Even as the artificial intelligence (AI) boom continues, some companies in the space are struggling. For iRobot (NASDAQ:IRBT), the future appears questionable at best. The company best known for producing the iconic Roomba vacuum has been trending downward for the past month, but recently, it has made three troubling announcements. To start, Amazon (NASDAQ:AMZN) has decided not to acquire the company due to regulatory concerns. But it only gets worse from there. iRobot is about to lay off more than 30% of i ...

Irobot (NASDAQ:IRBT) layoffs are coming for the Roomba company’s employees after its plans to be acquired by Amazon (NASDAQ:AMZN) fell apart.With the Amazon deal no longer moving forward, iRobot has revealed that it is laying off roughly 31% of its workers. That means about 350 of the company’s employees are losing their jobs.To go along with these layoffs, iRobot has announced that chairman and CEO Colin Angle is stepping down from the company. Now the company plans to focus on improving margins, reducing ...

Amazon has nixed plans to buy Roomba maker iRobot after the companies mutually determined the pending acquisition has “no path to regulatory approval in the European Union.”In a related announcement Monday, iRobot revealed that it would lay off about 350 employees, or 31% of its overall workforce, as part of a restructuring effort. Colin Angle will step down as chairman and CEO of iRobot, with chief legal officer Glen Weinstein stepping in as his interim replacement.The shock decision came after reports su ...

Announces Leadership Transition  Provides Preliminary Fourth Quarter Results; Schedules Conference Call for February 27, 2024 BEDFORD, Mass., Jan. 29, 2024 /PRNewswire/ -- Today, iRobot Corporation (NASDAQ: IRBT), a leader in consumer robots, announced that it will implement an operational restructuring plan designed to position the Company for stabilization in the current environment, while focusing on profitability and advancing key growth initiatives to extend its market share in the mid-tier and premium ...

Today’s price action has been impressive, particularly for certain beaten-down stocks. For example, shares of iRobot (NASDAQ:IRBT) stock are rocketing 8% higher today on news that BlackRock (NYSE:BLK) has increased its stake in the Roomba maker. This move is notable, considering that IRBT stock has lost roughly half of its value since the start of the year following a report that European Union (EU) regulators plan to block the company’s merger with Amazon (NASDAQ:AMZN). BlackRock’s increased position was n ...

Key PointsThe European Commission (EC) and the U.S. Federal Trade Commission have yet to rule on Amazon's proposed acquisition of iRobot since 2022.Rumors have surfaced that the EC and FTC plan to block the merger of Amazon and iRobot on potential anti-competitive practices that harm consumers.iRobot shares have fallen 53% in January 2024 as sentiment for the acquisition by Amazon at $51.75 (3x its current price) continued to dampen as IRBT shares traded at levels not seen since 2012.  5 stocks we like bett ...

Shares in cleaning robot maker iRobot (NASDAQ:IRBT) fell by nearly half after the European Commission said it intends to block its acquisition by Amazon (NASDAQ:AMZN).The refusal raised the specter of bankruptcy for iRobot. That fear also engulfed Spirit Airlines (NASDAQ:SAVE) after its merger with JetBlue (NASDAQ:JBLU) was rejected in the U.S.IRBT stock, which had been trading at $27.60 early on Jan. 18, opened this morning at about $16.94. That’s a market capitalization of just $465 million.Amazon was rep ...

Shares of iRobot (NASDAQ:IRBT) stock are taking a beating on Friday following news that its deal with Amazon (NASDAQ:AMZN) is running into trouble.Recent reports claim that the European Union’s (EU) regulators are likely to block Amazon’s purchase of iRobot over antitrust concerns. Insiders claim that Amazon was given this warning during a meeting with the EU on Thursday.EU regulators have until Feb. 14 to approve of or reject the deal between Amazon and iRobot. No matter what decision is made it will wrap ...

Shares of iRobot (IRBT -19.77%) fell 19.8% late Wednesday after Politico reported Amazon.com (AMZN 1.56%) will not offer concessions to European Union (E.U.) antitrust regulators as it works to clear its impending acquisition of the home robotics specialist.Amazon isn't backing down from antitrust regulatorsCiting two people familiar with the situation late this afternoon, Politico says Amazon and iRobot have until the end of the day today to present offers to the European Commission (EC) to make changes to ...

Revenue Performance - Total revenue for the nine months ended September 30, 2023, was $583.0 million, a decline of 29.4% from $825.5 million for the same period in 2022[91]. - Domestic revenue decreased by $150.9 million, or 34.3%, while international revenue declined by $91.6 million, or 23.7%[91]. - Total revenue for the three months ended September 30, 2023, was $186,176 thousand, a decrease from $278,191 thousand in the same period last year, representing a decline of 33.1%[95]. - Revenue for the three months ended September 30, 2023 decreased by $92.0 million to $186.2 million, a decline of 33.1% compared to $278.2 million for the same period in 2022[102]. - Domestic revenue for the three months ended September 30, 2023 decreased by $61.3 million, or 41.7%, while international revenue decreased by $30.7 million, or 23.4%[103]. Profitability and Loss - Gross profit for the three months ended September 30, 2023, was $48.0 million, with a gross margin of 25.8%[94]. - Operating loss for the nine months ended September 30, 2023, was $(211.8) million, with an operating margin of (36.3)%[94]. - Non-GAAP gross profit for the three months ended September 30, 2023, was $49,414 thousand, down from $78,322 thousand year-over-year, reflecting a decrease of 36.9%[95]. - Non-GAAP operating loss for the three months ended September 30, 2023, was $(40,649) thousand, compared to $(34,520) thousand in the same period last year, indicating a worsening of 17.8%[98]. - GAAP net loss for the three months ended September 30, 2023, was $(79,205) thousand, compared to $(128,366) thousand in the same period last year, showing an improvement of 38.3%[98]. - Non-GAAP net loss per diluted share for the three months ended September 30, 2023, was $(2.82), compared to $(1.78) in the same period last year, indicating a decline of 58.4%[98]. - Operating loss for the three months ended September 30, 2023 was $(32.0) million, compared to $(24.6) million in the same period in 2022[104]. - Net loss for the three months ended September 30, 2023 was $(42.5) million, or (42.5)%, compared to $(46.1) million, or (46.1)%, in the same period in 2022[104]. Expenses and Cost Management - Research and development expenses decreased by $4.2 million, or 10.1%, to $37.2 million in the three months ended September 30, 2023[107]. - Selling and marketing expenses decreased by $18.5 million, or 30.7%, to $41.7 million in the three months ended September 30, 2023[108]. - General and administrative expenses decreased by $3.2 million, or 10.0%, to $28.4 million for the three months ended September 30, 2023, compared to $31.5 million for the same period in 2022[109]. - General and administrative expenses increased by $5.7 million, or 6.7%, to $90.2 million for the nine months ended September 30, 2023, compared to $84.6 million for the same period in 2022[109]. - Operating expenses were reduced by $70.5 million for the nine months ended September 30, 2023, compared to the same period last year[120]. Cash Flow and Financing - Cash and cash equivalents were $189.6 million as of September 30, 2023, with working capital of $231.5 million, a slight decrease from $232.1 million as of December 31, 2022[113]. - Net cash used in operating activities for the nine months ended September 30, 2023, was $113.6 million, primarily due to a net loss of $241.1 million[115]. - Net cash used in investing activities for the nine months ended September 30, 2023, was $3.3 million, mainly for the purchase of machinery and tooling for new products[116]. - Net cash provided by financing activities for the nine months ended September 30, 2023, was $186.2 million, primarily from proceeds of the Term Loan[116]. - The company entered into a $200.0 million senior secured term loan credit facility on July 24, 2023, with total proceeds of $188.2 million net of debt issuance costs[117]. Inventory and Orders - Inventory balance as of September 30, 2023, was $244.5 million, a reduction of $40.7 million from the end of fiscal 2022[91]. - Outstanding purchase orders as of September 30, 2023, totaled approximately $205.5 million, including $102.5 million related to inventory purchases[121]. Workforce and Restructuring - The company reduced its workforce by approximately 246 employees since the end of fiscal 2021, representing a total reduction of 18%[91]. - The company reduced its workforce by approximately 246 employees since the end of fiscal 2021, representing a total reduction of 8% and 7% of the workforce in two restructuring initiatives[120]. Product Development - New product introductions in September 2023 included the Roomba Combo i5+, j5+, and j9+, enhancing the product lineup[89]. Market Conditions and Future Outlook - The company anticipates that product availability issues will continue to impact revenue performance, with some orders shifted to the fourth quarter of 2023[103]. - The company plans to continue evaluating its critical accounting policies and estimates, particularly regarding the fair value of the Term Loan, which may significantly impact future valuations[99].