New York, January 26 (financeenquiry.com) - After Logitech International SA (NASDAQ: LOGI) declared its fourth profit warning in 12 months, its shares plunged Thursday 14 percent in value. The stock fell after the world’s largest maker of computer mice lowered its full-year sales and operating profit outlook for its 2012 fiscal year ending March 31. In July and September also last year, the company had reduced its expectations and altered the numbers immediately prior to release of its figures for its 2011 fiscal year last March.

The latest expectations of Logitech put the annual sales at $2.3 billion, down from the earlier forecast of $2.4 billion. Operating profit has also been toned down to $60 million from the outlook of $90 million.
The chairman who is also the chief executive of the company has attributed the toning down of the expectations since September to the weakening of the euro. He said that no further downgrades are likely. Moreover, he blamed product portfolio and market weakness for the reduction in the performance of webcams and remotes.

Logitech’s warning came after it released its third-quarter net profit and sales that were worse-than-expected. Its net profit for the quarter declined 15 percent to $55.3 million falling behind analysts’ average expectations of $61 million. Sales dropped to $715.6 million from $754 million whereas the sales expectations were $753 million. 

Overall, retail prices dropped 11 percent and retail sales went down 4 percent. Sales went down 8 percent in the Americas and 5 percent in Europe whereas there was a rise of 13 percent in Asia.