Quarterly ResultMay 12, 2026, 07:07 AM
Sleep Number Q1 Net Sales $319M, Net Loss $50M
AI Summary
Sleep Number reported first-quarter 2026 net sales of $319 million, an 18.9% decrease year-over-year, resulting in a net loss of $50 million, significantly wider than the $9 million net loss in the prior year. The company is advancing a turnaround strategy through product and brand resets, alongside $200 million in annualized cost savings. Sleep Number is also focused on securing a long-term capital solution, having recently obtained $55 million in incremental liquidity, and is not providing financial guidance during this strategic review.
Key Highlights
- Net sales decreased 18.9% to $319 million for Q1 2026.
- Net loss widened to $50 million from $9 million year-over-year.
- Gross profit margin declined to 57.9% from 61.2%.
- Adjusted operating expenses decreased 18% to $195 million.
- Adjusted EBITDA fell 74% to $6 million.
- Net cash used in operating activities was $8 million.
- Secured $55 million in incremental liquidity from existing lenders.
- Achieved approximately $200 million in annualized cost savings.