITDA margin 24.3% 19.4% (4.9pp) EBIT 117,210 47,402 (59.6%) EBIT margin 11.4% 4.7% (6.7pp) Finance costs – net (2,018) (6,465) (>100%) Profit/(loss) for the year 89,027 21,456 (75.9%) Earnings per share € 2.08 € 0.34 (83.7%) Financials FY 2019/20 Revenue still above € 1 billion lower volume out of market situation, positive FX effects Unfavourable product mix and temporary underutilization in Mobile Devices, Automotive and Industrial higher R&D costs for future applications Higher depreciation due to growing fixed asset base and first-time application of IFRS 16 Higher negative FX-effects
  • 37. Investor and Analyst Presentation 36 Financials FY 2019/20 Positive profit for the year and negative FX effects, dividend and hybrid coupon payout Due to higher financial liabilities Effect out of lower equity and higher total assets STATEMENT OF FINANCIAL POSITION € in thousands 31 Mar 2019 31 Mar 2020 Change YoY Equity 803,451 760,259 (5.4%) Total assets 1,784,106 1,853,510 3.9% Net debt 150,258 246,747 64.2% Net working capital 160,537 144,418 (10.0%) Equity ratio 45.0% 41.0% (4.0pp) Lower trade receivables and higher trade payables Higher property plant and equipment
  • 38. Investor and Analyst Presentation 37 Financials FY 2019/20 Positive effects from higher working capital and negative effects from result Higher net capex and lower temporary net investment in financial assets Previous year period impacted by issuance of promissory note Higher net capex mainly due to IC substrates investment STATEMENT OF CASH FLOWS € in thousands 01 Apr 2018 – 31 Mar 2019 01 Apr 2019 – 31 Mar 2020 Change YoY Cash flow from operating activities 170,534 185,123 8.5% Cash flow from investing activities (276,579) (116,629) 57.8% Cash flow from financing activities 147,199 17,924 (87.8%) Change in cash and cash equivalents 41,154 86,418 >100% Operating free cash flow1) 69,698 (33,404) (>100%) Free cash flow2) (106,045) 68,494 >100% 1) Cash flow from operating activities minus Net CAPEX 2) Cash flow from operating activities minus cash flow from investing activities Mainly due to shift between short- and long-term financing activities
  • 39. Investor and Analyst Presentation 38 AT&S – Stock Profile Listing: Vienna Stock Exchange, Prime Standard Indices: ATX, Vönix, WBI Thomson Reuters (A): ATSV.VI Bloomberg (A): ATS:AV Annual general meeting 09 July 2020 Publication of the first quarter 2020/21 04 August 2020 Publication of the first half-year 2020/21 03 November 2020 Financial Calendar Shareholder structure # of shares outstanding 38.85m Dividend for 2019/20*: € 0.25 per share *Proposed to the AGM
  • 40. Investor and Analyst Presentation 39 Gross debt, financial assets and cash, net debt Key credit figures 523 593 540 717 801 260 212 331 567 554 263 381 209 150 247 2015/16 2016/17 2017/18 2018/19 2018/19 Gross debt Financial assets and cash Net debt 1.6 2.9 0.9 0.6 1.3 2015/16 2016/17 2017/18 2018/19 2019/20  Target: < 3x Net debt/EBITDA Net debt increase due to higher financial liabilities € in millions Multiple
  • 41. Investor and Analyst Presentation 40 AT&S PRODUCT PORTFOLIO – I ECP®: Embedded Component Packaging IC substrates Substrate-like printed circuit boards mSAP Embedded Component Packaging allows to embed active/passive components (e.g. wafer level dies) within the layers of a PCB – contributes to miniaturization. IC substrates serve as interconnection platform with higher density (Line/Space < 15 micron) between semiconductors (Chips) & PCBs . Substrate-like PCBs (mSAP technology) are the next evolution of high-end HDI PCBs with higher density: Line/Space < 30 micron. Production site Leoben, Shanghai Chongqing Chongqing, Shanghai Applications Devices such as smartphones, tablets, digital cameras and hearing aids High-end processors for Computer, Communication, Automotive, Industrial Mobile applications like smartphones
  • 42. Investor and Analyst Presentation 41 HDI any-layer printed circuit boards HDI microvia printed circuit boards – high density interconnect Multilayer printed circuit boards Double-sided printed circuit boards IMS printed circuit boards – insulated metal substrate Further technological enhancement to HDI microvia: All electrical connections in HDI any-layer boards consist of laser- drilled microvias. Advantage: further miniaturization, and higher performance and reliability. AT&S produces HDI any-layer in 4 to 12 layers. HDI: high density interconnect, meaning laser-drilled connections (microvias). HDI is first step towards miniaturization. AT&S can produce 4-layer laser PCBs up to 6-n-6 HDI multi layer PCBs. Found in almost every area of industrial electronics. AT&S produces printed circuit boards with 4 to 28 layers, in quantities from individual prototypes to small batches and mass production. Used in all areas of electronics. AT&S focuses on double-sided printed circuit boards with thicknesses in the range of 0.1- 3.2mm. IMS: insulated metal substrate. Primary function: heat dissipation for use mainly with LEDs and power components. Production site Shanghai Shanghai, Leoben Leoben, Nanjangud, Fehring Fehring, Nanjangud Fehring Applications Smartphones, Tablets, Notebooks Mobile phones and nearly all electronic applications including automotive (navigation, infotainment and driver assistance systems) Used in all electronic applications including touch panels, and in products ranging from aircraft to motorcycles, from storage power plants to solar arrays Primarily industrial and automotive applications Lighting industry AT&S PRODUCT PORTFOLIO – II
  • 43. Investor and Analyst Presentation 42 Flexible printed circuit boards Semi-flexible printed circuit boards Rigid-flex printed circuit boards Flexible printed circuit boards on aluminum AT&S patented technologies Used to replace wiring and connectors, allowing for connections and geometries that are not possible with rigid printed circuit boards. More limited bend radius than flexible printed circuit boards. The use of a standard thin laminate makes them a cost-effective alternative. Combine the advantages of flexible and rigid printed circuit boards, yielding benefits for signal transmission, size and stability. Used when installing LEDs in car headlights, for example, where the printed circuit board is bonded to an aluminum heat sink to which the LEDs are then attached. Production site Ansan, Fehring Fehring Ansan Ansan Applications Nearly all areas of electronics, including measuring devices and medical applications Automotive applications Industrial electronics, such as production machines and industrial robots Lighting, automotive, building lighting AT&S PRODUCT PORTFOLIO – III ECP®: Embedded Component Packaging ECP® is a patented AT&S packaging technology used to embed active and passive electronic components in the inner layers of a printed circuit board. ECP® technology is used in ever smaller, more efficient and more powerful devices, such as smartphones, tablets, digital cameras and hearing aids. Production sites: Leoben, Shanghai 2.5D® Technology Platform Combines mechanical and electronic miniaturization, and enables partial reduction of the thickness of a circuit board. Advantage: populated assemblies have a thinner profile. Can be also used to make cavities in the printed circuit board, e.g. for acoustic channels. Major application for this technology is the 2.5D® rigid- flex printed circuit board, a lower cost alternative for flex-to install applications. Production sites: Leoben, Shanghai
  • 44. Investor and Analyst Presentation 43 MILESTONES IN THE GROUP’S HISTORY 1987 Founding of the Group, emerging from several companies owned by the Austrian State Owned Industries 1994 Privatization and acquisition by Messrs Androsch, Dörflinger, Zoidl 1999 Initial public offering on Frankfurt Stock Exchange („Neuer Markt“). Acquisition of Indal Electronics Ltd., largest Indian printed circuit board plant (Nanjangud) – today, AT&S India Private Limited 2002 Start of production at new Shanghai facility – one of the leading HDI production sites in the world 2010 Start of production at plant II in India 2009 New production direction: Austrian plants produce for high-value niches in the automotive and industrial segment; Shanghai focuses on the high-end mobile devices segment 2008 AT&S change to Vienna Stock Exchange 2006 Acquisition of Korean flexible printed circuit board manufacturer, Tofic Co. Ltd. – today, AT&S Korea Co., Ltd. 2015 AT&S again achieves record high sales and earnings for financial year 2014/15 and decides to increase the investment program in Chongqing from € 350 million to € 480 million 2011  Construction starts on new plant in Chongqing, China  Capacity increase in Shanghai by 30% 2013 AT&S enters the IC substrate market in cooperation with a leading manufacturer of semiconductors 2017 Successful introduction and optimisation of the mSAP technology in Shanghai and Chongqing 2016 AT&S starts serial production of IC substrates at the plant in Chongqing 2018 Start of the second expansion phase at plant 1 in Chongqing 2019 AT&S is the global number one for high- end printed circuit boards
  • 45. 44 Thank you for your attention! AT & S Austria Technologie & Systemtechnik Aktiengesellschaft | Fabriksgasse13 | A-8700 Leoben Tel +43 (0) 3842 200-0 www.ats.net
  • 46. Investor and Analyst Presentation 45 Disclaimer This presentation is provided by AT & S Austria Technologie & Systemtechnik Aktiengesellschaft, having its headquarter at Fabriksgasse 13, 8700 Leoben, Austria (“AT&S”), and the contents are proprietary to AT&S and for information only. AT&S does not provide any representations or warranties with regard to this presentation or for the correctness and completeness of the statements contained therein, and no reliance may be placed for any purpose whatsoever on the information contained in this presentation, which has not been independently verified. You are expressly cautioned not to place undue reliance on this information. This presentation may contain forward-looking statements which were made on the basis of the information available at the time of preparation and on management‘s expectations and assumptions. However, such statements are by their very nature subject to known and unknown risks and uncertainties. As a result, actual developments, results, performance or events may vary significantly from the statements contained explicitly or implicitly herein. Neither AT&S, nor any affiliated company, or any of their directors, officers, employees, advisors or agents accept any responsibility or liability (for negligence or otherwise) for any loss whatsoever out of the use of or otherwise in connection with this presentation. AT&S undertakes no obligation to update or revise any forward-looking statements, whether as a result of changed assumptions or expectations, new information or future events. This presentation does not constitute a recommendation, an offer or invitation, or solicitation of an offer, to subscribe for or purchase any securities, and neither this presentation nor anything contained herein shall form the basis of any contract or commitment whatsoever. This presentation does not constitute any financial analysis or financial research and may not be construed to be or form part of a prospectus. This presentation is not directed at, or intended for distribution to or use by, any person or entity that is a citizen or resident or located in any locality, state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation or which would require any registration or licensing within such jurisdiction.