iRobot(US:IRBT) Prnewswire·2024-11-06 11:00Core Insights - iRobot Corp. reported a revenue increase of 3.9% year-over-year for Q3 2024, reaching $193.4 million compared to $186.2 million in Q3 2023 [1][2] - The company improved its non-GAAP gross margin by 590 basis points year-over-year, indicating progress in its restructuring and turnaround strategy [3][6] - Despite these improvements, iRobot's overall results fell short of expectations due to market segment challenges and competitive pressures [3][4] Financial Performance - Q3 2024 GAAP gross margin was 32.2%, up from 25.8% in Q3 2023, while non-GAAP gross margin was 32.4%, compared to 26.5% in the prior year [1][6] - GAAP operating expenses decreased significantly to $55.1 million from $107.5 million year-over-year, while non-GAAP operating expenses also fell to $47.7 million from $90.1 million [1][6] - The company reported a GAAP net loss per share of $0.21, a substantial improvement from a loss of $2.86 per share in Q3 2023 [1][6] Market and Sales Insights - Revenue in the U.S. increased by 23%, while Japan saw a decline of 20% and EMEA experienced an 11% decline year-over-year [6] - Mid-tier and premium robots accounted for 79% of total robot sales in Q3 2024, slightly down from 80% in the same period last year [6] - iRobot's inventory decreased to $149.2 million from $244.5 million year-over-year, reflecting improved inventory management [6] Strategic Initiatives - The company is focused on its "iRobot Elevate" strategy, which aims to leverage its brand strength to drive long-term profitable growth [5][6] - iRobot has reduced its total headcount by 41% since the end of 2023 as part of its restructuring efforts [6] - The company anticipates that lower operating costs will enhance margins and improve profitability in 2025 [4][5]