8
M A NAGE ME N T RE P O RT - OV ERV IEW
THE YEAR 2021 OUTLINED
// In order to maximize the future profitability of its Data
/ I n October, Asetek announced a licensing, marketing
center business, the Company announced that it is
and product agreement with Pagani Automobili, the
orders for the first of its SimSports products – Invicta
// Record revenue of $79.8 million, 10% growth
exiting the High-Performance Computing (HPC)
Italian manufacturer of exclusive racing hypercars.
Sim Racing Pedals – which include a throttle, brake
niche. Asetek plans to prioritize the general data center
Asetek plans to custom design Pagani-licensed and
pedal and add-on clutch pedal, along with its Race-
market and support legislation increasing adoption
branded SimRacing products that Pagani will market
Hub software for quick and easy adjustments and
of its sustainable solutions, capitalizing on its liquid
and sell through its channels.
calibration. This initial offering, available in early 2022,
from 2020 // Gross margins of 42% compared with 47% in 2020 // Adjusted EBITDA of $7.2 million compared with $15.6 million in 2020 // Revenue in 2021 totaled $79.8 million, an increase of 10% from 2020 ($72.8 million), mainly reflecting increased shipments of Gaming and Enthusiast products.
cooling technology and long-term investments in the segment. Asetek recorded a one-time charge of $1.7 million to operating expense in the third quarter of 2021 following this strategic change. // Operational achievements during the year:
/T he Company announced new products in the Gaming and Enthusiast market: /A setek is powering several new all-in-one coolers offered by ASUS, including its second-generation ROG Ryujin line of CPU coolers, its new family of ROG
/ Asetek continued its success as the leading supplier
Strix LC II ARGB high performance CPU coolers, and
of liquid cooling solutions for high-end computing,
its new liquid cooled NVIDIA GeForce RTX 3080 Ti
in 2020. The change primarily reflects a weaker U.S.
shipping 1.4 million sealed loop liquid cooling units in
graphics card. These offerings provide extreme perfor-
dollar, higher costs associated with the worldwide chip
2021, compared with 1.2 million shipped in 2020.
mance and overclocking capability, silent operation
// Gross margin was 42% in 2021 compared with 47%
shortage and global supply chain disruptions. // During the year, Asetek earned operating income of
/ Asetek entered the fast-growing SimSports gaming
and next-generation aesthetics.
m arket. To support this new venture, the Company
/G lobal gaming leader Razer introduced its first all-in-
$0.8 million ($10.9 million) and Adjusted EBITDA of
acquired intellectual property and other assets from
one liquid cooling solutions, leveraging the superior
$7.2 million ($15.6 million).
Finland-based Granite Devices, in addition to closing
thermal and acoustic performance and reliability of
the late-2020 acquisition of JMH Gallows Pound
Asetek’s advanced cooling technology. The Razer
Ltd, owner of the Ultimate Game Tech brand. With
Hanbo AIO liquid coolers provide advanced CPU
these two transactions, Asetek invested $10 million
overclocking capability, RGB lighting and virtually
to advance its SimSports offering, including software,
silent operation.
// Asetek repurchased 400 thousand common shares during 2021 for a total cost of $4.8 million (844 thousand in 2020 for cost of $6.4 million).
hardware, mechanical designs and operational proficiency.
P E RFO RM ANCE - PR ECI SI ON - PA S S ION
/ In November, the Company began accepting pre-
will provide competitive SimSports gamers with full immersion and the feeling of a real racecar. / Asetek continues to build its brand with gamers and enthusiasts. Co-branding with OEM customers has expanded the Company’s marketing reach, utilizing brand-behind-the-brand initiatives to feature the Asetek logo on box packaging, websites, forums, and packaging inserts. Initiatives also include written features about Asetek on partners’ websites, participation in live events and live streams to communicate the commitment to performance, quality and reliability that the “Cooled by Asetek” mark represents.
