SAN FRANCISCO--(BUSINESS WIRE)--July 23, 2025--
Sonder Holdings Inc. (Nasdaq: SOND) ("Sonder" or the "Company"), a leading global brand of premium, design-forward apartments and intimate boutique hotels serving the modern traveler, today announced its fourth quarter and full year 2024 financial results and filed the related Annual Report on Form 10-K, which can be found on the Company's website at investors.sonder.com.
Fourth Quarter 2024 Financial Highlights(1)
--
RevPAR was $180, a 19% increase year-over-year
--
Occupancy Rate was 85%, a three percentage point increase
year-over-year
--
Bookable Nights were 897,000, an 18% decrease year-over-year, driven by
the Portfolio Optimization Program (described further below)
--
Revenue was $161 million, a 2% decrease year-over-year
--
Net Income was $31 million, a 128% increase year-over-year, including a
$(92) million change in fair value of the forward contract, related to
the preferred stock transaction completed on August 13, 2024
--
Adjusted EBITDA2 was $(20) million, a 51% increase year-over-year
--
Adjusted EBITDAR2 was $50 million, a 20% increase year-over-year
--
Cash Used In Operating Activities was $39 million, a 1% increase
year-over-year
--
Adjusted Free Cash Flow2 was $(26) million, a 30% increase
year-over-year
--
Total Cash, Cash Equivalents and Restricted Cash was $72 million, which
included $51 million of restricted cash as of December 31, 2024
--
Live Units were approximately 9,900 as of December 31, 2024
--
Total Portfolio was approximately 10,700 as of December 31, 2024
Full Year 2024 Financial Highlights
--
RevPAR was $159, a 5% increase year-over-year
--
Occupancy Rate was 81%, a one percentage point decrease year-over-year
--
Bookable Nights were 3,911,000, a 2% decrease year-over-year, driven by
the Portfolio Optimization Program (described further below)
--
Revenue was $621 million, a 3% increase year-over-year
--
Net Loss was $224 million, a 24% decrease year-over-year, including a
$93 million lease adjustment gains, net, a $84 million loss on preferred
stock issuance, and a $29 million change in fair value of the forward
contract, each related to the preferred stock transaction completed on
August 13, 2024 for $43 million of new convertible preferred equity
--
Adjusted EBITDA2 was $(105) million, a 38% increase year-over-year
--
Adjusted EBITDAR2 was $196 million, a 30% increase year-over-year
--
Cash Used in Operating Activities was $129 million, a 17% increase
year-over-year
--
Adjusted Free Cash Flow2 was $(90) million, a 25% increase
year-over-year
Long-Term Strategic Licensing Agreement with Marriott International
Sonder entered into a long-term strategic licensing agreement with Marriott International, Inc. $(MAR)$ ("Marriott") in August 2024 and completed the full Marriott integration in the second quarter of 2025. As of June 2025, all Sonder properties are available for booking on Marriott's digital channels and platform, including Marriott.com and the Marriott Bonvoy$(R)$ mobile app under the new "Sonder by Marriott Bonvoy" collection. Sonder's properties also participate in the Marriott Bonvoy(R) travel platform.
Portfolio Optimization Program
In November 2023, Sonder implemented a portfolio optimization program to mitigate losses related to certain underperforming properties and to assess the Company's portfolio of rents relative to current operations and existing market rents. As of December 31, 2024, Sonder signed agreements to exit or reduce rent for approximately 110 buildings, or 4,500 units, as part of the portfolio optimization program. Of the approximately 85 buildings, or 3,300 units, with finalized exit agreements, Sonder had exited approximately 80 buildings, or 3,200 units, as of December 31, 2024. As of June 30, 2025, all 85 buildings, or 3,300 units with finalized exit agreements were exited.
About Sonder
Sonder (NASDAQ: SOND) is a leading global brand of premium, design-forward apartments and intimate boutique hotels serving the modern traveler. Launched in 2014, Sonder offers inspiring, thoughtfully designed accommodations and innovative, tech-enabled service combined into one seamless experience. Sonder properties are found in prime locations in 41 cities, spanning nine countries, and three continents.
To learn more, visit http://www.sonder.com or follow Sonder on Instagram, LinkedIn or X.
Download the Sonder app on Apple or Google Play.
(1) $ figures represent metrics for the three months ended December 31, 2024, except where otherwise noted. % figures represent year-over-year growth for the three months ended December 31, 2024 compared to the three months ended December 31, 2023.
(2) Adjusted EBITDA, Adjusted EBITDAR, and Adjusted Free Cash Flow are non-GAAP financial measures. See "Non-GAAP Financial Measures" for additional information on non-GAAP financial measures and a reconciliation to the most comparable GAAP measures
SONDER HOLDINGS INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(in thousands, except share data)
December 31, 2024 December 31, 2023
------------------- ---------------------
Assets
Current assets:
Cash and cash equivalents $ 20,786 $ 95,763
Restricted cash 51,268 40,734
-------------- --------------
Total cash, cash
equivalents and
restricted cash 72,054 136,497
Accounts receivable, net 13,918 7,999
Prepaid expenses 4,141 5,366
Other current assets 9,733 11,345
-------------- --------------
Total current assets 99,846 161,207
Property and equipment, net 5,933 22,775
Operating lease right-of-use
"ROU" assets 1,013,854 1,322,135
Other non-current assets 17,544 15,150
-------------- --------------
Total assets $ 1,137,177 $ 1,521,267
============== ==============
Liabilities and stockholders'
deficit
Current liabilities:
Accounts payable $ 33,724 $ 23,560
Accrued liabilities 32,621 36,040
Taxes payable 22,224 14,005
Other current liabilities 5,513 2,586
Deferred revenue 71,729 61,971
Current portion of
long-term debt, net 1,000 168,710
Current operating lease
liabilities 171,736 199,364
-------------- --------------
Total current
liabilities 338,547 506,236
-------------- --------------
Non-current operating lease
liabilities 1,009,169 1,389,580
Long-term debt, net 217,236 1,500
Other non-current liabilities 8,113 652
-------------- --------------
Total liabilities 1,573,065 1,897,968
-------------- --------------
Mezzanine equity:
Series A redeemable
convertible preferred stock 162,907 --
Stockholders' deficit:
Common stock 1 1
Additional paid-in capital 977,112 977,503
Cumulative translation
adjustment 7,360 4,976
Accumulated deficit (1,583,268) (1,359,181)
-------------- --------------
Total stockholders'
deficit (598,795) (376,701)
-------------- --------------
Total liabilities and
stockholders'
deficit $ 1,137,177 $ 1,521,267
============== ==============
SONDER HOLDINGS INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)
(in thousands, except share data)
Three months ended Year ended
December 31, December 31,
--------------------- ------------------------
2024 2023 2024 2023
--------- ---------- ---------- ------------
Revenue $161,078 $ 164,264 $ 621,272 $ 602,066
Costs and operating
expenses:
Cost of revenue
(excluding depreciation
and amortization) 89,237 102,951 377,243 392,898
Operations and support 42,660 58,487 184,343 212,913
General and
administrative 40,102 19,145 123,390 112,082
Research and development 3,031 5,076 16,522 22,365
Sales and marketing 21,135 23,672 84,248 78,566
(MORE TO FOLLOW) Dow Jones Newswires
July 23, 2025 19:54 ET (23:54 GMT)