Sonos, Inc. (Nasdaq: SONO) today announced that its Board of Directors has authorized a common stock repurchase program of up to $50 million.
Sonos completed its previous $50 million share repurchase program during the fourth quarter of fiscal 2020 pursuant to which it purchased 3.8 million shares.
Patrick Spence, Sonos CEO, commented, "This new authorization underscores the fact we’ve hit an inflection point in our business and demonstrates our commitment to delivering long-term shareholder value. We are confident in the earnings power of our model and our belief in the significant value creation opportunities that lie ahead."
Under the repurchase program, Sonos may purchase shares of common stock on a discretionary basis from time to time through open market repurchases, privately negotiated transactions or other means, including through Rule 10b5-1 trading plans or through the use of other techniques such as accelerated share repurchases. The timing and number of shares repurchased will depend on a variety of factors, including stock price, trading volume, and general business and market conditions. The repurchase program has no time limit, does not obligate Sonos to acquire a specified number of shares and may be modified, suspended or discontinued at any time at the company’s discretion.
Repurchases under this program will be funded from the company’s existing cash and cash equivalents or future cash flow.
Sonos (Nasdaq: SONO) is one of the world’s leading sound experience brands. As the inventor of multi-room wireless home audio, Sonos innovation helps the world listen better by giving people access to the content they love and allowing them to control it however they choose. Known for delivering an unparalleled sound experience, thoughtful home design aesthetic, simplicity of use and an open platform, Sonos makes the breadth of audio content available to anyone. Sonos is headquartered in Santa Barbara, California. Learn more at www.sonos.com.
This press release contains forward-looking statements that involve risks and uncertainties, such as statements regarding our expectations regarding repurchases of our common stock under the stock repurchase program, our long-term financial and growth potential, and the value of our common stock, among others. These forward-looking statements are only predictions and may differ materially from actual results due to a variety of factors, including, but not limited to: the duration and impact of the COVID-19 pandemic and related mitigation efforts on our industry; changes in general economic or market conditions that could affect consumer income and overall consumer spending; our ability to successfully introduce new products and services and maintain the success of our existing products; the success of our efforts to expand our direct-to-consumer channel; the success of our financial, growth and business strategies; our ability to accurately forecast consumer demand for our products and manage our inventory in response to changing demands; fluctuations in our stock price, the fluctuations in the trading volume of our stock, the nature of other investments or strategic opportunities presented to us from time to time, our cash flows from operations; or other risks as set forth under the caption "Risk Factors" in our Quarterly Report on Form 10-Q for the fiscal quarter ended June 27, 2020 and in our other filings with the Securities and Exchange Commission (the "SEC"), copies of which are available at the SEC’s website located at www.sec.gov or upon request from our investor relations department. All forward-looking statements herein reflect our opinions only as of the date of this news release, and we undertake no obligation, and expressly disclaim any obligation, to update forward-looking statements herein in light of new information or future events.
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