LOGITECH INTERNATIONAL SA
For the period ended Dec 31, 2024. Filed Jan 29, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Dec 31, 2024 · Filed Jan 29, 2025
LOGI$96.25-2.0%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2024-09-30; filed 2024-10-24.
0001032975-24-000075
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2024-12-31; filed 2025-01-29.
0001032975-25-000008
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 173 previous paragraphs and 180 current paragraphs.
113 unchanged; 56 reworded; 8 added; 3 removed; 1 previous and 3 current paragraphs rearranged.
Tables are not compared: 10 previous and 10 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (8)
Current report
Our sales for thethree months ended December 31, 2024 increased 7%, compared tothe three months ended December 31, 2023, primarily due to an increase in sales in Gaming and Tablet Accessories. Our sales forthe nine months ended December 31, 2024 increased 8%, compared tothe nine months ended December 31, 2023, primarily due to an increase in sales in Gaming, Keyboards & Combos, and Tablet Accessories. The sales inthe three- and nine- month periods benefited from improved demand.
Current report
Restructuring Charges, Net
Current report
The canton of Vaud completed the legislative process to enact TRAF, a reform to better align the Swiss tax system to international tax standards, on March 10, 2020 to take effect as of January 1, 2020. In March 2020, we increased the tax basis of goodwill, as a transition measure under TRAF, to be amortized over ten years beginning on January 1, 2020. During the three months ended December 31, 2023, we reached an agreement to remeasure the tax basis of goodwill under TRAF, which resulted in an income tax benefit of $25.1 million, net of assessment of uncertain tax positions. The remeasurement of the step-up will be amortized over the remaining ten-year amortization period.
Current report
On December 29, 2023, a change to the cantonal tax legislation was published. According to the law approved by the Vaud parliament, a progressive scale will be applicable for cantonal tax purposes resulting in an increase from the then current tax rate of 13.61% to 14.28% effective fiscal year 2025. The increase in tax rate resulted in a tax benefit of $5.1 million due to a remeasurement of our Swiss deferred tax assets in the fiscal quarter ended December 31, 2023.
Current report
The Tax Cuts and Jobs Act enacted Section 250, which provides for a deduction with respect to Global Intangible Low-Taxed Income ("GILTI") and FDII in the U.S. The application of this tax incentive is inherently complex. During the three months ended December 31, 2023, we analyzed the applicability of FDII and determined that this tax incentive applies to fiscal years 2021, 2022 and 2023. As a result, we realized a tax benefit of $17.9 million related to FDII. We have also concluded that any GILTI tax since the enactment of Tax Cuts and Jobs Act is immaterial.
Current report
On January 27, 2025, we entered into an unsecured revolving credit facility with a syndicate of banks ("the Credit Agreement"). The Credit Agreement provides a revolving line of credit of up to $750 million including the issuance of letters of credit of up to $100 million. The Credit Agreement terminates on January 27, 2030 unless extended in accordance with its terms. The Credit Agreement contains (1) an increase option allowing us to secure up to $250 million of additional commitments and (2) an extension option to extend the term by one-year which may be exercised no more than two times, subject to certain requirements. Loans under the Credit Agreement are available in U.S. Dollars, Euro, Sterling, Yen, Swiss Francs, Canadian Dollars, Australian Dollars and any other currency agreed to by each lender. Proceeds of loans made under the Credit Agreement may be used for general corporate purposes.
Current report
The Credit Agreement contains a maximum net debt to adjusted EBITDA ratio, compliance with which is a condition to our ability to borrow. Borrowings under the Credit Agreement will bear interest at a rate determined by reference to benchmark rates plus an applicable spread (ranging from 0% to 1.5%) based on our net leverage ratio or credit rating at the time of the borrowing. Undrawn balances available under the Credit Agreement are subject to commitment fees at the applicable rate determined by reference to our net leverage ratio or credit rating. There has been no borrowing outstanding under the Credit Agreement as of January 29, 2025.
Current report
ITO for the three months ended December 31, 2024 decreased by 0.2 to 6.3, compared to 6.5 for the three months ended December 31, 2023, primarily due to higher inventory balances as of December 31, 2024.
Removed paragraphs (3)
Previous report
Our total sales for the three and six months ended September 30, 2024 increased 6% and 9%, compared to the three and six months ended September 30, 2023, respectively, primarily due to an increase in sales for Gaming, Keyboards & Combos and Tablet Accessories, driven by improved demand.
Previous report
Restructuring Charges (Credits), Net
Previous report
ITO for the three months ended September 30, 2024 increased by 0.2 to 4.8, compared to 4.6 for the three months ended September 30, 2023, primarily due to lower inventory balances driven by our efforts to manage inventory levels as well as due to improved demand.
Reworded paragraphs (56)
Previous wording
•The sufficiency of our cash and cash equivalents, cash generated from operations, and available borrowings under our bank lines of credit to fund capital expenditures and working capital needs; and
Current wording
•The sufficiency of our cash and cash equivalents, cash generated from operations, and available borrowings under our Credit Agreement and bank lines of credit to fund capital expenditures and working capital needs, and our ability to comply with our obligations under such debt agreements; and
Previous wording
Our business has continued to be impacted by macroeconomic and geopolitical conditions. These conditions include inflation, interest rate and foreign currency fluctuations, changes in fiscal policies, geopolitical conflicts, low economic growth in certain regions, and uncertainty in consumer and enterprise demand.
Current wording
Our business has continued to be impacted by macroeconomic and geopolitical conditions. These conditions include inflation, interest rate and foreign currency fluctuations, changes in fiscal policies, geopolitical conflicts, low economic growth in certain regions, and uncertainty in consumer and enterprise demand. In addition, our business may be adversely impacted by the potential expansion of tariffs on goods imported into the U.S., as well as responsive or related policies enacted in other countries.
Previous wording
Sales for the three months ended September 30, 2024 increased 13% and 4% in the EMEA and Americas regions, respectively, and remained flat in the Asia Pacific region, compared to the three months ended September 30, 2023. Sales for the six months ended September 30, 2024 increased 16%, 6%, and 4% in the EMEA, Americas, and Asia Pacific regions, respectively, compared to the six months ended September 30, 2023.
Current wording
Sales for the three months ended December 31, 2024 increased 11%, 9%, and 3% in the Asia Pacific, EMEA, and Americas regions, respectively, compared to the three months ended December 31, 2023. Sales for the nine months ended December 31, 2024 increased 13%, 7%, and 5% in the EMEA, Asia Pacific, and Americas regions, respectively, compared to the nine months ended December 31, 2023.
Previous wording
Gross margin was 43.6% for the three months ended September 30, 2024 and increased by 210 basis points, compared to the three months ended September 30, 2023, reflecting lower product costs and lower inventory reserves driven by improved demand, partially offset by higher promotional spending. Gross margin was 43.2% for the six months ended September 30, 2024 and increased by 310 basis points, compared to the six months ended September 30, 2023, primarily driven by lower product costs.
Current wording
Gross margin was 42.9% and 43.1% for the three and nine months ended December 31, 2024, respectively, and increased by 90 and 230 basis points, respectively, compared to the three and nine months ended December 31, 2023, primarily driven by lower product costs, partially offset by higher promotional spending.
Previous wording
Operating expenses for the three months ended September 30, 2024 were $325.2 million, or 29.1% of sales, compared to $282.0 million, or 26.7% of sales, for the three months ended September 30, 2023. Operating expenses for the six months ended September 30, 2024 were $638.0 million, or 28.9% of sales, compared to $579.2 million, or 28.5% of sales, for the six months ended September 30, 2023. The increase in operating expense was primarily driven by an increase in marketing and advertising spend.
Current wording
Operating expenses for the three months ended December 31, 2024 were $339.9 million, or 25.4% of sales, compared to $304.7 million, or 24.3% of sales, for the three months ended December 31, 2023. Operating expenses for the nine months ended December 31, 2024 were $977.8 million, or 27.6% of sales, compared to $883.9 million, or 26.9% of sales, for the nine months ended December 31, 2023. The increase in operating expense was primarily driven by an increase in marketing and advertising spend.
Previous wording
We had an income tax provision of$30.6 million and$30.3 million for thethree months ended September 30, 2024 and September 30, 2023, respectively. We had an income tax provision of$56.1 million and $42.9 million for the six months ended September 30, 2024 and September 30, 2023, respectively. The change in the income tax provisionfor the three and six months ended September 30, 2024, compared to the three and six months ended September 30, 2023, respectively, was primarily due to the mix of income and losses in the various tax jurisdictions in which we operate, the favorable tax impacts from share-based compensation and unrecognized tax benefits due to uncertain tax positions.
Current wording
We had an income tax provision of$45.1 million and an income tax benefit of$9.6 million for thethree months ended December 31, 2024 and December 31, 2023, respectively. We had an income tax provision of$101.2 million and $33.3 million for the nine months ended December 31, 2024 and December 31, 2023, respectively. The change in the income tax provisionfor the three and nine months ended December 31, 2024, compared to the three and nine months ended December 31, 2023, respectively, was primarily due to the mix of income and losses in the various tax jurisdictions in which we operate and unrecognized tax benefits due to uncertain tax positions compared with the discrete tax benefits recognized in the prior period to remeasure the tax basis of goodwill under the Swiss Federal Act on Tax Reform and AHV Financing ("TRAF"), remeasurement of our Swiss deferred tax assets due to a change in tax rate, and Foreign Derived Intangible Income ("FDII") incentive provided by the Tax Cuts and Jobs Act.
Previous wording
Net income for the three and six months ended September 30, 2024 was $145.5 million and$287.3 million, respectively, compared to$137.1 million and $199.8 million, for the three and six months ended September 30, 2023, respectively.
Current wording
Net income for the three and nine months ended December 31, 2024 was $200.1 million and$487.5 million, respectively, compared to$244.7 million and $444.5 million, for the three and nine months ended December 31, 2023, respectively.
Previous wording
There have been no material changes in our critical accounting estimates during the six months ended September 30, 2024 compared with the critical accounting estimates disclosed in Management's Discussion and Analysis of Financial Condition and Results of Operations included in our Annual Report on Form 10-K for the fiscal year ended March 31, 2024.
Current wording
There have been no material changes in our critical accounting estimates during the nine months ended December 31, 2024 compared with the critical accounting estimates disclosed in Management's Discussion and Analysis of Financial Condition and Results of Operations included in our Annual Report on Form 10-K for the fiscal year ended March 31, 2024.
Previous wording
Our sales for the three and six months ended September 30, 2024 increased 6% and 9%, respectively, compared to the three and six months ended September 30, 2023, primarily due to an increase in sales for Gaming, Keyboards & Combos and Tablet Accessories, driven by improved demand. If currency exchange rates had been constant in the three and six months ended September 30, 2024 and 2023, our sales growth rates in constant currency would have been the same as the above sales growth rates.
Current wording
Our sales for thethree months ended December 31, 2024 increased 7%, compared tothe three months ended December 31, 2023, primarily due to an increase in sales in Gaming and Tablet Accessories. Our sales forthe nine months ended December 31, 2024 increased 8%, compared tothe nine months ended December 31, 2023, primarily due to an increase in sales in Gaming, Keyboards & Combos, and Tablet Accessories. The sales inthe three- and nine-month periods benefited from improved demand. If currency exchange rates had been constant in the three and nine months ended December 31, 2024 and 2023, our sales growth rates in constant currency would have been 6% and 8%, respectively.
Previous wording
Although our financial results are reported in U.S. Dollars, a portion of our sales was generated in currencies other than the U.S. Dollar, such as the Euro, Chinese Renminbi, Australian Dollar, Canadian Dollar, Japanese Yen, Pound Sterling and New Taiwan Dollar. During the three months ended September 30, 2024, approximately 49% of our sales were denominated in currencies other than the U.S. Dollar.
Current wording
Although our financial results are reported in U.S. Dollars, a portion of our sales was generated in currencies other than the U.S. Dollar, such as the Euro, Chinese Renminbi, Australian Dollar, Canadian Dollar, Japanese Yen, Pound Sterling and New Taiwan Dollar. During the three months ended December 31, 2024, approximately 52% of our sales were denominated in currencies other than the U.S. Dollar.
Previous wording
The following table presents the change in sales by region for the three and six months ended September 30, 2024, compared with the three and six months ended September 30, 2023:
Current wording
The following table presents the change in sales by region for the three and nine months ended December 31, 2024, compared with the three and nine months ended December 31, 2023:
Previous wording
Theincrease in sales in the Americas region for the three-month period presented above was primarily driven by an increase in sales for Keyboards & Combos and Tablet Accessories. Theincrease in sales in the Americas region for the six-month period presented above was primarily driven by an increase in sales for Keyboards & Combos, Tablet Accessories and Gaming.
Current wording
Theincrease in sales in the Americas region for the three-month period presented above was primarily driven by an increase in sales for Gamingand Video Collaboration, partially offset by a decrease in sales for Keyboards & Combos. Theincrease in sales in the Americas region for the nine-month period presented above was primarily driven by an increase in sales for Gaming, Tablet Accessories, and Keyboards & Combos.
Previous wording
The increase in sales in the EMEA region for the three-month period presented above was primarily driven by an increase in sales for Gaming and Tablet Accessories. Theincrease in sales in the EMEA region for the six-month period presented above was primarily driven by an increase in sales for Gaming, Keyboards & Combos, and Pointing Devices.
Current wording
The increase in sales in the EMEA region for the three-month period presented above was primarily driven by an increase in sales for Gaming and Keyboards & Combos. Theincrease in sales in the EMEA region for the nine-month period presented above was primarily driven by an increase in sales for Gaming, Keyboards & Combos, and Pointing Devices.
Previous wording
The sales in the Asia Pacific region remained flat for the three-month period with a decrease in sales for Webcams and Pointing Devices offset by an increase in sales for other product categories. The increase in sales in the Asia Pacific region for the six-month period presented above was primarily driven by an increase in sales for Gaming.
Current wording
The increase in sales in the Asia Pacific region for the three- and nine-month periods presented above was primarily driven by an increase in sales for Gaming and Tablet Accessories.
Previous wording
Sales by product category for the three and six months ended September 30, 2024 and 2023 were as follows (dollars in thousands):
Current wording
Sales by product category for the three and nine months ended December 31, 2024 and 2023 were as follows (dollars in thousands):
Previous wording
Sales of Gaming increased 7%for thethree months ended September 30, 2024, compared to thethree months ended September 30, 2023, primarily driven by an increase in sales of gaming steering wheels. Sales of Gaming increased 11%for thesix months ended September 30, 2024, compared to thesix months ended September 30, 2023, primarily driven by an increase in sales of gaming steering wheels and gaming mice.
Current wording
Sales of Gaming increased 14% and 12%for thethree and nine months ended December 31, 2024, respectively, compared to thethree and nine months ended December 31, 2023, primarily driven by an increase in sales of gaming mice and gaming steering wheels.
Previous wording
Sales of Keyboards & Combos increased 8% and 13% for thethree and six months ended September 30, 2024, compared to thethree and six months ended September 30, 2023, respectively, primarily driven by an increase in sales of cordless combo products.
Current wording
Sales of Keyboards & Combos increased 3% and 9% for thethree and nine months ended December 31, 2024, respectively, compared to thethree and nine months ended December 31, 2023, primarily driven by an increase in sales of cordless combo products.
Previous wording
Sales of Pointing Devices increased 2% and 5% for the three and six months ended September 30, 2024, compared to the three and six months ended September 30, 2023, respectively, primarily driven by an increase in sales of cordless mice, partially offset by a decrease in sales of presentation tools.
Current wording
Sales of Pointing Devices increased 5% for each of the three and nine months ended December 31, 2024, compared to the three and nine months ended December 31, 2023, primarily driven by an increase in sales of cordless mice.
Previous wording
Sales of Video Collaboration increased 5% for each of the three and six months ended September 30, 2024, compared to thethree and six months ended September 30, 2023, primarily due to an increase in sales of conference room cameras as well as an increase in service revenue.
Current wording
Sales of Video Collaboration increased 4% and 5% for the three and nine months ended December 31, 2024, respectively, compared to thethree and nine months ended December 31, 2023, primarily due to an increase in sales of conference room cameras as well as an increase in services revenue.
Previous wording
Sales of Webcams decreased 9% and 6% for the three and six months ended September 30, 2024, compared to the three and six months ended September 30, 2023, respectively, primarily driven by a decrease in sales of our VC webcams, partially offset by an increase of sales of our PC-based webcams.
Current wording
Sales of Webcams decreased 2% and 5% for the three and nine months ended December 31, 2024, respectively, compared to the three and nine months ended December 31, 2023, primarily driven by a decrease in sales of our VC webcams, partially offset by an increase of sales of our PC-based webcams.
Previous wording
Sales of Tablet Accessories increased 34% and 22% for the three and six months ended September 30, 2024, respectively, compared to the three and six months ended September 30, 2023, primarily driven by an increase in sales of Rugged Combo 4 Touch as well as sales from our Combo Touch products for the new releases of iPad Air and iPad Pro that were launched in fiscal year 2025. Sales of Tablet Accessoriesfor the three and six months ended September 30, 2024, compared to the three and six months ended September 30, 2023, benefited from strong demand from the education sector.
Current wording
Sales of Tablet Accessories increased 21% and 22% for the three and nine months ended December 31, 2024, respectively, compared to the three and nine months ended December 31, 2023, primarily driven by an increase in sales of Rugged Combo 4 and Rugged Combo 4 Touch as well as sales from our Combo Touch products for the new releases of iPad Air and iPad Pro that were launched in fiscal year 2025. Sales of Tablet Accessoriesfor the three and nine months ended December 31, 2024, compared to the three and nine months ended December 31, 2023, benefited from strong demand from the education sector.
Previous wording
Sales of Headsets increased 6% for the three months ended September 30, 2024, compared to the three months ended September 30, 2023, primarily driven by an increase in sales of cordless PC headsets. Sales of Headsets increased 12% for the six months ended September 30, 2024, compared to the six months ended September 30, 2023, primarily driven by an increase in sales of cordless PC headsets and VC headsets.
Current wording
Sales of Headsets increased 10% and 11% for the three and nine months ended December 31, 2024, respectively, compared to the three and nine months ended December 31, 2023, primarily driven by an increase in sales of PC headsets and VC headsets.
Previous wording
Sales in Other category decreased 6% and 4% for the three and six months ended September 30, 2024, respectively, compared to the three and six months ended September 30, 2023, primarily driven by a decline in sales of PC speakers.
Current wording
Sales in Other category decreased 27% and 13% for the three and nine months ended December 31, 2024, respectively, compared to the three and nine months ended December 31, 2023, primarily driven by a decline in sales of mobile speakers.
Previous wording
Gross profit for the three and six months ended September 30, 2024 and 2023 was as follows (dollars in thousands):
Current wording
Gross profit for the three and nine months ended December 31, 2024 and 2023 was as follows (dollars in thousands):
Previous wording
Gross margin was 43.6% for the three months ended September 30, 2024 and increased by 210 basis points, compared to the three months ended September 30, 2023, reflecting lower product costs and lower inventory reserves driven by improved demand, partially offset by higher promotional spending. Gross margin was 43.2% for the six months ended September 30, 2024 and increased by 310 basis points, compared to the six months ended September 30, 2023, primarily driven by lower product costs.
Current wording
Gross margin was 42.9% and 43.1% for the three and nine months ended December 31, 2024, respectively, and increased by 90 and 230 basis points, respectively, compared to the three and nine months ended December 31, 2023, primarily driven by lower product costs, partially offset by higher promotional spending.
Previous wording
Operating expenses for the three and six months ended September 30, 2024 and 2023 were as follows (dollars in thousands):
Current wording
Operating expenses for the three and nine months ended December 31, 2024 and 2023 were as follows (dollars in thousands):
Previous wording
The increasein total operating expenses during thethree and six months ended September 30, 2024, compared to thethree and six months ended September 30, 2023, was primarily driven by an increase in marketing and selling expenses.
Current wording
The increasein total operating expenses during thethree and nine months ended December 31, 2024, compared to thethree and nine months ended December 31, 2023, was primarily driven by an increase in marketing and selling expenses.
Previous wording
During thethree and six months ended September 30, 2024, marketing and selling expenses increased $25.5 million and $43.2 million, respectively, compared to the three and six months ended September 30, 2023, primarily driven by increased investment in marketing and advertising as well as higher performance-based compensation expense.
Current wording
During thethree and nine months ended December 31, 2024, marketing and selling expenses increased $27.9 million and $71.1 million, respectively, compared to the three and nine months ended December 31, 2023, primarily driven by increased investment in marketing and advertising and a provision for credit loss on accounts receivable recorded in the third quarter of fiscal year 2025.
Previous wording
During the three and six months ended September 30, 2024, research and development expenses increased $7.6 million and $12.4 million, respectively, compared to the three and six months ended September 30, 2023, primarily driven by higher performance-based compensation expense and increased investment in product innovation.
Current wording
During the three and nine months ended December 31, 2024, research and development expenses increased $5.3 million and $17.7 million, respectively, compared to the three and nine months ended December 31, 2023, primarily driven by higher personnel-related costs and third party costs to support our increased investment in product innovation.
Previous wording
During the three and six months ended September 30, 2024, general and administrative expenses increased $8.6 million and $4.8 million, respectively, compared to the three and six months ended September 30, 2023, primarily driven by higher performance-based compensation expense.
Current wording
During the three and nine months ended December 31, 2024, general and administrative expenses increased $2.4 million and $7.2 million, respectively, compared to the three and nine months ended December 31, 2023, primarily driven by higher personnel-related costs to support business growth.
Previous wording
During the three and six months ended September 30, 2024, amortization of intangible assets and acquisition-related costs remained flat, compared to the three and six months ended September 30, 2023.
Current wording
During the three and nine months ended December 31, 2024, amortization of intangible assets and acquisition-related costs remained flat, compared to the three and nine months ended December 31, 2023.
Previous wording
The restructuring charges (credits), net for the three and six months ended September 30, 2024 and 2023, were related to costs incurred as a result of our restructuring plan initiated during fiscal year 2023. These restructuring activities were substantially completed during fiscal year 2024.
Current wording
The restructuring charges, net for the three and nine months ended December 31, 2024 and 2023, were related to costs incurred as a result of our restructuring plan initiated during fiscal year 2023. These restructuring activities were substantially completed during fiscal year 2024.
Previous wording
Interest income for the three and six months ended September 30, 2024 and 2023 was as follows (in thousands):
Current wording
Interest income for the three and nine months ended December 31, 2024 and 2023 was as follows (in thousands):
Previous wording
We invest in highly liquid instruments with an original maturity of three months or less at the date of purchase, which are classified as cash equivalents. During the three and six months ended September 30, 2024, interest income increased $2.8 million and $8.7 million, respectively, compared to the three and six months ended September 30, 2023, primarily driven by an increase in the balance of our investments that are classified as cash equivalents as well as an increase in interest rates.
Current wording
We invest in highly liquid instruments with an original maturity of three months or less at the date of purchase, which are classified as cash equivalents. During the three months ended December 31, 2024, interest income decreased $0.7 million, compared to the three months ended December 31, 2023, primarily driven by a decrease in interest rates, partially offset by an increase in the cash equivalents balance. During the nine months ended December 31, 2024, interest income increased $8.1 million, compared to the nine months ended December 31, 2023, primarily driven by an increase in the cash equivalents balance and an increase in average interest rates.
Previous wording
Other income (expense), net for the three and six months ended September 30, 2024 and 2023 was as follows (in thousands):
Current wording
Other income (expense), net for the three and nine months ended December 31, 2024 and 2023 was as follows (in thousands):
Previous wording
Investment gain (loss) related to the deferred compensation plan represents earnings, gains, and losses on marketable securities related to a deferred compensation plan offered by one of our subsidiaries. The increase in investment gain for three and six months ended September 30, 2024, compared to the three and six months ended September 30, 2023, primarily relates to the change in market performance of the underlying securities.
Current wording
Investment gain related to the deferred compensation plan represents earnings, gains, and losses on marketable securities related to a deferred compensation plan offered by one of our subsidiaries. The decrease in investment gain for three and nine months ended December 31, 2024, compared to the three and nine months ended December 31, 2023, primarily relates to the change in market performance of the underlying securities.
Previous wording
Currency exchange loss, net, relates to balances denominated in currencies other than the functional currency in our subsidiaries, as well as to the sale of currencies, and gains or losses recognized on currency exchange forward contracts. We do not speculate in currency positions, but we are alert to opportunities to maximize currency exchange gains and minimize currency exchange losses. The loss for the three months ended September 30, 2024 was primarily due to fluctuations in currency exchange rates of the Chinese Renminbi against the U.S. Dollar. The loss for the three months ended September 30, 2023 was primarily due to fluctuations in the currency exchange rates of the Swiss Franc against the U.S. Dollar. The loss for the six months ended September 30, 2024 was primarily due to fluctuations in currency exchange rates of the Chinese Renminbi and the Mexican Peso against the
Current wording
Currency exchange loss, net, relates to balances denominated in currencies other than the functional currency in our subsidiaries, as well as to the sale of currencies, and gains or losses recognized on currency exchange forward contracts. We do not speculate in currency positions, but we are alert to opportunities to maximize currency exchange gains and minimize currency exchange losses. The loss for the three months ended December 31, 2024 was primarily due to fluctuations in currency exchange rates of the Australian Dollar, Japanese Yen, and Brazilian Real against the U.S. Dollar. The loss for the three months ended December 31, 2023 was primarily due to fluctuations in the currency exchange rates of the Chinese Renminbi and Swedish Krona against the U.S. Dollar.
Previous wording
Gain (loss) on investments, net, includes unrealized gain (loss) from the change in fair value of investments, gain (loss) on equity-method investments and impairment of investments during the periods presented, as applicable. The loss on investments, net, for the three and six months ended September 30, 2024 and the gain on investments, net, for the three months ended September 30, 2023 were not material. The loss on investments, net, for the six months ended September 30, 2023 was primarily due to an impairment loss, as a result of the write-off of a note receivable which has been deemed no longer recoverable. This note receivable was previously obtained in conjunction with an exchange transaction related to our investment in a privately held company. See Note 6 to our condensed consolidated financial statements for more information.
Current wording
Loss on investments, net, includes unrealized gain (loss) from the change in fair value of investments, gain (loss) on equity-method investments and impairment of investments during the periods presented, as applicable. The loss on investments, net, for the three and nine months ended December 31, 2024 and the three months ended December 31, 2023 were not material. The loss on investments, net, for the nine months ended December 31, 2023 was primarily due to an impairment loss, as a result of the write-off of a note receivable which has been deemed no longer recoverable. This note receivable was previously obtained in conjunction with an exchange transaction related to our investment in a privately held company. See Note 6 to our condensed consolidated financial statements for more information.
Previous wording
The provision for income taxes and effective income tax rates for the three and six months ended September 30, 2024 and 2023 were as follows (dollars in thousands):
Current wording
The provision for income taxes and effective income tax rates for the three and nine months ended December 31, 2024 and 2023 were as follows (dollars in thousands):
Previous wording
The change in the effective income tax rate for thethree and six months ended September 30, 2024, compared with thethree and six months ended September 30, 2023, was primarily due to the change in the mix of income and losses in the various tax jurisdictions in which we operate, the favorable tax impacts from share-based compensation and unrecognized tax benefits due to uncertain tax positions.
Current wording
The change in the effective income tax rate for thethree and nine months ended December 31, 2024, compared with thethree and nine months ended December 31, 2023, was primarily due to the change in the mix of income and losses in the various tax jurisdictions in which we operate and unrecognized tax benefits due to uncertain tax positions compared with the discrete tax benefits recognized in the prior period for remeasurement of the tax basis of goodwill under TRAF, remeasurement of our Swiss deferred tax assets due to a change in tax rate, and FDII incentive provided by the Tax Cuts and Jobs Act.
Showing the first 40 of 56 pairs. Open the source sections for the rest.
Rearranged current paragraphs (3)
Current report — wording carried from elsewhere
The loss for the nine months ended December 31, 2024 was primarily due to fluctuations in currency exchange rates of the Chinese Renminbi, Mexican Peso, and Brazilian Real against the U.S. Dollar. The loss for the nine months ended December 31, 2023 was primarily due to fluctuations in the currency exchange rates of the Chinese Renminbi, Brazilian Real, and Australian Dollar against the U.S. Dollar.
Current report — wording carried from elsewhere
Company's effective tax rate. The OECD and participating countries continue to issue underlying rules and administrative guidance related to Pillar Two, and we continue to monitor the relevant developments.
Current report — wording carried from elsewhere
Opportunistic purchases may be started or stopped at any time without prior notice depending on market conditions and other factors.
Rearranged previous paragraphs (1)
Previous report — wording carried elsewhere
U.S. Dollar. The loss for the six months ended September 30, 2023 was primarily due to fluctuations in the currency exchange rates of the Japanese Yen against the U.S. Dollar.