Logitech Shares Soar as Q2 Profits Exceed Expectations Despite Sales Drop; Company Confident, Raises Full-Year Revenue Forecast

Boost in cost discipline and effective management trumps 8% sales slump; CFO indicates that the pace of negative change is slowing, offering a brighter outlook.

Logitech exceeded expectations with Q2 earnings per share of $1.09, a 30% increase from previous year, despite an 8% slump in sales to $1.06 billion.
The computer accessory maker managed to cut costs significantly, and this has reflected in their strong profit figures, which are almost double of what analysts predicted.
The interim CEO, Guy Gecht, asserts that Logitech is making significant strides towards steady growth and exceeding pre-pandemic profit levels - a sentiment echoed by CFO Chuck Boynton who believes the company is reaping the benefits of its cost discipline and conscious focus on customers.
Fuelled by confidence, Logitech raises their full-year revenue forecast to a range of $4 billion to $4.15 billion, an increase from their prior estimate of $3.80 billion to $4 billion. Operating income predictions have also been adjusted to $525 million to $575 million, from an earlier range of $400 million to $500 million.
Last quarter brought a slowdown in the rate of sales decline, contributing to Logitech's optimism and projected brighter future. A global search for a new CEO is underway, with the company set to finalize their decision soon.