Logitech raises full-year outlook as quarterly operating profit jumps more than 75%

Earnings

Bracken Darrell, CEO, Logitech International

Scott Mlyn | CNBC

Logitech raised its outlook for the 2021 fiscal year and reported a more than 75% increase in non-GAAP operating income in its first quarter, boosted by demand for its webcams, video conferencing products and headsets as homeworking increased during the coronavirus lockdowns.

The company said demand for video streaming and productivity products remained high as lockdowns introduced around the world to restrict the spread of the coronavirus resulted in an increase in the number of people working from home.

The Swiss-U.S. maker of computer peripherals raised its sales outlook for the 2021 fiscal year to 10% to 13% growth from mid-single-digit percentage gain in constant currency.

The company also raised its annual outlook for non-GAAP operating profit in the range of $410 million to $425 million from $380 to $400 million.

Gaming products like computer mice, keyboards and headsets have also done well, as people have played more on their computers at home during the lockdowns.

“Logitech’s business was already positioned to grow from these long-term trends, and since early March they have accelerated, making Logitech more relevant to customers than ever before,” said Chief Executive Bracken Darrell.

Logitech said its non-GAAP operating income rose to $117.3 million in the quarter ended June 30, up from $67 million a year earlier.

Net income rose 58.9% to $72.1 million, with sales increasing about 22.9% to $791.9 million.

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