Logitech International S.A. (NASDAQ:LOGI) Q1 2021 Earnings Conference Call - Final Transcript

Jul 21, 2020 • 08:30 am ET


Logitech International S.A. (NASDAQ:LOGI) Q1 2021 Earnings Conference Call - Final Transcript


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Ben Lu

Good morning. Welcome to Logitech's video call to discuss the Financial Results for the First Quarter of Fiscal Year 2021. Joining us today are Bracken Darrell, our President and CEO; and Nate Olmstead, our CFO.

During this call, we may make forward-looking statements, including with respect to future operating results under the safe harbor of the Securities Litigation Reform Act of 1995. We're making these statements based on our views only as of today, July 21st. Our actual results could differ materially and we undertake no obligation to update or revise any of these statements.

During today's call, we will discuss non-GAAP financial results. You can find a reconciliation between GAAP and non-GAAP, as well as more information about our use of non-GAAP measures and factors that could impact our financial results in our press release and our filings with the SEC including our most recent annual report and subsequent filings.

These materials as well as our prepared remarks and slides and a webcast of this call are available on the Investor Relations page of our website ir.logitech.com. We encourage you to view these materials carefully. Unless noted otherwise, comparisons between periods are year-over-year and in constant currency, and sales are net sales. This call is being recorded and will be available for replay on our website.

I will now turn the call over to Bracken. Bracken, your line is now open.

Bracken P. Darrell

Good. Thank you, Ben. And thanks to all of you for joining us. It's nice to see so many familiar faces, as usual. Early in my time with Logitech, a lot of the analysts and few of you on this call described our business as one in which we needed to continually catch the next wave, like we were surfing a series of waves, like a surfer at the beach. I actually never liked that analogy. I always felt it suggests that we seek short-term trends like a fashion business. We don't. We make our investment decisions based on long-term trends, very long-term trends. These long-term trends, unlike a surfer's waves don't subside. They enable us to travel to a completely new era.

COVID-19 and its repercussions have dramatically accelerated the path to a new era, as if someone hit the hyperspeed button, accelerating us to a point when the secular trends that we focused on for many years, have become a fundamental part of daily life. Video everywhere, one of our secular trends seemed like a long way off when we started to say it a few years ago. Because of COVID-19, video calls now for most people have simply exploded. And where are most of them done? At home. Imagine when people return to the office.

A second trend, -- a big second trend is work from anywhere, which was kind of a struggle even up to six months ago. We knew it was coming. Most companies knew it was coming, but companies were stubbornly accepting work from home Fridays and remote workers on an exception basis.