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Sonos Sees Stock Jump After Beating Earnings and Revenue Estimates

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Andrew R. Michaud

• August 10, 2023

Sonos, the audio technology company based in Santa Barbara, CA, experienced a surge in its stock price after reporting impressive third-quarter results that surpassed expectations on both earnings and revenue.

Strong Performance Drives Share Price Increase

Following the announcement, Sonos shares soared by 10% during after-hours trading, reaching $17.22 per share. This positive momentum comes after a 7.5% decline in the stock's value since the beginning of the year.

Financial Results Exceed Analyst Predictions

Sonos reported a net loss of $23.6 million, or 18 cents per share, for the three-month period ending July 1. In comparison, during the same period last year, the company incurred a loss of $597,000, or less than 1 cent per share. However, after adjusting for certain one-time items, Sonos achieved earnings of 16 cents per share. This figure is significantly better than the expected loss of 7 cents per share projected by analysts.

Furthermore, Sonos generated revenue of $373.4 million, representing a 0.4% increase as compared to analyst estimates of $335.9 million.

Sonos Reviews Yearly Outlook

Alongside its impressive quarterly performance, Sonos also provided an updated forecast for its full-year revenue and adjusted earnings. The revisions reflect the company's optimism regarding future growth and success.