Corsair Gaming's Q2 2025: Navigating Tariff Challenges and Contradictions in Growth Strategy

Tariff impact on Fanatec, Fanatec growth strategy, impact of tariffs on Corsair's production, inventory levels and channel confidence, and gross margin expectations are the key contradictions discussed in Corsair Gaming's latest 2025Q2 earnings call.



Strong Revenue Growth and Segment Performance:
- Corsair Gaming, Inc. reported a record revenue of $320 million for Q2 2025, up 23% year-over-year.
- Growth was driven by strong performance in both the Gaming Components and Systems segment, with a 30% year-over-year increase, and the Gamer and Creator Peripherals segment, with a 9% year-over-year increase.

Product Innovation and Market Share Gains:
- Corsair gained market share in both the keyboard and headset categories, supported by successful new product launches.
- The increase in market share was attributed to the excitement around the latest powerful GPUs from NVIDIA and AMD, as well as the release of graphically intensive games like Doom: The Dark Ages and Elder Scrolls IV Remastered.

Operational Efficiency and Margin Improvement:
- Gross profit increased by 36% year-over-year, with an improvement in gross margin from 24.1% to 26.8%.
- This was due to favorable mix, channel execution, and continued operational discipline.

Emerging Technologies and AI Integration:
- Corsair's AI Workstation 300 and the integration of AI functionalities into products are expected to be major long-term catalysts.
- The company is taking a thoughtful approach to integrating AI where it is most compelling for consumers.

Tariff Management and Strategic Adaptation:
- Corsair continues to operate with flexibility across its supply chain, minimizing the impact of tariffs and considering pricing adjustments to protect margins.
- The company is maintaining a healthy balance sheet with sufficient cash to fund growth and navigate through new tariffs.