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SONOS Sonos Reports Record First Quarter Fiscal 2021 Results Achieves Record Number of New Customers and Record Number of Existing Customers Adding Additional Products Raises Fiscal 2021 Outlook Santa Barbara , CA - February 10 , 2021 - Sonos , Inc. ( Nasdaq : SONO ) today reported record first quarter fiscal 2021 results . First Quarter 2021 Financial Highlights ( unaudited ) • GAAP net income increased 87 % to $ 132.3 million from $ 70.8 million last year ; non - GAAP net income excluding stock - based compensation , restructuring and legal and transaction related fees increased to $ 153.2 million from $ 87.4 million last year . GAAP diluted earnings per share ( EPS ) increased to $ 1.01 from $ 0.60 last year ; non - GAAP diluted earnings per share ( EPS ) excluding stock - based compensation , restructuring , and legal and transaction related fees increased to $ 1.17 from $ 0.74 last year . ⚫ Adjusted EBITDA increased 78 % to $ 166.3 million from $ 93.2 million last year ; excluding the effect of tariff duties and refunds , adjusted EBITDA increased 45 % to $ 163.2 million . • Adjusted EBITDA margin increased 920 basis points to 25.8 % from 16.6 % last year ; excluding the effect of tariff duties and refunds , adjusted EBITDA margin increased to 25.3 % . • Gross margin increased 590 basis points to 46.4 % from 40.5 % last year ; excluding the effect of tariff duties and refunds , gross margin increased to 45.9 % . • Revenue increased 15 % year - over - year to $ 645.6 million ; on a constant - currency basis revenue increased approximately 12 % year - over - year . • Cash flows from operating activities of $ 214.5 million compared to $ 118.8 million last year . • Free cash flow increased 97 % to $ 203.2 million compared to $ 102.9 million last year . Sonos CEO Patrick Spence commented , " Despite all of the challenges of the pandemic , our team rose to the occasion and delivered the best quarter in our 18 year history . We welcomed a record number of new customers while a record number of existing customers returned to add additional products to their system . Based on our outstanding first quarter performance , the momentum in our business , the exciting products we have planned for the future , and the power and profitability of our unique business model , we are raising our outlook for fiscal