Logitech International SA
(LOGN.S) shares plunged 6% on Tuesday after the computer peripherals maker reported a steep fall in operating profit and said it was facing "unprecedented" supply chain problems.
The maker of keyboards, mice and headsets became the latest company to warn about the difficulties getting enough semiconductor chips due to clogged up transport links and stuttering factory restarts by suppliers.
"This supply chain challenge will continue throughout the rest of this year," Logitech Chief Executive Bracken Darrell told Reuters, referring to the company's financial year which runs to the end of March 2022. "We will have some issues delivering at the levels of demand that are out there," he added. "On the logistics side, we just have to do the best we can, and plan well."
The time to air-freight components has increased to two weeks from four or five days previously, while costs have spiralled, Darrell said.
Logitech was reacting by adding more suppliers as well as building up its inventory of components to satisfy still strong demand driven by stay at home workers and gamers, the executive said.
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