Logitech sticks to FY goals as Q2 in line

Reuters News
|
Posted: Oct 27, 2011 2:08 AM
Logitech sticks to FY goals as Q2 in line

ZURICH (Reuters) - Logitech, the world's largest computer mouse maker, is sticking to its full-year outlook after posting a second-quarter net profit of $17 million, returning to the black after a loss in the previous quarter.

Logitech, which also makes speakers, webcams and keyboards, has struggled with the weak economic environment in mature markets and it has issued a number of profit warnings over the year as a result.

But it left its full-year guidance in place on Thursday after second quarter sales edged 1 percent higher to $589 million, slightly ahead of the average estimate in the Reuters poll, as robust demand in Asia offset sluggish markets in the Americas and Europe, the Middle East and Africa.

Logitech sees full-year sales of $2.4 billion and an operating income of around $90 million.

The group expects its gross margin for its full year, which ends March 31, to reach 33 percent, and it is likely to be well above the full-year average in the third and fourth quarters.

Logitech also said it was looking to amend its $250 million share buyback program to enable the future repurchase of shares for cancellation.

(Reporting by Katie Reid; Editing by David Cowell)