Sonder Holdings Inc., a leading global brand of premium, design-forward apartments and intimate boutique hotels, has released its financial results for the fourth quarter and full year 2024. The company, which serves the modern traveler, has also filed its Annual Report on Form 10-K.\n\nFinancial Highlights\n\nFor the fourth quarter of 2024, Sonder reported:\nRevenue of $161 million, a 2% decrease year-over-year.\nNet Income of $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.\nAdjusted EBITDA of $(20) million, a 51% increase year-over-year.\nAdjusted EBITDAR of $50 million, a 20% increase year-over-year.\nCash Used In Operating Activities was $39 million, a 1% increase year-over-year.\nAdjusted Free Cash Flow of $(26) million, a 30% increase year-over-year.\nTotal Cash, Cash Equivalents, and Restricted Cash was $72 million as of December 31, 2024.\n\nFor the full year 2024, the company reported:\nRevenue of $621 million, a 3% increase year-over-year.\nNet Loss of $224 million, a 24% decrease year-over-year.\nAdjusted EBITDA of $(105) million, a 38% increase year-over-year.\nAdjusted EBITDAR of $196 million, a 30% increase year-over-year.\nCash Used in Operating Activities was $129 million, a 17% increase year-over-year.\nAdjusted Free Cash Flow of $(90) million, a 25% increase year-over-year.\n\nBusiness and Operational Highlights\n\nSonder's RevPAR for the fourth quarter was $180, a 19% increase year-over-year, with an occupancy rate of 85%. However, bookable nights decreased by 18% year-over-year due to the Portfolio Optimization Program. The total portfolio consisted of approximately 10,700 units as of December 31, 2024.\n\nStrategic Initiatives and Corporate Developments\n\nIn August 2024, Sonder entered into a long-term strategic licensing agreement with Marriott International. By June 2025, all Sonder properties were integrated into Marriott's digital channels under the \"Sonder by Marriott Bonvoy\" collection. Additionally, the Portfolio Optimization Program, initiated in November 2023, led to the exit or rent reduction of approximately 110 buildings, or 4,500 units, by the end of 2024.\n\nManagement's Perspective\n\nManagement highlighted the significant progress made in optimizing the portfolio and integrating with Marriott. The strategic initiatives are expected to enhance operational efficiency and drive future growth.\n\nFuture Outlook\n\nSonder's forward-looking statements indicate a focus on achieving sustainable positive Adjusted Free Cash Flow as part of their Cash Flow Positive Plan. The company aims to continue optimizing its portfolio and leveraging its partnership with Marriott to enhance its market position.

Sonder Holdings Inc. Announces Fourth Quarter and Full Year 2024 Financial Results

Sonder Holdings Inc., a global brand of premium apartments and boutique hotels, released its 2024 financial results, highlighting a 3% revenue increase for the year, a 128% rise in net income, and strategic partnerships like its long-term licensing agreement with Marriott International. The company also outlined portfolio optimization efforts and future growth plans.