Logitech's Q4 sales up 13.6% as more work from home

BENGALURU • Logitech International reported a 13.6 per cent rise in fourth-quarter sales yesterday as more people used its products while working from home due to the coronavirus crisis.

Logitech, which makes webcams, keyboards, mouses as well as video-conferencing devices and software, said its fourth-quarter sales rose to US$709.2 million (S$1 billion), from US$624.3 million a year ago.

Non-GAAP (generally accepted accounting principles) operating income rose 23.3 per cent to US$79 million in the quarter that ended in March.

For the full year, the firm reported a 6.7 per cent rise in sales, meeting its financial year 2020 outlook for a mid-to high-single-digit percentage rise, while its annual non-GAAP operating income, at US$387 million, beat its FY2020 target range of US$365 million to US$375 million.

Logitech had reduced its full-year profit outlook in March to take into account supply chain disruptions due to the coronavirus crisis. The company had reiterated its sales forecast.

"Video conferencing, working remotely, creating and streaming content, and gaming are long-term secular trends driving our business, said chief executive officer Bracken Darrell.

The company also retained the outlook it gave in March for a mid-single-digit percentage sales growth in constant currencies for the year to the end of next March and expects a rise in operating profit to US$380 million to US$400 million.

REUTERS