UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF
THE SECURITIES EXCHANGE ACT OF 1934
January 15, 2013
Commission File No.: 000-30688
NOVA MEASURING INSTRUMENTS LTD.
(Translation of registrant’s name into English)
Building 22 Weizmann Science Park, Rehovot
P.O.B 266
Israel
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.
Form 20-F S Form 40-F £
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ____
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ____
Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes £ No S
Attached hereto and incorporated by way of reference herein are the slide presentations to be presented at the 15th Annual Needham Growth Conference in New York on January 15, 2013.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
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Date: January 15, 2013
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NOVA MEASURING INSTRUMENTS LTD.
(Registrant)
By: /s/ Dror David
——————————————
Dror David
Chief Financial Officer
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Investors Presentation
Gabi Seligsohn, President & CEO
Dror David, CFO
January 2013
Nova confidential & proprietary information
1
Cautionary statement regarding forward-looking statements
This presentation includes statements that constitute forward-looking statements within the meaning of safe
harbor provisions of the Private Securities Litigation Reform Act of 1995 relating to future events or our future
financial performance, and involve known and unknown risks, uncertainties and other factors that may cause our
actual results, level of activity, performance or achievements to be materially different than expressed or implied
by these forward looking statements. You should not place undue reliance on forward-looking statements since
they involve known and unknown risks, uncertainties and other factors which are in some cases beyond our
control and which could materially affect actual results, level of activity, performance or achievements. These
risks and other factors include but are not limited to: our dependency on two product lines; the highly cyclical
nature of the markets we target; our inability to reduce spending during a slowdown in the semiconductor
industry; our ability to respond effectively on a timely basis to rapid technological changes; our dependency on
OEM suppliers; cyber security risks; risks related to open source technologies; our ability to retain our
competitive position despite the ongoing consolidation in our industry; risks associated with our dependence on
a single manufacturing facility; our ability to expand our manufacturing capacity or marketing efforts to support
our future growth; our dependency on a small number of large customers and small number of suppliers; our
dependency on our key employees; risks related to changes in our order backlog; risks related to the financial,
political and environmental instabilities in Asia; risks related to our intellectual property; changes in customer
demands for our products; new product offerings from our competitors; changes in or an inability to execute our
business strategy; unanticipated manufacturing or supply problems; changes in tax requirements; changes in
customer demand for our products; risks related to currency fluctuations and risks related to our operations in
Israel.
harbor provisions of the Private Securities Litigation Reform Act of 1995 relating to future events or our future
financial performance, and involve known and unknown risks, uncertainties and other factors that may cause our
actual results, level of activity, performance or achievements to be materially different than expressed or implied
by these forward looking statements. You should not place undue reliance on forward-looking statements since
they involve known and unknown risks, uncertainties and other factors which are in some cases beyond our
control and which could materially affect actual results, level of activity, performance or achievements. These
risks and other factors include but are not limited to: our dependency on two product lines; the highly cyclical
nature of the markets we target; our inability to reduce spending during a slowdown in the semiconductor
industry; our ability to respond effectively on a timely basis to rapid technological changes; our dependency on
OEM suppliers; cyber security risks; risks related to open source technologies; our ability to retain our
competitive position despite the ongoing consolidation in our industry; risks associated with our dependence on
a single manufacturing facility; our ability to expand our manufacturing capacity or marketing efforts to support
our future growth; our dependency on a small number of large customers and small number of suppliers; our
dependency on our key employees; risks related to changes in our order backlog; risks related to the financial,
political and environmental instabilities in Asia; risks related to our intellectual property; changes in customer
demands for our products; new product offerings from our competitors; changes in or an inability to execute our
business strategy; unanticipated manufacturing or supply problems; changes in tax requirements; changes in
customer demand for our products; risks related to currency fluctuations and risks related to our operations in
Israel.
The matters discussed in this presentation also involve risks and uncertainties summarized under the heading
“Risk Factors” in Nova’s most recent Annual Report on Form 20-F filed with the Securities and Exchange
Commission. These factors are updated from time to time through the filing of reports and registration statements
with the Securities and Exchange Commission.
“Risk Factors” in Nova’s most recent Annual Report on Form 20-F filed with the Securities and Exchange
Commission. These factors are updated from time to time through the filing of reports and registration statements
with the Securities and Exchange Commission.
Any forward-looking statements contained in this presentation are made as of the presentation date and Nova
Measuring Instruments Ltd. is under no obligation to revise or update these forward-looking statements.
Measuring Instruments Ltd. is under no obligation to revise or update these forward-looking statements.
Certain of the information contained herein concerning economic trends and performance is based upon or
derived from information provided by third party consultants and other industry sources. We have not
independently verified and cannot assure the accuracy of any data obtained by or from these sources.
derived from information provided by third party consultants and other industry sources. We have not
independently verified and cannot assure the accuracy of any data obtained by or from these sources.
Nova confidential & proprietary information
Business highlights
— Pure player in the semiconductors
optical metrology market, enjoying
strong business fundamentals:
optical metrology market, enjoying
strong business fundamentals:
— Nova is exposed to the highest growing
semiconductor applications serving industry
leading manufacturers
semiconductor applications serving industry
leading manufacturers
— Nova continuously outperforms the industry
— Nova is entering the emerging market of 3D
interconnect
interconnect
— Strong balance sheet with over $85M
in cash reserves available to support
the Company’s growth plans
in cash reserves available to support
the Company’s growth plans
2
Nova confidential & proprietary information
Company overview
3
— Founded in 1993 - IPO in 2000
(NASDAQ - NVMI)
(NASDAQ - NVMI)
— Headquarters: Rehovot, Israel
— Global presence:
— Asia Pacific -
Taiwan, Korea, Singapore, China
Taiwan, Korea, Singapore, China
— United States, Japan and Europe
— Employees: 370
— Active installed base >1200
systems
systems
— Listed on NASDAQ and
Tel-Aviv Stock Exchange
Tel-Aviv Stock Exchange
Nova confidential & proprietary information
Optical CD - leading and emerging technology
Semiconductor
Wafer
Wafer
Cross-Section
View Using Electron
Microscope
Microscope
Same View Using
Optical CD
Optical CD
Scatterometry
View
Integrated
Circuit Die
Circuit Die
4
Nova confidential & proprietary information
5
Process control for current and future technologies
Nova’s products portfolio
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SW
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SA
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NovaMARS SW Packages Fleet Management
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NEXT T500 T600
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3D-IC
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IM
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TSV
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NEXT i500
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Nova confidential & proprietary information
6
Well positioned in most critical segments
7
Memory:
NAND: Design win
1Y (<10nm)
1Y (<10nm)
DRAM: < 30nm
Foundry:
Ramping 28 nm.
Ramping 28 nm.
Design wins:
20,14,11 nm
20,14,11 nm
Source: Barclays, Needham
2012/3 Semi Market - Capital Spending
Strong position with
leading market spenders
leading market spenders
Nova confidential & proprietary information
8
7
Well positioned in the right sectors
Source: Gartner
Foundry Revenue
Source: Micron, Gartner
NAND Outlook
Capitalize on strong presence in
memory once spending resumes
memory once spending resumes
Foundry revenues and spending
will continue to grow
will continue to grow
Nova confidential & proprietary information
8
Providing an excellent platform for further growth
Nova’s winning strategy
Nova
Optical CD
Differentiation
Cluster
Optical CD
Differentiation
Cluster
Best
Reliability
Reliability
Highest
Throughput
Throughput
Shortest Time
to Solution
to Solution
Best Solution
Quality
Quality
Best Tool-to-
Tool Matching
Tool Matching
Excellent Global
Services
Services
* Process Equipment Manufacturers
Nova confidential & proprietary information
9
Expecting a further SAM increase of ~ $100M for 3D-IC starting in 2013/14*
Unification of the metrology market
$284M
-
-
$800M-$900M
Expansion of Nova’s
Addressable Market
Addressable Market
Thin Film Metrology
Copper Metrology
CD Metrology
Source: Gartner, Yole Research & Company Estimates
* Expected metrology and inspection SAM for 3D Integration
Becoming a Unified Metrology
Market - All Addressable by Optical
Market - All Addressable by Optical
Nova confidential & proprietary information
Optical CD - growing adoption rate
10
Source: Gartner
Disruptive Technology to meet the industry’s most difficult challenges
Nova confidential & proprietary information
11
Process control needs expand as geometries shrink
Nova’s TAM more than tripled 2009-2012
Wafer In
Wafer Out
2013 Opportunity (<28nm)
$150M - $200M Opportunity
Implant
Litho
Etch
CVD/EP
CMP
Notes: Company data. Based on Foundry with 100,000 wafer starts per month (updated 1/2013)
<65nm
$30-40 M
Nova confidential & proprietary information
13
12
Nova Continuously Exceeds Industry Performance
Nova significantly outperforms industry’s 5 year CAGR
(2011/2012: Nova -8% vs. Industry -17%)
Source: * Nova Q4/2012 mid point guidance, Gartner Q4/2012, Needham & Co.
Foundry
Nova confidential & proprietary information
13
— Successful launch of Integrated and stand alone metrology:
— NovaT600 - selected for 11nm/14nm/20nm at multiple foundries
— Nova i500 - selected for 11nm/14nm/20nm/30nm at multiple memory and
foundries
foundries
— First shipment of 450mm tool to major PEM partner for early development
— New product introduction for the 3D Interconnect market:
— Multiple orders and installations at multiple customers
— Several interactions with additional customers
— Well positioned to take advantage once industry adopts in HVM
Recent achievements
Will continue to enhance our development and support capabilities for an expanding SAM
Industry Review:
2012 and Beyond
2012 and Beyond
Nova confidential & proprietary information
15
Excellent exposure to growing markets
Source: Jeffries & Company, iSuppli Source: Gartner Q3/12
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Tablet
Semiconductor Content |
% of Tablet
BOM |
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NAND Flash Memory
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7%
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P
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Mobile DDR DRAM
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7%
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P
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App Processor
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5%
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P
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Baseband / RF
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4%
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P
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Wi-Fi / BT
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2%
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P
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Power Management
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2%
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P
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Accelerometer
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1%
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P
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Memory Controller
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1%
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P
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Touch Controller
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1%
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P
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GPS
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<1%
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P
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Touch Screen Driver
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<1%
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P
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Audio Codec
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<1%
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P
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Expected Contribution to IC growth 2013
16
Share of Growth
28.2%
16.3%
14.5%
11.3%
7.5%
7.3%
5.5%
0.9%
8.6%
Nova confidential & proprietary information
16
70-100K WSPM* needed capacity increase for 28nm at foundries in 2013
Mobile Device Capacity needs for 2x Tech Nodes
* WSPM - Wafer Starts Per Month
Nova confidential & proprietary information
Source: Intel, IDC, Company records
Mobile revolution continues to gain traction
17
High performance low power - new chip designs are the enablers
3D Gates for foundries
3D Gates for Flash
OCD - the only way to measure and control
Nova 2012
and beyond
and beyond
Nova confidential & proprietary information
19
The need: Low power high performance
3D technology driving Nova application growth
3D
Devices
Devices
Planar Transistor
3D Transistor
Requires significant increase in number of Etch and CMP layers
Multi-Chip Packaging with TSV
3D IC
Integration
Integration
Single Chip
2010
2012 onwards
Nova introducing novel TSV metrology solution in time for transition to production
Nova confidential & proprietary information
Strategy for taking Nova to the next level
Nova will continue its strategy of investing in creating future growth opportunities
Short
Term
Term
Continue to enhance infrastructure and customer technology
Strong end market position and excellent technological collaboration with leading PEM’s
— 28nm ramp up at
foundries and 20nm at
NAND production sites
foundries and 20nm at
NAND production sites
— Transition to 3D gates
Optical CD the ONLY
way to measure and
control
Optical CD the ONLY
way to measure and
control
Mid
Term
Term
Long
Term
Term
— Critical etch steps
requiring closer
monitoring leading to
enhanced transition to IM
for etch
requiring closer
monitoring leading to
enhanced transition to IM
for etch
— Gradual move to 3D
interconnect by all
leading customers, and
ramp up during 2014
interconnect by all
leading customers, and
ramp up during 2014
— 20nm ramp up in
foundries
foundries
— Transition to 450mm by 6
leading customers
expected to start 2015/16
onwards
leading customers
expected to start 2015/16
onwards
— IM use expected to
significantly extend given
wafer cost and process
complexity
significantly extend given
wafer cost and process
complexity
20
Nova confidential & proprietary information
Product strategy drives high margins
Financial performance
21
Continuously adding feature and functionality for customer benefit
Nova confidential & proprietary information
23
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Revenues
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FY2011
$103M
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2012F*
$94M
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Target Model
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Total Revenues
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100%
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100%
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Products Revenues
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83%
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80%
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Services Revenues
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17%
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20%
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15% - 20%
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Total Gross Margins
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56%
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54%
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55%
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Products Gross Margins
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61%
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60%
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58%+
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Services Gross Margins
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36%
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30%
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30%+
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Total Operating Expenses
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32%
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42%
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30% - 35%
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R&D, net
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18%
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26%
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16% - 19%
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SG&A
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14%
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16%
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14% - 16%
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Operating Margin
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24%
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12%
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20% - 25%
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Financial model
Long - term effective tax rate ~ 15%
22
* 2012 Forecast - based on mid range of Q4/12 guidance
Nova confidential & proprietary information
23
Providing an excellent platform for further growth
Ability to continue growth is well founded
Litho
Etch
CVD/EP
CMP
Further
Growth
Growth
Accelerating Op CD Adoption
Outpacing industry growth rate
Expanding Fab footprint
Industry
Mid cycle behavior
Well positioned where money will
be spent
be spent
New strategic Initiatives
3D-IC market; 450mm
New Products and features
Expanded Customer Base
Turning penetrations into multi-
tool accounts
tool accounts