Logitech Is Now Nearly a $5.5 Billion US Company
Logitech International (SIX: LOGN) (Nasdaq: LOGI) today announced financial results for the fourth quarter and full Fiscal Year 2022, ended March 31, 2022. The highlights include:
- Sales were Logitech’s highest ever at $5.48 billion, up 4% in U.S. dollars and 4% in constant currency compared to the prior year. This growth is on top of last year’s record sales which grew 76% in US dollars and 74% in constant currency. The company’s sales have more than doubled in the past four years.
- GAAP operating income declined 33% to $774 million, compared to $1.15 billion a year ago. Non-GAAP operating income declined 29% to $904 million, compared to $1.27 billion a year ago. This reflects the company’s planned, strategic investments in marketing and product development to drive future growth and significantly exceeds its original fiscal year 2022 non-GAAP operating income outlook. The company has more than doubled its non-GAAP operating income vs. two years ago.
- GAAP earnings per share (EPS) declined 31% to $3.78, compared to $5.51 a year ago. Non-GAAP EPS declined 28% to $4.63, compared to $6.42 a year ago.
For Q4 Fiscal Year 2022:
- Sales were $1.23 billion, down 20% in U.S. dollars and 17% in constant currency compared to Q4 of the prior year.
- GAAP operating income declined 56% to $129 million, compared to Q4 of the prior year. Non-GAAP operating income declined 52% to $156 million, compared to Q4 of the prior year.
“This year, we sustained our scale, delivering record sales on top of last year’s 74% 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.
Despite strong year-over-year results, our focus is the long term. We’re riding secular growth trends in hybrid work, video collaboration, esports and digital content creation. We’ll continue to deliver against those with agility, operational excellence and a diverse, innovative portfolio. I’m excited for the future.”
Logitech reduced its fiscal year 2023 outlook, removing the estimate of annual sales and profits that would have been generated in Ukraine and Russia. This reflects the current, uncertain environment in which the war in Ukraine continues without sign of resolution in the near term.
Sales growth in constant currency is now expected to be between 2% and 4%, and non-GAAP operating income is expected to be between $875 million and $925 million. Previously, sales growth in constant currency was expected to be in the mid-single digits, and non-GAAP operating income was expected to be between $900 million and $950 million.