By Yasin Ebrahim
Investing.com -- Sonos reported Wednesday fiscal second-quarter results that topped estimates but the wireless home sound system cut its full-year forecast as softening consumer demand weighs on performance.
Sonos Inc (NASDAQ:SONO) slumped more than 18% in recent after-hours trading.
The wireless home sound system maker reported adjusted EPS of $0.04 a share on revenue of $304.2 million. Analysts polled by Investing.com anticipated adjusted EPS of $0.01 a share on revenue of $295.9M.
Gross margins decreased 150 basis points year-over-year to 43.3%.
Looking ahead, the company cut its forecast for fiscal 2023 revenue to a range of $1.625 billion to $1.675B from $1.7B to $1.8B previously. Gross margin for the full year was also lowered to a range of 44.3% to 44.8%, compared to prior outlook range of 45.0% to 46.0%.
The company attributed the cut to "softening consumer demand and channel partner inventory tightening," though added that it was taking "swift action" to reduce operating expenses.