Sonos, Inc. has submitted its 10-K filing for the fiscal year ended September 28, 2024.
The filing includes financial statements for the year, showing a decrease in revenue to $1,518,056,000 from $1,655,255,000 in the previous year. This decrease is attributed to softer demand across all regions due to market conditions and challenges resulting from a recent app rollout.
Cost of revenue for the year was $828,683,000, representing 54.6% of revenue, compared to 56.7% in the previous year. This decrease in cost ratio is due to a decrease in product and material costs and decreased inventory-related write-downs.
The company reported a gross profit of $689,373,000 for the year, compared to $716,490,000 in the previous year, with the decline attributed to reduced sales volume.
Research and development expenses increased slightly to $304,558,000 from $301,001,000, reflecting ongoing product development efforts.
Sales and marketing expenses rose to $290,609,000 from $267,518,000, primarily driven by increased advertising and marketing activities.
General and administrative expenses decreased to $142,252,000 from $168,518,000, primarily due to a reduction in legal fees related to intellectual property litigation.
The company reported a net loss of $38,146,000 for the year, compared to a net loss of $10,274,000 in the previous year.
Cash provided by operating activities was $189,906,000, while cash used in investing and financing activities was $105,242,000 and $137,309,000, respectively.
Sonos had a working capital of $184,933,000 as of September 28, 2024. The company acknowledges its dependence on positive operating results and potential financing to meet future obligations.
The filing also details various legal proceedings, including ongoing litigation with Google $GOOGL LLC (GOOGL) over patent infringement claims.
Sonos continues to focus on expanding its product offerings, including the introduction of its first-ever headphones, Sonos Ace, and plans to continue investing in research and development to drive future growth.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Sonos Inc. annual 10-K report dated November 15, 2024. To report an error, please email [email protected].