Corsair Beats Q3 Guidance as Revenue Grows 6% Year-over-Year

Thi La, Chief Executive Officer of Corsair

“We delivered revenue of $367.0 million, up 6% year-over-year and $17.0 million above the high end of our guidance.”

Thi La, Chief Executive Officer of Corsair

“Memory led the quarter. Revenue grew 43% to $167.3 million on strong demand and sequential market share gains. Systems also grew, and together they more than offset continued softness in DIY components. This reflects our operational know-how and the strength of our product portfolio. Strong supply chain execution supported our memory growth and let us build memory inventory ahead of the seasonally strong fourth quarter.”

Thi La, Chief Executive Officer of Corsair

“Gamer and Creator Peripherals grew 3% as some new product launches moved from the third quarter into the fourth. Those products are now arriving, including PureVector. Our hub transition is complete, and we enter the fourth quarter with a healthy backlog. Momentum has also built ahead of the GTA 6 launch on November 19. We are seeing console gaming hardware demand reflected in sales of both SCUF controllers and Elgato products, and we expect more of that through the holiday season.”

Thi La, Chief Executive Officer of Corsair

“Trak Racer integration is well underway, and we expect it to begin contributing in the fourth quarter.”

Thi La, Chief Executive Officer of Corsair

“We are raising our full-year outlook. We expect Peripherals to deliver double-digit growth in the fourth quarter, led by Sim Racing and new product introductions. Fourth quarter adjusted EBITDA will be below last year, mainly because memory gross margin is returning to a more normal level, which is still above our historical average. Last year’s fourth quarter was unusually high because memory prices rose very quickly ahead of inventory cost. Our priorities remain accelerating our Sim Racing roadmap, extending the Elgato and Stream Deck ecosystem, expanding Corsair Pro product lines, and deepening our direct-to-consumer relationships. Our diversified portfolio gives us multiple paths to growth, and we continue to invest selectively in longer-term areas such as AI workstations.”

Gordon Mattingly, Chief Financial Officer of Corsair

“The quarter again demonstrated our operating leverage, as higher revenue and gross profit flowed through to earnings. Gross profit grew 5% year-over-year, and disciplined expense control turned that into a 38% increase in adjusted EBITDA to $22.4 million, above the $21.0 million high end of our guidance. We used our strong cash position to build inventory strategically, most notably in memory, while also executing on previously announced M&A deals, which positions us well for our seasonally strongest fourth quarter. We remain focused on driving revenue growth, managing working capital and converting earnings into cash as we invest in both organic and inorganic opportunities.”