Logitech Q4 sales plunge 22% as economic downturn worries weigh
10:47 pm Monday, May 01st, 2023
(Reuters) – Logitech International posted a 22% drop in fourth-quarter sales on Tuesday, as growing worries of an economic downturn continue to hinder the computer peripherals maker from maintaining the growth experienced during the pandemic.
The Swiss company said its sales for the three months to March-end fell to $960 million, compared with $1.23 billion in the year-ago period.
“We have proactively controlled expenses to align our operating costs with reduced revenue,” Logitech Chief Financial Officer Charles Boynton said, adding that the company is reaffirming its outlook for the first half of this fiscal year.
Credit Suisse downgraded Logitech in March to “neutral” from “outperform”, citing “no growth until Christmas quarter” amid challenging interest rates and lack of short-term catalysts.
The maker of computer mice, keyboards and video conferencing equipment said its non-GAAP operating income slipped 47% to $82 million in the reported quarter.
(Reporting by Urvi Dugar and Shivani Tanna in Bengaluru; Editing by Rashmi Aich)
