ASM INTERNATIONAL N.V. REPORTS FOURTH QUARTER 2021 RESULTS

Rhea-AI Summary

ASM International N.V. announced strong fourth-quarter 2021 results with record new orders of €645 million, a 70% increase year-over-year. Revenue reached €491 million, up 42% from the previous year. The gross profit margin was 47.0%, while the operating result rose to €131 million. For 2021, ASM reported total revenue growth of 34% at constant currencies, totaling €1,730 million. The company plans a dividend increase from €2.00 to €2.50 per share and initiated a new share buyback program of €100 million. Outlook for Q1 2022 anticipates revenue of €500-530 million amidst ongoing supply chain challenges.

Positive

• Record new orders of €645 million in Q4 2021, a 70% increase YoY.
• Revenue for Q4 2021 was €491 million, a 42% increase from last year.
• Gross profit margin improved to 47.0% compared to 45.2% in Q4 2020.
• Operating result increased 50% for 2021, totaling €492 million.
• Dividend proposal increased by 25% to €2.50 per share from €2.00.

Negative

• Operating result margin decreased slightly from 27.1% in Q3 2021 to 26.7% in Q4 2021.
• Demand affected by ongoing supply chain challenges.

Almere, The Netherlands
February 22, 2022, 6 p.m. CET

ASM finishes strong year with record high orders in Q4

ASM International N.V. (Euronext Amsterdam: ASM) today reports its fourth quarter 2021 operating results (unaudited).

FINANCIAL HIGHLIGHTS

EUR million	Q4 2020	Q3 2021	Q4 2021
New orders	378.7	624.5	644.9
Revenue	346.6	432.9	491.3
Gross profit margin %	45.2	47.2	47.0
Operating result	77.5	117.3	131.3
Operating result margin %	22.4	27.1	26.7
Result from investments (excluding amortization intangible assets resulting from the sale of ASMPT stake in 2013)	27.1	27.6	25.8
Amortization intangible assets (resulting from the sale of ASMPT stake in 2013)	(3.0)	(3.1)	(3.2)
Net earnings	79.1	128.9	134.9
Normalized net earnings (excluding amortization intangible assets resulting from the sale of ASMPT stake in 2013 and result from sale of ASMPT shares)	82.1	132.0	138.1

• New orders of €645 million for the fourth quarter 2021 increased by 70% as reported compared to the same period last year.
• Year-on-year revenue growth for the fourth quarter 2021 was 40% at constant currencies (42% as reported).
• Gross profit margin of 47.0% was higher compared to 45.2% in the same quarter last year.
• Operating result for the fourth quarter 2021 improved from €78 million last year to €131 million this year mainly driven by strong revenue growth.
• Normalized net earnings for the fourth quarter 2021 were €138 million, a significant improvement compared to same quarter last year.

COMMENT

“2021 was a year of great progress for our company. As COVID-19 continued to impact each of us, our people demonstrated relentless commitment and execution, pulling together as one ASM team,” said Benjamin Loh, President and Chief Executive Officer of ASM International. “In the fourth quarter, we realized revenue of €491 million, driven by record high sales in the logic/foundry segment. Q4 revenue was towards the higher end of our guidance of €470-500 million, despite continued challenging supply chain conditions in the quarter. Demand remained strong, reflected in our Q4 order intake of €645 million, up 70% compared to the same quarter of 2020. For the full year, revenue grew 34% at constant currencies to €1,730 million, led by strong growth in our ALD and Epi product lines. Operating result increased 50% to €492 million in 2021.
In 2021, we also accelerated our focus on sustainability. An important step was our announcement last September of our target to achieve Net Zero emissions by 2035. During the year, we transitioned most of our key sites to electricity sourced from renewable sources.”

OUTLOOK

Supported by a record high order backlog at the end of Q4, ASM has started the year on a strong footing. Looking at the first half of the year of 2022, supply chain conditions are expected to remain tight. For Q1, on a currency comparable level, we expect revenue of €500-530 million, with a further steady increase in Q2 revenue compared to Q1. Based on the current visibility, we expect revenue in the second half of 2022 to be higher than the level in the first half. The wafer fab equipment (WFE) market is forecasted to increase by a mid to high teens percentage in 2022. We expect to outperform the WFE market in 2022.

SHARE BUYBACK PROGRAM

On April 20, 2021, ASMI announced the authorization of a new share buyback program of up to €100 million. The program started on July 28, 2021 and was completed on December 17, 2021. In total, we repurchased 292,116 shares at an average price of €342.33, under the 2021 program.

ASMI announces today that its Management Board authorized a new repurchase program of up to €100 million of the Company's common shares within the 2022/2023 time frame. This buyback program will be executed by intermediaries and will end as soon as the aggregate purchase price of the common shares acquired by ASMI has reached €100 million.

This repurchase program is part of ASMI's commitment to use excess cash for the benefit of its shareholders.

DIVIDEND PROPOSAL

ASMI will propose to the forthcoming Annual General Meeting of Shareholders (AGM) 2022, to declare a regular dividend of €2.50 per common share over 2021, an increase of 25% compared to the regular dividend paid over 2020 (€2.00 per common share).

About ASM International

ASM International NV, headquartered in Almere, the Netherlands, its subsidiaries design, manufacture equipment and process solutions to produce semiconductor devices for wafer processing and has facilities in the United States, Europe, and Asia. ASM International's common stock trades on the Euronext Amsterdam Stock Exchange (symbol ASM). For more information, visit ASMI's website at www.asm.com.

Cautionary Note Regarding Forward-Looking Statements: All matters discussed in this press release, except for any historical data, are forward-looking statements. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. These include, but are not limited to, economic conditions and trends in the semiconductor industry generally and the timing of the industry cycles specifically, currency fluctuations, corporate transactions, financing and liquidity matters, the success of restructurings, the timing of significant orders, market acceptance of new products, competitive factors, litigation involving intellectual property, shareholders or other issues, commercial and economic disruption due to natural disasters, terrorist activity, armed conflict or political instability, changes in import/export regulations, epidemics and other risks indicated in the Company's reports and financial statements. The Company assumes no obligation nor intends to update or revise any forward-looking statements to reflect future developments or circumstances.

This press release contains inside information within the meaning of Article 7(1) of the EU Market Abuse Regulation.

  

ASM International N.V will host an investor conference call and webcast on Wednesday, February 23, 2022, at
3:00 p.m. Continental European Time (9:00 a.m. – US Eastern Time).

Conference call participants should pre-register using the link below to receive the Dial-In Numbers, Direct Event
Passcode and unique Registrant ID, which will be needed to access the conference call.

Online registration for the conference call: http://emea.directeventreg.com/registration/7359836

A simultaneous audio webcast and replay will be accessible at www.asm.com.

CONTACT

Investor and media contact:

Victor Bareño
T: +31 88 100 8500
E: investor.relations@asm.com

Attachment

• 20220222 - Financial results Q4

FAQ

What were ASM International's new orders in Q4 2021?

ASM International reported new orders of €645 million in Q4 2021, marking a 70% increase compared to the same period in 2020.

How much revenue did ASM International generate in Q4 2021?

ASM International generated €491 million in revenue for Q4 2021, which is a 42% increase year-over-year.

What is the dividend proposal for ASM International for 2021?

ASM International proposed a regular dividend of €2.50 per common share for 2021, up 25% from the previous year's dividend of €2.00.

What is the outlook for ASM International in Q1 2022?

ASM International expects revenue between €500-530 million for Q1 2022, despite ongoing supply chain challenges.

What was the operating result for ASM International in 2021?

The operating result for ASM International in 2021 increased to €492 million, a 50% improvement year-on-year.