Sonos Inc (SONO) shares tumbled 8.59% in pre-market trading on Wednesday, following the release of its fourth-quarter and fiscal year 2025 financial results. Despite beating analyst expectations, the company's continued losses appear to have rattled investors.
The audio technology company reported Q4 revenue of $287.9 million, surpassing the analyst consensus estimate of $275.829 million by 4.38%. This represents a 12.73% increase from the same period last year. Sonos also posted an adjusted loss per share of $0.06, which was significantly better than the expected loss of $0.24 per share and showed improvement from the $0.18 loss per share in the previous year.
However, the company still recorded a GAAP net loss of $37.858 million for the quarter. For the full fiscal year 2025, Sonos reported revenue of $1.44 billion with a GAAP net loss of $61.1 million. The stark pre-market decline suggests that investors may be focusing on the company's continued unprofitability despite revenue growth. Additionally, concerns about the company's future growth prospects in a challenging economic environment could be contributing to the negative sentiment.
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