Attached files
| file | filename |
|---|---|
| 8-K - CURRENT REPORT ON FORM 8-K - Super Micro Computer, Inc. | d8k.htm |
| EX-99.1 - PRESS RELEASE OF SUPER MICRO COMPUTER, INC. - Super Micro Computer, Inc. | dex991.htm |
 GPU
Solutions Universal I/O
Double-Sided
Datacenter
Optimized
Twin Architecture
SuperBlade
®
Storage
3rd Quarter Fiscal 2011
Earnings Conference Presentation
April 26, 2011
Exhibit 99.2
GPU Solutions
Universal I/O
Double-Sided
Datacenter
Optimized
Twin Architecture
SuperBlade
®
Storage |
 2
Safe Harbor Statement
This presentation contains forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E of
the Securities Exchange Act of 1934, as amended. These forward-looking
statements may relate, among other things, to our expected financial
and operating results, our ability to build and grow Supermicro, the benefit of our products
and our ability to achieve our goals, plans and objectives.
Such forward-looking statements do not constitute guarantees of future
performance and are subject to a variety of risks and uncertainties that
could cause our actual results to differ materially from those anticipated.
These include, but are not limited to: our dependence on continued growth in the markets
for X86 based servers, blade servers and embedded applications, increased
competition, difficulties of predicting timing of new product
introductions, customer acceptance of new products, difficulties in
establishing and maintaining successful relationships with our distributors and
vendors, shortages or price fluctuations in our supply chain, our ability
to protect our intellectual property rights, our ability to control the
rate of expansion domestically and internationally, difficulty managing rapid growth and
general political, economic and market conditions and events.
For a further list and description of risks and uncertainties, see the reports
filed by Supermicro with the
Securities
and
Exchange
Commission.
Supermicro
disclaims
any
intention
or
obligation
to
update
or revise any forward-looking statements, whether as a result of new
information, future events or otherwise. Supplemental information,
condensed balance sheets and statements of operations follow. All monetary
amounts are stated in U.S. dollars. |
 3
Non-GAAP Financial Measures
Non-GAAP gross margin in this presentation excludes stock-based
compensation expense. Non- GAAP net income and net income per share in
this presentation exclude stock-based compensation expense, a provision
for litigation costs and the related tax effect of the applicable items.
Management presents non-GAAP financial measures because it considers them to
be important supplemental measures of performance. Management uses the
non-GAAP financial measures for planning purposes, including analysis
of the Company's performance against prior periods, the preparation of
operating budgets and to determine appropriate levels of operating and capital
investments.
Management also believes that non-GAAP financial measures provide additional
insight for analysts and investors in evaluating the Company's financial
and operational performance. However, these non-GAAP financial measures
have limitations as an analytical tool, and are not intended to be an
alternative to financial measures prepared in accordance with GAAP.
Pursuant to the requirements of SEC Regulation G, detailed reconciliations between
the Company's GAAP and non-GAAP financial results is provided at the
end of the press release that was issued announcing the Company’s
operating and financial results for the quarter ended March 31, 2011. In
addition, a reconciliation from GAAP to non-GAAP results is contained in the
financial summary attached to today’s presentation and is available in
the Investor Relations section of our website at www.supermicro.com
in the Events and Presentations section. Investors are advised to carefully
review and consider this information as well as the GAAP financial results that
are disclosed in the Company's SEC filings. |
 4
Q3’FY2011 Non-GAAP Financial Highlights
(in millions, except per share data)
Q3'11
YoY
Sequential
Revenue
$234.3
23.8%
-2.7%
Profit after Tax
$12.3
37.2%
-8.1%
EPS
$0.28
32.7%
-10.1%
Change |
 5
Summary of Results
Revenue was $234 million and 24% higher than last year
Component revenues offset system solutions which are
project based
Storage sales were up nearly 50% over the previous
quarter
Blades grew again and are now 279% higher than last year
Asia revenue was 20% of total revenue and confirms that
Asia is our fastest growing region
Our growth strategy of expanding overseas and in new
markets is positioning us for future growth |
    Leading
Products Twin Architecture
2U Twin (6x 3.5”
HDD or 12x 2.5”
HDD per node)
1U Twin, 2U Twin², 2U Twin³
(8 nodes in 2U)
SuperBlade™
-
GPU Blade and TwinBlade™
GPU blade (20GPUs in 7U, most dense in the industry)
20/28 DP nodes in 7U, support 40Gb/s Infiniband or 10G
Ethernet connectivity
GPU optimized product lines (1U, 2U and 4U)
New High Density GPU product line
Extreme performance for calculation-intensive applications
IPC and Embedded Applications
Many design wins with compact formfactor solutions
Atom-based low power server: fan-less / long life cycle, for
embedded and server appliances
Entry-level Workstation and High-end Desktop
Optimized for Sandy Bridge UP
Near-silent in operation (21dB)
Twin Architectures
TwinBlade™
Atom server
Industrial Solution
GPU Blade
GPU-optimized |
    Enterprise 8-way/4-way Systems
8-way
5U
high-end
high-margin
solution
–
80
cores
and
2TB
of memory per system
Nehalem-EX MP and G34 MP system in 1U/2U/4U
HPC application needs as well as enterprise market
Storage product line expansion
Higher density storage subsystems: Double-Sided
Super SBB product line with software solutions
SuperRack™
Double side access, cable management, water cooling
Switch Products: 10GbE, IB, FCoE
10GbE onboard and 10GbE standalone switch
FCoE solution coming soon
MicroCloud™
Optimized for IaaS -
Cloud in a box
Software Optimization
Remote management, power management
HPC/DC management toolset (SSM)
Front
Back
Super-SBB
Double-Sided Storage
1U, 4U / 4-way
Leading Products
5U / 8-way
SuperRack
MicroCloud |
 8
Revenue Comparables
Y/Y
72.8%
63.4%
39.5%
32.3%
23.8%
Seq.
4.0%
6.5%
2.7%
16.2%
-2.7% |
 9
Revenue Analysis |
 10
Non-GAAP Gross Margins |
 11
Non-GAAP Gross Profit |
 12
Summary P&L non-GAAP
(in millions, except per share data)
Q3'11
YoY
Sequential
Q3'10
Q2'11
Operating Expense
$20.8
$3.5
-$0.8
$17.3
$21.6
Operating Expense Ratio
8.9%
-0.2%
-0.1%
9.1%
9.0%
Operating Income
$17.2
$5.2
-$1.5
$12.1
$18.8
Net Income
$12.3
$3.3
-$1.1
$8.9
$13.3
EPS
$0.28
$0.07
-$0.03
$0.21
$0.31
Diluted Common Share
Count
44.0
42.5
42.7
Effective Quarterly
Tax Rate
28.3%
25.7%
28.3%
Change |
  13
Q3 FY2011 YTD Summary Statement of Cash Flows
($’s millions)
9 Months Ended
9 Months Ended
31-Mar-11
31-Mar-10
Net Income
$29.5
$19.2
Depreciation and amortization
$4.0
$3.4
Stock comp expense (FAS 123R)
$5.7
$4.8
Other reserves
$6.5
$3.0
Net change in AR, Inventory, AP
-$50.1
-$48.6
Other prepaids and liabilities
$2.6
$10.0
Cash flow from operations
-$1.8
-$8.2
Capital expenditures
-$19.6
-$2.8
Free cash flow
-$21.3
-$11.0
Net cash - investing activities
$1.2
$10.5
Net cash - financing activities
$15.6
-$3.1
Net change in cash
-$4.5
-$3.6 |
   14
Q3 FY 2011 Summary of Balance Sheet Metrics
($’s millions)
Q3'11
Q2'11
Change
Cash Equivalents & Investments
73.5
$
92.7
$
(19.1)
$
Accounts Receivable
79.8
$
77.8
$
2.0
$
Inventory
205.6
$
187.6
$
18.0
$
Accounts Payable
128.5
$
144.0
$
(15.5)
$
DSO
31
29
2
DIO
92
78
14
DPO
64
59
5
Cash Cycle Days
59
48
11 |
 15
Supplemental Financials
Third Quarter Fiscal 2011
Ended March 31, 2011 |
 16
Non-GAAP Financial Summary
(in millions, except per share data)
Q3'11
Q2'11
Q3'10
Net Sales
234.3
$
240.8
$
189.3
$
Non-GAAP Gross Margin
16.2%
16.8%
15.5%
Non-GAAP Operating Expenses
20.8
$
21.6
$
17.3
$
Non-GAAP Operating Income
17.2
$
18.8
$
12.1
$
Non-GAAP Net Income
12.3
$
13.3
$
8.9
$
Non-GAAP Net Income per share
0.28
$
0.31
$
0.21
$
Fully diluted shares for calculation
44.0
42.7
42.5
|
 17
Prior Period Net Income Comparisons
(in millions, except per share data)
Q3'11
Q2'11
Q3'10
Net Income (GAAP)
10.7
$
11.6
$
7.7
$
FAS123R
&
Other
Unusual
Expense
(tax
affected)
1.6
$
1.8
$
1.2
$
Net Income (Non-GAAP)
12.3
$
13.3
$
8.9
$
Diluted Net Income per common share (GAAP)
0.25
$
0.27
$
0.18
$
FAS123R
&
Other
Unusual
Expense
(tax
affected)
0.03
$
0.04
$
0.03
$
Diluted Net Income per share (Non-GAAP)
0.28
$
0.31
$
0.21
$
Shares used in diluted EPS calculation
44.0
42.7
42.5 |
 18
Q3 FY 2011 GAAP to Non-GAAP Reconciliation
(in millions, except per share data)
FAS123R &
Q3'11
Q3'11 GAAP
Other Unusual
Non-GAAP
Results
Expenses
Results
Net Sales
234.3
$
-
$
234.3
$
Cost of Sales
196.4
$
0.2
$
196.2
$
Gross Profit
37.9
$
0.2
$
38.1
$
Operating Expense
22.7
$
1.9
$
20.8
$
Operating Income
15.2
$
2.1
$
17.2
$
Interest, net
(0.1)
$
-
$
(0.1)
$
Income Before Tax
15.0
$
2.1
$
17.1
$
Income Tax
4.3
$
0.5
$
4.8
$
Net Income
10.7
$
1.6
$
12.3
$
Diluted Net Income per share
0.25
$
0.03
$
0.28
$
Diluted shares used in GAAP and
Non-GAAP per share calculation
42.9
44.0
44.0 |
 19
Q2 FY 2011 GAAP to Non-GAAP Reconciliation
(in millions, except per share data)
FAS123R &
Q2'11
Q2'11 GAAP
Other Unusual
Non-GAAP
Results
Expenses
Results
Net Sales
240.8
$
-
$
240.8
$
Cost of Sales
200.6
$
0.2
$
200.5
$
Gross Profit
40.2
$
0.2
$
40.4
$
Operating Expense
23.3
$
1.7
$
21.6
$
Operating Income
16.9
$
1.8
$
18.8
$
Interest, net
(0.2)
$
-
$
(0.2)
$
Income Before Tax
16.8
$
1.8
$
18.6
$
Income Tax
5.2
$
(0.1)
$
5.3
$
Net Income
11.6
$
1.8
$
13.3
$
Diluted Net Income per share
0.27
$
0.04
$
0.31
$
Diluted shares used in GAAP and
Non-GAAP per share calculation
41.6
42.7
42.7 |
 20
Q1 FY 2011 GAAP to Non-GAAP Reconciliation
(in millions, except per share data)
FAS123R &
Q1'11
Q1'11 GAAP
Other Unusual
Non-GAAP
Results
Expenses
Results
Net Sales
207.2
$
-
$
207.2
$
Cost of Sales
174.1
$
0.2
$
173.9
$
Gross Profit
33.0
$
0.2
$
33.2
$
Operating Expense
21.0
$
2.4
$
18.7
$
Operating Income
12.0
$
2.6
$
14.6
$
Interest, net
(0.1)
$
-
$
(0.1)
$
Income Before Tax
11.9
$
2.6
$
14.4
$
Income Tax
4.7
$
(0.5)
$
5.2
$
Net Income
7.2
$
2.1
$
9.3
$
Diluted Net Income per share
0.17
$
0.05
$
0.22
$
Diluted shares used in GAAP and
Non-GAAP per share calculation
41.4
42.7
42.7 |
 21
Q4 FY 2010 GAAP to Non-GAAP Reconciliation
(in millions, except per share data)
FAS123R &
Q4'10
Q4'10 GAAP
Other Unusual
Non-GAAP
Results
Expenses
Results
Net Sales
201.7
$
-
$
201.7
$
Cost of Sales
170.8
$
0.2
$
170.6
$
Gross Profit
30.9
$
0.2
$
31.1
$
Operating Expense
19.5
$
1.5
$
18.0
$
Operating Income
11.4
$
1.7
$
13.1
$
Interest, net
(0.1)
$
-
$
(0.1)
$
Income Before Tax
11.3
$
1.7
$
13.0
$
Income Tax
3.6
$
(0.3)
$
3.9
$
Net Income
7.7
$
1.4
$
9.1
$
Diluted Net Income per share
0.18
$
0.03
$
0.21
$
Diluted shares used in GAAP and
Non-GAAP per share calculation
42.2
43.7
43.7 |
 22
Q3 FY 2010 GAAP to Non-GAAP Reconciliation
(in millions, except per share data)
FAS123R &
Q3'10
Q3'10 GAAP
Other Unusual
Non-GAAP
Results
Expenses
Results
Net Sales
189.3
$
-
$
189.3
$
Cost of Sales
160.0
$
0.1
$
159.9
$
Gross Profit
29.3
$
0.1
$
29.4
$
Operating Expense
18.7
$
1.4
$
17.3
$
Operating Income
10.5
$
1.5
$
12.1
$
Interest, net
(0.0)
$
-
$
(0.0)
$
Income Before Tax
10.5
$
1.5
$
12.0
$
Income Tax
2.8
$
(0.3)
$
3.1
$
Net Income
7.7
$
1.2
$
8.9
$
Diluted Net Income per share
0.18
$
0.03
$
0.21
$
Diluted shares used in GAAP and
Non-GAAP per share calculation
41.7
42.5
42.5 |