14 DAY TRIAL // As all companies have done over the past few weeks, Logitech has come forth and published its financial results for the quarter that ended in March, 2010. Predictably, now that the economy is, more or less, getting back on its feet, the peripheral supplier was able to see an on-year revenue growth and increased sales, not only in America, but also in Asia and the EMEA region (which includes Europe, Africa and the Middle East).
During the corresponding quarter of Fiscal year 2009, Logitech accumulated $408 million in revenues, had an operating loss of $43 million and a gross margin of 25.0 percent. This time around, however, thanks to revived demand, the company scored a profit of $28 million, a gross margin of 35.8 percent and total revenues of $525 million, showing a 29% increase. This performance was enabled by a 27% increase in worldwide sales, 15% in EMEA countries and 54% in America. OEM sales grew by only 1%, whereas sales in Asian countries grew by 10%.
“After a challenging start to the year, we ended Fiscal Year 2010 with very strong sales and gross margin performance,” Gerald P. Quindlen, Logitech president and chief executive officer, said. “I’m very pleased that in Q4 we delivered strong sell-through growth and achieved double-digit sales growth in our three retail regions, as well as double-digit sales growth across all of our retail product categories. And we delivered our highest Q4 gross margin ever.”
“As we begin FY 2011, our focus shifts from emerging stronger from the downturn to returning to driving strong top-line and profitability growth by executing on our long-term strategy. We enter the new fiscal year with an improving economic outlook, a strong balance sheet and accelerating sales momentum in all retail sales regions. We’re well positioned for growth across our product portfolio. Most notably, we see continued strong double-digit sales growth in the digital home with our line of Harmony remotes, which now includes innovative new models at lower price points for a broader range of households. We also expect accelerating sales growth in FY 11 from our LifeSize video communications division, which in Q4 had its highest billings ever.”