Logitech International S.a. · SIX:LOGN
Logitech International — Q3 2024 Earnings Presentation
17 slides from Logitech International's earnings presentation, Jan 23, 2024
Slide 1: Q3 Fiscal Year 2024 Shareholder Letter
Q3 FISCAL YEAR 2024 SHAREHOLDER LETTER January 22, 2024
Slide 2: Q3 FY24 Highlights
Q3 FY24 HIGHLIGHTS Net Sales $1,270M $1,255M -3% y/y (cc) Q3 FY23 Q3 FY24 Q3 FY24 net sales were $1,255 million, down 3% (CC) versus Q3 FY23. We grew market share GAAP Gross Margin in Keyboards & Combos, Pointing 37.6% 42.0% Devices, Gaming Wheels, Tablet Keyboards and Webcams in the +440 basis quar
Slide 3: Dear Logitech Shareholder
DEAR LOGITECH SHAREHOLDER, This quarter, we updated our earnings materials in an effort to streamline the information that we provide you. We hope you will find it useful. In our earnings conference call on January 23rd at 8:30 am EST, we will provide brief opening remarks and use the remainder of o
Slide 4: Operational Discipline, Innovation and Market Leadership
Operational Discipline While Q3 net sales of $1,255 million were down 3% year over year in constant currency, we continued to demonstrate gradual improvement. Our return to top-line growth was still pressured in the current macroeconomic environment; however, I am pleased to see that our teams execu
Slide 5: Q3 FY24 Results
Q3 FY24 Results In Q3, net sales in constant currency declined by 3% to $1,255 and reduced promotional activities, partially offset by million year over year, driven by lower demand and channel unfavorable mix. Sequentially, gross margin was up 30 basis inventory reductions, partially offset by lowe
Slide 6: What's New from Logitech
WHAT’S NEW FROM LOGITECH Zone Wireless 2 Logitech introduced Zone Wireless 2, a top-of-the-line business headset that uses AI to deliver unique two-way, noise-free calling experiences. AI far-end noise suppression, noise-canceling mics, hybrid Active Noise Cancellation (ANC), and personalized stereo
Slide 7: Sustainability
SUSTAINABILITY In December, Logitech was included in the Dow Jones Sustainability Index (DJSI) for the fourth consecutive year. The company was listed in the Dow Jones Sustainability Index for Europe, which is a widely recognized standard for evaluating and measuring performance and the capability t
Slide 8: Financial Discussion
FINANCIAL DISCUSSION Q3 FY24 Results Net sales in constant currency declined by 3% to $1,255 million year over year, driven by lower demand and channel inventory reductions, partially offset by lower promotional spend. Despite the sales declines, we gained market share in Keyboards & Combos, Pointin
Slide 9: Gaming, Video Collaboration, Personal Workspace Solutions
Gaming Video Collaboration Gaming decreased 2% in Q3, as a solid holiday season Video Collaboration sales declined 4% in Q3, a marked stabilized performance. PC Gaming delivered modest growth improvement in year over year declines when compared to prior in the quarter, and Simulation was only down m
Slide 10: Net Retail Sales by Region and Non-GAAP Gross Margin
Net Retail Sales By Region In Q3, the Americas returned to growth, while EMEA and Asia Pacific declined: Americas EMEA Asia Pacific Sales in our Americas region were up 4% Sales in our EMEA region were Sales in our Asia Pacific region decreased in Q3 with lower promotions significantly down 9% in Q3
Slide 11: Non-GAAP Operating Expenses and Profitability
Non-GAAP Operating Expenses Total non-GAAP operating expenses were $283 million in the quarter, up sequentially as anticipated, and up 2% year over year. As a percent of revenue, our non-GAAP operating expenses were well within our long-term model of maintaining operating expenses at approximately 2
Slide 12: Balance Sheet and Cash Flows
Balance Sheet and Cash Flows At the end of Q3, our cash and cash equivalents were $1,413 million, up $377 million from the prior year. Cash flow from operations was positive $443 million in Q3, up $163 million year over year, bolstered by strong working capital management. We returned a total of $18
Slide 13: Fiscal Year 2024 Full Year Outlook
FISCAL YEAR 2024 FULL YEAR OUTLOOK As a result of our Q3 performance and overall business trends Net Sales Year-Over-Year Growth Rates (CC) we are raising the full-year outlook for Fiscal Year 2024. Q4 FY23 Q1 FY24 Q2 FY24 Q3 FY24 Q4 FY24E* We are now expecting revenue of $4.2 billion to $4.25 billi
Slide 14: Forward Looking Statements
Forward Looking Statements This presentation includes forward-looking statements within the meaning of the U.S. federal securities laws, including, without limitation, statements regarding our preliminary financial results for the three and nine months ended December 31, 2023; Fiscal Year 2024 outlo
Slide 15: Non-GAAP Financial Measures
Non-GAAP Financial Measures To supplement our condensed consolidated financial results prepared in accordance with GAAP, we use a number of financial measures, both GAAP and non-GAAP, in analyzing and assessing our overall business performance, for making operating decisions and for forecasting and
Slide 16: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation LOGITECH INTERNATIONAL S.A. PRELIMINARY RESULTS* (In thousands, except per share amounts) - unaudited SUPPLEMENTAL FINANCIAL INFORMATION Three months ended Nine months ended December 31, December 31, GAAP TO NON-GAAP RECONCILIATION (A) 2023 2022 2023 2022 Gross profit
Slide 17: Sell-Through Data
Sell-Through Data - Measures sales of our products by retailer customers to consumers and by our distributor customers to their customers - Compiled by Logitech from data supplied by our customers - Customers supplying sell-through data vary by geographic region and from period to period, but typica
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