• Logitech International SA posted its Q3 2023 earnings report, showing a 22% drop in quarterly sales.
• Gaming sales fell 16% and 10%, respectively, while video collaboration sales declined 21% in US dollars and 16% in constant currency.
• Logitech’s reported revenue of $1.27 billion also missed revenue estimates by $50 million, with Non-GAAP operating income sliding 32% to $204 million.
Logitech International SA recently posted its Q3 2023 earnings report, revealing a significant decline in its sales. Logitech is a Swiss-American computer mice maker, specializing in computer mice, keyboards, and webcams. For its fiscal Q3 2023, Logitech reported sales of $1.27 billion, with category sales declining 22% and 17% in both US dollars and constant currency. Gaming sales fell 16% and 10%, respectively, while video collaboration sales declined 21% in US dollars and 16% in constant currency. Keyboard and combo sales also slid 22% and 17%, respectively.
Logitech’s reported revenue of $1.27 billion also missed revenue estimates by $50 million, with Non-GAAP operating income sliding 32% to $204 million. This figure was significantly lower than the $302 million reported in the year-ago quarter. These dismal results also underscored Logitech’s preliminary results, with a halt in customer purchases of new equipment amid slowdown worries. Logitech has lowered its full-year sales outlook as a result.
Logitech’s Chief Executive Officer Bracken Darrell commented on the results, stating that the company “did not anticipate the sudden and severe demand impact from the pandemic and this resulted in sales that were significantly below our expectations.” He further noted that the company is “actively managing the business in this environment and are taking steps to ensure we emerge from the pandemic a stronger company.”
Logitech’s share prices were down 8% in after-hours trading following the release of its Q3 2023 results. The company has been struggling during the pandemic, with its sales down 22% compared to the same period last year. The company will be hoping to turn its fortunes around in the coming quarters, and investors are awaiting the results of its cost-cutting measures in the near future.