Growth through Innovation
ASM has a legacy of innovation of more than half a century, innovation is at the core of what we do. With our global, networked R&D model, we can collaborate closely and early with our customers, industry partners, and universities. Over the past 20 years, we have accumulated a vast amount of know-how in ALD materials and chemistries. Coupled with decades of experience in developing reactors and processes.
Our main strengths
We are a focused deposition equipment provider in the semiconductor wafer fab equipment (WFE) market. Our principal technologies are ALD and epitaxy, and these play a critical role for our customers in enabling the transition to new device generations. We have helped shape the industry by driving innovation through our collaborative R&D models, successfully delivering advanced new materials, products and processes to our customers.
From 2016 to 2021, we grew at a rate of one-and-a-half-times faster than the WFE market. Our target is to continue outperforming the market by leveraging our strong position in advanced nodes.
Our revenue growth in recent years, has helped us to generate healthy cash flow and profitability, and enabled us to further increase investments in R&D, creating value for our stakeholders.
In 2022, we added a new product line – silicon carbide (SiC) epitaxy equipment, addressing the growing electrification of the automotive industry. SiC devices provide greater battery life and a longer range for electricity vehicles.
Our strategic objectives
Grow ALD business by maintaining leadership in logic/foundry and expanding in memory
Our ALD business is a key priority. ALD will continue to grow as a core technology as our customers transition to the next nodes. We expect the ALD market to be the fastest-growing segment in the deposition market in coming years.
Increase epitaxy market share
Epitaxy has become the second growth engine in our product portfolio. In 2022, we have entered the silicon carbide (SiC) epitaxy market, which complements our epitaxy silicon offerings.
Selective growth in VF and PECVD niches
In vertical furnaces and PECVD, we want to further develop our current niche positions by addressing targeted growth opportunities. Vertical furnace applications for the analog/power market are an example of a niche position we have selectively been investing in.
Grow spares & services business
We aim to accelerate the growth of our spares & service business through continued expansion of our installed base, and growing our offerings to include differentiated outcome-based services, in addition to our existing offering of spare parts, maintenance and support services.
Our focus is to deliver long-term sustainable value creation for all our stakeholders and have a positive impact on the world. We aspire to be a sustainability leader in our industry, continuing to address key ESG topics and opportunities.
Drive strong financial performance
Healthy profitability will allow us to continue investing in growth. Per our profitability targets for the period 2021-2025, we strive to achieve sustainably higher gross margins between 46% and 50%, and an improved operating margin of 26% to 31%, generating strong free cashflow.
Our strategy enablers
Our people are at the heart of our company’s success. We strive to create a safe, inspiring, and motivating workplace where our people have the opportunity to use their talents, excel, and develop their potential as we work together to deliver the cutting-edge technologies of tomorrow.
The core element in our overall growth strategy is continuous innovation. With R&D centers in seven countries, we have helped shape today’s leading-edge semiconductor products by driving innovation through our collaborative R&D models.
Early customer engagements
We have strong customer relationships with leading semiconductor manufacturers, working closely together in the early stages of their device roadmaps. As we have expanded our R&D engagements, we have deepened our understanding of the next generation’s key requirements.
Flawless operational excellence
By driving operational excellence, we provide value to our customers with quality, reliable, leading-edge products and services. With our technology leadership, we develop new, high-performance products to meet our customers’ key inflections and support their production ramp with on-time delivery.
Strong financial position
We strive to maintain a strong balance sheet that allows us to continue investing in R&D. To this end, our target is to increase the minimum amount of cash on our balance sheet from €300 million to €600 million in the period until 2025.