Sonos Results Presentation Deck slide image

Sonos Results Presentation Deck

Responsibly Investing to Drive Long Term Growth Y/Y Change 18% 16% (33)% N/A 16% R&D (GAAP) Less: Stock-based compensation expense Less: Amortization of intangibles Less: Restructuring and abandonment costs R&D (Non-GAAP) % of revenue S&M (GAAP) Less: Stock-based compensation expense Less: Amortization of intangibles Less: Restructuring and abandonment costs S&M (Non-GAAP) % of revenue G&A (GAAP) Less: Stock-based compensation expense Less: Legal and transaction related costs Less: Amortization of intangibles Less: Restructuring and abandonment costs Adjusted G&A (Non-GAAP) % of revenue Total Operating Expenses (GAAP) % of revenue Less: Stock-based compensation expense Less: Legal and transaction related costs Less: Amortization of intangibles Less: Restructuring and abandonment costs Adjusted Operating Expenses (Non-GAAP) % of revenue FY23 $ 301.0 35.5 2.0 6.6 $256.9 15.5% $267.5 15.7 5.6 $ 246.2 14.9% $168.5 23.6 33.0 0.1 3.5 $108.4 6.5% $ 737.0 44.5% 74.8 33.0 2.1 15.6 $ 611.5 36.9% FY22 $256.1 30.7 3.0 $ 222.4 12.7% $280.3 15.3 $ 265.0 15.1% $ 170.4 28.0 22.9 0.1 $ 119.5 6.8% $ 706.8 40.3% 74.0 22.9 3.1 $606.9 34.6% 280 bps (5)% 2% N/A N/A (7)% -20 bps (1)% (16)% 44% N/A (9)% -30 bps 4% 420 bps 1% 44% (32)% N/A 1% 230 bps Committed to managing operating expenses (OpEx) while making targeted and responsible investment in product roadmap and category expansion to drive long term growth Announced 7% RIF in mid-June, further O rationalization of real estate footprint and program spend GAAP OpEx dollars +4% y/y: O O Legal and transaction-related costs +44% y/y Adjusted OpEx (Non-GAAP) dollars +1% y/y: Adjusted OpEx (Non-GAAP) deleverage of 230 bps y/y R&D (Non-GAAP) +16% due to full year impact of FY22 headcount growth O O O OpEx (GAAP) deleverage of 420 bps y/y driven by full year impact of FY22 headcount growth, $15.6M of restructuring and abandonment costs, and higher legal and transaction expenses, partially offset by reduced advertising and marketing investment O S&M (Non-GAAP) -7% due to reduced advertising and marketing investment Adjusted G&A (Non-GAAP) -9% due to a reduction in normal course legal expenses Note: $ in millions (unless noted), unaudited. Percentages and sums have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely. R&D (non-GAAP), S&M (non-GAAP), Adjusted G&A (non-GAAP) and Adjusted Operating Expenses (non-GAAP) are each non-GAAP measures. 9
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