SCHMID Group N.V. (NASDAQ: SHMD)

SCHMID Group N.V., a Dutch public limited liability company, is a global supplier of equipment, software, and services for various industries, including printed circuit board (PCB), substrate manufacturing, photovoltaics, and glass and energy storage. Established in 1864 in Freudenstadt, Germany as an iron foundry, SCHMID Group has a long-standing tradition of being at the forefront of technology.

SCHMID Group's main business activities include providing machines and services for the electronics and photovoltaics industries. The company operates in multiple countries, with sales and service centers located in the US, Europe, Asia, and South America. In recent years, SCHMID Group has expanded its operations to include glass substrate machining and is exploring opportunities in the fuel cell production market.

The company generates revenue primarily through the sale of machines for the electronics and photovoltaics industries. SCHMID Group's product portfolio includes equipment for automation, wet processes, and vacuum processes, as well as software solutions for semiconductor equipment communication standards. The company's primary products are vertical spin-process machines, horizontal inline processing machines, and software solutions for semiconductor equipment communication standards. Its customers include leading global technology companies, such as computer and mobile phone manufacturers, as well as manufacturers of PCB boards and their suppliers.

SCHMID Group's ET process is a new way to produce substrates and HDI+ boards, which uses parallel plasma processing to embed traces in the isolator material and fill them with copper. This technology allows for the production of high-end PCBs and substrates with narrower line widths, increasing numbers of input and output devices, higher aspect ratios, and new materials, while maintaining acceptable manufacturing efficiency and meeting environmental, social, and government (ESG) goals. The company's photovoltaics business is smaller in terms of revenues compared to its electronics business, but SCHMID Group has been working on photovoltaics solutions for over 20 years and believes its machinery includes significant advantages for customers compared to processes and machines offered by its competitors.

SCHMID Group's position within the industry is strengthened by its modular approach to design and manufacturing, which creates flexibility by using proven components that guarantee high-quality and enable industrial-scale production. The company's research and development investment and cooperation with research and development partners and customers allow it to be at the forefront of technology and provide innovative solutions to customers. SCHMID Group's strong, long-lasting relationships with key technology OEMs and other customers in their supply chain also provide a competitive advantage.

SCHMID Group employs over 150 scientists, researchers, and engineers worldwide and has multiple laboratories equipped with state-of-the-art technology and research conditions. The company regularly registers new patents and holds several global trade names and trademark registrations and applications for registration, which it considers to be of value in identifying its products. SCHMID Group benefits from a network of cooperative partners from industry-leading institutes such as the Institute of Photovoltaics, the Institute of Solar Energy Research, the Fraunhofer Institute for Solar Energy Systems (ISE), and the University of Konstanz.

As of December 31, 2023, SCHMID Group had approximately 800 employees (by headcount). The company is committed to maintaining compliance with all applicable legal requirements and has a strong record of safety and internal controls surrounding the manufacture and implementation of its products and systems and the health of its employees.