EX-99 4 asmlslide.txt EX-99.2 - PRESENTATION SLIDES Exhibit 99.2 SLIDE 1 ASML Annual Results 2001 Doug J. Dunn President & CEO Peter T. F. M. Wennink Executive Vice President Finance & CFO Veldhoven, the Netherlands January 17, 2002 SLIDE 2 "Safe Harbor" Statement under the U.S. Private Securities Ligitation Reform Act of 1995: the matters discussed during this presentation include forward-looking statements that are subject to risks and uncertainties including, but not limited to, economic conditions, product and pricing, manufacturing efficiencies, new products development, ability to enforce patents, availability of raw materials and critical manufacturing equipment, trade environment, and other risks indicated in filings with the U.S. Securities and Exchange Commission. SLIDE 3 ASML 2001 result presentation ASML had a successful year even though: o Semiconductor market conditions fell off a cliff o World economy went into recession o Financial environment was difficult SLIDE 4 Agenda o Market environment and macro-economic situation o ASML achievements o Financial performance o Ready for the upturn SLIDE 5 Agenda o MARKET ENVIRONMENT AND MACRO-ECONOMIC SITUATION o ASML achievements o Financial performance o Ready for the upturn SLIDE 6 The ultimate storm o Collapsing stock markets Less money to spend o Global recession Less demand of electronics o Overcapacity No need for more equipment o Oil prices were high Lower disposable income o Inventory burn No need for more dies o Terror attack Worsened everything SLIDE 7 Downturn worst in history Worldwide IC sales and YoY growth [Graphic Omitted] SLIDE 8 Electronics revenue worldwide [Graphic Omitted] SLIDE 9 U.S. semiconductor equipment bookings not improving [Graphic Omitted] SLIDE 10 Semiconductor capital equipment sales [Graphic Omitted] SLIDE 11 Lithography capital equipment sales [Graphic Omitted] SLIDE 12 The lithography market [Graphic Omitted] SLIDE 13 Semiconductor fab utilization Ratio of Silicon shipment to fab capacity [Graphic Omitted] SLIDE 14 U.S. consumer confidence recovering? U.S. consumer confidence index (1985=100) [Graphic Omitted] SLIDE 15 Positive signs o PC upgrades driven by Windows XP and P4 o Home entertainment (game consoles, DVD) o Wireless LAN drives upgrades in enterprises and home o Silicon opportunities in storage and digital media SLIDE 16 Agenda o Market environment and macro-economic situation O ASML ACHIEVEMENTS o Financial performance o Ready for the upturn SLIDE 17 ASML 2001: Major achievements o Record new product introductions o New customer wins o Accelerated SVG integration SLIDE 18 ASML 2001: Major achievements New products [Graphics Omitted] PAS 5500/800 TWINSCAN(TM)dual stage Cost effective DUV 120 nm Highest productivity in the world PAS 5500/850 TWINSCAN(TM) AT:850 Workhorse in DRAM 110 nm TWINSCAN(TM) AT:1100 PAS 5500/1100 Champion in high-end microprocessors and logic SLIDE 19 TIME TO MARKET Effects of device shrink 1998 o Advanced imaging technology has allowed Design rule, um 0.35 0.25 circuit density to increase faster Chips per wafer 157 308 than manufacturing costs 1999 o Cost per function has fallen, despite Design rule, um 0.25 0.20 increased cost of manufacturing a Chips per wafer 406 588 silicon wafer 2000 /750 Design rule, um 0.175 0.15 [Graphic Omitted] Chips per wafer 1,028 1,400 2001 & beyond /800 /1100 Design rule, um 0.13 0.11 0.10 Chips per wafer 1,860 2,800 2,800 SLIDE 20 TIME TO MARKET More functionality per die LOG2 of the number of components per intergrated funtion [Graphic Omitted] SLIDE 21 ASML 2001: Major Achievement Technology innovations as economy drivers Lithography as enabler for new IC applications ------------------------------------- TWINSCAN(TM) | o Record time to market | | o Technology leadership | :1100 ArF | o Volume manufacturing solutions | 700 to :850 KrF | o Lowest cost per wafer | :400 i-line ------------------------------------- PAS 5500 /900 /950 /1100 ArF /90 /300 /500 /700 /750 /800 /850 Krf /60 /80 /100 /200 /250 /400 i-line ______________________________________________________________________________> 1991 2001 > SLIDE 22 ASML 2001: Major Achievements New customer wins o TI o Infineon o SMIC o DongBu o Others SLIDE 23 More than 50% of the top chip makers are ASML customers Philips Semiconductor STMicroelectronics Samsung Motorola UMC Micron AMD Intel Hynix [Graphic Omitted] Texas Instruments Infineon Technologies Lucent Technologies TSMC IBM Hitachi NEC Mitsubishi Sharp Toshiba Fujitsu Sony Matsushita ASML is recognized as the technology leader and is well positioned in the world markets to provide the best value of ownership SLIDE 24 SVG Merger: Strategic rationale more valid than ever ------------------------------------------------------------------- | Oct 2000 | Jan 2002 | | ----------------------------|-------------------------------------| Technology | Leading edge technology | Catadioptric design vital for 157 nm| | for lithography | | | Wafer track opportunity | Integrated imaging solutions | |-----------------------------|-------------------------------------| People | Additional R&D capabilities | Accelerated 157 nm and EUV program | |-----------------------------|-------------------------------------| Market | Access SVG customer | Gained significant momentum at | | base for future sales | mutual customer base | |-----------------------------|-------------------------------------| Industrial | Manufacturing capabilities | Actions in place to prepare for | | in the U.S. | TWINSCA(TM) module manufacturing | | Dual supplier opportunity | Extended supply chain | ------------------------------------------------------------------- SLIDE 25 ASML 2001: Major Achievements SVG Integration: What has happened? o In Q1 2001 the semiconductor market collapsed o As a consequence, the integration and rightsizing of the organization was accelerated o Restructuring was executed SLIDE 26 Cost benefits analysis Costs from restructuring Cash savings from restructuring [Graphic Omitted] [Graphic Omitted] SLIDE 27 Agenda o Market environment and macro-economic situation o ASML achievements o FINANCIAL PERFORMANCE o Ready for the upturn
SLIDE 28 REVENUES (Millions Euro) --------------------------------------------------------------------------------------------- 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 --------------------------------------------------------------------------------------------- Total 318 302 403 587 915 1108 1364 1326 1636 3063 1844 Semi-annual 634 643 869 547 1334 1015
SLIDE 29 Revenue per region Total value: Millions Euro 1844 Lithography systems Track and Thermal USA 36% USA 34% Taiwan 14% Taiwan 22% Korea 16% Europe 19% Europe 16% ROW 21% ROW 13% Japan 4% Japan 5% Total USA 36% Taiwan 15% Korea 14% Europe 16% ROW 15% Japan 4% SLIDE 30 Net results [Graphic Omitted] SLIDE 31 Overview of historical financials ASML consolidated (in MEuro) --------------------------------------------- | 2000 2001 2001 1H 2001 2H | ---------------------------- |---------------------------------------------| | Net Sales | | 3,063 1,844 1,015 829 | | Gross Profit | | 1,220 52 282 (230) | | Gross Profit (%) | | 39.8 2.8 27.7 (27.7) | | Gross Profit excl. restr. | | NA 518 338 180 | | Gross Profit excl. restr. % | | NA 28.1 33. 21.83 | | R&D Net Costs | | 367 408 197 211 | | SG&A Costs | | 313 280 159 120 | | M&A Costs | | 0 58 53 5 | | Net income | | 378 (479) (96) (383) | ----------------------------- ---------------------------------------------- SLIDE 32 Overview of historical financials ASML segment reporting (in MEuro)
---------- ----------- ------------ | 2000 | | 2001 1H | | 2001 2H | --------- ----------- ----------- ----------- ------------ ----------- | Litho | Thermal | Litho | Thermal | Litho | Therma | | | /Track | | /Track | | /Track | ----------------------------- | --------|-----------|-----------|-----------|------------|-----------| | Net Sales | | 2,633 | 430 | 811 | 205 | 7444 | 85 | | Gross Profit | | 1,081 | 139 | 230 | 52 | (215) | (15) | | Gross Profit (%) | | 41.1 | 32.3 | 28.4 | 25.2 | (28.9) | (17.6) | | Gross Profit excl. restr. | | NA | NA | 286 | 52 | 1833 | (3) | | Gross Profit excl. restr. % | | NA | NA | 35.3 | 25.2 | 24.66 | (3.1) | | R&D Net Costs | | 302 | 65 | 164 | 33 | 1677 | 44 | | SG&A Costs | | 247 | 66 | 129 | 30 | 1088 | 12 | | M&A Costs | | 0 | 0 | 41 | 11 | 44 | 1 | | Net income | | 381 | (3) | (79) | (17) | (335) | (48) | --------------------------------------------------------------------------------------------------------
SLIDE 33 Overview of historical financials Segment reporting details Lithography
----------------------------------------------- | 2000 1H | 2000 2H | 2001 1H | 2001 2H | | | | | | -------------------------------------- ------------------------------------------------| |Total units shipped | | 207 | 248 | 120 | 77 | | Used systems shipped | | 21 | 32 | 12 | 5 | | ASP Lithography systems new (MEuro) | | 5.8 | 6.0 | 5.9 | 8.1 | | Gross margin % | | 41.5 | 43.6 | 30.4 | -42.7 | | Gross margin % excl. restructuring | | 41.5 | 43.6 | 38.9 | 24.6 | | | | | | | -------------------------------------- ------------------------------------------------
SLIDE 34 Overview of historical financials Segment reporting details Thermal & Track
---------------------------------------------- | 2000 1H | 2000 2H | 2001 1H | 2001 2H | | | | | | -------------------------------------- -----------------------------------------------| |Total units shipped (Thermal & Track) | | Combined | Combined | | | | Thermal | | 154 | 188 | 87 | 24 | | Track | | | | 43 | 9 | | ASP Thermal (MEuro) | | 0.8 | 1.1 | 1.2 | 1.6 | | ASP Track (MEuro) | | | | 1.0 | 1.0 | | Gross margin % Thermal | | 20.2 | 26.7 | 21.7 | 5.9 | | Gross margin % Track | | | | 8.0 | (49.3) | --------------------------------------- -----------------------------------------------
SLIDE 35 Total employees ASML per region ------------------------------------------------------------------------| | Europe +++ USA *** | | Asia XXX | | | | | 9000 |- 8123 | | ______________ | 8000 |- |XXXXXXXXXXXX| 7070 | | 6061 |************| ____________ | 7000 |- ______________ |************| |XXXXXXXXXXXX| | | |xxxxxxxxxxxx| |************| |XXXXXXXXXXXX| | 6000 |- |------------| |************| |************| | | |************| |************| |************| | 5000 |- |************| |************| |************| | | |************| |************| |************| | 4000 |- |************| |************| |************| | | |************| |------------| |------------| | 3000 |- |************| |++++++++++++| |++++++++++++| | | |------------| |++++++++++++| |++++++++++++| | 2000 |- |++++++++++++| |++++++++++++| |++++++++++++| | | |++++++++++++| |++++++++++++| |++++++++++++| | 1000 |- |++++++++++++| |++++++++++++| |++++++++++++| | | |++++++++++++| |++++++++++++| |++++++++++++| | 0 | |++++++++++++| |++++++++++++| |++++++++++++| | ------------------------------------------------------------------------- 1999 2000 2001 SLIDE 36 Balance sheets ------------------------------------------------------------------------------ |Amounts in Millions of Euro | Dec 31, 2000 | Dec 31, 2001 | |-------------------------------|-----------------------|----------------------| |ASSETS | | | |Cash and cash equivalents | 984 28% | 911 25% | |Accounts receivable, net | 927 27% | 570 16% | |Inventories, net | 828 24% | 869 24% | |Other assets | 176 5% | 568 16% | |Plants and equipment | 498 15% | 673 18% | |Intangible fixed assets | 20 1% | 18 1% | ------------------------------------------------------------------------------ - |TOTAL ASSETS | 3,433 100% | 3,609 100% | -------------------------------------------------------------------------------- ------------------------------------------------------------------------------- |LIABILITIES and | | | |SHAREHOLDERS' EQUITY | | | |Current liabilities | 777 22% | 828 23% | |Long term debts | 869 25% | 1,555 43% | |Shareholders' equity | 1,666 49% | 1,226 34% | |Minority interest | 121 4% | | |-------------------------------|-----------------------|----------------------| |TOTAL LIABILITIES and | 3,433 100% | 3,609 100% | |SHAREHOLDERS' EQUITY | | | -------------------------------------------------------------------------------- SLIDE 37 Agenda o Market environment and macro-economic situation o ASML achievements o Financial performance o READY FOR THE UPTURN SLIDE 38 Ready for the upturn o New TWINSCAN factory ready and in production o Sufficient capacity in place for upturn o Supply base extended to U.S. o Lead-time reduction program o Cost reduction / break-even point o 157 nm development SLIDE 39 Ready for the upturn Cycle time reduction in production [graphic omitted] SLIDE 40 Summary o We are taking advantage of the semiconductor industry downturn, investing in a strong R&D pipeline to increase our technology leadership position o ASML introduced and shipped more new and leading edge technology in 2001 than ever in our history o We expanded our technology and market leadership with success among existing and new customers o ASML, with new products and increased SLIDE 41 [ASML Logo]