Revolutionizing Industries for Long-Term Growth Industries for Long-Term Growth CTG at a Glance...
Transcript of Revolutionizing Industries for Long-Term Growth Industries for Long-Term Growth CTG at a Glance...
Mike DennisonPresident, Consumer Technologies Group (CTG)
Revolutionizing Industries for Long-Term Growth
CTG at a Glance
$6.4B Revenue ($M)
$1,314
$1,665 $1,849
$1,535
Q1 FY17 Q2 FY17 Q3 FY17 Q4 FY17
FY17 Updates» $1B in new bookings
» 50 new accounts
» 195 new programs awarded
» $1.4B increase YoY revenue for Connected Home and Audio
» 27% of revenue is Sketch-to-ScaleTM
» BOSE partnership announced
» 2 new Audio factories
» Nike Q4FY17 mass production
Continuing to Invest in Growing Markets
60%
17%22%
0%
Traditional ConnectedHome
Wearables AR/ VR
2017 2020
15–20%
30–35%
15–20%
Traditional ConnectedHome
Wearables AR/VR
35–40%
% of total CTG business
Digital Health
2015–2020 data points ($B), CAGR
Connected Living Augmented Reality/ Virtual Reality
STRATEGIC
CORE
ICE
FY16
Higher Margins and Operating Profit
STRATEGIC
CORE
ICE
Higher Margins and Operating Profit
Operating Profit
Customers Added
Revenue Growth
6%+ 404%
<3% 4-14%
4%* 69%
FY17 Achieved
*Not including Nike investment
Executing Sketch-to-Scale™
Design Prototyping RepairLogisticsManufacturing Tax and Trade
Sketch-to-Scale Revenue
18%
27%
~35%
~40%
~45%FY20
FY19
FY18
FY17
FY16
Increasing Development of Growth Vectors
AR/VR» Gaming» Entertainment» Education» Customer Service
Fashion» Footwear» Connected Jewelry» Smart Apparel» Smart Accessories
Connected Home» Voice-Controlled Assistants» Home Gateways» Media Devices» Connected Audio
Wearables» Headsets and Headphones» Smart Watches» Hearables» Bio-authentication
Consumer Health» Biometric Monitors» Telehealth» Home Health Monitoring
Consumer AI» Smart Robots» Smart Toys» Automotive After-Market» Drones
2%+
2–3% 2–3%
2–4%
FY14 FY15 FY16 FY17 FY18 FY19 FY20
CTG OP%
Investment Year
1.3%
2.4% 2.3%
2.8%
3.5–5%
Drving Step Function Change
% = OP Range% = Actuals
2–4%
Drive financialupside
Proliferate technology
solutions
One team relationship
model
Get closerto the
consumer
Make great products
at scale
Our Collective Goals
~1 million sqft. of capacity
“When you’re wearing the QC30s and the noise canceling is cranked, practically nothing is going to interfere with your music – or your concentration.”
“When you’re wearing the QC30s and the noise canceling is cranked, practically nothing is going to interfere with your music – or your concentration.”
“Skullcandy is very excited to join the Flex family…their track record for quality, speed and efficiency combined with the vast resources they provide to support product development will accelerate Skullcandy’s market competitiveness and roadmap.”
- Jason HodellChief Executive Officer
"Our partnership with Flex is allowing us to merge connectivity and technology innovation with true fashion and design, which is transforming customers' expectations for the entire wearables category.“
- Greg McKelveyExecutive Vice President,
Chief Strategy and Digital Officer
“Partnering with Flex is beyond a dream come true...Flex is giving i.am+ extra muscle to Flex globally...”
- will.i.amArtist and Founder
Hybrid Companies of the Future Fashion Tech Forum Los Angeles explores the Hybrid World of Fashion Tech:
The Leaders, the Revolutionaries, The Collaborators
2017 Presents
and
Consequently CTG has evolved into a focused growth segment within Flex
Expansion into new industries with richer revenue and profit drives large growth opportunities
Reduction of traditional EMS business reduces seasonality and improves margins
Strategic partnerships like Bose and Nike create a foundation for sustainable growth and profit