iRobot Corp. reported preliminary financial results for the fourth quarter ended December 28, 2024, stating it expects to post revenue of $171 million, GAAP operating loss of $59 million and non-GAAP adjusted operating loss of $47 million when the company announces its full financial tally for the quarter later this year.
The company added that it expects to report $134 million in cash and cash equivalents as of fiscal 2024’s end. The total exceeds iRobot’s internal forecast and represents continuing improvement in its use of operating cash, the company asserted.
For the full year 2025, iRobot anticipates returning to year-over-year top-line growth as it introduces new and revitalized products. The company maintained that it expects 2025’s second half to be stronger than the first half as its product lineup ramps up. iRobot anticipates first-quarter 2025 results to reflect an ongoing transitional period for its product line.
With the benefit of lower product costs and reduced development timelines, iRobot expects to enjoy enhanced margins and improved profitability in 2025, the company noted.
“Our preliminary results reflect higher-than-anticipated seasonal promotional spending to stimulate sell-through prior to our 2025 new product launches,” said Gary Cohen, iRobot CEO, in announcing the preliminary results. “Additionally, we recorded an incremental non-recurring charge in the fourth quarter of $8 million related to the write-off of excess component inventory and losses on non-cancelable purchase commitments as part of our transition to a new product development paradigm with our contract manufacturers. Both had an impact on our gross margin and operating loss performance in the fourth quarter. We have fundamentally changed the way we innovate, develop and build our robots, which is central to our strategy for improving financial performance and generating long-term shareholder value.”
Cohen added that iRobot has an eye to exceeding the company’s “2024 operating expense restructuring targets while we are investing in areas that are expected to drive growth. We remain on schedule with our product launches planned for 2025 that are designed to excite consumers with feature-rich robots and improve the consumer product experience.”
