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SNBR

Sleep Number Corporation

SNBR

Sleep Number Corporation • NASDAQ
$5.10 ▲ 7.14% (+0.34)
Market Cap $116.23 M
52w High $20.73
52w Low $3.49
Dividend Yield 0%
P/E -1.49
Volume 547.37K
Outstanding Shares 22.79M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $342.879M ▲ $245.704M ▲ $-39.79M ▼ -11.605% ▼ $-1.73 ▼ $-26.78M ▼
Q2-2025 $327.925M ▼ $193.82M ▼ $-25.012M ▼ -7.627% ▼ $-1.09 ▼ $14.185M ▼
Q1-2025 $393.261M ▲ $238.625M ▲ $-8.646M ▼ -2.199% ▼ $-0.38 ▼ $16.686M ▼
Q4-2024 $376.817M ▼ $222.803M ▼ $-4.665M ▼ -1.238% ▼ $-0.21 ▼ $18.75M ▼
Q3-2024 $426.617M $251.096M $-3.136M -0.735% $-0.14 $24.634M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $1.264M ▼ $749.388M ▼ $1.271B ▼ $-521.342M ▼
Q2-2025 $1.349M ▼ $804.512M ▼ $1.285B ▼ $-480.688M ▼
Q1-2025 $1.691M ▼ $836.791M ▼ $1.294B ▼ $-456.844M ▼
Q4-2024 $1.95M ▲ $860.81M ▼ $1.312B ▼ $-451.586M ▼
Q3-2024 $1.592M $864.651M $1.313B $-448.784M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $-39.79M ▼ $-6.037M ▼ $-3.836M ▲ $9.788M ▲ $-85K ▲ $-9.873M ▼
Q2-2025 $-25.012M ▼ $3.822M ▲ $-6.733M ▼ $2.569M ▼ $-342K ▼ $-2.911M ▲
Q1-2025 $-8.646M ▼ $-2.626M ▲ $-4.599M ▲ $6.966M ▼ $-259K ▼ $-7.225M ▲
Q4-2024 $-4.665M ▼ $-23.681M ▼ $-6.287M ▼ $30.326M ▲ $358K ▲ $-29.968M ▼
Q3-2024 $-3.136M $27.306M $-2.987M $-24.747M $-428K $24.163M

Revenue by Products

Product Q1-2025Q2-2025Q3-2025
Reportable Segment
Reportable Segment
 $390.00M ▲$330.00M ▼$340.00M ▲

Five-Year Company Overview

Income Statement

Income Statement Revenue grew strongly through the pandemic but has declined each year since, and is now back below earlier levels. The company still earns a healthy gross margin on each bed, but profit margins have been squeezed sharply by higher costs and softer demand. Operating profit has fallen to very thin levels, and the business has posted small net losses in the last couple of years after several years of solid earnings. Overall, profitability has moved from strong to roughly breakeven, reflecting a tougher sales environment and less operating leverage than before.

Balance Sheet

Balance Sheet The balance sheet is a key weak spot. The company carries a meaningful amount of debt relative to its size, and reported shareholder equity is negative, which signals a leveraged capital structure and limited cushion if conditions worsen. Cash on hand is minimal, so the business is more reliant on its credit lines and ongoing cash generation. This structure can work when profits are healthy, but it leaves less room for error during downturns or if sales stay under pressure.

Cash Flow

Cash Flow Cash generation has become much less robust than a few years ago. The business once produced strong cash from operations, but more recently cash inflows have been modest and occasionally negative. Free cash flow has hovered around breakeven after previously being a clear positive, helped partly by trimming investment spending. This indicates the company is still funding itself, but with a thin margin of safety, and any misstep in demand or working capital could quickly tighten liquidity.

Competitive Edge

Competitive Edge Sleep Number has a distinctive position in the mattress market as a technology‑driven, premium brand focused on personalized and data‑driven sleep. Its adjustable air beds, smart sensors, and integrated software differentiate it from traditional mattresses and many online‑only rivals. A direct‑to‑consumer retail model gives strong control over the customer experience and reinforces the brand’s premium feel. At the same time, it operates in a highly competitive, promotion‑heavy category, facing well‑known incumbents and aggressive newer brands, all while serving a discretionary purchase that is sensitive to the economic cycle and consumer confidence.

Innovation and R&D

Innovation and R&D Innovation is a major strength. The company has steadily evolved from selling adjustable beds to offering full “smart bed” systems that track sleep, adjust automatically, and increasingly manage temperature. Its SleepIQ platform and large sleep‑data set provide a foundation for more personalized insights and potential health‑related features. Ongoing work on advanced monitoring, AI‑driven recommendations, and integration with broader health ecosystems could deepen customer engagement and strengthen the brand’s differentiation. The flip side is that this strategy requires sustained investment and flawless execution to turn cutting‑edge features into consistent, profitable demand in a cyclical, price‑sensitive market.

Summary

Sleep Number combines a clearly differentiated, technology‑heavy product line and strong brand identity with a much weaker recent financial picture. Sales and profits have slipped from prior highs, and the company now operates close to breakeven, leaving less room to absorb shocks. The balance sheet is leveraged with negative equity and limited cash, which heightens financial risk if business conditions remain soft. Against this, its smart‑bed platform, data assets, and health‑oriented innovation strategy provide real strategic advantages that could support future growth if consumer demand stabilizes and the company can convert its innovations into sustainable, higher‑margin sales. Overall, it is a story of strong product differentiation and promising technology set against a tight financial position and cyclical end market.

NEWS

November 12, 2025 · 8:00 AM UTC

Sleep Number Earns J.D. Power Award, Ranked #1 in Customer Satisfaction with Mattresses Purchased In-Store and Online

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November 5, 2025 · 7:00 AM UTC

Sleep Number Announces Third Quarter 2025 Results

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October 16, 2025 · 8:31 AM UTC

Sleep Number to Participate in Upcoming December Investor Conferences

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October 16, 2025 · 8:30 AM UTC

Sleep Number Corporation to Announce Third Quarter 2025 Results on November 5, 2025

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