Chip Shortage Leaves iRobot With Lower Inventory Outlook
IRobot entered Q2 with $17 million in orders it couldn’t fill due to COVID-19 supply chain disruptions, said CEO Colin Angle on the company’s Thursday earnings call. Revenue for the quarter ended July 3 rose 31% to $365.6 million, on…
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“healthy demand” from North American retailers and retail and distribution partners in Europe, the Middle East and Africa, said the company. Premium robots generated 82% of sales. The company lowered gross profit guidance by $3 million to $609 million-$642 million and operating income by $43 million to $37 million-$67 million. “Despite solid results over the past two quarters, our full year outlook has eroded as the shortage in semiconductor chips will leave us unable to completely fulfill anticipated second half demand,” said Chief Financial Officer Julie Zeiler. Inventory levels at year-end “will be unusually low” relative to normal, Angle said. “It only takes one component to stop you from building a robot.”