Logitech's Dollar Sales Growth Slows to 3 Percent

The Tip Desk · November 8, 2026 · 2 min read

Second-quarter sales were $1.22 billion, and the company now expects third-quarter constant-currency sales to fall 5% to 0% after a semiconductor supplier incident.

Logitech International (LOGI) reported second-quarter fiscal 2027 sales of $1.22 billion, up 3 percent in US dollars and 2 percent in constant currency from a year earlier, an eleventh consecutive quarter of growth. Year-over-year dollar growth slowed from 7 percent in the first quarter of fiscal 2027, when constant-currency growth was 5 percent. The Swiss hardware maker said Americas, Video Collaboration and Gaming supported the topline.

GAAP gross margin was 44.9 percent, up 150 basis points from the year-earlier quarter; non-GAAP gross margin was 45.2 percent, up 140 basis points. Those margins sat well below the first quarter, when GAAP gross margin was 49.5 percent and non-GAAP 49.8 percent after $61 million in tariff refunds.

GAAP operating income was $201 million, up 5 percent from a year earlier. Non-GAAP operating income was $231 million, up 0.4 percent, and came in above the $185 million to $210 million outlook the company had issued for the quarter. GAAP diluted earnings were $1.25 a share, up 9 percent; non-GAAP earnings were $1.51 a share, up 4 percent.

Gaming sales were $349.3 million, up 8 percent. Video Collaboration was $188.4 million, up 12 percent. Keyboards and combos were $246.4 million, up 4 percent; pointing devices were $230.4 million, up 4 percent; headsets were $46.1 million, up 6 percent. Webcams were $75.6 million, down 9 percent. Tablet accessories were $58.0 million, down 32 percent. Other products were $24.6 million, down 6 percent.

Cash flow from operations was $164 million. Cash at quarter-end was $1.51 billion. The company returned $406 million to shareholders through its annual dividend and share repurchases.

A semiconductor supplier’s manufacturing facility closed at the end of June after a serious incident and reopened in September, still below the capacity Logitech said it requires. The company said it expects the facility to resume full production by the end of the calendar year.

Logitech expects third-quarter fiscal 2027 net sales of $1.36 billion to $1.43 billion, with year-over-year sales growth of −5 percent to 0 percent in constant currency and −4 percent to +1 percent in US dollars. That range includes an estimated $70 million to $80 million negative impact on net sales from the supplier incident. Non-GAAP operating income is expected at $220 million to $255 million. In the first-quarter release, the company had estimated the incident at about $20 million of second-quarter net sales and up to $200 million of third-quarter net sales. It now said the impact is expected to be largely resolved by the fourth quarter.