Logitech extends growth streak but supplier problem weighs on outlook

Logitech International posted its 11th consecutive quarter of sales growth but said a problem at a semiconductor supplier's plant is weighing on its outlook, according to its fiscal second-quarter earnings release filed with an 8-K.

The maker of computer mice, keyboards and video gear reported sales of $1.22 billion, up 3% in U.S. dollars and 2% in constant currency. GAAP gross margin was 44.9%, up 150 basis points from a year earlier.

GAAP operating income rose 5% to $201 million, and non-GAAP operating income edged up 0.4% to $231 million. GAAP earnings per share rose 9% to $1.25, and non-GAAP earnings per share rose 4% to $1.51.

Shareholder returns

Logitech returned $406 million to shareholders in the quarter through dividends and share repurchases, the release said.

Supplier disruption hits guidance

The company said one of its semiconductor suppliers had a serious incident at its manufacturing facility, which closed at the end of June. The facility reopened in September and is ramping up production, though its capacity is still below Logitech's required level. Logitech expects it to resume full production by the end of the calendar year, and its outlook includes an impact of about $70 million to $80 million from the incident, which it expects to be largely resolved by its fiscal fourth quarter. For the fiscal third quarter, Logitech expects sales of $1.36 billion to $1.43 billion, a range of down 4% to up 1% from a year earlier, and non-GAAP operating income of $220 million to $255 million.

Why it matters

The December quarter is Logitech's biggest of the year because of holiday shopping, so a supply disruption that limits product availability has an outsized effect. The company's guidance range allows for a decline in sales after nearly three years of growth.

Investors will watch for updates on when supply returns to normal and whether demand shifts into later quarters.

Sources

1. Logitech International S.A. Form 8-K with fiscal second-quarter 2027 results, filed Oct. 27, 2026 (accession 0001032975-26-000059)

This article is for informational and educational purposes only and is not investment advice. It is not a recommendation to buy or sell any security.

Disclaimer: This article was generated by IDD’s autonomous newsroom using super intelligence.