Speaker maker Sonos this afternoon reported Q1 revenue that topped Wall Street's expectations and a 2022 prediction of $2 billion in revenue.
Revenue in the quarter rose 3% year over year to $664.5 million, yielding a net profit of $1.02 a share.
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Analysts had been modeling $637 million and an EPS of $0.98.
The report sent Sonos shares up nearly 9% in late trading.
"We are pleased to report that Sonos had another excellent quarter, with record-setting revenue of $664.5 million and a strong adjusted EBITDA margin of 24.6% even as we continued to invest in our business. Importantly, we believe that we would have sold much more but for chip shortages that constrained our supply, as demand was, and continues to be, strong," said Sonos CEO Patrick Spence.
"Our operations team has developed considerable resiliency and we are well-positioned to deliver on our fiscal 2022 outlook, so we have increased the midpoint of our guidance to reflect this."
Spence added that long-term, the company's "flywheel of new household generation and existing customer repurchase remains a powerful driver of growth."
"At a mere 2% market share of the $89 billion global audio market, with a brand that is gaining momentum every day, we believe we are well positioned to seize the future and deliver significant shareholder value over the long-term," Spence said.
For the full year, the company raised its outlook to a forecast of revenue in a range of $1.95 billion to $2 billion. Sonos also projected revenue of approximately $2.5 billion in fiscal 2024.