Logitech 3Q13 Earnings Call Notes

posted in: Notes | 0

This post is part of a series of posts called “Company Notes.” These posts contain quotes and exhibits from earnings calls, conference presentations, analyst days and SEC filings. The quotes are generally pieces of information that I find interesting or helpful to understanding the company, industry or economy and are not meant to provide summaries of the full content of the call. Other posts in this series can be found by clicking here. Full transcripts can be found at Seeking Alpha.

” With two quarters behind us, we are on track in our turnaround. We significantly increased operating profitability and the signs generally look good inside our growth businesses. Total sales declined by 3% in Q2 and by 1% on a year-to-date basis, better in both cases and expectations at the start of the year.”

“I am very pleased with the improvements we have made to accelerate our time to market in the tablet accessories category, and the benefits from those improvements will soon become visible.”

“Our outlook is based on the prudent assumption that the sales performance of our PC peripherals will not be sustainable in the phase of a double-digit PC market decline.”

“Our IQ has gone up exponentially since we started into this about a year and a little over year and half ago. First, Apple shares no information directly with us, they are as secretive you hear and we respect that and I think it creates a very fair and level playing for all the competitors in the market that create tablet accessories. But we are working very hard to understand and predict what Apple will try to do with their next generation of products based on what they have done with the last one. And I would say our IQ is proven to be better and better and better. This is probably the best yet. We feel like we really understood where this is going, but honestly they can always come in with a surprise.

So there are no guarantees in this world, we are just going to keep trying to raise all the intelligence we have about what Apple and as well as other tablet accessory makers or tablet makers are doing. And I think we will continue to improve there and therefore become faster and faster to market.”

“Our expectation is that this PC platform decline is deep enough and we don’t see anything underlying that that’s changing right now. So we think it’s prudent to assume if that that’s going to continue and we don’t think it’s prudent to assume that we are going to be outperforming that to the level that we have in the past.”