HIMAX TECHNOLOGIES, INC. Drive for better vision
: HIMX
May 2024 INVESTOR PRESENTATION
Forward Looking Statements
Factors that could cause actual events or results to differ materially from those described in this conference call include, but are not limited to, the effect of the Covid-19 pandemic on the Company's business; general business and economic conditions and the state of the semiconductor industry; market acceptance and competitiveness of the driver and non- driver products developed by the Company; demand for end-use applications products; reliance on a small group of principal customers; the uncertainty of continued success in technological innovations; our ability to develop and protect our intellectual property; pricing pressures including declines in average selling prices; changes in customer order patterns; changes in estimated full-year effective tax rate; shortage in supply of key components; changes in environmental laws and regulations; changes in export license regulated by Export Administration Regulations (EAR); exchange rate fluctuations; regulatory approvals for further investments in our subsidiaries; our ability to collect accounts receivable and manage inventory and other risks described from time to time in the Company's SEC filings, including those risks identified in the section entitled "Risk Factors" in its Form 20-F for the year ended December 31, 2023 filed with the SEC, as may be amended. Images of devices depicted in this presentation may be representative of those in which Himax has specification, or for reference-only and may not be associated with actual bill-of-material or design-win in the displayed image. Any association of such, without a confirmed disclosure of such by the Company or the Company's customer are coincidental. Himax is under strict customer disclosure guidelines on the release of such information.
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Global Display and Imaging IC Design House
Leading IC Provider | US $1.2 Billion | 40% Global Market Share | Listed on NASDAQ |
Global Top 10 | 2022 Sales | Driver IC for | NASDAQ: HIMX |
Fabless IC Design | Avg. 60 Million ICs | Automotive Displays | Since 2006 |
Company in 2021* | Shipment Per Month |
* Global Top 10 IC Design Company Revenue, 2021. Source: TrendForce, March 2022
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Himax - Driver for Better Future
Automotive
- Very Large-Size, Curved, Touch for Next Generation LCD and OLED Displays
- Automotive Local Dimming Tcon for High-Contrast Display Enablement
- Head-UpDisplay (AR-HUD)
- WiseEyeTM and 3D Sensing for Biometric Sensing
AIoT
- World Leading WiseEyeTM Ultralow Power AI Sensing for Endpoint AI
- Total Solution: AI Processor + Always-On Image Sensor + AI Algorithm
- WiseEye PalmVein: Ultralow Power Contactless Palm Vein Authentication
- Plug-n-PlayWiseEye Module with User-Programmable and Pre-Trained AI Models
- WiseEye Solution Features in Dell's New Laptops and DESMAN's Smart Door Lock
- Ecosystem: Google, Microsoft, Arm, TinyML Foundation, and Many Others
Optical product line-up/Metaverse
- Front-LitLCoS Microdisplay
- Diffractive Optics
- 3D Sensing
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Recognized Industry Leader
For the last 30 years, we have worked with leading OEMs to develop the most recognized imaging and human interfacing technologies
1990s | 2000s | 2010s | 2015 and Beyond |
Founder B.S. Wu pioneers flat | Chairman Wu establishes Himax to meet | Himax gains market share with design | Himax leads WLO shipment and development with North |
panel technologies at Chimei | DDIC demand for large panels and fast- | wins with leading technology products | American OEM's mainstream applications. 3D sensing for e- |
Electronics as CTO | growing medium & small panels | companies worldwide | Payment; LCoS for AR glasses and AR-HUD; CMOS for NB and |
Webcam; WiseEye for Endpoint AI; WLO integration keeps | |||
Himax at the forefront of AR/VR product design |
Corporate Timeline
September | March 2021 | |||||||
2015 | August 2016 | |||||||
March 2006 | June 2013 | WiseEye1 AIoT | ||||||
June 2001 | AR pilot | Started | Q2 2020 | Platform | ||||
Himax IPOs on | Himax completed | production | expansion for | H2 2018 | WiseEye | received | ||
Himax Taiwan | Nasdaq. Raised | taking out | shipment made | next generation | Smartphone | Solution | Microsoft | |
founded by | $147M with Morgan | financing of | to a major US | LCoS & WLO | TDDI ramped | adopted by | Azure IoT PnP | |
B.S. Wu | Stanley | Chimei | customer | production lines | with OEMs | Google TFLM | Certification |
2001 ~ 2006 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 |
Q1 2024 | Q1 2024 | ||
Q1 2022 | Q1 2023 | CES debut | |
WiseEye | CES | touch for OLED | Cumulated |
features in | debuted | auto & NB; | Auto TDDI |
Dell's | WiseEye2 AI | in-cell TDDI for | shipment > |
Laptops | Processor | LCD NB | 40M units |
2022 | 2023 | 2024 |
July 2013 | 2016 | 2017 | 2019 | Q1 2022 | H1 2022 | Q1 2024 | Apr. 2024 | |||
Signed | Volume | Qualcomm & | Industry- | Auto AMOLED | Showcase | |||||
October 2004 | investment | shipment of AR | Himax jointly | first auto | IC 1Q22 ramp | industry- | Q3 2023 | CES | Debuted | |
Formed Himax | agreement | related LCOS | announced | TDDI MP | 2020 | for EV | leading auto | exhibited | WiseEye | |
World's first | ||||||||||
Display to focus on | with Google | and WLO, | structured light- | Q2 2022 | local | 180K nits | PalmVein | |||
Tablet TDDI | LTDI mass | CS FL | Authentication | |||||||
LCoS microdisplay | AMOLED DDIC, | based 3D depth | MP | AMOLED | dimming | production | ||||
LCoS | ||||||||||
technology | and in-cell TDDI | sensing solution | Tablet MP | Tcon | ||||||
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Investment Highlights
Leading Imaging and Human Interfacing Technology Innovator
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Global display driver player with a wide range of display image processing technologies for panels of all sizes Human interfacing total-solution provider specialized in immersive, touchless and 3D perception related applications Thousands of patents for Himax's IP and designs
Diversified Base of Customers and Revenues
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DDIC market share leader
Penetration throughout all display market segments and with a leading position in several segments, including automotive Diversified revenues from traditional large and small/medium DDICs to TDDI, Timing controller, AMOLED, e-paper, WLO, 3D Sensing, CIS, WiseEye Ultralow Power AI Sensing and LCOS microdisplays
Top-tier partnerships with major U.S. and Asian AP platform providers, device makers, and the world's mega tech names Expect non-driver product lines to proliferate application / customer coverage, improve corporate revenue and profit margin
Operational and Public Market Performances
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2022 record $1.2B in revenue. Ranked Global Top 10 Fabless IC Design Company in 2021 Long-term profitability potential with no fund raising since IPO
Focus on delivering P&L improvement by executing on the technologies Himax already developed for both driver IC and non-driver IC areas
Committed to dividend policy to reward shareholders for their ongoing support while continuing technology investment
Innovative New Products Capturing Growth Markets
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TDDI and AMOLED technologies fuel growth for core display driver ICs business
Our leading specifications and continuous design-wins for WiseEye Ultralow Power AI Sensing, WLO, 3D sensing, AoS CIS, and LCoS microdisplay, all position Himax at the forefront for future product releases AR/VR, Medical Devices, Robotics, AIoT, Endpoint AI, Smart Home/Office, Automotive, LiDAR, AR-HUD applications
Visionary Management Team
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Himax on NASDAQ
Fiscal Year | December 31 |
Last-Traded Price (5/8/2024) | $5.22 |
Diluted Weighted Ave. Out. ADS | 175.0M |
Equivalent ADS Out | 174.7M |
Market Capitalization (5/8/2024) | $912M |
Average Volume | 0.69M |
Insider Ownership* | 24.4% |
* Insider ownership includes executives and board members
Shareholder Type
12 Month Trading Chart | May 8, 2024 |
Source: https://www.nasdaq.com/symbol/himx/stock-chart
Retail 38.0%
Insider 24.4%
Analysts | |
Mizuho Securities Asia Ltd. | Kevin Wang |
Nomura Securities | Donnie Teng |
Institutional
28.6%
Hedge Fund | ||
5.1% | Mutual Fund | Date: As of March 31, 2023 |
3.9% |
Baird Equity Research | Tristan Gerra |
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History of Dividend and Share Buyback
$953 | HAS BEEN RETURNED TO SHAREHOLDERS INCLUDING DIVIDENDS AND SHARE BUYBACKS SINCE IPO | |||||||||||||||||||||||||||||||||||
MILLION | Executed Share Buybacks from 2007-2023 | |||||||||||||||||||||||||||||||||||
Dividend Payout Ratio (%) | Total Payout (US$M) | |||||||||||||||||||||||||||||||||||
119.0% | 100.0% | 100.0% | 100.0% | (US$M) | ||||||||||||||||||||||||||||||||
75.0% | 83.3% 75.0% | 77.5%89.0%81.4% | 61.7% | Unutilized Portion | Executed Share Buyback | |||||||||||||||||||||||||||||||
51.3% | 61.4% | 63.2% | 50.0% | |||||||||||||||||||||||||||||||||
$218 | 35.4% | |||||||||||||||||||||||||||||||||||
NA | NA | |||||||||||||||||||||||||||||||||||
$50 | $50 | |||||||||||||||||||||||||||||||||||
$84 | $33 | $12 | ||||||||||||||||||||||||||||||||||
$67 | ||||||||||||||||||||||||||||||||||||
$40 | $56 | $44 | $21 | $11 | $42 | $46 | $51 | $22 | $41 | $17 | $47 | 51 | $13 | |||||||||||||||||||||||
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 | ||||||||||||||||||||||||||||||||||||
Dividend | 2007 | 2008 | 2010 | 2011 | ||||||||||||||||||||||||||||||||
0.20 | 0.35 | 0.30 | 0.25 | 0.12 | 0.06 | 0.25 | 0.27 | 0.30 | 0.13 | 0.24 | 0.10 | 0.00 | 0.00 | 0.27 | 1.25 | 0.48 | 0.29 | |||||||||||||||||||
per unit | ||||||||||||||||||||||||||||||||||||
EPS | 0.57 | 0.40 | 0.21 | 0.19 | 0.06 | 0.30 | 0.36 | 0.39 | 0.15 | 0.30 | 0.16 | 0.15 | (0.08) | 0.27 | 2.50 | 1.36 | 0.29 | |||||||||||||||||||
Yield (%) | 4.0 | 7.0 | 10.4 | 9.1 | 5.9 | 3.4 | 4.4 | 4.1 | 4.8 | 1.4 | 2.9 | 1.3 | na | na | 2.1 | 15.0 | 7.3 |
HimaxDividendandPolicy
- Distributed a total of $807 million of cash dividend since IPO
- Dividends referenced primarily on prior year's profitability and cash demand for future growth
- Typically pays out annual cash dividend at approximately the middle of the current calendar year, e.g., 2024 dividend payouts in July was for fiscal year 2023
- 2024 high dividend payout ratio is supported by our positive business outlook and strong balance sheet. We are grateful for the support of our shareholders as we strive to achieve business objectives and deliver sustainable long-term growth and profitability
HimaxShareBuyback
- Initiated four share buyback programs totaling $158 million since 2007
- Repurchased a total of 46.5 million ADSs as of 2012 at average purchase price per ADS: $3.15
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Note: On 11/30/2018 & 12/3/2021 Himax chairman announced share purchase plans. Chairman Dr. Biing-Seng Wu intended to use his personal funds to purchase up to approximately $5 million and $10 million respectively of the Company's American Depositary Shares ("ADSs") in the open
market,* subject to market conditions and other factors
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Q1 2024 Summary and Q2 2024 Guidance
1Q2024 | 4Q2023 | 1Q2023 | QoQ | YoY | |
Revenues | $207.6M | $227.7M | $244.2M | -8.8% | -15.0% |
Gross Margin (%) | 29.3% | 30.3% | 28.1% | -1.0% | +1.2% |
Profit | $12.5M | $23.6M | $14.9M | -47.0% | -16.3% |
Earnings per ADS | $0.071 | $0.135 | $0.085 | -47.0% | -16.4% |
2023 | 2022 | YoY | |
Revenues | $945.4M | $1,201.3M | -21.3% |
Gross Margin (%) | 27.9% | 40.5% | -12.6% |
Profit | $50.6M | $237.0M | -78.6% |
Earnings per ADS | $0.290 | $1.356 | -78.6% |
2Q2024 Guidance
Revenues Increase 8% - 13% sequentially
Gross Margin (%) 31.5% - 33.5%, depending on the final product mix
Profit 13.0 cents to 17.0 cents per diluted ADS
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A Global Semiconductor Company
- Fabless semiconductor company with world leading visual imaging processing technologies
- Global market leader in TFT-LCD display driver and timing controller ICs
- 300+ customers across Taiwan, China, Japan, Korea, U.S. and Europe
- 2,772 patents granted and 398 patents pending approval worldwide as of March 31, 2024
- NASDAQ-listedsince March 2006 (HIMX)
- Around 2,200 employees worldwide; more than 90% are engineers
- Headquartered in Tainan, Taiwan with 8 R&D centers in Taiwan, China, Korea, and U.S., out of a total of 26 offices across Taiwan, China, Japan, Korea, Germany and U.S.
HEADQUARTERS
Tainan, Taiwan
Irvine, CA
Design
San Jose, CA
Sales
Minneapolis, MN
Design, Manufacturing
Operations
Sales/Marketing
Detroit, MI
Technical Support
Himax's Global Reach
Asan, Bundang | ||
Sales Design | ||
Beijing, Shanghai, Suzhou | Technical Support | |
Fuzhou, Ninbo, Foshan, Wuhan, | ||
Shenzhen, Hefei, Xiamen, | Tokyo | |
Munich | Chongqing, Xian, Chengdu, | Sales |
Fuqing, Nanjing | Technical | |
Sales/Marketing | Sales, Design, Technical Support | Support |
Tainan, Taipei, and
Hsinchu in Taiwan
Headquarters
Design
Manufacturing
Operations
Sales/Marketing
Technical Support
Investor Relations
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Himax Technologies Inc. published this content on 09 May 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 09 May 2024 14:47:08 UTC.
