Corsair Gaming, Inc. · NASDAQ:CRSR
Corsair Gaming — Q2 2021 Earnings Presentation
30 slides from Corsair Gaming's earnings presentation, Aug 3, 2021
Slide 1: Q2 Fiscal Year 2021 Financial Results
Q2 FISCAL YEAR 2021 FINANCIAL RESULTS August 3rd, 2021 1 of 30 Exhibit 99.2
Slide 2: Disclaimer: Forward Looking Statements
DISCLAIMER Forward Looking Statements This presentation contains forward looking statements that involve risks, uncertainties and assumptions. If the risks or uncertainties ever materialize or the assumptions prove incorrect, the Company's results may differ materially from those expressed or implie
Slide 3: 2021 Q2 Revenue: $473M
2021 Q2 REVENUE: $473M +40% 2 YR CAGR +24% YoY GROWTH $473M Revenue Q2 2021 3 of 30
Slide 4: 2021 Q2 Gross Profit: Almost Triple 2019 Q2
2021 Q2 GROSS PROFIT: ALMOST TRIPLE 2019 Q2 +870BPS GROSS MARGIN% vs. Q2 2019 +24% YoY GROWTH $130M GROSS PROFIT 4 of 30
Slide 5: 2021 Q2 Adjusted EBITDA
2021 Q2 ADJUSTED EBITDA Note: See appendix on non-GAAP reconciliations. 5.2X GROWTH LAST 2 YEARS +4% YoY GROWTH $52M ADJUSTED EBITDA 5 of 30
Slide 6: Q2 Product Highlights
Q2 PRODUCT HIGHLIGHTS 6 of 30
Slide 7: Facecam
FACECAM Elgato Facecam is an enthusiast webcam for content creators and streamers, engineered to make you look amazing. Fusing pro-camera technology with plug-and-play convenience, Facecam offers a huge step up in quality over traditional webcams, with powerful software control integrated into the E
Slide 8: Elgato XLR Dock
ELGATO XLR DOCK The Elgato Wave XLR brings the benefits of an Elgato mic to content creators’ existing XLR microphones. Proprietary Clipguard technology, a capacitive mute and powerful Wave Link audio mixing software give your existing mic a major boost. The intuitive software custom-built for conte
Slide 9: Champion Series Peripherals
CHAMPION SERIES PERIPHERALS We partnered with professional eSport players to develop a tournament ready keyboard and mice Champion series, emphasis on lightweight, compact, durability, and high throughput powered by Corsair AXON technology. The K70RGB TKL Comes with additional features I have not se
Slide 10: Virtuoso RGB XT
VIRTUOSO RGB XT The flagship of the CORSAIR gaming headset line, the VIRTUOSO RGB XT offers and incredible sound and impeccable clarity, with even more ways to connect to your media. Listen via CORSAIR SLIPSTREAM Wireless, with up to 60ft of wireless range, Bluetooth, USB or 3.5mm, for a single high
Slide 11: 4000, 5000 and Introducing the 7000
4000, 5000 and introducing the 7000 With the launch of the 7000 Series, we continue to refresh our industry leading line-up of enthusiasts PC chassis. The 4000 Series, launched in September 2020, is now the bestselling enthusiast chassis in the USA*, with the 5000 Series adding additional features a
Slide 12: H170i Elite Capellix
H170i ELITE CAPELLIX The H170i ELITE CAPELLIX is the largest all-in-one (AIO) liquid cooler CORSAIR has shipped to date, boasting a huge 420mm radiator and three 140mm fans. Able to cool today’s most demanding CPUs with ease, the H170i allows PC enthusiasts to reduce temperatures and increase clock
Slide 13: Complete Streaming, Gaming and Content Creation Ecosystem
COMPLETE STREAMING, GAMING AND CONTENT CREATION ECOSYSTEM 13 of 30
Slide 14: Financial Results
FINANCIAL RESULTS 14 of 30
Slide 15: Strong Top-Line Growth: Revenue
STRONG TOP-LINE GROWTH: REVENUE +58% +58% +18% +41% +45% +83% +14% +26% +58% YoY Growth +24% YoY Growth +17% YoY Growth +55% YoY Growth $ in millions 15 of 30 Note: 2018 and 2019 financials are not presented on a pro-forma basis for CORSAIR’s acquisitions of Elgato in 2018 and Origin and SCUF in 201
Slide 16: Gross Margin Data by Segment
GROSS MARGIN DATA BY SEGMENT +20% +11% +93% +133% +14% +41% +16% YoY GROWTH +108% YoY GROWTH +24% YoY GROWTH $ in millions 16 of 30 Note: 2018 and 2019 financials are not presented on a pro-forma basis for CORSAIR’s acquisitions of Elgato in 2018 and Origin and SCUF in 2019
Slide 17: Expanding Adjusted EBITDA with Low Capex
EXPANDING ADJUSTED EBITDA WITH LOW CAPEX $ in millions 17 of 30 Note: See appendix on non-GAAP reconciliations; 2018 and 2019 financials are not presented on a pro-forma basis for CORSAIR’s acquisitions of Elgato in 2018 and Origin and SCUF in 2019.
Slide 18: Record Q2
RECORD Q2 Net revenue growth of 24.3% to $472.9 million and adjusted EBITDA of $51.6 million. Margins were negatively impacted by higher than expected logistics costs, including ocean and air freight, as well as pandemic related shutdowns impacting operations. Despite this overall gross margin % rem
Slide 19: Gamer and Creator Peripherals
GAMER AND CREATOR PERIPHERALS Gamer and Creator Peripherals segment net revenue increased by 40.9% led by sales of Elgato branded streaming products, as well as other peripherals including SCUF controllers. Gamer and Creator Peripherals segment net revenue was almost a third, 32.8% of total net reve
Slide 20: Gaming Components and Systems
GAMING COMPONENTS AND SYSTEMS Gaming Components and Systems segment net revenue growth of 17.6%, as more consumers buy and build $2K+ gaming PCs. Gaming Components and Systems segment gross profit was $75.7 million, an increase of 14.2%. Gaming Components and Systems segment gross margin was 23.8%,
Slide 21: Full-Year 2021 Guidance
FULL-YEAR 2021 GUIDANCE (1) Given the number of risk factors, uncertainties and assumptions, many of which are discussed in slide 2, actual results may differ materially. We do not intend to update our financial outlook until our next quarterly results announcement. Estimates should not be viewed as
Slide 22: Debt Summary
DEBT SUMMARY Repaid additional $25 million of term loan debt during Q2’21, bringing YTD total to $53 million. Expect to reduce debt in full-year 2021 by a total of ~$100 million subject to business conditions and any need for additional growth capital. 22 of 30
Slide 23: Appendix
BRCORSAIR APPENDIX
Slide 24: Use of Non-GAAP Financial Measures
USE OF NON-GAAP FINANCIAL MEASURES 24 of 30 To supplement the financial results presented in accordance with GAAP, this presentation includes certain non-GAAP financial information, including Adjusted Operating Income, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Net Income and Adjusted Net Inc
Slide 25: GAAP to Non-GAAP Reconciliations: Operating Income
GAAP TO NON-GAAP RECONCILIATIONS 25 of 30 Non-GAAP Operating Income Reconciliations (Unaudited, in thousands, except percentages)
Slide 26: GAAP to Non-GAAP Reconciliations: Net Income
GAAP TO NON-GAAP RECONCILIATIONS 26 of 30 Non-GAAP Net Income and Net Income Per Share Reconciliations (Unaudited, in thousands, except per share amounts and percentages)
Slide 27: GAAP to Non-GAAP Reconciliations: Adjusted EBITDA
GAAP TO NON-GAAP RECONCILIATIONS 27 of 30 Adjusted EBITDA Reconciliations (Unaudited, in thousands, except percentages)
Slide 28: Our Opportunity
OUR OPPORTUNITY Cultural shifts and behaviours accelerating the TAM. Physical gatherings are being replaced by Gaming as a Metaverse. 33M Corsair units sold in last 12 months 459M CONSOLE Players* 617M PC Players* 1B MOBILE Players* 28 of 30 AND BEYOND Source: Newzoo. *Represents gamers who have spe
Slide 29: Product Categories. Best in Class Brands
28 PRODUCT CATEGORIES. BEST IN CLASS BRANDS Also Available: Ambient Lighting, Green Screen, Gaming Chairs, Gaming Systems, Docks, Coaching and Content 29 of 30
Slide 30: Corsair
PA CORSAIR