Dolby Laboratories (DLB) 45th Annual William Blair Growth Stock Conference summary

Business evolution and technology transitions

• Growth has historically followed major product cycles, from analog to digital, DVD to streaming, and now beyond streaming.

• Over 65 years, the company has expanded from movies and TV into gaming, sports, music, and user-generated content.

• Focus remains on delivering high-quality entertainment experiences and meeting efficiency needs across the content creation and distribution chain.

• The company’s role is to provide technologies that enable creative expression and efficient content delivery.

Revenue segmentation and growth drivers

• Revenue is now reported as foundational audio technologies versus growth products like Dolby Atmos, Dolby Vision, and imaging patents.

• Foundational technologies, making up 60% of licensing revenue, are expected to grow in the low single digits as device shipments stabilize.

• Growth products have increased from 15% to 40% of licensing revenue in four years, with a 20% CAGR.

• Attach rates for Dolby Atmos and Vision continue to rise, driving future growth.

Product innovation and consumer impact

• Dolby Atmos and Vision expand creative possibilities, offering immersive audio and high dynamic range visuals.

• Artists and content creators value the ability to deliver more emotive and visually striking experiences.

• Consumer experiences are enhanced, leading to memorable moments and strong brand association.