Logitech Reports 6% and 9% Revenue Growth for Q3 and H1 2024, Driven by Gaming and Accessories Demand

Logitech International S.A. reported strong financial performance for the three and six months ended September 30, 2024, with net sales reaching $1,116.0 million and $2,204.3 million, respectively, marking increases of 6% and 9% compared to the same periods in 2023. The growth was primarily driven by robust demand in the Gaming, Keyboards & Combos, and Tablet Accessories segments. Notably, sales in the EMEA region surged by 13% for the quarter and 16% for the half-year, while the Americas region saw increases of 4% and 6%, respectively. Sales in the Asia Pacific region remained flat for the quarter but grew by 4% for the six-month period.

Gross profit for the three months ended September 30, 2024, was $486.1 million, an 11% increase from $438.6 million in the prior year, with gross margins improving to 43.6%, up 210 basis points. For the six months, gross profit rose 17% to $952.3 million, with gross margins at 43.2%, reflecting lower product costs.

Operating expenses increased to $325.2 million for the quarter and $638.0 million for the half-year, driven by higher marketing, selling, and research and development costs. Operating income for the three months was $160.9 million, slightly up from $156.6 million in 2023, while for the six months, it rose significantly to $314.4 million from $235.0 million.

Net income for the three months ended September 30, 2024, was $145.5 million, compared to $137.1 million in the same period last year, with net income per share increasing to $0.95 from $0.87. For the six months, net income reached $287.3 million, up from $199.8 million, with net income per share rising to $1.88 from $1.26.

Logitech's cash and cash equivalents decreased to $1,363.3 million as of September 30, 2024, down from $1,520.8 million at the end of March 2024. The company reported a net cash provided by operating activities of $342.0 million for the six months, a decline from $463.1 million in the prior year, attributed to increased cash dividends and share repurchases.

In June 2023, Logitech initiated a three-year share repurchase program, allowing for up to $1.0 billion in repurchases. As of September 30, 2024, the company had repurchased 2.9 million shares for $262.1 million, with $373.9 million remaining under the program.

Logitech continues to navigate macroeconomic challenges, including inflation and geopolitical uncertainties, while capitalizing on trends such as hybrid work and gaming. The company remains committed to enhancing its product offerings and maintaining consumer trust through privacy and security standards.