Corsair Gaming (NASDAQ:CRSR) raised its full-year 2026 revenue and adjusted EBITDA outlook after third-quarter sales exceeded its guidance, as strong memory demand and growth in pre-built systems offset weakness in do-it-yourself PC components.
Revenue rose 6% year over year to $367 million, exceeding the high end of the company’s $320 million to $350 million guidance range by $17 million. Adjusted EBITDA increased 38% to $22.4 million, while non-GAAP diluted earnings per share rose to $0.13 from $0.06 a year earlier.
Chief Executive Officer Thi La said disciplined spending and a diversified product portfolio helped the company deliver the improvement. Corsair’s GAAP net loss narrowed to $2.4 million, or $0.02 per diluted share, from $10.4 million, or $0.09 per share, a year earlier.
Memory Strength Offsets DIY Weakness
Gaming components and systems revenue increased 7% to $250.5 million. Memory revenue reached a third-quarter record of $167.3 million, up 43%, supported by strong demand, higher selling prices and sequential market-share gains, management said. Pre-built systems also grew across every category.
La said higher memory prices continued to delay DIY computer builds, although the company believes that demand has been deferred rather than lost. Corsair increased memory inventory by $37 million during the quarter to prepare for expected holiday demand.
The company’s Corsair Pro AI workstations are gaining momentum, La said, as customers seek local computing, data protection and lower cloud token consumption. However, she cautioned that the business remains in an early phase and faces industrywide CPU, GPU and memory shortages. Corsair expects a more meaningful revenue contribution in the latter part of 2027 and beyond, when semiconductor availability normalizes.
Peripheral Launches Shift Into Fourth Quarter
Gamer and creator peripherals revenue rose 3% to $116.5 million. Several product launches shifted from the third quarter into the fourth, while logistics delays and a hub transition left the company with a higher-than-planned backlog, executives said.
Chief Financial Officer Gordon Mattingly told analysts the unexpected revenue shortfall from timing issues was approximately $6 million to $8 million. The peripheral backlog was elevated by $6 million to $7 million sequentially, and another $1 million to $2 million reflected new-product delays. He said the issues were not related to underlying consumer demand.
Corsair expects double-digit year-over-year growth in the peripherals segment in the fourth quarter, led by sim racing, Elgato and SCUF. La said the company had seen elevated bookings for console-related products ahead of the upcoming GTA VI launch. She also said integration of the recently acquired Trak Racer was progressing well, with a contribution expected to begin in the fourth quarter; its third-quarter contribution was immaterial.
Among recent launches, Corsair introduced PureVector technology in its SABRE v3 PRO mice and Elgato’s Wave Go wireless microphone in October. Trak Racer’s sim motorbike is expected to ship in the first quarter of 2027, La said.
Raised Outlook and Memory Margin Expectations
For the fourth quarter, Corsair forecast revenue of $420 million to $450 million, adjusted EBITDA of $38 million to $42 million and non-GAAP diluted earnings per share of $0.26 to $0.31.
For full-year 2026, the company raised its outlook to revenue of $1.456 billion to $1.486 billion and adjusted EBITDA of $127 million to $131 million. Its previous ranges were $1.4 billion to $1.47 billion and $121 million to $131 million, respectively. Corsair now expects non-GAAP diluted earnings per share of $0.89 to $0.94, compared with its prior range of $0.85 to $0.94.
Management expects fourth-quarter adjusted EBITDA to be below the year-earlier level, primarily because memory gross margin is projected to normalize. Mattingly forecast memory gross margin of approximately 18% to 20%, down from roughly 35% in the prior-year quarter, when rapidly rising selling prices produced unusually high margins.
Corsair ended the third quarter with $136.2 million in cash and restricted cash, up $70.2 million from a year earlier but down $57.6 million sequentially. Mattingly said the sequential decline reflected approximately $37 million used for acquisitions that closed during the quarter and the inventory build, partly offset by operating cash flow and higher payables.
About Corsair Gaming (NASDAQ:CRSR)
Corsair Gaming, Inc develops and sells hardware, peripherals, systems and accessories for gamers, content creators and PC enthusiasts. Its product portfolio includes keyboards, mice, headsets, streaming equipment, gaming furniture, computer components, custom-built PCs and related software.
The company markets products under the Corsair brand and through brands including Elgato, SCUF Gaming, ORIGIN PC and Drop. Elgato focuses on tools for content creation and live streaming, SCUF Gaming produces customizable game controllers, ORIGIN PC builds custom gaming computers, and Drop offers enthusiast-oriented mechanical keyboards and other computer accessories.
Founded in 1994, Corsair serves customers globally through retailers, distributors, online marketplaces and its direct-to-consumer websites.
