Investor Update - Insyde Software · Confidential | © 2014 Insyde Software Investor Update Jeremy...
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Confidential | © 2014 Insyde Software Investor Update Jeremy Wang 1 May 2014 Insyde Software
Transcript of Investor Update - Insyde Software · Confidential | © 2014 Insyde Software Investor Update Jeremy...
Confidential | © 2014 Insyde Software
Investor Update
Jeremy Wang
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May 2014
Insyde Software
Confidential | © 2014 Insyde Software 2
Safe Harbor Notice
We may make forward-looking statements in this presentation. Our forward-looking statements contain information regarding, among other things, our financial conditions, future expansion plans or business strategies. We have based these forward-looking statements on our current expectations and projections about future events. Although we believe that these expectations and projections are reasonable, such forward-looking statements are inherently subject to risks, uncertainties, and assumptions about us.
We undertake no obligation to publicly update or revise any forward-looking statements whether as a result of new information, future events or otherwise. In light of these risks, uncertainties and assumptions, the forward-looking information may not occur and our actual results could differ materially from those anticipated in these forward-looking statements.
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Agenda
• Company Overview
• Product Portfolio
• Drivers of Growth
• Financial Review & Company Updates
• Q&A
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Company Overview
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Insyde Software (6231.TW)
• Founded in September, 1998 by PCT (6270.TW) CEO Jeremy Wang and SystemSoft EVP Jonathan Joseph
• Business started via acquisition of SystemSoft’s BIOS Division
• Early investors included Intel Corp. & China Development Industrial Bank in September 1999
• Shares Outstanding as of 4/30/2014: 38.0M shares
• Headquarters: Taipei, Taiwan• US operations in Massachusetts and Oregon
• Other offices in China, Taiwan and Korea
Confidential | © 2014 Insyde Software
Growing Worldwide Presence
Portland, USA Boston, USA
Taipei, Taiwan
Shanghai,
China
Tokyo,
JapanAustin, USA
EuropeKorea
(Sales Office)
Kunshan,
China
Beijing,
China
Shenzhen,
China
Taichung,
Taiwan
Insyde Office
Agent
New Office!
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OEMs
3rd Parties
ODMs
Insyde Relationships
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Product Portfolio
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Focus Areas
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Notebooks TabletsUltrabooks /
Detachables
Desktops Servers Embedded
Android App MarketAndroid
Drivers & Tools
Insyde Software Products Enable Innovation in the Computer Industry
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Cloud
Services
SI
OSV
BSP
Firmware
Gesture
IME
ShareKanTan
FileKanTan
SuiteKanTan
Complete, Customizable Software and Service Solutions, From Firmware to Applications
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Notebook Desktop Server Embedded
OEMs, ODMs, Semiconductor and OS Vendors
Tablet
PC Systems Architecture
BIOS & Firmware
Pre-Boot Apps, Tools & Drivers
Systems Integration & Customization
Core Competencies & Markets
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BIOS is stored in NOR Flash
Computer BIOS – “Firmware”
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Hardware
UEFI-Aware
OSLegacy OS
UEFI-Aware
OSLegacy OS
Legacy
BIOS CoreAPM
ACPI
USB
PCI
PNP
Hardware
DXE Foundation
UEFI2.0 /EFI 1.1
The Framework Foundation
Co
mp
atib
ility
Su
pp
ort
Mo
du
le
Fra
mew
ork
Driv
ers
Architectural Protocols
Pla
tform
Driv
ers
Difference between LegacyBIOS and UEFI Firmware
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Insyde Has Led the Transition to UEFI
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Transition Milestones from Over a Decade of Industry-Leading UEFI Experience
UEFI development with
Intel since 2001
Shipping UEFI products
on notebooks since 2005
Non-Intel chipsets in
production since Q1’06
InsydeH2O shipping with server
and embedded since 2004
Shipping UEFI products
on desktop since 2003
Customers shipping multiple
UEFI products since 2008
Major transition of server
BIOS to UEFI begins
Tablet & “ultra notebook”
production in 2011/2012
• UEFI for Windows 8
& EDK II @ 2012
2001 | 2002 | 2003 | 2004 | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | 2011 | 2012 | 2013 | 2014
Formed UEFI Forum
with industry leaders
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Operating System
InsydeH2O
Hardware Platform
• Supporting operating
systems including
Windows 7, Windows 8,
Android, Chrome OS,
Linux and more…
• Configuring CPUs, chipsets
and peripherals including
x86 from AMD, Intel, Via;
and ARM from nVIDIA,
Qualcomm, TI and more…
• BIOS: Basic Input
Output System
• UEFI: Unified
Extensible Firmware
Interface
• InsydeH2O provides
the bridge from the
Hardware-2-
Operating system
X86: Intel, AMD, Via
Windows Android, Linux based…
ARM: nVidia, Qualcomm, TI
Operating System
InsydeH2O®
Hardware Platform
Making Connections in the Era of Platform VariationWider Range of Hardware Architectures and Wider Range of Operating Systems
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Confidential | © 2014 Insyde Software
• Deep knowledge and skills on from Android 1.5 to Android 4.4
• Great experience on Intel x86 from Diamondville to BayTrail and Haswell
• Obtained Google CTS/GTS certificate for Android on X86
Expertise and Experience - Android on x86
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2 0 0 9 | 2 0 1 0 | 2 0 1 1 | 2 0 1 2 | 2 0 1 3 | 2 0 1 4
Pine Trail Oak TrailHuron River
Chief RiverMedfieldDiamondvilleShark Bay
Bay Trail
Broadwell
Cherry Trail
The 1st generation Intel Studybook
Over 4 million
devices shipped
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Drivers of Growth
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Momentum Building on Android for X86
• Intel is pushing 2-in-1 on X86
• Google CTS certificate for Android on X86 available
• Android becoming the biggest OS across platforms
• Humanos® Special Features for Android• Native Dual-OS Switching – multiple ways to perform OS switching between
Windows and Android (or Linux)
• Multiple Open-Windows support
• Full-Featured Browser – Better experience including FLASH
• Superior IME (40+ languages) – Software keyboard with Handwriting integration
• Applications– AppKanTan™, FileKanTan , ShareKanTan, SuiteKanTan, SyncKanTan, SAMBA, FTP, RDP
• OTA Live Update
• Mass Production utilities
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Growth Potential in Server and Embedded Markets• Smartphones and tablets are driving growth of datacenters
worldwide• Datacenters need servers
• These servers all need UEFI BIOS. Insyde is one of two external vendors for this UEFI BIOS
• More and more “smart” devices which talk over the internet -- “The internet of things”
• Intel just formed a new business group to focus on this segment. Insyde is one of two UEFI firmware vendors focused on this growing market.
• Cisco, Dell, Huawei, Siemens, Wistron, ZTE and many others using Insyde’s BIOS for these markets, although not exclusively
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Confidential | © 2014 Insyde Software
Financial Review & Company Update
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(In NT$ Thousands) Q1'14 Q4'13 Q1'13 QoQ % YoY%
Net Sales 203,808 257,202 176,222 -21% 16%
COGS 52,542 28,878 36,926 82% 42%
Gross Profit 151,266 228,324 139,296 -34% 9%
Gross margin 74.22% 88.77% 79.05%
Operating Expense 175,690 199,957 184,519 -12% -5%
Operating Income -24,424 28,367 -45,223 - -
Operating Margin -11.98% 11.03% -25.66%
Non-Op Inc/(Exp) 907 1,352 -2,846 - -
Income before Tax -23,517 29,719 -48,069 - -
Net Income -20,037 23,388 -47,291 - -
Net Margin -9.83% 9.10% -26.84%
EPS -0.53 0.61 -1.25
Consolidated Income Statement Quarterly
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Selected Items fromBalance Sheet (NT$ Millions)
Q1’14 Q4’13 Q1’13
Amount % Amount % Amount %
Current Assets 859.3 74.1% 950.0 75.7% 943.6 78.5%
Fixed Assets 15.1 1.3% 17.6 1.4% 25.5 2.1%
Net PP&E and other assets 285.6 24.6% 286.7 22.9% 232.3 19.4%
Total Assets 1,160.0 100% 1,254.3 100% 1,201.4 100%
Current Liabilities 492.7 42.5% 571.5 45.6% 175.5 14.6%
Long-Term Liabilities - - - - 294.4 24.5%
Other Liabilities 22.9 2.0% 20.6 1.6% 50.1 4.2%
Total Liabilities 515.6 44.4% 592.1 47.2% 520.0 43.3%
Shareholders' Equity 644.4 55.6% 662.2 52.8% 681.4 56.7%
Consolidated Balance Sheet Summary
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Thanks!
Confidential | © 2014 Insyde Software
For more information, contact:
www.insyde.com
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