Think of Frequency, Think of TXC |
May 23, 2012
Think of Frequency, Think of TXC | 1
FINANCIAL RESULTS SALES & MARKETING PRODUCTS’ DEVELOPMENTBUSINESS HIGHLIGHTQ&A
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1,394
1,824
2,217 2,292 2,113
2,338 2,510
2,689
2,322 2,476 2,495
2,605 2,394
‐22.69%
30.88%
21.55%
3.39%
‐7.84%
10.69%
7.33% 7.14%
‐13.65%
6.63%0.77%
4.45%
‐8.10%
‐30%
‐20%
‐10%
0%
10%
20%
30%
40%
0
500
1,000
1,500
2,000
2,500
3,000
09.Q1 09.Q2 09.Q3 09.Q4 10.Q1 10.Q2 10.Q3 10.Q4 11.Q1 11.Q2 11.Q3 11.Q4 12.Q1
Quarterly Revenue QoQ Revenue Growth
3
Unit: $NT in Million
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Unit: $NT in Million
273
422
576 633
532
629 696
679
576 609 630
586
522
19.61%
23.15%
26.00%27.59%
25.16%
26.91% 27.75% 25.20%24.63%24.69% 25.25%
22.50%21.80%
0%
5%
10%
15%
20%
25%
30%
0
100
200
300
400
500
600
700
800
09.Q1 09.Q2 09.Q3 09.Q4 10.Q1 10.Q2 10.Q3 10.Q4 11.Q1 11.Q2 11.Q3 11.Q4 12.Q1
Quarterly Gross Profit Gross Margin
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69
170
260 283
213
331 361
285 237 248
305
260 199 4.97%
9.31%
11.74%12.34%
10.08%
14.15% 14.37%
10.61%
10.13% 10.02%
12.23%
9.98%
8.31%
0%
2%
4%
6%
8%
10%
12%
14%
16%
0
50
100
150
200
250
300
350
400
450
09.Q1 09.Q2 09.Q3 09.Q4 10.Q1 10.Q2 10.Q3 10.Q4 11.Q1 11.Q2 11.Q3 11.Q4 12.Q1
Quarterly Net Profit Net Margin
Unit: $NT in Million
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Item 11.Q3 11.Q4 12.Q1
Current Assets $ 6,712 $ 5,727 $ 5,785
Cash $ 2,237 $ 1,283 $ 1,445
Notes & Account receivables $ 2,997 $ 3,134 $ 2,845
Inventories $ 1,312 $ 1,160 $ 1,318
Fixed assets $ 5,530 $ 5,690 $ 5,610
Total assets $ 12,731 $ 11,943 $ 11,866
Current liabilities $ 3,467 $ 2,623 $ 3,297
Notes & Account payables $ 1,540 $ 1,271 $ 1,279
Long‐term liabilities $ 2,291 $ 2,088 $ 1,208
Total liabilities $ 5,816 $ 4,783 $ 4,585Shareholders' equity $ 6,914 $ 7,160 $ 7,281
Debt ratio 45.68% 40.05% 38.64%
Current Ratio 193.60% 218.34% 175.46%
Quick Ratio 150.97% 168.39% 130.12%
Net Value Per Share $ 22.88 $ 23.69 $ 24.09
(Unit: $NT in Million)
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Amounts Notes Amounts NotesPing‐Cheng Factory 1,058 a. TCXO/AOM*5
b. Sapphire Equipment
c. RD Equipment
600 a. TCXO/AOM*5(Back‐end of line)b. Sapphire Euipment
NGB Factory 250 Tuning Fork*3
Miniature X'tal*2250 Miniature X'tal*5
Total 1,308 850
CKG Factory 156 Factories & Equipments 348 Factories & Equipments
Mass Production
(2012/2013)
2011 2012(f)
Factories
(Unit: $NT in Million)
c. RD Euipment
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• Compensation payable to directors and supervisors– 2%(2011)
• Employee Bonus– 12%(2011)
2005 2006 2007 2008 2009 2010 2011
Earning Per Share 2.73 4.13 4.88 3.56 2.75 4.06 3.48
Cash Dividend Per Share 0.99 1.94 1.98 2.00 2.00 2.50 2.2
Stock Dividend Per Share 0.59 0.97 0.99 0.50 0.20 0.20 0
Yield(%) 1.95% 3.20% 3.63% 6.25% 3.84% 4.47% 5.05%
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8.46%
‐4.94%
‐14.39%
20.37%
1.37%0.80%
19.00%16.00%
8.00%
25.16%
8.64%
‐20.00%
‐15.00%
‐10.00%
‐5.00%
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
2007 2008 2009 2010 2011 2012
WW FCP Market TXC
10
Resource: CS&A
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Worldwide Revenue of the Top Crystal and Oscillator Suppliers (Unit: Millions of Dollars)
Resource: CS&A
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Resource: CS&A
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KHz Xtal20%
MHz Xtal34%XO
13%
TCXO21%
VCXO6.38%
OCXO5.06%
KHz Xtal38%
MHz Xtal51%
XO5%
TCXO6%
VCXO0.5%
OCXO0.02%
13
Resource: CS&A
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KHz X'tal8%
MHz X'tal62%
Others8%
TCXO8%
VCXO1%
CXO13%
KHz X'tal4%
MHz X'tal58%
Others9%
TCXO16%
VCXO1% CXO
12%
14
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PC20%
MOBILE30%
NETWORKING26%
CONSUMER9%
AUTOMOTIVE2% Others
11%
SAPPHIRE2%
PC25%
MOBILE28%
NETWORKING24%
CONSUMER8%
AUTOMOTIVE2%
Others13%
SAPPHIRE0.1%
15
Think of Frequency, Think of TXC |
T.A.M 2011: 1,554M units
2012(F): 1,681M units
660M units2012 YoY 33%
1,021M units
2011 Global mobile phone major players and market share(2012 estimated growth rate: 6%)
2012 China TAM 250M units(f)Nokia (29.9%)HTC (12.8%)Motorola (12.7%)Apple (6.5%)Lenovo (3.2%)Huawei (2.6%)ZTE (1.8%)Coolpad (1.5%)Others (29%)
16
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GSA Research (Jan 2012):1. 100% WCDMA operators have
launched HSPA (3.5G)2. HSPA+ (3.75G) is mainstream.3. 35 commercial LTE networks
launched (Europe, USA, Korea, Japan, HK).
4. Forecasts 119 commercial LTE networks by end 2012.
EAU ~1.5M units/Y
Major Players:Ericsson, Huawei, Samsung, NEC, NSN, ZTE, Alcatel Lucent ,…etc
Huawei, 14%
Ericsson, 21%
Nokia Siemens, 10%
Alcatel Lucent, 3%
ZTE, 5%
Samsung, 28%
NEC, 12%
Others/Not Determined, 7%
17
Think of Frequency, Think of TXC |
HetNet (Hetrogeneous Network)Utilizing mix of Macrocell and small cell (Picocell, Femtocell…), relay base stations...etc..Advantages:1. Reduce operators’ CAPEX and OPEX cost.2. Increasing system throughput.3. Improving user Uplink/Downlink data rate.TXC opportunities:1. Small cell: Stratum‐3 TCXO, VCXO.2. Macrocell: OCXO, VCXO.
Macrocells
Femtocells
18
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Source: DIGITIMES Feb, 2012
2011 2012
Existing Customers
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1.2*1.0 Crystal (Smallest in the world) 7050/5032 (High‐Speed HCSL Oscillator) 1.6*1.0 Tuning Fork(Smallest in the world) MOSFET (Power Management Unit) 7050/5032/3225 MEMS Oscillator
http://www.txccorp.com/tw/index.asp
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Prod
uct P
erform
ance
Seam ‐40~125℃
2012 2013 2014 2015 2016
VCXO
MHz Crystal
XO/MO/SO
TCXO &VCTCXO
OCXO
XO 100~200MHz (Fundamental)Phase Jitter < 0.1ps
Glass ‐50~150℃ (Automotive)
32KHz ±5ppm, ‐40~85ºC (RTC)
100~800MHz (PLL)Phase Jitter <0.5ps
Seam ‐40~125℃ (Automotive)
±0.28/±0.14ppm ‐40~85ºC (Telecom)
10/13MHz (±10ppb, ‐10~75ºC)
38.88MHz(±200ppb, ‐30~70ºC)
±0.5ppm ‐40~85ºC (Automotive)
Glass ‐40~125℃ (Automotive)
XO 100~800MHz (PLL)Phase Jitter < 0.3ps
2520/2016 Seam (Mobile/GPS) 1612 Seam (Mobile/GPS)
XO CMOS ‐40~105℃ (Automotive)
100~200MHz (Fundamental)Phase Jitter <0.1ps
SO LVPECL/LVDS <50ppm
2016 TSX (Crystal + Thermistor)
Ultra Stability
Low Phase Noise
High Stability
Wide OTRLow Phase Noise
22
Wide OTRHigh Stability
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Think of Frequency, Think of TXC |
Taiwan
Japan
China
Korea
Focus on the 4” Sapphire Wafer Market. & Successfully approved and running into the warm-up production stage
Closely co-work with Japan partner to step into the Japan 4”& 6” Market. Product is approval and under line auditing
Hesitate and initially approach the potential China customers .
Contact with the potential customer and sampling approving of the 4”& 6” Wafers
24
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0
5000
10000
15000
20000
25000
Jan. Feb. Mar. Apr. May Jun. Jul. Aug. Sep. Oct. Nov. Dec.
4" Capacity(pcs) Sales amount(pcs)Sales (pcs)
25
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Revenue will grow gradually and stably.
Gross margin expected to be above 22%.
China market is still growing strongly, especially in smartphone, tablet and infrastructure sectors.
4G application is the major driving force for high-end products along with raising Cloud Computing.
New products are on market smoothly and will bring growth momentum.
Think of Frequency, Think of TXC |
2012 Q1 2012 Q2 (f)
Consolidated Operating Revenue 2,394 2,550
Consolidated Gross Profit 522 570
Consolidated Operating Profit 230 265
28
(Unit: $NT in Million)
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