Q3 26 EPS
$0.27
BEAT +35.00%
Est. $0.20
Q3 26 Revenue
$375.3M
BEAT +2.63%
Est. $365.7M
vs S&P Since Q3 26
-10.9%
TRAILING MARKET
SONO -6.9% vs S&P +4.0%
Market Reaction
Did SONO Beat Earnings? Q3 2026 Results
Sonos Inc. Delivered a stronger-than-expected third fiscal quarter, with the home audio company beating on both the top and bottom lines as an 18-month organizational transformation began to show tangible results. Non-GAAP diluted EPS came in at $0.2… Read more Sonos Inc. Delivered a stronger-than-expected third fiscal quarter, with the home audio company beating on both the top and bottom lines as an 18-month organizational transformation began to show tangible results. Non-GAAP diluted EPS came in at $0.27, clearing the $0.20 consensus estimate by 35.00%, while revenue of $375.26 million edged past the $365.66 million forecast by 2.63% and grew 8.8% year-over-year, an acceleration from the 2% growth recorded in the first half of the fiscal year. The single largest driver of the quarter was a $23.20 million benefit from IEEPA tariff refunds following a U.S. Supreme Court ruling, which lifted GAAP gross margin to 50.4%; even stripping that out, non-GAAP gross margin expanded to 45.5% from 44.7% a year ago, underscoring genuine operational improvement. Adjusted EBITDA rose 24% to $43.97 million, with the margin widening to 11.7%. CEO Tom Conrad characterized the period as an inflection point and signaled the company is carrying momentum into the fourth quarter, with formal guidance set to follow on the July 29 earnings call.
Key Takeaways
- • Revenue growth accelerated to 9% in Q3 from 2% in the first half of fiscal year
- • Sonos Speakers category drove top-line growth
- • Non-GAAP gross margin expanded to 45.5% from 44.7% year-over-year
- • Adjusted EBITDA margin expanded to 11.7% from 10.3% year-over-year
- • Leaner cost structure with reduced stock-based compensation expense
- • Non-recurring IEEPA tariff refunds of $23.2 million boosted GAAP results
SONO Forward Guidance & Outlook
The company stated it will provide guidance on its Q3 FY2026 earnings call. CEO Tom Conrad indicated the company is carrying momentum into the fourth quarter with a focus on building durable growth while operating with discipline.
SONO YoY Financials
Q3 2026 vs Q3 2025, source: SEC Filings
SONO Revenue by Segment
With YoY comparisons, source: SEC Filings
SONO Revenue by Geography
With YoY comparisons, source: SEC Filings
“Our third quarter demonstrates the inflection we've been talking about, as revenue growth accelerated and the reinvention of the business continued to take hold. Over the past 18 months, we've built a leaner, more focused company and a healthier core business centered around our system strategy, and that work is showing up in our results. Revenue grew 9% in Q3, up from 2% in the first half, and we're now growing revenue, expanding gross margin, and growing profit at the same time. We're carrying this momentum into the fourth quarter as we focus on building durable growth while operating with discipline.”
— Tom Conrad, Q3 2026 Earnings Press Release
SONO Earnings Trends
SONO vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
SONO EPS Trend
Earnings per share: estimate vs actual
SONO Revenue Trend
Quarterly revenue: estimate vs actual
SONO Quarterly Results
6 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q3 26 BEAT | $0.20 | $0.27 | +35.00% | $375.3M | +2.63% |
| Q2 26 MISS | $0.01 | $-0.02 | -300.00% | $281.5M | +5.16% |
| Q1 26 BEAT | $0.68 | $0.93 | +36.76% | $545.7M | +1.63% |
| Q4 25 MISS FY | $0.05 | $-0.06 | -220.00% | $287.9M | +4.38% |
| FY Full Year | — | $0.64 | — | $1.44B | — |
| Q3 25 BEAT | $0.15 | $0.19 | +26.67% | $344.8M | +6.13% |
| Q2 25 MISS | $-0.16 | $-0.18 | -12.50% | $259.8M | +2.23% |