$SONO

Sonos Inc

CIK:0001314727|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 27, 2026	Jun. 28, 2025	Jun. 27, 2026	Jun. 28, 2025
Income Statement [Abstract]
Revenue	$ 375,260	$ 344,764	$ 1,202,449	$ 1,155,376
Cost of revenue	185,950	195,040	635,030	650,637
Gross profit	189,310	149,724	567,419	504,739
Operating expenses
Research and development	67,875	59,750	191,771	218,011
Sales and marketing	59,624	62,576	187,273	213,430
General and administrative	30,277	30,327	88,001	89,357
Total operating expenses	157,776	152,653	467,045	520,798
Operating income (loss)	31,534	(2,929)	100,374	(16,059)
Other income (expense), net
Interest income	2,182	1,572	5,442	5,406
Interest expense	(110)	(117)	(330)	(336)
Other income (expense), net	695	661	(246)	(5,176)
Total other income (expense), net	2,767	2,116	4,866	(106)
Income (loss) before provision for income taxes	34,301	(813)	105,240	(16,165)
Provision for income taxes	4,448	2,566	10,475	7,121
Net income (loss)	$ 29,853	$ (3,379)	$ 94,765	$ (23,286)
Earnings (loss) per share:
Basic (in USD per share)	$ 0.25	$ (0.03)	$ 0.79	$ (0.19)
Diluted (in USD per share)	$ 0.25	$ (0.03)	$ 0.77	$ (0.19)
Weighted-average shares used in computing earnings (loss) per share:
Basic (in shares)	118,961,126	120,423,439	119,886,795	120,804,730
Diluted (in shares)	120,982,504	120,423,439	122,761,707	120,804,730
Total comprehensive income (loss)
Net income (loss)	$ 29,853	$ (3,379)	$ 94,765	$ (23,286)
Change in foreign currency translation adjustment	(416)	3,496	(444)	3,036
Net unrealized loss on marketable securities	(29)	(23)	(71)	(140)
Comprehensive income (loss)	$ 29,408	$ 94	$ 94,250	$ (20,390)

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Jun. 27, 2026	Jun. 28, 2025
Cash flows from operating activities
Net income (loss)	$ 94,765	$ (23,286)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Stock-based compensation expense	46,386	64,789
Depreciation and amortization	36,924	48,657
Restructuring and other charges	1,088	6,323
Provision for excess and obsolete inventory	1,573	9,242
Deferred income taxes	386	942
Other	5,078	2,432
Foreign currency transaction loss	2,122	572
Changes in operating assets and liabilities:
Accounts receivable	(53,604)	(49,010)
Inventories	11,303	106,223
Other assets	(15,882)	11,616
Accounts payable and accrued expenses	6,021	(55,341)
Accrued compensation	10,330	10,352
Deferred revenue	(157)	(1,033)
Other liabilities	(2,166)	1,470
Net cash provided by operating activities	144,167	133,948
Cash flows from investing activities
Purchases of marketable securities	(44,616)	(43,949)
Purchases of property and equipment	(16,681)	(23,418)
Maturities of marketable securities	43,340	43,200
Net cash used in investing activities	(17,957)	(24,167)
Cash flows from financing activities
Payments for repurchase of common stock	(95,277)	(60,602)
Payments for repurchase of common stock related to shares withheld for tax in connection with vesting of stock awards	(20,417)	(20,754)
Proceeds from exercise of stock options	23,101	2,653
Payments for debt issuance costs	(780)	0
Net cash used in financing activities	(93,373)	(78,703)
Effect of exchange rate changes on cash and cash equivalents	(611)	463
Net increase in cash and cash equivalents	32,226	31,541
Cash and cash equivalents
Beginning of period	174,668	169,732
End of period	206,894	201,273
Supplemental disclosure
Cash paid for interest	185	197
Cash paid for taxes, net of refunds	4,387	19,065
Cash paid for amounts included in the measurement of lease liabilities, net of tenant improvement reimbursements received	7,088	3,460
Supplemental disclosure of non-cash investing and financing activities
Purchases of property and equipment in accounts payable and accrued expenses	3,635	2,155
Right-of-use assets obtained in exchange for new operating lease liabilities	1,829	1,491
Excise tax on share repurchases, accrued but not paid	$ 258	$ 187

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 27, 2026	Sep. 27, 2025
Current assets:
Cash and cash equivalents	$ 206,894	$ 174,668
Marketable securities	54,132	52,858
Accounts receivable, net	117,190	65,847
Inventories	158,143	171,020
Prepaids and other current assets	55,844	39,642
Total current assets	592,203	504,035
Property and equipment, net	60,141	72,277
Operating lease right-of-use assets	42,790	45,297
Goodwill	82,854	82,854
Intangible assets, net	64,418	75,356
Deferred tax assets	10,043	10,509
Other noncurrent assets	29,672	32,950
Total assets	882,121	823,278
Current liabilities:
Accounts payable	179,897	184,109
Accrued expenses	87,889	79,094
Accrued compensation	31,249	21,331
Deferred revenue, current	21,989	21,771
Other current liabilities	45,775	46,107
Total current liabilities	366,799	352,412
Operating lease liabilities, noncurrent	50,192	53,288
Deferred revenue, noncurrent	58,515	59,453
Deferred tax liabilities	113	126
Other noncurrent liabilities	2,970	2,774
Total liabilities	478,589	468,053
Commitments and contingencies (Note 7)
Stockholders’ equity:
Common stock, $0.001 par value	121	123
Treasury stock	(46,529)	(37,398)
Additional paid-in capital	465,965	502,775
Accumulated deficit	(17,313)	(112,078)
Accumulated other comprehensive income	1,288	1,803
Total stockholders’ equity	403,532	355,225
Total liabilities and stockholders’ equity	$ 882,121	$ 823,278