Corsair Gaming Stock Falls On Q2 Earnings Miss, Expects Logistic Costs And Shutdowns To Weigh On Operations, Reaffirms FY21 Outlook

Corsair Gaming Inc CRSR reported second-quarter FY21 revenue growth of 24.3% year-on-year to $472.9 million, beating the analyst consensus of $467.1 million.
Gamer and creator peripherals segment revenue grew 40.9% Y/Y to $155.2 million. Gaming components and systems segment revenue rose 17.6% Y/Y to $317.7 million.
Gross profit increased 24.1% to $130.4 million, and the gross margin remained flat at 27.6%.
Adjusted EPS of $0.36 missed the analyst consensus of $0.39.
Adjusted EBITDA margin declined 210 bps to 10.9%.
The company generated $31.6 million in operating cash flow.
It held $138.6 million in cash and equivalents as of June 30, 2021.
The results highlight the strength of the underlying fundamentals of its business, as gamers continue to purchase and upgrade their gear, even as entertainment outside of the home and travel began to open back up, CEO Andy Paul stated.
It experienced growth in every category despite critical components shortages. The crisis included graphics cards for enthusiasts to build gaming PCs, logistics issues, and port delays.
The mid-point of FY21 outlook calls for run-rate revenue of $2 billion compared to pre-IPO revenue of $1.1 billion in 2019.
However, it experienced higher than expected logistics costs and expected them to remain elevated in Q3. Shutdowns from the ongoing pandemic in several large regions also negatively impacted the operations.
Outlook: Corsair reaffirmed FY21 revenue of $1.9 billion - $2.1 billion, versus the analyst consensus of $2.02 billion.
Price action: CRSR shares traded lower by 5.97% at $27.25 on the last check Tuesday.

Market News and Data brought to you by Benzinga APIs

Comments

Earnings Calendar

Never Miss Important Catalysts

Popular Channels

Tools & Features

Partners & Contributors

About Benzinga