Soitec (SOI) investor relations material

Opening remarks and agenda

• The meeting was chaired by Frédéric Lissalde, with participation from the CEO, CFO, Board Secretary, statutory auditors, and scrutineers, and the agenda confirmed as previously published.

• The meeting was broadcast live and recorded, with all legal formalities and notifications completed.

• A quorum of 51% was reached, allowing valid deliberation and voting on all resolutions.

• The agenda included company activity review, sustainability strategy, FY26 financial results, governance, compensation, auditors' reports, Q&A, and voting on resolutions.

Financial performance review

• FY26 revenue declined 30% year-on-year to €592 million, mainly due to inventory corrections and lower fab loading.

• Gross margin dropped to 16.3% from 32.1% the previous year, with EBITDA margin at 25.4%.

• Free cash flow turned positive at €63 million, exceeding consensus and supported by disciplined working capital and capex management.

• Net debt improved to €56 million, with a cash position of €562 million and leverage ratio of 0.4x EBITDA.

• Net loss (Group share) of €220 million, impacted by non-recurring items including impairments and FX losses.

Strategic initiatives and plans

• Focus on capitalizing on AI, photonics, and energy efficiency megatrends, with continued R&D investment and targeted capex.

• Photonics-SOI revenue doubled, with further growth expected in AI data centers.

• Portfolio prioritization, capital allocation review, and cost reduction programs are ongoing.

• Investments for 2026-2027 are set at €100 million, with capex reduced to €135 million in FY26 and further moderation planned.

• Sustainability strategy includes decarbonization, water management, and diversity targets, with significant progress in emissions, water use, and gender parity.