Published in News
Logitech continues to be pummelled
Third quarter loss
Logitech has reported a third-quarter loss from a year earlier and said it would flog off its non-strategic products, as it continues to be hit hard by weakness in the global PC market.
The company posted a net loss of $195 million, in the third quarter because companies have not been upgrading their PCs and consumers are only interested in buying shiny toy tablets. Last year the outfit made a net profit of $55 million. Quarterly sales fell 14 percent to $615 million.
Chief Executive Bracken Darrell said in a statement that continued weakness in the global PC market was the primary factor in our disappointing Q3 results. Darrell said the company has started flogging off its remote controls and digital video security businesses and plans to discontinue other non-strategic products, such as speaker docks and console gaming peripherals, by the end of 2013.
It took a $211 million charge on its underperforming video conferencing unit. Excluding the impairment charge, third-quarter non-GAAP operating income would have been $31 million and non-GAAP net income would have been $16 million, Logitech said.