Logitech’s Board of Directors Approves New $1 Billion Share Buyback Program

Rhea-AI Summary

Logitech International announces a new three-year share buyback program worth up to $1 billion. The program is expected to begin in July 2023 and follows the expiry of the 2020 share buyback program. Logitech's board of directors also approved a proposal for a Fiscal Year 2023 cash dividend, pending approval by shareholders at the 2023 Annual General Meeting.

Positive

• Logitech's new share buyback program worth up to $1 billion could positively impact the stock price by reducing the number of outstanding shares, potentially increasing earnings per share and signaling confidence in the company's future. The approval of a proposal for a cash dividend increase also demonstrates the company's commitment to returning cash to shareholders, which may be viewed positively.

Negative

• None.

LAUSANNE, Switzerland & NEWARK, Calif.--(BUSINESS WIRE)-- — SIX Swiss Exchange Ad hoc announcement pursuant to Art. 53 LR — Logitech International (SIX: LOGN) (Nasdaq: LOGI) today announced that the Company’s board of directors has approved a new, three-year share buyback program which will allow the Company to use up to $1 billion to repurchase its shares.

The 2023 share buyback program is expected to begin in July 2023, following approval from the Swiss Takeover Board and upon the expiry of the Company’s 2020 share buyback program. Details of Logitech's share repurchase history can be found on the Company's website at http://ir.logitech.com.

Last month, Logitech’s board of directors also approved a proposal for a Fiscal Year 2023 cash dividend, which, if approved by shareholders at the Company’s upcoming 2023 Annual General Meeting, would be an increase of approximately CHF 0.10 to CHF 1.06 per share. Together with the new 2023 share buyback program, this demonstrates the Company’s continued commitment to consistently return cash to shareholders.

About Logitech

Logitech helps all people pursue their passions and is committed to doing so in a way that is good for people and the planet. We design hardware and software solutions that help businesses thrive and bring people together when working, creating, gaming and streaming. Brands of Logitech include Logitech, Logitech G, ASTRO Gaming, Streamlabs, Blue Microphones and Ultimate Ears. Founded in 1981, and headquartered in Lausanne, Switzerland, Logitech International is a Swiss public company listed on the SIX Swiss Exchange (LOGN) and on the Nasdaq Global Select Market (LOGI). Find Logitech at www.logitech.com, the company blog or @logitech.

Logitech and other Logitech marks are trademarks or registered trademarks of Logitech Europe S.A. and/or its affiliates in the U.S. and other countries. All other trademarks are the property of their respective owners. For more information about Logitech and its products, visit the company’s website at www.logitech.com.

(LOGIIR)

View source version on businesswire.com: https://www.businesswire.com/news/home/20230621925330/en/

Nate Melihercik, Head of Global Investor Relations - ir@logitech.com

Nicole Kenyon, Head of Global Corporate and Internal Communications - nkenyon@logitech.com (USA)

Ben Starkie, Corporate Communications - +41 (0) 79-292-3499, bstarkie1@logitech.com (Europe)

Source: Logitech International

FAQ

What is Logitech's new share buyback program?

Logitech has approved a new three-year share buyback program worth up to $1 billion. The program is expected to begin in July 2023 and follows the expiry of the 2020 share buyback program.

What is the significance of a share buyback program?

A share buyback program allows a company to repurchase its own shares from the market, reducing the number of outstanding shares. This can potentially increase earnings per share and signal confidence in the company's future.

What is the proposal for a cash dividend increase?

Logitech's board of directors has approved a proposal for a cash dividend increase for Fiscal Year 2023. The increase, from approximately CHF 0.10 to CHF 1.06 per share, is subject to approval by shareholders at the 2023 Annual General Meeting.

What does the approval of the share buyback program and cash dividend increase demonstrate?

The approval of the share buyback program and cash dividend increase demonstrates Logitech's commitment to consistently return cash to shareholders and signals confidence in the company's financial position.