Sonos Results Presentation Deck slide image

Sonos Results Presentation Deck

Reconciliation 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.
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