#1Q1 2022 Financial Summary SONOS SONOS February 9, 2022#2Forward 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 year ending October 1, 2022; our fiscal 2024 targets; our long-term focus, financial, growth, and business strategies and opportunities; growth metrics and targets; our business model; new products, services and partnerships; profitability and gross margins; our direct-to-consumer efforts; our market share; and other factors affecting variability in our financial results. These forward-looking statements are only predictions and may differ materially from actual results due to a variety of factors, including, but not limited to, the duration and impact of the COVID-19 pandemic and related mitigation efforts on our industry and supply chain; supply chain challenges, including shipping and logistics challenges and significant limits on component supplies; changes in general economic or market conditions that could affect consumer income and overall consumer spending; our ability to successfully introduce new products and services and maintain or expand the success of our existing products; the success of our efforts to expand our direct-to-consumer channel; the success of our financial, growth and business strategies; our ability to meet product demand and manage any product availability delays; and the other risk factors set forth under the caption "Risk Factors" in our Annual Report on Form 10-K for the year ended October 2, 2021, and our other filings filed with the Securities and Exchange Commission (the "SEC"), copies of which are available free of charge at the SEC's website at www.sec.gov or upon request from our investor relations department. All forward-looking statements herein reflect our opinions only as of the date of this letter, and we undertake no obligation, and expressly disclaim any obligation, to update forward-looking statements herein in light of new information or future events, except to the extent required by law. Non-GAAP Measures Additional information relating to certain of our financial measures contained herein, including non-GAAP financial measures, is available in the appendix to this presentation.#3Q1 Highlights Strong Q1 results and increased confidence in FY22 outlook; raising outlook at mid-point Record Q1 revenue of $664.5M, +3% from LY driven by: O Strong product demand despite lower promotions vs LY Offset by constrained supply (could have sold more if not for supply constraints) Record Q1 gross margin of 47.8%, +140 bps from LY driven primarily by product mix and reduction in promotions vs LY offset by industry-wide shipping and logistics costs Q1 adjusted EBITDA of $163.1M, -2% from LY driven by planned opex investments to support future growth Q1 adjusted EBITDA margin of 24.6%, -120 bps Note: Unaudited. See appendix for reconciliation of GAAP to non-GAAP measures.#4Continued Strong Demand and Profitability Q1 Revenue $562.1 +13% 1Q20 Q1 Adjusted EBITDA $93.2 +7% 1Q20 $645.6 +15% 1Q21 $166.3 +78% 1Q21 $664.5 +3% 1Q22 $163.1 -2% 1Q22 Revenue +3% driven by strong product demand despite lower promotional activity offset by continuing impact of constrained product availability due to industry-wide supply chain issues Adjusted EBITDA -2% driven by planned opex investments to support future growth ● Adjusted EBITDA margin -120 bps to 24.6% driven by planned opex investments to support future growth Gross margin +140 bps to 47.8% driven by reduced promotional activity and product mix partially offset by higher shipping and logistics costs related to industry-wide supply chain dynamics Note: $ in millions, unaudited. See appendix for reconciliation of GAAP to non-GAAP measures. Percentages have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely.#5Strong Gross Margin Expansion Gross margin +140 bps Y/Y - key drivers: Lower promotional activity due to reduced product availability Product mix Partially offset by higher shipping and logistics costs, primarily air freight to drive greater product availability 40.5% Q1 20 46.4% Q1 21 47.8% Q1 22 Note: Unaudited. See appendix for reconciliation of GAAP to non-GAAP measures. Percentages have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely.#6Planned Opex Investments to Support Future Growth Research and Development (GAAP) Restructuring and related charges Adjusted Research and Development (Non-GAAP) % of revenue Sales and Marketing (GAAP) Restructuring and related charges Adjusted Sales and Marketing (Non-GAAP) % of revenue General and Administrative (GAAP) Restructuring and related charges Legal and transaction related costs Adjusted General and Administrative (Non-GAAP) % of revenue Total Operating Expenses (GAAP) Restructuring and related charges Legal and transaction related costs Adjusted Operating Expenses (Non-GAAP) % of revenue Q122 $61.3 $61.3 9.2% $83.7 $83.7 12.6% $39.7 3.9 $35.9 5.4% $184.8 3.9 $180.9 27.2% Q121 $52.3 $52.3 8.1% $74.5 (2.6) $77.1 11.9% $35.2 8.7 $26.6 4.1% $162.0 (2.6) 8.7 $156.0 24.2% Y/Y Change 17.2% N/A 17.2% 110 bps 12.5% (100.0%) 8.6% 70 bps 12.7% N/A (55.3%) 34.9% 130 bps 14.0% (100.0%) (55.3%) 16.0% 300 bps Note: $ in millions, unaudited. Percentages and sums have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely. Excluding restructuring and related charges and legal and transaction costs, year-over-year increases in opex driven by the following factors: R&D +17.2% primarily due to higher personnel-related expenses, increased product development costs, professional fees, and other R&D O S&M +8.6% primarily due to increased brand and marketing expenses and personnel-related and other costs O G&A ex legal and transaction costs +34.9% due to increased personnel-related expenses and continued IT investments#7Significant Cash Flow and Strong Balance Sheet Cash flow from operations Capital expenditures % of revenue Free cash flow Free cash flow / Adj EBITDA Ending cash & cash equivalents Total debt Q122 $179.9 $6.4 1.0% $173.6 106% $754.4 $0.0 Y/Y Change Q121 $214.5 $11.3 1.8% $203.2 122% $678.0 11 % $24.9 (100)% (16)% (44)% (15)% Cash flow from operations of $179.9M, -16% from LY Free cash flow of $173.6M, -15% from LY Free cash flow / adjusted EBITDA of 106% Capex of $6.4M, 1.0% of revenue, decline vs. LY driven by anniversarying of prior year new product introductions Cash and cash equivalents of $754.4M, no debt Note: $ in millions, unaudited. See appendix for reconciliation of GAAP to non-GAAP measures. Percentages have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely.#8FY22 Outlook TOD 10 24 543 POST CARDS#9FY22 Outlook: Raising Outlook at Midpoint Increased Confidence in Delivering Another Record Fiscal Year Revenue % growth Gross Margin Adjusted EBITDA Adjusted EBITDA Margin Other Key Assumptions: Tariffs FY21 Actuals $1.717 billion 29% 47.2% $278.6 million 16.2% $4.6 million net tariff benefit ($18 million refunds; $14 million expense) Prior FY22 Outlook $1.925 billion - $2.0 billion 12% -16% 46 - 47% $280 million $325 million 14.5% -16.2% Minimal net tariff benefit Note: Adjusted EBITDA and Adjusted EBITDA Margin are non-GAAP measures. We do not provide a reconciliation of forward-looking non-GAAP measures to their comparable GAAP financial measures. See "Non-GAAP Measures" for more information. FY22 outlook only as of the date of this presentation. See "Forward-Looking Statements" for more information. New FY22 Outlook $1.95 billion - $2.0 billion 14% -16% 46 - 47% $290 million - $325 million 14.9% 16.2% - Minimal net tariff expense#10U V G 45 Long Term 79 Opportunity WILL#11FY2024 Financial Targets Revenue ~$2.5B ~13% CAGR Gross Margin 45-47% Note: Adjusted EBITDA Margin is a non-GAAP measures. We do not provide a reconciliation of forward-looking non-GAAP measures to their comparable GAAP financial measures. See "Non-GAAP Measures" for more information. FY24 outlook only as of the date of this presentation. See "Forward-Looking Statements" for more information. Adjusted EBITDA Margin 15-18%#12Key Drivers of Long Term Growth "The Sonos Flywheel" - new household growth + existing household repurchases Expansion of our product offerings - launch at least 2 new products per year to delight existing households and attract new ones Large, growing addressable market - just scratching the surface...currently only ~2% share of $89B global audio market¹ and ~4% share of 349M households2 in our core markets Macro tailwinds - continued growth in audio and video content consumption and formats - the evolution of remote work and impact on how and where consumers live 1- Source: Futuresource CY202, March 2021. 2- Source: Euromonitor CY2020 Core Markets include the United States, Canada, Australia, United Kingdom, Germany, Netherlands, Sweden, Denmark, France, Switzerland, Norway, Belgium, Italy, Austria, Spain, Ireland, Finland and Poland#13Appendix 888#14Non-GAAP Measures We have provided in this presentation financial information that has not been prepared in accordance with U.S. generally accepted accounting principles ("GAAP"). We use these non-GAAP financial measures to evaluate our operating performance and trends and make planning decisions. We believe that these non-GAAP financial measures help identify underlying trends in our business that could otherwise be masked by the effect of the expenses and other items that we exclude in these non-GAAP financial measures. Accordingly, we believe that these non-GAAP financial measures provide useful information to investors and others in understanding and evaluating our operating results, enhancing the overall understanding of our past performance and future prospects, and allowing for greater transparency with respect to a key financial metric used by our management in its financial and operational decision-making. Non-GAAP financial measures should not be considered in isolation of, or as an alternative to, measures prepared in accordance with U.S. GAAP. We define adjusted EBITDA as net income (loss) adjusted to exclude the impact of depreciation, stock-based compensation expense, interest income, interest expense, other income (expense), income taxes and other items that we do not consider representative of our underlying operating performance. We define adjusted EBITDA margin as adjusted EBITDA divided by revenue. We define free cash flow as net cash from operations less purchases of property and equipment. We do not provide a reconciliation of forward-looking non-GAAP financial measures to their comparable GAAP financial measures because we cannot do so without unreasonable effort due to unavailability of information needed to calculate reconciling items and due to the variability, complexity and limited visibility of the adjusting items that would be excluded from the non-GAAP financial measures in future periods. When planning, forecasting and analyzing future periods, we do so primarily on a non-GAAP basis without preparing a GAAP analysis as that would require estimates for certain items such as stock-based compensation, which is inherently difficult to predict with reasonable accuracy. Stock-based compensation expense is difficult to estimate because it depends on our future hiring and retention needs, as well as the future fair market value of our common stock, all of which are difficult to predict and subject to constant change. In addition, for purposes of setting annual guidance, it would be difficult to quantify stock-based compensation expense for the year with reasonable accuracy in the current quarter. As a result, we do not believe that a GAAP reconciliation would provide meaningful supplemental information about our outlook.#15Reconciliation of Net Income to Adjusted EBITDA Net income Add (deduct): Depreciation and amortization Stock-based compensation expense Interest income Interest expense Other (income) expense, net Provision for income taxes Restructuring and related expenses (1) Legal and transaction related costs (2) Adjusted EBITDA Revenue Adjusted EBITDA margin January 1, 2022 $ 123,481 9,217 17,459 (33) 98 Note: $ in thousands, unaudited. 1,402 7,646 3,873 $ 163,143 $ 664,481 24.6 % Three Months Ended January 2, 2021 $ 132,292 7,982 14,844 (36) 265 (4,257) 9,120 (2,611) 8,666 $ 166,265 $ 645,584 25.8 % (1) Restructuring and related expenses for the three months ended January 2, 2021, include a gain of $2.8 million, related to our negotiation for the early termination of a facility lease that was part of the restructuring plan initiated in June 2020 as part of our efforts to reduce operating expenses and conserve liquidity due to the uncertainty and challenges stemming from the COVID-19 pandemic. The gain represents the difference between the related operating lease liability and previously accrued restructuring expenses versus the early termination payment. (2) Legal and transaction related costs consist of expenses related to our intellectual property ("IP") litigation against Alphabet Inc. and Google LLC as well as legal and transaction costs associated with our acquisition activity, which we do not consider representative of our underlying operating performance.#16Reconciliation of Cash Flows Provided by Operating Activities to Free Cash Flow Cash flows provided by operating activities Less: Purchases of property and equipment, intangible and other assets Free cash flow Note: $ in thousands, unaudited. Three Months Ended January 1, 2022 $179,934 (6,355) $173,579 January 2, 2021 $214,513 (11,333) $203,180#17SONOS