Logitech International (SIX: LOGN) (Nasdaq: LOGI) today announced financial results for the third quarter of the Fiscal Year 2022, with strong growth in Pointing Devices, Keyboards & Combos, and Gaming, and share gains in the majority of key categories. The Company raised annual guidance for both sales and profitability.
However, the maker of keyboards, mice, and headsets raised its forecast for the current fiscal year to between 2% and 5% sales growth in constant currency. In between $850 million and $900 million in non-GAAP operating income.
Financial Highlights:
Sales were $1.63 billion, down 2 percent in US dollars and constant currency, compared to Q3 of the prior year. This performance nearly sustains last year’s record Q3 sales which grew 85 percent in US dollars and 80 percent in constant currency.
Category sales in US dollars grew 29 percent in Keyboards & Combos and 8 percent in Pointing Devices and Gaming, compared to Q3 of the prior year. Video Collaboration grew 24 percent quarter over quarter and was down 2 percent compared to Q3 of the prior year in which sales grew more than 200 percent.
GAAP operating income declined 41 percent to $263 million, compared to $448 million in the same quarter a year ago. Non-GAAP operating income declined 37 percent to $302 million, compared to $476 million in the same quarter a year ago. This reflects the Company’s planned, strategic investments in marketing and innovation to drive future growth. Non-GAAP operating income almost doubled two years ago.
GAAP earnings per share (EPS) declined 44 percent to $1.24, compared to $2.22 in the same quarter a year ago. Non-GAAP EPS declined 37 percent to $1.55, compared to $2.45 in the same quarter a year ago.
Cash flow from operations was $377 million. The Company returned $116 million of cash to shareholders through share repurchases. Year to date, the Company has returned a total of $450 million to shareholders through dividends and share repurchases. It was more than twice the amount over the same period last year.
Outlook
Logitech raised its FY22 outlook to 2% – 5% sales growth in constant currency and $850 million – $900 million in non-GAAP operating income.
The company’s previous outlook was flat sales growth in constant currency, plus or minus 5%, and $800 million – $850 million in non-GAAP operating income.
About Logitech
Logitech helps all people pursue their passions by designing experiences so everyone can create, achieve, and enjoy more. Logitech designs and creates products that bring people together through computing, gaming, video, streaming and creating, and music.
Founded in 1981, and headquartered in Lausanne, Switzerland, Logitech International is a Swiss public company listed on the SIX Swiss Exchange (LOGN) and the Nasdaq Global Select Market (LOGI). Find Logitech at www.logitech.com, the company blog, or @Logitech.
