Logitech warned that a temporary shutdown at a key semiconductor supplier will reduce second-quarter sales by $20 million and third-quarter sales by as much as $200 million, sending shares down 5%. The third quarter encompasses the peak holiday shopping season and is traditionally the company's most important period. CEO Hanneke Faber called the issue temporary and said the operations team remains a powerhouse, while Citi analyst Asiya Merchant maintained a Buy rating citing strong execution. Logitech's fiscal first-quarter revenue rose 7% to $1.23 billion and adjusted earnings per share jumped 47% to $1.85, both beating estimates, but the company declined to issue full-year guidance due to the supplier incident.
Logitech International S.A.Temporary shutdown at a key semiconductor supplier will cut up to $200 million in third-quarter sales.