Sonder
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Sonder Q2 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Logotype for Sonder Holdings Inc
Q2 2025 earnings summary14 Oct, 2025

Executive summary

  • Completed full integration with Marriott's digital channels in Q2 2025, shifting all direct bookings to Marriott.com and the Marriott Bonvoy app.

  • Live Units decreased 19.4% year-over-year to approximately 8,300 due to portfolio optimization and lease terminations.

  • Revenue for Q2 2025 was $147.1M, down 11%–10.6% from Q2 2024, primarily due to fewer Bookable and Occupied Nights.

  • Net loss for Q2 2025 was $44.5M, compared to net income of $32.7M in Q2 2024, driven by a $43.8M loss on preferred stock issuance.

  • Bookable Nights declined 21% year-over-year due to the Portfolio Optimization Program.

Financial highlights

  • Q2 2025 revenue: $147.1M (down 10.6%–11% year-over-year); six months ended June 30, 2025: $265.9M (down 10.8%).

  • Adjusted Free Cash Flow (FCF) for the first half of 2025 improved to $(24.4)M from $(53.2)M in the prior year period; Q2 2025 Adjusted FCF was $(17.5)M.

  • RevPAR increased 12.9%–13% year-over-year to $184 in Q2 2025; ADR rose 5.4% to $216; occupancy rate improved to 85.5%–86%.

  • Cost of revenue and operating expenses decreased 21.6% year-over-year, reflecting cost optimization and portfolio exits.

  • Net cash used in operating activities for the first half of 2025 was $(24.0)M, a significant improvement from $(73.1)M in 2024.

Outlook and guidance

  • Focus remains on achieving sustainable positive Adjusted FCF through cost reductions, portfolio optimization, and leveraging the Marriott partnership.

  • Management expects continued revenue and efficiency gains from Marriott integration and ongoing cost-saving initiatives.

  • Risks include macroeconomic uncertainty, travel demand fluctuations, and liquidity constraints.

Target Live Unit count post-optimization?
Marriott integration's Q2 revenue contribution?
When will Sonder achieve positive Adjusted FCF?
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