I love their products. Very quality brand.
They make this great new universal remote.. Harmony. But they are $600-$900 bucks each.
So I figured if they deliver on earnings, I'll take some of the profits from my LOGI position and buy the remote.
Looks like it will fly tomorrow. So I'll have to shell out $600 bucks for the remote tomorrow:)
http://biz.yahoo.com...06447.html?.v=1
Logitech Announces Record Sales and Operating Profit for Q2
Wednesday October 17, 10:01 pm ET
Revenue Up 19%, Operating Income Up 54%, Company Increases Operating Income Goal for Full Year
FREMONT, Calif. & ROMANEL-SUR-MORGES, Switzerland--(BUSINESS WIRE)--Logitech International (Nasdaq:LOGI - News) (SWX:LOGN - News) today announced record sales and operating profit for the second quarter of Fiscal Year 2008. Sales were $595 million, up 19 percent from $502 million in the same quarter last year. Operating income was $80.4 million, up 54 percent from $52.2 million for the same quarter a year ago. Gross margin was 36.3 percent, compared to 34.5 percent in Q2 of FY 2007 – a year-over-year improvement of 180 basis points and equal to the all-time high for the Company. Cash flow from operations was $103 million, a year-over-year improvement of $80 million.
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Logitech expects to provide results below the operating income line, as well as to present the value of its short-term investments and shareholders equity in its balance sheet, within the next three weeks. The Company is currently reviewing the fair value of its short-term investments as of September 30, 2007. These consist of structured finance instruments, with a par value of $169 million, composed of corporate debt as well as collateralized debt obligations.
Operating Results
Logitech’s retail sales for Q2 grew by 16 percent year over year, increasing by 17 percent in the Americas and Asia Pacific and by 15 percent in EMEA. Retail sales were driven by strong demand for Harmony remote controls, audio products, and keyboards and desktops. Harmony remote controls increased by 47 percent, more than doubling in EMEA. Audio products increased by 38 percent, driven by the company’s best quarter ever for PC speakers. The keyboards and desktops category, which grew by 35 percent, achieved a record quarter, driven by robust sales of the new Wave comfort keyboard. OEM sales grew by 40 percent, driven by strong demand for microphones for console singing games.
“Our outstanding Q2 performance demonstrated the strength across our product portfolio,” said Guerrino De Luca, Logitech president and chief executive officer. “Our line of Harmony remotes has returned to strong growth, we achieved continued robust growth in audio and keyboards, and we made progress in webcams. We also achieved significant improvement in cash flow from operations. And, we are particularly pleased that the progress we have made in realigning our operating expense growth and gross profit growth positions us to exceed our FY 2008 goal for operating income growth.”
Outlook
For the current fiscal year, ending March 31, 2008, the company confirmed its sales target of 15 percent growth and increased its year-over-year operating income growth goal from 15 percent to 20 percent. FY 2008 gross margin is expected to be above the high end of the Company’s long-term target range of 32-34 percent.
Edited by ogm, 17 October 2007 - 09:43 PM.
As a side note, consumer must be in real trouble is the sales of 600 dollar remote controls are growing at 47% rate.
