Logitech International S.a. · SIX:LOGN
Logitech International — Investor Day (March 2021)
29 slides from Logitech International's investor day presentation, Mar 1, 2021
Slide 1: Logitech: Defy(ing) the Logic of the Past
LOGITECH: DEFY(ING) THE LOGIC OF THE PAST BRACKEN DARRELL MARCH 2021
Slide 2: Forward-Looking Statements & Non-GAAP Measures
FORWARD-LOOKING STATEMENTS & NON-GAAP MEASURES This presentation includes forward-looking statements within the meaning of the U.S. federal securities laws, including, without limitation, statements regarding: long-term structural trends and growth potential, our major category market growth, and ou
Slide 3: We Enable People to Pursue Their Passions and Connect to the World
WE ENABLE PEOPLE TO PURSUE THEIR PASSIONS AND CONNECT TO THE WORLD
Slide 4: Logitech Growing Behind Secular Trends
LOGITECH GROWING BEHIND SECULAR TRENDS ● Work spreads from the office to everywhere ● Video calls replace audio calls ● Gaming moves from a niche to becoming the largest spectator and participant sport in the world ● Entertainment shifts from “by big companies” to “by each other” ... democratizing c
Slide 5: Logitech Has Outperformed Prior to COVID-19
LOGITECH HAS OUTPERFORMED PRIOR TO COVID-19 ... 700 From Jan 2013 to Jan-2020 600 Doubled every ~2.5 years 500 400 300 Logitech 200 Nasdaq 100 S&P SMI 1/13 1/14 1/15 1/16 1/17 1/18 1/19 1/20 Note: Chart indexed to 100, with closing prices from Jan 2013 to Jan 2020.
Slide 6: And Has Continued to Outperform Since COVID-19
… AND HAS CONTINUED TO OUTPERFORM SINCE COVID-19 Since Jan 2020 300 $11B market 250 cap increase 200 150 Logitech Nasdaq 100 S&P 50 SMI Note: Chart indexed to 100, with closing prices from Jan 2020 to February 19, 2021.
Slide 7: During This Pandemic Year, Our Performance Accelerated Dramatically
DURING THIS PANDEMIC YEAR, OUR PERFORMANCE ACCELERATED DRAMATICALLY ~63% ~184% 40 64K Net Sales Non-GAAP New Product Sustainability Growth Operating Income Introductions Progress Growth tonnes carbon removed Note: Net sales and non-GAAP operating income represent FY’21 outlook. Net sales comparison
Slide 8: Categories
CATEGORIES
Slide 9: COVID Increased the Long-Term Value of Those Secular Trends
Categories COVID INCREASED THE LONG-TERM VALUE OF THOSE SECULAR TRENDS Pre-COVID Post-COVID Upgrade A LOT more workspaces C&P Refresh purchase Accelerate upgrade cycle? Video Collaboration Gaming Streaming
Slide 10: Most People Will Become Hybrid Workers
Categories Avg. percentage of employees WFH 2x/week pre & post COVID-19 MOST PEOPLE +3X +2X +3X WILL BECOME Before COVID-19 HYBRID 23% 26% 17% WORKERS After COVID-19 67% 57% 51% Source: Internal Logitech survey (as of July 2020).
Slide 11: Our C&P Business Has Multiple Growth Levers Ahead
Categories OUR C&P BUSINESS HAS MULTIPLE GROWTH LEVERS AHEAD I Need I Know and More Workspaces Something Better Like Logitech Growth Hybrid X Refresh X Market = Installed + work Opportunities base cycle share increase Accelerate through Continued innovation, marketing share gains
Slide 12: COVID Increased the Long-Term Value of Those Secular Trends
Categories COVID INCREASED THE LONG-TERM VALUE OF THOSE SECULAR TRENDS Pre-COVID Post-COVID Upgrade A LOT more workspaces C&P Refresh purchase Accelerate upgrade cycle? Customers “wanted” more video rooms Customers will “need” video rooms … a lot more Video Collaboration Webcam is a niche for the re
Slide 13: Video Penetration Is Just Getting Started
Categories VIDEO PENETRATION IS JUST GETTING STARTED More conference rooms Webcams no longer video enabled a niche product ZOOM >4x TEAMS +260% YTD FY’21 SALES INCREASE IN TEAMS DAILY ACTIVE USERS Note: Zoom quarterly financials. Microsoft Teams DAU data from March 2020 to October 2020.
Slide 14: COVID Increased the Long-Term Value of Those Secular Trends
Categories COVID INCREASED THE LONG-TERM VALUE OF THOSE SECULAR TRENDS Pre-COVID Post-COVID Upgrade A LOT more workspaces C&P Refresh purchase Accelerate upgrade cycle? Customers “wanted” more video rooms Customers will “need” video rooms … a lot more Video Collaboration Webcam is a niche for the re
Slide 15: COVID Increased the Long-Term Value of Those Secular Trends
Categories COVID INCREASED THE LONG-TERM VALUE OF THOSE SECULAR TRENDS Pre-COVID Post-COVID Upgrade A LOT more workspaces C&P Refresh purchase Accelerate upgrade cycle? Customers “wanted” more video rooms Customers will “need” video rooms … a lot more Video Collaboration Webcam is a niche for the re
Slide 16: Capabilities
CAPABILITIES
Slide 17: Go-to-Market
Capabilities Multi-Category Multi-Brand Go-to-Market Engineering Marketing Design Operations
Slide 18: Operations Vital to Success
Capabilities: Operations OPERATIONS VITAL TO SUCCESS ● Sustainability ● Navigating unexpected headwinds ● Cost savings ● Flexibility and scalability ● Time to market
Slide 19: Infusing Design 3.0 Across Logitech
Capabilities: Design INFUSING DESIGN 3.0 ACROSS LOGITECH ● 125 design awards in the past 3 years ● Transitioning from Design 1.0 to Design 3.0 ● Design for Experience combined with Design for Cost and Design for Sustainability strategic expansion
Slide 20: Innovation Driven by Engineering, Hardware and Software
Capabilities: Engineering INNOVATION DRIVEN BY ENGINEERING, HARDWARE AND SOFTWARE ● Strong hardware and firmware engineering ● Expertise in sensors, optics, acoustics, wireless, and power management ● Growing software capabilities
Slide 21: Expanding Our Commercial Capabilities
Capabilities: Go-To-Market EXPANDING OUR COMMERCIAL CAPABILITIES ● Video collaboration poised for long-term growth ● Expanding and deepening portfolio ● Vision of service organization ● Leveraging strong channel partnerships ● Globalizing consumer sales ● Adopting best practices worldwide
Slide 22: Marketing, Growing Importance
Capabilities: Marketing MARKETING, GROWING IMPORTANCE ● Celebrate our users, authenticity ● Push to pull model shift ● Strengthening brand equity ● Becoming more top of mind amongst consumers ● Marketing from top of funnel to local activations
Slide 23: But We Still Have Room for Improvements
BUT WE STILL HAVE ROOM FOR IMPROVEMENTS ... 25 50 75 DESIGN HARDWARE Future Improvements Current Status SOFTWARE GO-TO-MARKET MARKETING OPERATIONS Note: For illustrative purposes only.
Slide 24: With a Focus on Sustainability
… WITH A FOCUS ON Multi-Category Multi-Brand SUSTAINABILITY Go-To-Market Engineering Marketing Design Operations
Slide 25: With a Focus on Sustainability
… WITH A FOCUS ON Multi-Category Multi-Brand SUSTAINABILITY Sustainability Go-To-Market Engineering Marketing Design Operations
Slide 26: People & Society
We Will Speak Up, Speak Out PEOPLE & ● ● We Will Support Other Activists SOCIETY ● We Will Support Our Communities This year we made a Diversity Pledge setting out seven key ● We Will Support Supplier And Partner commitments to diversity action, Diversity from our products, to our employees, to our
Slide 27: With a Focus on Sustainability and Equality
… WITH A FOCUS ON Multi-Category Multi-Brand SUSTAINABILITY Sustainability AND EQUALITY Go-To-Market Engineering Marketing Design Operations
Slide 28: Our Potential Is Much Greater in the Coming Years
OUR POTENTIAL IS MUCH GREATER IN THE COMING YEARS ... ● Our consistent strategy and focus has not wavered pre and post-COVID-19 ● COVID-19 has accelerated and expanded our long-term growth potential ● In FY’22 we will further strengthen the capabilities underpinning our growth, including the continu
Slide 29: And With a Focus on Sustainability and People
… AND WITH A FOCUS ON SUSTAINABILITY AND PEOPLE ● We exist to help people realize their passions and engage with the world through the products and experiences we create ● We know we will be more successful in pursuit of that purpose when we enable ALL people, by being diverse and inclusive inside L