Gentex Corporation · NASDAQ:GNTX
Gentex — Investor Presentation (July 2021)
18 slides from Gentex's investor presentation, Jul 23, 2021
Slide 1: Investor Overview - 2021
INVESTOR OVERVIEW - 2021 JULY 23, 2021
Slide 2: Safe Harbor for Forward-Looking Statements
SAFE HARBOR FOR FORWARD-LOOKING STATEMENTS This presentation contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The statements contained in this communication that are not purely historical are forward-looking
Slide 3: Performance
$1.68B 15.6% Revenue Annual Tax Rate 2020 35.9% Gross Margin Performance $51.7M PERFORMANCE Capital Expenditures $205.9M $104.7M Operating Expenses Depreciation & (E, R&D and S, G&A) Amortization <GENTEX INVESTOR OVERVIEW> 3
Slide 4: Return to Shareholders - 2020
RETURN TO SHAREHOLDERS - 2020 $800.0 RETURN OF CAPITAL $0.48 $708.2M $700.0 Dividend Per Share $116.6 $600.0 $117.2M $500.0 Dividends Paid $447.8M MILLIONS USD $405.7M $400.0 $116.3 10.6M $340.2M $117.2 $300.0 $264.5M $591.6 $108.8 Shares Repurchased $208.2M $200.0 $101.1 $288.5M $100.0 $117.6M $97.
Slide 5: Capital Allocation Strategy
CAPITAL ALLOCATION STRATEGY • Utilizing Free Cash Flow －Capital Expenditures －Dividends • Dividend Increase +4% - $.48 per year (March 2020) －Repurchases • Additional 25M share authorization (Aug 2021) －M&A <GENTEX INVESTOR OVERVIEW> 5
Slide 6: Acquisitions/Partnerships
Acquisitions/Partnerships • Targets － Align with our core competencies － Unique/proprietary technology or capabilities － Extends product portfolio or market opportunities • Recent Acquisitions/Partnerships － Mayo Clinic – Partnership – 2019 － PayByCar – Partnership – 2020 － RetiSpec – Partnership –
Slide 7: Second Half 2021 Guidance
$970 – 1.07B 16 – 18% Revenue Annual Tax Rate Second half 37.5 – 38.5% $50 – 60M 2021 GUIDANCE Gross Margin Capital Expenditures Updated July 23, 2021 $105 – 110M $54 - 59M Operating Expenses Depreciation & Amortization (E, R&D and S, G&A) 2022 10-15% Revenue GUIDANCE Growth above 2021 Updated July
Slide 8: Core Competencies
CORE COMPETENCIES • Electronics & Microelectronics • Vision Systems, Cameras, & Optics • Software Design • Chemistry & Coatings • Automated Assembly • Glass Processing <GENTEX INVESTOR OVERVIEW> 8
Slide 9: Competitive Advantages
COMPETITIVE ADVANTAGES • Distinct Products and Locations • Superior Quality • Strong Intellectual Property • Dominant Market Share • Unique Fusion of Technologies <GENTEX INVESTOR OVERVIEW> 9
Slide 10: Our Technology Strategy
OUR TECHNOLOGY STRATEGY Vision Systems Dimmable Devices Connectivity & Sensing <GENTEX INVESTOR OVERVIEW> 10
Slide 11: Vision Systems
VISION SYSTEMS • Strategy －Continue our long tradition of mirror growth in emerging markets while benefiting from digital content opportunities in developed regions • Core Competencies / Competitive Advantages －Electronics & Microelectronics －Software Design －Chemistry & Coatings －Glass Processing －
Slide 12: Vision Systems
VISION SYSTEMS • Updates/News Releases －May 27, 2021 - Toyota Launches FDM with In-Mirror Drive Recorder • [Link] －Updated FDM Website – shows capabilities and launched platforms • [Link] －CES 2020 - CMS and FDM Updates • [Link] • Key Updates －Launch of DVR Platform with Toyota －Shipped 1.05M units
Slide 13: Connectivity
CONNECTIVITY • Strategy －Combine existing HomeLink RF technology with cloud-based functionality and transactional capability to provide car-to-home and car-to-infrastructure solutions. • Core Competencies / Competitive Advantages －Electronics & Microelectronics －Software Design －Strong IP －Unique fu
Slide 14: Connectivity
CONNECTIVITY • Updates/News Releases －May 20, 2021 - Gentex Announces Volkswagen as the First Automaker to Offer its Bluetooth®-Enabled Mirror for Home Automation • [Link] －June 29, 2020 – Audi Announces ITM as Standard Feature on Q5 • [Link] －Apr 29, 2020 – Gentex wins PACE Award for ITM • [Link] •
Slide 15: Dimmable Devices
DIMMABLE DEVICES • Strategy －Leverage our market-leading position in dimming technology to accelerate growth in aerospace, automotive, and new markets. • Core Competencies / Competitive Advantages －Chemistry & Coatings －Glass Processing －Distinct Products and Location －Superior Quality －Strong IP －U
Slide 16: Dimmable Devices
DIMMABLE DEVICES • Updates/News Releases －Jan 6, 2020 – Airbus Now Offering Gentex Dimmable Aircraft Windows • [Link] －Jan 6, 2020 – Gentex Showcases New Dimming Technology at CES • [Link] －Gentex 2019 Q3 Call – Boeing 777X Shipments of Gen 3 Windows • [Link] • Key Updates －Announced sourcing from A
Slide 17: ESG Performance
ESG Performance • Updates －2021 Sustainability Report • [Link] －Sustainability Page on Gentex website • [Link] • Key Updates －Updated annual data －New goals for carbon reduction/neutrality, landfill avoidance, and －New location for Environmental, Social and Governance (ESG) Resources [Link] <GENTEX
Slide 18: Thank You
THANK YOU FOR MORE INFORMATION VISIT IR.GENTEX.COM, GENTEX.COM, AND FULLDISPLAYMIRROR.COM