iRobot Stories Third-Quarter 2021 Monetary Outcomes

BEDFORD, Mass., Oct. 27, 2021 /PRNewswire/ — iRobot Corp. (NASDAQ: IRBT), a pacesetter in shopper robots, in the present day introduced its monetary outcomes for the third quarter ended October 2, 2021.

Colin Angle, chairman and chief government officer of iRobot, acknowledged, “We had been happy with our third-quarter monetary outcomes, particularly contemplating the numerous challenges related to an more and more pressured and fragile provide chain surroundings. Our income efficiency benefited from the timing of orders that shifted into the third quarter. The mixture of higher-than-anticipated income, better-than-expected gross margin and prudent spending enabled us to exceed our third-quarter working profitability and EPS expectations.”

Angle added, “We’ve got continued to execute properly on our technique. Our not too long ago launched Genius 3.Zero Residence Intelligence and Roomba j7+ showcase the numerous distinctive ways in which our AI, machine imaginative and prescient and different software-centric improvements delight shoppers and differentiate our robots within the market. We had been additionally happy to see that our iRobot Choose subscription service is constructing momentum within the U.S. and our linked buyer base continues to develop globally.”

Commenting on the corporate’s 2021 outlook, Angle concluded, “As we entered the third quarter, we had already navigated via a variety of provide chain points that had impacted our potential to satisfy anticipated orders and considerably elevated our value base. As we proceed to handle via element availability challenges and deal with protracted delivery timeframes, delivery delays and associated logistical points, now we have refined our FY21 income outlook accordingly. Whereas now we have additional adjusted our spending plans to mitigate towards current, sharp will increase in our transportation prices, now we have up to date our FY21 working revenue and EPS outlook to replicate current regulatory developments that point out that tariff reduction is now extra prone to happen subsequent 12 months and, if granted, it is not going to be retroactive sooner than October 12, 2021. Had a tariff exclusion retroactive to January 1 been granted this 12 months, our FY21 EPS would have remained throughout the expectations we set on the finish of July.”

Monetary Efficiency Highlights

• Income for the third quarter of 2021 grew 7% to $440.7 million over $413.1 million within the third quarter of 2020. Income for the primary 9 months of 2021 of $1,109.5 million elevated 25% from $885.6 million in the identical interval final 12 months.
• The third-quarter 2021 income efficiency was led by 15% progress in EMEA, 5% progress within the U.S., and a couple of% in Japan over the prior 12 months interval.
• 14% income progress in mid-tier and premium robots, which accounted for 87% of complete quarterly robotic gross sales. 
• We estimate that iRobot’s third-quarter 2021 income to assist e-commerce, which spans the corporate’s personal web site and app, devoted e-commerce web sites and the net arms of conventional retailers, grew by 8% over the third quarter of 2020 and represented 60% of third-quarter 2021 income. iRobot’s direct-to-consumer (DTC) income of $40 million grew 13% from the prior 12 months’s third quarter.
• The corporate’s third-quarter 2021 GAAP working earnings was $40.5 million, in contrast with GAAP working earnings of $81.Zero million within the third quarter of 2020. Third-quarter 2021 non-GAAP working earnings of $48.Zero million in contrast with non-GAAP working earnings of $93.1 million in the identical interval one 12 months in the past. GAAP working earnings for the primary 9 months of 2021 was $43.Eight million, in contrast with GAAP working earnings of $131.1 million within the first 9 months of 2020. Non-GAAP working earnings for the primary 9 months of 2021 was $71.9 million versus non-GAAP working earnings of $119.Three million in the identical interval one 12 months in the past.
• iRobot’s GAAP internet earnings per share was $2.06 for the third quarter of 2021, in contrast with GAAP internet earnings per share of $3.27 within the third quarter of 2020. Non-GAAP internet earnings per share was $1.67 for the third quarter of 2021 versus non-GAAP third-quarter 2020 internet earnings per share of $2.58. GAAP internet earnings per share for the primary 9 months of 2021 was $2.17, in contrast with $4.69 within the first 9 months of 2020. Non-GAAP internet earnings per share for the primary three quarters of 2021 was $2.32, in contrast with $3.31 in the identical interval of 2020.   
• As of October 2, 2021, the corporate’s money, money equivalents and short-term investments had been $247.9 million, in contrast with $415.Eight million as of July 3, 2021 and $483.7 million on the finish of 2020. The sequential lower in iRobot’s money place was due primarily to utilizing $100 million to repurchase its widespread inventory via an accelerated share repurchase (ASR) program and working money outflows related to adjustments in working capital. The corporate, which has no debt, additionally has entry to an unsecured revolving line of credit score of $150 million, with an extra $75 million accordion characteristic.

Third-Quarter and Current Enterprise Highlights

• In September 2021, iRobot launched the Roomba® j7+ Robotic Vacuum with Genius™ 3.Zero Residence Intelligence. Powered by iRobot Genius 3.0, and that includes PrecisionVision Navigation, the Roomba j7+ will get smarter with every use – studying how one can greatest navigate flooring, remembering particular rooms and sure furnishings, cleansing the place it’s most wanted and recognizing and avoiding objects like cords and pet waste that may derail a cleansing mission. iRobot’s confidence in its PrecisionVision Navigation know-how underpins its Pet Proprietor Official Promise (P.O.O.P.), below which the corporate will change any Roomba j7+ that does not keep away from stable pet waste.1
• In early October 2021, iRobot expanded its subscription-based iRobot Choose membership program to incorporate the not too long ago introduced Roomba® j7+ robotic vacuum with Clear Base Computerized Dust Disposal, together with advantages that present prospects with a completely new and customized possession expertise.
• Final week, iRobot introduced an unique partnership with Bona US to supply prospects with Bona® Hardwood Flooring Cleaner and Bona® Exhausting-Floor Cleaner options, and the Bona® PowerPlus® Microfiber Deep Cleansing Pad which might be customized and authorized for the iRobot Braava® jet m6 robotic mop. The co-branded cleansing options and microfiber pads will likely be offered at choose retailers within the U.S. and Canada, in addition to iRobot.com.
• The corporate’s neighborhood of engaged, linked prospects who’ve opted-in to its digital communications grew to 12.5 million, a rise of 60% from the third quarter of 2020.
• Throughout the third quarter of 2021, the corporate executed a $100 million ASR program, repurchasing 1,198,218 shares of widespread inventory at a mean buy value of $83.46 per share.
• iRobot is planning to carry an Investor Day on December 9, 2021. Extra particulars about this occasion, together with registration info, will likely be made publicly obtainable throughout the subsequent a number of weeks.

Monetary Expectations
iRobot has up to date its full-year 2021 GAAP and non-GAAP monetary expectations, all of which had been most not too long ago offered on July 28, 2021. The up to date outlook displays the corporate’s outcomes so far and anticipated efficiency in the course of the fourth quarter of 2021 in addition to our up to date expectations concerning the timing of a possible tariffs exclusion and the impression of elevated transportation prices. An in depth reconciliation between the corporate’s GAAP and non-GAAP expectations is included within the connected monetary tables.

The next desk particulars the impression of Part 301 tariffs and different adjustments on the corporate’s up to date non-GAAP monetary expectations.

Third-Quarter 2021 Outcomes Convention Name
iRobot will host a convention name tomorrow at 8:30 a.m. ET to overview its third-quarter 2021 monetary outcomes, and talk about its outlook going ahead. Pertinent convention name particulars embody:

A reside webcast of the convention name, together with the convention name ready remarks, will likely be accessible on the occasion part of the corporate’s web site at https://investor.irobot.com/occasions/event-details/q3-2021-irobot-corp-financial-results-conference-call. An archived model of the published will likely be obtainable on the identical web site shortly after the conclusion of the reside occasion. A replay of the phone convention name will likely be obtainable via November 4, and might be accessed by dialing 404-537-3406, passcode 7455266.

About iRobot Corp.
iRobot®, the main international shopper robotic firm, designs and builds robots that empower folks to do extra each inside and out of doors of the house. iRobot created the house robotic cleansing class with the introduction of its Roomba® Robotic Vacuum in 2002. At this time, iRobot is a worldwide enterprise that has offered greater than 30 million robots worldwide. iRobot’s product line, together with the Roomba and the Braava® household of mopping robots, characteristic proprietary applied sciences and superior ideas in cleansing, mapping and navigation. iRobot engineers are constructing an ecosystem of robots and applied sciences to allow the sensible residence. For extra details about iRobot, please go to www.irobot.com.

For iRobot Traders 
Sure statements made on this press launch that aren’t primarily based on historic info are forward-looking statements that are made pursuant to the protected harbor provisions of the Non-public Securities Litigation Reform Act of 1995. This press launch incorporates categorical or implied forward-looking statements referring to, amongst different issues, iRobot Corp.’s expectations concerning: future monetary efficiency, together with with respect to 2021 income, gross revenue, working earnings and EPS; efficiently managing via element availability points; the anticipated impression of upper transportation prices and Part 301 tariffs on working profitability and EPS; and the anticipated reinstatement of a tariff exclusion sooner or later in 2022. These statements are neither guarantees nor ensures, however are topic to quite a lot of dangers and uncertainties, lots of that are past our management, which might trigger precise outcomes to vary materially from these contemplated in these forward-looking statements. Particularly, the dangers and uncertainties embody, amongst different issues: the impression of COVID-19 on our enterprise, the trade and markets through which we function, and the worldwide economic system; the restricted variety of producers and suppliers of key parts; our potential to function in an rising market; the monetary energy of our prospects and retailers; the impression of tariffs on items imported into the USA and any exclusions therefrom; the impression of will increase in transportation prices; basic financial circumstances; market acceptance of and adoption of our merchandise; and competitors. Current and potential buyers are cautioned to not place undue reliance on these forward-looking statements, which converse solely as of the date hereof. iRobot Corp. undertakes no obligation to replace or revise the data contained on this press launch, whether or not on account of new info, future occasions or circumstances or in any other case. For extra disclosure concerning these and different dangers confronted by iRobot Corp., see the disclosure contained in our public filings with the Securities and Trade Fee.

iRobot Company
Clarification of Non-GAAP Measures

Along with disclosing monetary leads to accordance with U.S. GAAP, this earnings launch incorporates references to the non-GAAP monetary measures described beneath. We use non-GAAP measures to internally consider and analyze monetary outcomes. We consider these non-GAAP monetary measures present buyers with helpful supplemental details about the monetary efficiency of our enterprise, allow comparability of monetary outcomes between durations the place sure gadgets could differ impartial of enterprise efficiency, and allow comparability of our monetary outcomes with different public firms, lots of which current comparable non-GAAP monetary measures.

Our non-GAAP monetary measures replicate changes primarily based on the next gadgets. These non-GAAP monetary measures shouldn’t be thought-about an alternative to, or superior to, monetary measures calculated in accordance with GAAP, and the monetary outcomes calculated in accordance with GAAP and reconciliations from these outcomes ought to be fastidiously evaluated.

Amortization of acquired intangible belongings: Amortization of acquired intangible belongings consists of amortization of intangible belongings together with accomplished know-how, buyer relationships, and reacquired distribution rights acquired in reference to enterprise combos. Amortization prices for our acquisition-related intangible belongings are inconsistent in dimension and are considerably impacted by the timing and valuation of our acquisitions. We exclude these prices from our non-GAAP measures to facilitate an analysis of our present working efficiency and comparisons to our previous working efficiency.

Internet Merger, Acquisition and Divestiture (Revenue) Expense: Internet merger, acquisition and divestiture (earnings) expense primarily consists of transaction charges, skilled charges, and transition and integration prices instantly related to mergers, acquisitions and divestitures. It additionally consists of enterprise mixture changes together with changes after the measurement interval has ended. The incidence and quantity of those prices will differ relying on the timing and dimension of those transactions. We exclude these prices from our non-GAAP measures to facilitate an analysis of our present working efficiency and comparisons to our previous working efficiency.

Inventory-Primarily based Compensation: Inventory-based compensation is a non-cash cost referring to stock-based awards. We exclude this expense as it’s a non-cash expense, and we assess our inner operations excluding this expense and consider it facilitates comparisons to the efficiency of different firms.

IP Litigation Expense, Internet: IP litigation expense, internet pertains to authorized prices incurred to litigate patent, trademark, copyright and false promoting infringements, or to oppose or defend towards interparty actions associated to mental property. Any settlement cost or proceeds ensuing from these infringements are included or netted towards the prices. We exclude these prices from our non-GAAP measures as we don’t consider these prices have a direct correlation to the operations of our enterprise and will differ in dimension relying on the timing and outcomes of such litigations and settlements.

Achieve/Loss on Strategic Investments: Achieve/loss on strategic investments consists of truthful worth changes, realized beneficial properties and losses on the gross sales of those investments and losses on the impairment of those investments. We exclude this stuff from our non-GAAP measures as a result of we don’t consider they correlate to the efficiency of our core enterprise and will differ in dimension primarily based on market circumstances and occasions. We consider that the exclusion of those beneficial properties or losses gives buyers with a supplemental view of our operational efficiency.

Revenue tax changes: Revenue tax changes embody the tax impact of the non-GAAP changes, calculated utilizing the suitable statutory tax price for every adjustment. We reassess the necessity for any valuation allowance recorded primarily based on the non-GAAP profitability and have eradicated the impact of the valuation allowance recorded within the U.S. jurisdiction. We additionally exclude sure tax gadgets, together with impression from stock-based compensation windfalls/shortfalls, that aren’t reflective of earnings tax expense incurred on account of present interval earnings. We consider disclosure of the earnings tax provision earlier than the impact of such tax gadgets is essential to allow buyers’ constant earnings comparability between durations.

1 Supply legitimate for 1 12 months from buy and covers alternative product solely. Accessible in restricted jurisdictions, further phrases and circumstances apply.

SOURCE iRobot Company

Associated Hyperlinks

http://www.irobot.com/