Corsair Gaming Reports $369.8 Million Revenue in Q1 2025, Despite $10.3 Million Net Loss

Corsair Gaming, Inc. reported a net revenue of $369.8 million for the first quarter of 2025, marking a 9.6% increase from $337.3 million in the same period last year. The company's gross profit also rose to $102.4 million, resulting in a gross margin of 27.7%, up from 25.7% in the prior year. Despite these improvements, Corsair recorded a net loss of $10.3 million, slightly better than the $11.0 million loss reported in Q1 2024. The loss attributable to common stockholders was $10.1 million, or $(0.10) per share, compared to $(0.12) per share in the previous year.

The increase in revenue was driven by a notable 11.9% rise in the Gaming Components and Systems segment, attributed to heightened demand for memory products and other components following the launch of new generation GPUs and CPUs. The Gamer and Creator Peripherals segment also saw a 4.7% increase, bolstered by revenues from the recently acquired Fanatec business, which was integrated into Corsair's operations in September 2024. The acquisition, valued at approximately $43.7 million, is expected to enhance Corsair's product offerings in the sim racing market.

Operationally, Corsair's cash and restricted cash totaled $102.5 million as of March 31, 2025, with a principal balance of $149.0 million outstanding on its Term Loan. The company generated $18.8 million in cash from operations during the quarter, a significant turnaround from the $26.3 million used in operations in Q1 2024. This improvement was attributed to non-cash adjustments and a favorable change in net operating assets and liabilities, despite a net loss for the period.

Corsair's employee headcount increased to 1,200 as of March 31, 2025, reflecting the company's ongoing investment in talent to support its growth strategy. The company continues to face challenges from global macroeconomic conditions, including potential impacts from tariffs and supply chain constraints. Corsair is actively monitoring these factors and has implemented strategies to mitigate risks associated with fluctuating foreign currency exchange rates and market demand.

Looking ahead, Corsair Gaming anticipates continued growth driven by increasing engagement in gaming and content creation, alongside the successful integration of the Fanatec brand. The company expects to leverage its expanded product portfolio to capture a larger share of the gaming market, while also navigating the complexities of the current economic landscape. Corsair remains committed to innovation and product development, aiming to meet the evolving needs of gamers and digital creators.