2023-06-14 08:50:14 ET
Sonos ( NASDAQ: SONO ) announced a significant reduction in the company's workforce on Wednesday.
The California-based audio products seller said the layoffs will impact approximately 7% of its employees. Decisions regarding the elimination of positions are subject to local law and consultation requirements in certain countries.
In another cost-cutting move, Sonos ( SONO ) announced it is committing to further reduce its real estate footprint and re-evaluating certain program spending. Those actions were committed to on June 13 and are said to reflect SONO's commitment to rightsize its cost base while still investing in its product roadmap to drive future growth. Sonos ( SONO ) estimated that it will incur approximately $11M to $14M of restructuring and related charges, of which $9M to $11M is related to employee severance and benefits costs.
Sonos ( SONO ) expects to incur most of the restructuring and related charges in is fiscal third quarter.
Shares of Sonos ( SONO ) gained 0.25% in premarket trading to $16.33 vs. the 52-week trading range of $13.65 to $24.56.
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Sonos cuts 7% of its workforce and commits to lower real estate footprint