We saw this some time ago but, there was all that much to report as such after the Amazon deal fell through; however, we came across a great video on the subject and thought we’d share that and our thoughts.
After the deal with Amazon collapsed where, Amazon was to purchase iRobot who of course make the Roomba line of robotic vacuum cleaners, the company has stated that there’s “substantial doubt about the Company’s ability to continue as a going concern”.
For a company to say that is wild!
Apart from the potential damage it could do to sales, suppliers won’t exactly be chuffed about dealing with them either as it could pose a huge risk.
It gets wilder, if you can believe it as the company said this: “2024 was a transformational year”, it also warned that “there can be no assurance that the new product launches will be successful due to potential factors, including, but not limited to consumer demand, competition, macroeconomic conditions, and tariff policies.”
But the damning statement went like this: “Given these uncertainties and the implication they may have on the Company’s financials, there is substantial doubt about the Company’s ability to continue as a going concern for a period of at least 12 months from the date of the issuance of its consolidated 2024 financial statements.”
With revenues in tumbling ever lower and losses piling up it’s easy to see why the company would perhaps think this but, not say it so bluntly. Though you have to admire the forthright honesty, it’s rare in corporate environments.
What’s flagged this up for us is this video, which is a brilliant explainer on how and why iRobot got into the position now, having been largely the people who invented the robotic vacuum sector, or certainly popularised it.
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As you can see, poor decisions, failure to keep up with market change, wandering into unfamiliar territory and more have led to this, not helped by the US Administration’s current policies surrounding tariffs and such. Or the nixing of the deal with Amazon.
Furthermore, the new range hasn’t been getting good reviews. Some are scathing.
We originally tested some Roomba’s when they became reasonably popular and it’d be a real shame to see them disappear, sadly that looks as if it’s all too possible.
