Credit Suisse European Technology Conference 2008

Transcription

1 Credit Suisse European Technoogy Conference 2008 ASML continues to execute its eadership strategy and expects gradua order pick-up Franki D Hoore Director European Investor Reations London, 15 May 2008 / Side 1

2 Safe Harbor "Safe Harbor" Statement under the US Private Securities Litigation Reform Act of 1995: the matters discussed in this document may incude forward -ooking statements, incuding statements made about our outook, reaization of backog, IC unit demand, financia resuts, average saes price, gross margin and expenses. These forward ooking statements are subject to risks and uncertainties incuding, but not imited to: economic conditions, product demand and semiconductor equipment industry capacity, wordwide demand and manufacturing capacity utiization for semiconductors (the principa product of our customer base), competitive products and pricing, manufacturing efficiencies, new product deveopment and customer acceptance of new products, abiity to enforce patents and protect inteectua property rights, the outcome of inteectua property itigation, avaiabiity of raw materias and critica manufacturing equipment, trade environment, changes in exchange rates and other risks indicated in the risk factors incuded in ASML s Annua Report on Form 20 -F and other fiings with the US Securities and Exchange Commission. / Side 2

3 ASML - the word s argest suppier of ithography equipment Revenue evoution Leadership in immersion for voume chip manufacturing Lam Research KLA Tencor Tokyo Eectron ASML Appied Materias Nikon 24% Canon 11% ASML 65% Top 5 semiconductor equipment suppiers 2007 Market share 2007 / Side 3 Source: Semi & ASML

4 / Side 4 The Market

5 Market in genera Goba economic weakness drives sowdown of overa 2008 semiconductor capex forecast by anaysts and customers DRAM makers reduce capacity pan and are driving prices of memory chips up Two Fash makers deay new factories, fash prices continue to be weak Customer factory utiization rates remain high Independent market researchers are uncertain about semiconductor growth rates / Side 5

6 ASML affected by changing market environment - Recent capacity deay decisions by one DRAM factory expansion and two new Fash factories impact Q1 orders and 08 outook - Rationaization efforts amongst Taiwanese DRAM payers ongoing - Overa economic growth uncertainty deaying capex decisions for Foundries + Demand for immersion toos remain strong / Side 6

7 ASML s assessment of 2008 wordwide ithography demand March 2008 Apri 2008 ASML shipped 260 machines in 2007 with ASP of 12.9 miion ASML expects market share gains and substantia ASP growth in 2008 Numbers incude new and used equipment Source: ASML Apri 2008 / Side 7

8 Industry anayst 2008 memory forecasts DRAM Unit Growth NAND Unit Growth Unit Growth Gartner IC Insights VLSIR Time of Forecast / Side 8 Source: ASML MCC

9 2008 : Foundry 65nm ramp, MPU 45nm, 5xnm DRAM (1Gb), 4xnm NAND (32Gb), 3xnm process deveopment with DPT 200 Resoution, Shrink (nm) AT:850 AT:1200 ASML Product Introduction XT:1400 XT:1700i XT:1900i DPT EUV / Side 9

10 FOUNDRY Saes by process technoogy: 65nm starts voume ramp in 2008 N90 Quaification Period N90 Production Ramp 90nm Piot 65nm Piot Source: TSMC Quartery Reports / Side 10

11 FOUNDRY Bi-annua capacity increase pattern* suggests improved 2H/08 Foundry utiization triggers ASML itho equipment purchases TWINSCAN Add Point * Utiization seems to drop mainy as resut of capacity additions. If pattern hods, foundry wi ikey add capacity again in This is not a forecast. Source: ASML MCC (SAP-IFP update 12/07) / Side 11

12 ASML technoogy eader / Side 12

13 ASML immersion instaed base 86 toos Immersion technoogy used in voume production for 55 nm resoution and beyond 25 in the US 8 in Europe 53 in ASIA, (16 in Japan) Source: ASML / Side 13

14 Next generation ithography: EUV Abany Prototypes shipped in 2006 / Side 14 Leuven Five Piot production machines to ship 2010

15 EUVL Roadmap down to 11 nm support 22 nm and 16 nm node with a singe projection system Res nm 0.4x NA 16 nm 22 nm same projection system, enhanced off-axis iumination 0.32 NA +off axis iumination 0.32 NA, 3 nm OVL, >100 wph 27 nm 0.25 NA, 4 nm OVL impementation voume production / Side 15

16 Doube patterning wi bridge the gap between singe exposure 193 nm immersion and EUV 200 NAND Fash DRAM Logic Resoution, "Shrink" [nm] AT:1200 XT:1400 XT:1700i ASML product Introduction XT:1900i Next DFM supported ow k 1, ight DPT EUV Strong DPT EUV EUV Year of Production Start* *Process deveopment 1.5 ~ 2 years in advance (updated 12/07) / Side 16

17 Options to print beow immersion singe exposure imit Cost, compexity and cyce time *Wafer does not eave the exposure system between the two exposures *Wafer preferaby does not eave the itho ce between the exposures Singe exposure SE 45nm *Wafer eaves itho ce for etch between the exposures Spacer DPT SPCR 32nm Litho DPT - LELE LDPT 32nm Litho DPT - LFLE LDPF 32nm Doube exposure DE 38 nm SiON /HM Etch Cean Strip Fim Etch Metroogy Deveop Expose Top coat Resist BARC SiON / SiC Hard Mask Device fim Si / Side 17

18 Litho cost per ayer: estimates for 32 nm & 22 nm Singe exposure schemes more cost effective Normaized itho cost per ayer nm 32 nm 32 nm 32 nm 22 nm 22 nm 22 nm ArFi 193 nm Spacer DPT 193 nm Litho DPT EUV 193 nm Spacer DPT 193 nm Litho DPT EUV Fixed Operating Source Chemica CVD Metroogy Etch Cean Retice Retice cost based on 5000 wafers / mask usage / Side 18

19 / Side 19 Business summary

20 Q1 resuts 8 th consecutive quarter with saes over 900 miion Soid operating margin of 20.5% Cash generation 263 miion from operations Backog at 1,167 miion, 65 systems Booked 26 systems Shipped 14 immersion toos Record average seing price for new shipped systems of 18.7 miion / Side 20

21 Tota net saes M 3,597 3,768 2,465 2,529 1,543 *2007 numbers are adjusted retrospectivey with respect to the change in accounting poicy. / Side 21

22 Net saes breakdown in vaue: Q Technoogy Saes in Units i-line 3% ArF dry 32% KrF 14% Region End-use Taiwan 15% Korea 32% Foundry 13% Europe 7% USA 24% Japan 7% Other 1% Numbers have been rounded for readers convenience / Side 22

23 Backog ithography in vaue per March 30th, 2008 Tota vaue M 1,167 = 65 systems Technoogy End-use Memory 56% i-line 3% KrF 9% IDM 30% ArF dry 31% ArF immersion 57% Foundry 14% USA 20% Region Korea 30% Europe 13% Other 6% Japan 9% China 9% Taiwan 13% Numbers have been rounded for readers convenience / Side 23

24 / Side 24 Outook

25 Q outook ASML expects to ship 42 systems ASP for new + refurbished systems expected to be 17.0 miion Gross margin approximatey 40% R&D is expected at 130 miion net of credit SG&A is expected at 58 miion Given current market weakness, we are trimming Manufacturing and SG&A variabe costs for 2008 second haf whie keeping R&D stabe / Side 25

26 Outook Order pattern transates into weaker net saes for next 2 quarters We expect gradua unit order pick-up from Q2 onwards, due to: Improvements in memory suppy/demand baance Voume production ramps of 45nm node Fash memory to start in H Foundry contribution ASML s market share gains Due to advanced technoogy too mix, Q2 bookings vaue increase wi be significant / Side 26

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