Sign up Australia
Proactive Investors - Run By Investors For Investors

Sonos to make its public debut on the Nasdaq market

Sonos' IPO filing said it plans to raise US$100mln, but the company still hasn't disclosed its estimate for its per-share offering price
The private equity firm KKR currently has a 26 percent stake in Sonos

As expected, Sonos, the popular wireless speaker company, has filed to list its shares on the NASDAQ under the symbol SYNO, according to a filing with the Securities and Exchange Commission.

Sonos’s IPO filing said it plans to raise $100mln. However, the company still hasn’t disclosed its estimate for its per-share offering price as well as the number of shares.

According to the SEC filing, the company, which is based in Santa Barbara, California, had over 19mln Sonos products in some 6.9mln households globally as of March of this year.

The company estimates its consumers listen to an average of 70 hours of content per month, according to the filing.

Taking a cue from the voice-activated AI systems being introduced by Amazon, Google and Apple, Sonos is pushing into the market for voice-enabled speakers with gusto.

Sonos One, its first voice-enabled speaker was introduced last year while Sonos Beam, its voice-enabled home theater speaker, arrived this month.

However, the company was cautious about the the voice-enabled speaker market.

"The voice-enabled speaker market and the voice-enabled smart home systems market are still in the early stages of development," Sonos said in its SEC filing.  "If these markets do not continue to grow, or grow in unpredictable ways, our revenue may fall short of expectations and our operating results may be harmed, particularly since we incur substantial costs to introduce new products in advance of anticipated sales."

In fiscal 2017, Sonos reported revenue of US$992.5mln, a 10% jump from the US$901.3mln in revenue it saw in fiscal 2016. Its net loss last year shrunk to US$14.2mln from US$38.2mln in the previous year.

Private equity firm KKR currently has the biggest stake in the company with a 26% interest, according to the SEC filing. Index Ventures and Sonos co-founder John MacFarlane, meanwhile, each own 13% of Sonos.

The company had 1,478 full-time employees as of last March.


View full SONO profile View Profile

Sonos Timeline

No investment advice

The information on this Site is of a general nature only. It does not take your specific needs or circumstances into consideration, so you should look at your own financial position, objectives and requirements and seek financial advice before making any financial decisions. You acknowledge and understand that neither the Company, its related bodies corporate, the information providers or their affiliates will advise you personally about the nature, potential value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter. You should read our FSG and any other relevant disclosure documents and if necessary seek persona advice prior to making any investment decision.

You understand and agree that no Content (as defined below) published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person.

You understand that in certain circumstances the Company, its related bodies corporate, the information providers or their affiliates may have received, or be entitled to receive, financial or other consideration in connection with promoting, and providing information about, certain entities on the Site and in communications otherwise provided to you.

You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate. From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

Before you act on any general advice we provide, please consider whether it is appropriate for your personal circumstances.

© Proactive Investors 2018

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use