 Supermicro © 2008 Earnings Conference Presentation October 29, 2008 Exhibit 99.2 |
 2 Supermicro © 2008 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: the current economic uncertainties, our dependence on continued growth in the markets for X86, blade servers and embedded applications, increased competition, difficulties of predicting timing, introduction and customer acceptance of new products, poor product sales, 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 Supermicro © 2008 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 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 September 30, 2008. 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 Supermicro © 2008 Q1’FY2009 Non-GAAP Financial Highlights (in millions, except per share data) $11.3 Free Cash Flow Sequential Change YoY Change Q1'09 $ 0.3 $ 1.8 $8.3 Profit after Tax $ 0.00 $ 0.04 $0.21 EPS 39.6 Diluted Share Count $ (4.8) $ 26.1 $144.1 Revenue |
 5 Supermicro © 2008 Economic Conditions and Opportunities As we completed our first quarter on September 30, the global financial crisis was creating uncertainty in the economy and in market for IT hardware solutions. Customers need application optimized, lower total cost of ownership Supermicro’s opportunity: leverage strengths to be first to market with solutions that customers will buy Supermicro will continue execute its successful mission and strategy: Maintain our time to market advantage based on building block solutions Expand product offerings utilizing the latest technologies, including blade servers Further improve our leadership in energy efficient server solution designs Expand into new markets and industries that require application optimized computing |
 6 Supermicro © 2008 Supermicro Differentiators In-house, collaborative R&D teams develop industry standard components, providing the building blocks to create modularized solutions. Broadest array of server building blocks based on industry standard requirements, SSI. Modular architectural approach allows flexible and customizable server solutions In-house design and development incorporates the latest technologies and rapidly provides next generation application optimized solutions Design innovations optimize power consumption, heat dissipation, and noise levels. Design innovations maximize computing power while minimizing space utilization allowing scalability. |
 7 Supermicro © 2008 Upcoming Products New generation multi-core Xeon platform, QPI technology 50+ Motherboard models 30+ System models 30+ Optimized chassis Shanghai platform from AMD Boxboro-based Itanium solution from Intel QDR InfiniBand technology 10GbE connectivity products Switches and Pass-through Blade-related modules |
 8 Supermicro © 2008 Revenue Comparables -3.4% 8.8% 0.0% 16.1% 6.3% Seq. 22.0% 34.2% 29.2% 20.2% 31.1% Y/Y $118 $137 $137 $149 $144 $0 $40 $80 $120 $160 $'s millions Q1'08 Q2'08 Q3'08 Q4'08 Q1'09 Supermicro Revenue Trend |
 9 Supermicro © 2008 Revenue Analysis $72 $46 $79 $58 $89 $48 $91 $58 $88 $56 $40 $80 $120 $160 $'s millions Q1'08 Q2'08 Q3'08 Q4'08 Q1'09 Supermicro Component/System Revenue Total Components Systems |
 10 Supermicro © 2008 Non-GAAP Gross Margins 19.6% 20.0% 18.2% 19.2% 19.4% 0.0% 5.0% 10.0% 15.0% 20.0% Q1'08 Q2'08 Q3'08 Q4'08 Q1'09 |
 11 Supermicro © 2008 Non-GAAP Gross Profit $23.2 $27.4 $25.0 $28.6 $28.0 Q1'08 Q2'08 Q3'08 Q4'08 Q1'09 Gross Profit $'s millions 19.4% 19.2% 18.2% 20.0% 19.6% |
 12 Supermicro © 2008 Summary P&L non-GAAP (in millions, except per share data) 39.1 38.9 39.6 Diluted Share Count 32.1% 36.6% 36.1% Effective Quarterly Tax Rate $0.21 $0.17 - $0.04 $0.21 EPS $8.1 $6.6 $0.3 $1.8 $8.3 Net Income $11.9 $10.1 $1.2 $3.0 $13.0 Operating Income 11.2% 11.1% -0.8% -0.7% 10.4% Operating Expense Ratio $16.7 $13.1 -$1.8 $1.8 $14.9 Operating Expense Q4'08 Q1'08 Sequential Change YoY Change Q1'09 |
 13 Supermicro © 2008 Q1’09 Summary Statement of Cash Flows ($’s millions) $(0.5) $13.3 Net change in cash $0.1 $1.2 Net cash - financing activities $(4.0) $0.8 Net cash - investing activities $3.4 $11.3 Free cash flow $(0.6) $ (1.4) Capital expenditures $4.0 $12.7 Cash flow from operations $4.7 $9.2 Other assets, accruals and liabilities $(10.2) $(7.9) Net change in AR, Inventory, AP $2.3 $2.2 Other reserves $0.9 $1.2 Stock comp expense (FAS 123R) $0.5 $0.8 Depreciation and amortization $5.8 $7.2 Net Income Q1'08 Q1'09 |
 14 Supermicro © 2008 Q1’09 Summary of Balance Sheet Metrics ($’s millions) -4 35 39 Cash Cycle Days 5 61 66 DPO -6 68 74 DIO -3 28 31 DSO $5.9 $81.0 $86.9 Accounts Payable $15.2 $85.7 $100.9 Inventory $(3.3) $49.5 $46.2 Accounts Receivable $12.3 $67.6 $79.9 Cash Equivalents & Investments Change Q4'08 Q1'09 |
 15 Supermicro © 2008 First Quarter Fiscal 2009 Ended September 30,2008 |
 16 Supermicro © 2008 Non-GAAP Financial Summary (in millions, except per share data) 38.9 39.1 39.6 Fully diluted shares for calculation $0.17 $0.21 $0.21 Non-GAAP Net Income per share $6.6 $8.1 $8.3 Non-GAAP Net Income $10.1 $11.9 $13.0 Non-GAAP Operating Income $13.1 $16.7 $14.9 Non-GAAP Operating Expenses 19.6% 19.2% 19.4% Non-GAAP Gross Margin $117.9 $148.9 $144.1 Net Sales Q1'08 Q4'08 Q1'09 |
 17 Supermicro © 2008 Prior Period Net Income Comparisons (in millions, except per share data) 38.9 39.1 39.6 Shares used in diluted EPS calculation (Non-GAAP) $0.17 $0.21 $0.21 Diluted Net Income per share (Non-GAAP) $0.02 $0.03 $0.03 FAS123R $0.15 $0.18 $0.18 Diluted Net Income per share (GAAP) $6.6 $8.1 $8.3 Net Income (Non-GAAP) $0.8 $1.3 $1.1 FAS123R Expense (tax affected) $5.8 $6.8 $7.2 Net Income (GAAP) Q1'08 Q4'08 Q1'09 |
 18 Supermicro © 2008 Q1 FY09 GAAP to Non-GAAP Reconciliation (in millions, except per share data) 39.6 39.6 39.3 Shares used in GAAP and Non- GAAP per share calculation $0.21 $0.03 $0.18 Diluted Net Income per share $8.3 $1.1 $7.2 Net Income $4.7 $0.1 $4.6 Income Tax $13.0 $1.2 $11.8 Income before Tax $(0.0) $ - $(0.0) Interest, net $ - $ - $ - Other Income (Expense), net $13.0 $1.2 $11.8 Operating Income $14.9 $1.1 $16.0 Operating Expense $28.0 $0.1 $27.8 Gross Profit $116.1 $0.1 $116.2 Cost of Sales $144.1 $ - $144.1 Net Sales Q1'09 Non-GAAP Results FAS123R Expenses Q1'09 GAAP Results |
 19 Supermicro © 2008 Q4 FY08 GAAP to Non-GAAP Reconciliation (in millions, except per share data) 39.1 39.1 39.0 Shares used in GAAP and Non-GAAP per share calculation $0.21 $0.03 $0.18 Diluted Net Income per share $8.1 $1.3 $6.8 Net Income $3.8 $0.1 $3.7 Income Tax $11.9 $1.3 $10.5 Income before Tax $(0.0) $ - $(0.0) Interest, net $ - $ - $ - Other Income (Expense), net $11.9 $1.3 $10.6 Operating Income $16.7 $1.2 $17.8 Operating Expense $28.6 $0.2 $28.4 Gross Profit $120.3 $0.2 $120.4 Cost of Sales $148.9 $ - $148.9 Net Sales Q4'08 Non- GAAP Results FAS123R Expenses Q4'08 GAAP Results |
 20 Supermicro © 2008 Q3 FY08 GAAP to Non-GAAP Reconciliation (in millions, except per share) 39.1 39.1 39.0 Shares used in GAAP and Non-GAAP per share calculation $0.15 $0.02 $0.13 Diluted Net Income per share $6.0 $1.0 $5.0 Net Income $3.4 $ - $3.3 Income Tax $9.4 $1.0 $8.4 Income before Tax $0.1 $ - $0.1 Interest, net $ - $ - $ - Other Income (Expense), net $9.3 $1.0 $8.3 Operating Income $15.6 $0.9 $16.6 Operating Expense $25.0 $0.1 $24.8 Gross Profit $111.8 $0.1 $111.9 Cost of Sales $136.8 $ - $136.8 Net Sales Q3'08 Non- GAAP Results FAS123R Expenses Q3'08 GAAP Results |
 21 Supermicro © 2008 Q2 FY08 GAAP to Non-GAAP Reconciliation (in millions, except per share data) 38.9 38.9 38.7 Shares used in GAAP and Non-GAAP per share calculation $0.22 $0.02 $0.20 Diluted Net Income per share $8.6 $0.9 $7.7 Net Income $4.8 $ - $4.7 Income Tax $13.4 $0.9 $12.4 Income before Tax $0.2 $ - $0.2 Interest, net $ - $ - $ - Other Income (Expense), net $13.2 $0.9 $12.2 Operating Income $14.2 $0.8 $15.0 Operating Expense $27.4 $0.1 $27.3 Gross Profit $109.6 $0.1 $109.7 Cost of Sales $136.9 $ - $136.9 Net Sales Q2'08 Non- GAAP Results FAS123R Expenses Q2'08 GAAP Results |
 22 Supermicro © 2008 Q1 FY08 GAAP to Non-GAAP Reconciliation (in millions, except per share data) 38.9 38.9 38.6 Shares used in GAAP and Non-GAAP per share calculation $0.17 $0.02 $0.15 Diluted Net Income per share $6.6 $0.8 $5.8 Net Income $3.8 $0.1 $3.7 Income Tax $10.3 $0.9 $9.5 Income before Tax $0.3 $ - $0.3 Interest, net $ - $ - $ - Other Income (Expense), net $10.1 $0.9 $9.2 Operating Income $13.1 $0.8 $13.9 Operating Expense $23.2 $0.1 $23.0 Gross Profit $94.8 $0.1 $94.9 Cost of Sales $117.9 $ - $117.9 Net Sales Q1'08 Non- GAAP Results FAS123R Expenses Q1'08 GAAP Results |