Logitech reported 20 percent dip in sales for its fourth quarter, as the computer mice, webcam and keyboard maker lapped high comparables from a year earlier.
Sales fell to $1.23 billion for the three months to the end of March 2022 from $1.54 billion a year earlier, when sales were massively boosted by people buying peripherals to equip their home offices during the Covid-19 pandemic.
Logitech also reduced its fiscal year 2023 outlook, removing the estimate of annual sales and profits that would have been generated in Ukraine and Russia.
The company expects sales growth to be between 2 percent and 4 percent, and operating income to be between $875 million and $925 million in fiscal year 2023.
The Swiss American company said operating income fell 56 percent to $129 million in the quarter, from $295 million a year earlier.
Logitech said sales were the highest ever at $5.48 billion, up 4 percent, for fiscal year 2022. This growth is on top of last year’s record sales which grew 76 percent. Logitech’s sales have more than doubled in the past four years.
Logitech said operating income declined 33 percent to $774 million, compared to $1.15 billion a year ago. This reflects the company’s strategic investments in marketing and product development to drive future growth. The company has more than doubled its operating income versus two years ago.
“This year, we sustained our scale, delivering record sales on top of last year’s 74 percent sales growth,” said Bracken Darrell, Logitech president and chief executive officer. “We grew for the ninth straight year and grew market share across the portfolio. We also beat our original profit target by over $100 million.”
