Oakland (CA) – Swiss firm Logitech said it made a net loss of $35 million for its fourth quarter, with sales down by 32 percent.
The firm said sales were $408 million for the period, compared to $601 million in the same period last year. The net loss of $35 million compared to a net profit of $60.3 million last year.
Sales fell by 36 percent in Europe, 33 percent in the Americas and 14 percent in Asia. Sales to its original equipment manufacturers (OEMs) fell by 33 percent.
Gerald P. Quindlen, Logitech’s president and CEO, said the cause of the decline in sales was the economic downturn. He said: “Our sales were negatively impacted by the combination of weak consumer demand the accelerating reset by our channel partners of their weeks of supply.”
The strength of the US dollar didn’t help.Logitech’s resellers meant its channel partners didn’t order as much stock. The situation is continuing and he said that this current financial quarter will be “the low point of the year”.
Microsoft, which also makes mice, will declare its financial results later today.