Rogers (ROG) Stifel 2024 Cross Sector Insight Conference summary

Investment thesis and strategy

• Over 50% of business is in secular growth markets, with strong positions in core markets as well.

• Focus on innovation and differentiated technologies for advanced applications.

• Value creation model centers on direct OEM engagement and a robust pipeline of design wins.

• Four strategic pillars: market-driven approach, innovation, operational excellence, and synergistic M&A.

• Manufacturing footprint spans the US, Europe, and Asia, supporting global customers.

Market participation and growth drivers

• Revenue exceeded $900 million in 2023, with 3,300 employees and 15 manufacturing sites worldwide.

• 40% of revenue comes from Asia (27% China), 30% from the US, and 30% from Europe.

• Key markets include automotive radar, portable electronics, aerospace and defense, renewable energy, and electric vehicles.

• Electric vehicle and hybrid markets are high-growth, with expected growth in the high teens over multiple years.

• ADAS technology is penetrating all vehicle types, supporting continued growth.

Technology and product innovation

• Ceramic substrates (curamik) enable efficient heat removal in power modules for EVs, renewables, and industrial uses.

• Elastomerics provide battery pack sealing and pressure management in EVs.

• Power interconnects (ROLINX) connect and distribute power within EV battery packs.

• Technology is tailored to customer needs, with direct collaboration across the value chain.

• Long history of innovation, including the invention of ceramic substrate bonded to copper for heat management.