Corsair (CRSR -0.25%) reported earnings on August 3 before the market opened. In today's video I look at Corsair's earnings report and talk about some of the strong and weak points presented to investors. Here are some highlights from the video:
- Corsair reported 24% year-over-year (YOY) revenue growth in second-quarter 2021 earnings. The increase was driven by 40.9% YOY revenue growth in its gamer and creator peripherals segment and 17.6% YOY revenue growth in its gaming components and systems segment.
- One of the most prominent yellow flags investors might have is that Corsair's adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) grew only 4% YOY even though revenue grew 24% YOY. The main reason is an increase in logistics costs, including ocean and air freight.
- Corsair ended the quarter with total debt of roughly $274 million and expects to reduce its debt by $100 million in the full year 2021. Corsair also provided investors with no change in guidance and expects to see YoY revenue growth in the low teens for full-year 2021.
Click the video below for my full thoughts and analysis.
*Stock prices used were the midday prices of August 3, 2021. The video was published on August 3, 2021.