Logitech Reports 6% Sales Growth to $4.55 Billion for Fiscal Year 2025

Logitech International S.A. reported a 6% increase in total sales for fiscal year 2025, reaching $4.55 billion, compared to $4.30 billion in fiscal year 2024. The growth was primarily driven by strong demand in the Gaming, Keyboards & Combos, Pointing Devices, and Tablet Accessories segments. The company experienced sales growth across all geographic regions, with the EMEA region leading at 9%, followed by Asia Pacific at 6%, and the Americas at 4%. Gross margin improved by 170 basis points to 43.1%, attributed to lower product costs, although this was partially offset by increased promotional spending.

Operating expenses rose to $1.31 billion, or 28.7% of sales, up from $1.19 billion, or 27.7% of sales, in the previous year. This increase was mainly due to higher marketing and selling expenses, which reflect Logitech's investment in brand promotion and customer engagement. The company reported a net income of $631.5 million for fiscal year 2025, a slight increase from $612.1 million in the prior year, despite the rise in operating expenses and a significant increase in the income tax provision, which totaled $75.3 million compared to $9.5 million in fiscal year 2024.

Logitech's strategic initiatives included the launch of new products, such as the MX Creative console aimed at creative professionals, and continued investment in its B2B capabilities. The company also expanded its manufacturing footprint and supplier ecosystem to mitigate risks associated with geopolitical tensions and trade policies. As of March 31, 2025, Logitech employed approximately 7,300 people, with a significant portion based in Asia-Pacific, and reported a decrease in accounts receivable and an increase in inventories, reflecting its proactive approach to managing supply chain challenges.

Looking ahead, Logitech anticipates continued growth driven by long-term trends such as the adoption of artificial intelligence and evolving work environments post-pandemic. However, the company also faces challenges, including inflation, fluctuating currency exchange rates, and uncertainties in consumer demand. Logitech's management remains focused on maintaining operational efficiency and leveraging its diverse product portfolio to capitalize on emerging market opportunities.

In terms of shareholder returns, Logitech's Board of Directors recommended a cash dividend of CHF 1.26 per share for fiscal year 2025, reflecting a commitment to returning value to shareholders. The company also announced an increase in its share repurchase program to $1.6 billion, further demonstrating its confidence in future growth and financial stability.