Sonos (SONO) FY2023 results: revenue $1.7 billion, down 5.5% on the year

Sonos Inc. (SONO) reported revenue of $1.7 billion for fiscal 2023, the year ended 30 September 2023, down 5.5% on the year before. Net income was -$10 million, and diluted earnings per share $-0.08. The figures are the company's own, from the 10-K it filed with the SEC on 20 November 2023.

Revenue

$1.7 billion

-5.5% on the year

FY2016FY2023

Operating margin

-1.2%

5.1% a year earlier

FY2016FY2023

Net income

-$10 million

FY2016FY2023

Diluted EPS

-$0.08

FY2016FY2023

this yearthe year beforeHover a bar for its figure.

The year in brief

The four quarters: Q1 FY2023 · Q2 FY2023 · Q3 FY2023 · Q4 FY2023

Income statement (profit and loss)

$ million	FY2023	FY2022	FY2021	On the year
Revenue	1,655	1,752	1,717	-5.5%
Cost of revenue	939	956	907	-1.8%
Gross profit	716	796	810	-10.0%
Gross margin	43.3%	45.4%	47.2%
Research and development	301	256	230	+17.5%
Operating income	-20.5	89.5	155
Operating margin	-1.2%	5.1%	9.0%
Interest expense	0.7	0.6	0.6	+32.8%
Pre-tax income	4.4	68.7	157	-93.6%
Income tax	14.7	1.3	-1.7	+988.9%
Effective tax rate	333.8%	2.0%	-1.1%
Net income	-10.3	67.4	159
Net margin	-0.6%	3.8%	9.2%
Diluted EPS	-$0.08	$0.49	$1.13

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	FY2023	FY2022	FY2021	On the year
Operating cash flow	100	-28.3	253
Capital expenditure	50.3	46.2	45.5	+8.8%
Free cash flow	50.1	-74.5	208
Free cash flow margin	3.0%	-4.3%	12.1%
Cash from investing	-50.3	-173	-45.5
Cash from financing	-109	-150	25.0
Depreciation and amortisation	49.0	38.5	33.9	+27.2%
Share-based compensation	76.9	75.6	62.1	+1.6%
Buybacks	100	150	50.0	-33.3%
Diluted shares, weighted	128m	138m	140m	-7.3%
Shares outstanding at period end	125m	127m	127m	-1.2%

Balance sheet

$ million	FY2023	FY2022	FY2021	On the year
Shareholders' equity	519	561	569	-7.5%
Debt	0.0	0.0	0.0
Operating lease liabilities	55.0	25.6	34.0	+114.7%
Other liabilities	429	602	536	-28.8%
Total liabilities and equity	1,002	1,188	1,139	-15.7%
Fixed assets	87.1	86.2	71.3	+1.1%
Goodwill	80.4	77.3	15.5	+4.0%
Intangible assets	90.0	91.1	24.4	-1.2%
Cash and equivalents	220	275	640	-19.9%
Receivables	67.6	101	101	-33.2%
Inventory	347	454	185	-23.7%
Other assets	110	104	101	+6.7%
Total assets	1,002	1,188	1,139	-15.7%

10-K for the year ended 30 September 2023, filed 20 November 2023: the filing.