This article has been reviewed according to Science X's editorial process and policies . Editors have highlighted the following attributes while ensuring the content's credibility: Credit: Unsplash/CC0 Public Domain Sonos Chief Executive Patrick Spence is stepping down and leaving the company's board in a shake-up that comes as the wireless speaker maker tries to win back the trust of its customers. Last year, the Santa Barbara-based company botched the overhaul of its phone app that customers use to con ...

A month has gone by since the last earnings report for Sonos (SONO) . Shares have added about 5.4% in that time frame, outperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is Sonos due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers. Sonos Q4 Loss Narrower Than ExpectedSonos reported fourth-quarter ...

Product and Market Expansion - As of September 28, 2024, Sonos had nearly 50.4 million products registered across approximately 16.3 million households globally, with 1.0 million new households added during fiscal 2024[12]. - Existing customers accounted for approximately 44% of new product registrations in fiscal 2024[12]. - The average number of Sonos products owned per household is 3.1, with 39% of households registering more than one product[12]. - In June 2024, Sonos launched its first-ever headphones, Ace, and the ultra-portable smart speaker, Roam 2[13]. - The company operates in over 60 countries, distributing products through various channels including traditional retailers and online platforms[22]. - Sonos has a broad partner ecosystem with over 100 streaming content providers, enhancing customer access to diverse audio content[20]. - The company aims to expand its partner ecosystem to enhance customer experience and attract more customers[26]. - The company continues to expand its product offerings and distribution channels, with products available in over 60 countries through various retail and e-commerce platforms[158]. Financial Performance - Total revenue for the year ended September 28, 2024, was $1,518,056, a decrease of 8.3% from $1,655,255 for the year ended September 30, 2023[150]. - Gross profit for the year ended September 28, 2024, was $689,373, down from $716,490 in the previous year, reflecting a gross margin of approximately 45.4%[150]. - Operating loss for the year ended September 28, 2024, was $(48,046), compared to an operating loss of $(20,547) for the year ended September 30, 2023[150]. - Net loss attributable to common stockholders for the year ended September 28, 2024, was $(38,146), compared to a net loss of $(10,274) in the previous year[150]. - Total current assets decreased to $551,086 as of September 28, 2024, from $659,631 as of September 30, 2023[147]. - Total liabilities increased slightly to $487,692 as of September 28, 2024, compared to $483,584 as of September 30, 2023[147]. - The company reported a total comprehensive loss of $(36,420) for the year ended September 28, 2024, compared to a comprehensive loss of $(10,121) in the previous year[150]. - Cash provided by operating activities increased significantly to $189.906 million from $100.406 million year-over-year, marking an increase of approximately 88.8%[156]. Research and Development - Sonos has made significant investments in research and development to enhance existing products and develop new technologies, focusing on software and hardware engineering[21]. - Research and development expenses for the year ended September 28, 2024, were $304,558, up from $301,001 in the previous year[150]. - Capitalized research and development expenses increased to $107,474 thousand in 2024 from $63,395 thousand in 2023, reflecting a significant investment in innovation[243]. - Research and development expenses primarily focus on developing new products and improving existing ones, with costs expensed as incurred due to the short development period[191]. Cash and Investments - As of September 28, 2024, the company had cash and cash equivalents of $169.7 million and marketable securities of $51.4 million[132]. - Cash and cash equivalents decreased to $169,732 as of September 28, 2024, from $220,231 as of September 30, 2023[147]. - The company invested $90.495 million in marketable securities during the year, with additional capital expenditures of $55.247 million for property and equipment[156]. - The company held no marketable securities as of September 30, 2023, but held U.S. Treasury securities valued at $51,426 thousand as of September 28, 2024[203]. Legal Matters - A jury trial in May 2023 awarded the company $32.5 million based on a royalty rate of $2.30 per infringing unit against Google[256]. - The ITC concluded its investigation in December 2023 with a final determination of no violation by the company regarding one of Google's patents[258]. - The company has ongoing legal proceedings against Google, with a Supreme Court petition deadline for Google set for December 2024[256]. - The company’s legal proceedings may have an adverse effect on its operations or financial position if outcomes are unfavorable[255]. Employee and Restructuring - The company initiated a restructuring plan on August 14, 2024, involving a reduction of approximately 6% of its employees, with total pre-tax restructuring costs of $11.3 million[260]. - Total restructuring and abandonment costs incurred were $11.853 million, with employee-related costs accounting for $7.371 million[261]. - The company recorded restructuring costs of $5.743 million in research and development, $2.770 million in sales and marketing, and $3.340 million in general and administrative expenses[262]. Revenue Recognition and Deferred Revenue - Deferred revenue related to unspecified software upgrades and cloud-based services was $81.5 million as of September 28, 2024[143]. - The company recognizes service revenue ratably over the estimated service period for unspecified software upgrades and cloud-based services, which are provided at no additional charge[185]. - Deferred revenue primarily relates to unspecified software upgrades and platform services, with amounts invoiced in advance recorded as deferred revenue on the balance sheet[189]. - The company’s revenue recognition policy includes deferring revenue for newly launched products sold to resellers until general availability is reached[183]. Stock and Equity - The Board of Directors authorized a common stock repurchase program of up to $200.0 million, with $128.9 million spent to repurchase 7,796,120 shares at an average price of $16.54 per share during the fiscal year ended September 28, 2024[232]. - The total stock-based compensation expense for the fiscal year ended September 28, 2024, was $84.3 million, an increase from $76.9 million in the previous fiscal year[239]. - The number of outstanding stock options decreased to 7,082,389 as of September 28, 2024, from 8,549,957 at September 30, 2023[235]. - The Company granted 9,437,212 RSUs during the fiscal year ended September 28, 2024, increasing the total outstanding RSUs to 10,763,098[236].

Sonos, Inc. (SONO) recently introduced the Era 100 pro, its first hardware solution specifically crafted for professional installation in light-commercial and residential spaces. Currently available for pre-order and set to ship on Jan. 28, 2025, the pioneer solution aims to elevate the audio experience in professional settings. Designed to simplify installation while maintaining Sonos' rich sound and elegant design, the Era 100 Pro is embedded with advanced features and software enhancements to empower pro ...

Sonos Inc (NASDAQ:SONO) stock is 5.3% higher at $14.83, earlier rising as high as $15.69 after the audio equipment maker's adjusted fourth-quarter loss of 18 cents per share was in line with estimates and revenue of $255.4 million beat analysts' beat forecasts. Sonos is still trying to put out the fire set by launching its overhauled mobile application before the software was ready, with the company saying in its earnings presentation that "we have released 16 updates and restored 90 percent of missing feat ...

Sonos, Inc. (SONO) reported fourth-quarter fiscal 2024 non-GAAP loss per share of 18 cents. It had registered a loss per share of 7 cents in the prior-year quarter. On a GAAP basis, the company reported a loss of 44 cents compared with a loss of 25 cents in the year-ago quarter. The Zacks Consensus Estimate was pegged at a loss of 22 cents per share.Stay up-to-date with all quarterly releases: See Zacks Earnings CalendarQuarterly revenues fell 16.3% year over year to $255.4 million. The figure was well with ...

Sonos, Inc. (NASDAQ:SONO) Q4 2024 Earnings Conference Call November 13, 2024 5:00 PM ET Company Participants James Baglanis - Head, Investor Relations & Treasury Patrick Spence - Chief Executive Officer Saori Casey - Chief Financial Officer Conference Call Participants Steve Frankel - Rosenblatt Brent Thill - Jefferies Erik Woodring - Morgan Stanley Alex Fuhrman - Craig-Hallum Capital Group Mark Cash - Raymond James Operator Thank you for standing by, and welcome to the Sonos Fourth Quarter 2024 Conference ...

| --- | --- | --- | --- | --- | --- | --- | --- | --- | |-------|-------|-------------------|-------|-------|-------|-------------------------|-------|-------------------| | | | | | | | Q4 and Fiscal Year 2024 | | | | | | Financial Results | | | | | | | | | | | | | | | | November 13, 2024 | Forward Looking Statements This presentation contains forward-looking statements that involve risks and uncertainties. These forward-looking statements include statements regarding our outlook for the fiscal quarter endi ...

For the quarter ended September 2024, Sonos (SONO) reported revenue of $255.38 million, down 16.3% over the same period last year. EPS came in at -$0.18, compared to -$0.07 in the year-ago quarter.The reported revenue represents a surprise of +2.22% over the Zacks Consensus Estimate of $249.83 million. With the consensus EPS estimate being -$0.22, the EPS surprise was +18.18%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determin ...

Sonos (SONO) came out with a quarterly loss of $0.18 per share versus the Zacks Consensus Estimate of a loss of $0.22. This compares to loss of $0.07 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 18.18%. A quarter ago, it was expected that this maker of wireless speakers and home sound systems would post earnings of $0.19 per share when it actually produced earnings of $0.23, delivering a surprise of 21.05%. Over the last f ...