Q4 & Fiscal Year 2023 Financial Results
FY23 Highlights
15
RADIOHEAD
OK COMPUTER
DAK
IS NOW
• Revenue of $1.66B, -6% y/y (-3% constant currency) driven by
partner channel inventory reductions, softer consumer demand in
the second half of the year, FX and tough compares due to FY22
backorder fulfillment, partially offset by favorable product mix and
the success of new product introductions
• Gained significant $ market share in US, UK, and DE home
theater category, recorded our highest annual market share
since FY19 in both US and DE
• Record 3.05 products per household vs. 2.98 LY; ending year
in 15.3M homes, with existing households representing 44% of
new registrations
• Gross margin of 43.3%, -220bps y/y, driven by return to normal
level of promotional activity versus FY22, higher component costs,
excess component provisions and FX headwind, partially offset by
fewer spot component purchases, price increases and lower air
freight expense
• Adjusted EBITDA of $153.9M, 9.3% margin, -360bps y/y driven
by lower revenue, gross margin contraction and ongoing
investments in product roadmap
• Free cash flow of $50.1M, +$124.6M y/y from -$74.5M in FY22
• Returned $100M to shareholders by repurchasing 6.6M shares,
Board announced authorization of additional $200M program
Source: internal data, Circana for US, GfK UK and DE
Note: Unaudited. Adjusted EBITDA and free cash flow are non-GAAP measures. See
appendix for reconciliation of GAAP to non-GAAP measures.
3View entire presentation