Logitech International
beat earnings expectations in its fiscal fourth quarter despite sales tumbling more than 20% amid economic uncertainty and softening consumer demand.
The maker of computer peripherals (ticker: LOGI) posted adjusted earnings of 50 cents per share in its preliminary results, beating estimates of 42 cents per share, according to FactSet data. The company reported sales of $960 million in the three months ending March 31, a 22% fall from the same period in 2022, but ahead of analysts’ expectations of $939 million.
The Swiss-listed shares climbed close to 6% in early trading Tuesday, while the U.S.-listed stock rose 1.6% in premarket trading.
After the pandemic provided a demand boom for the webcam and keyboard maker, sales have now fallen for six consecutive quarters.
The trend of declining revenue looks set to continue as
Logitech
stuck to its outlook for sales to decline between 18% and 22% in the first half of the fiscal year 2024, to between $1.8 billion and $1.9 billion.
Analysts are expecting sales of around $1.9 billion in the first half of Logitech’s fiscal year 2024.
“We have proactively controlled expenses to align our operating costs with reduced revenue. While macro conditions remain uncertain, we reaffirm our outlook for the first half of the new fiscal year,” Chief Financial Officer Charles Boynton said.
“Despite the decline in sales, we are significantly larger than before the pandemic,” CEO Bracken Darrell said in a statement.
Write to Callum Keown at [email protected]
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