Sleep Number Stock Price, News & Analysis

Sleep Number Corporation (SNBR) has announced the granting of equity awards to its newly appointed Executive Vice President and Chief Marketing Officer, Amber Minson, effective May 15, 2025. The inducement grants include two components: a performance stock unit award of 21,724 shares vesting after three years based on company performance and relative shareholder return (2025-2027), and a time-vested restricted stock unit award of 21,724 shares vesting in three equal annual installments. These awards were granted outside Sleep Number's equity incentive plan and were approved by the Management Development and Compensation Committee on April 7, 2025, in compliance with Nasdaq Rule 5635(c)(4).

Sleep Number has announced significant leadership changes as part of its organizational redesign under President and CEO Linda Findley. The restructuring aims to create a more streamlined decision-making process and improved efficiency.

Key appointments include Melissa Barra as EVP, Chief Product and Enterprise Strategy Officer; Chris Krusmark as EVP, Chief Retail and People Officer; and Tanya Skogerboe as SVP, Chief Supply Chain and Transformation Officer. Hitesh Patel, CIO, will lead consolidated corporate technology capabilities, while Amber Minson joins as EVP, Chief Marketing Officer.

The company eliminated the Chief Innovation Officer position, held by Annie Bloomquist, who will serve as an advisor until May 31, 2025. Francis Lee (CFO) and Sam Hellfeld (Chief Legal and Risk Officer) retain their current roles. These changes focus on enhancing accountability, operational efficiency, and customer responsiveness.

Sleep Number reported challenging Q1 2025 results with net sales of $393 million, down 16% year-over-year. The company posted a net loss of $8.6 million ($0.38 per share), compared to a $7.5 million loss in Q1 2024.

Under new CEO Linda Findley's leadership, Sleep Number is implementing significant organizational changes, including a 21% reduction in corporate management roles. The company aims to reduce annual operating expenses by $80-100 million through streamlined operations and efficiency improvements.

Key financial metrics include:

• Gross profit margin improved to 61.2% (up 250 basis points)
• Operating expenses reduced by $23 million year-over-year
• Adjusted EBITDA of $22 million (down 41%)
• Leverage ratio at 4.46x EBITDAR

Due to recent leadership transition and macroeconomic uncertainty, Sleep Number has suspended providing 2025 financial guidance.

Sleep Number (SNBR) has announced equity inducement awards granted to their newly-hired President and CEO, Linda A. Findley, effective April 15, 2025. The compensation package includes three components:

• 362,057 shares of time-vested restricted stock units with performance modifier, vesting in three annual installments
• 181,028 performance stock units vesting after three years, based on company performance (2025-2027) and relative shareholder return
• 181,029 time-vested restricted stock units vesting in three annual installments

These inducement awards were approved by Sleep Number's Board on March 29, 2025, under Nasdaq Rule 5635(c)(4), granted outside the company's equity incentive plan, and are contingent upon continued employment.

Sleep Number (Nasdaq: SNBR) has appointed Amber Minson as Executive Vice President and Chief Marketing Officer (CMO), effective May 12, 2025. Minson brings over two decades of marketing and brand strategy experience from companies including Intuit, Alibaba, HSN, and Comcast NBCUniversal.

Most recently serving as CMO at Casper Sleep Inc. under a contract agreement, Minson previously held the position of Chief Revenue Officer at Blue Apron from 2022 to 2024. In her new role, she will lead Sleep Number's integrated marketing strategy, focusing on:

• Driving sustained demand generation
• Enhancing brand visibility
• Delivering media efficiency
• Ensuring message consistency across digital and in-store experiences
• Developing new customer partnerships

Minson succeeds Kevin Brown, who is departing the company. CEO Linda Findley emphasized that this appointment represents a transition in marketing strategy, prioritizing efficiency as a foundation for growth in today's challenging market environment.

Sleep Number (SNBR) has scheduled the release of its fiscal first quarter 2025 results for Wednesday, April 30, 2025, after market close. The results will cover the period through March 29, 2025.

The company's management will hold a conference call at 5 p.m. EDT (4 p.m. CDT; 2 p.m. PDT) to discuss the quarterly performance. Investors can access the webcast through the investor relations section of Sleep Number's website, with the replay remaining available for approximately 60 days.

Sleep Number (SNBR) has partnered with GEM HEALTH to integrate GEM SLEEP into Sleep Number's new BreatheIQ™ digital sleep health app. The collaboration aims to provide seamless access to virtual sleep care services for individuals at risk of sleep apnea.

GEM SLEEP offers end-to-end virtual care including clinical evaluation, diagnosis, and treatment support without requiring in-person clinic visits. The service targets the estimated 80% of individuals with undiagnosed obstructive sleep apnea. BreatheIQ users can now easily connect to GEM SLEEP's care platform, which is in-network with health plans covering 53 million Americans.

The BreatheIQ app helps users monitor their snoring and potential breathing irregularities, and can be used with or without a Sleep Number® bed. GEM SLEEP's approach reduces care access time to days instead of weeks or months, while lowering costs for both patients and insurers.

Sleep Number (NASDAQ: SNBR) has launched BreatheIQ™, a new sleep health app targeting 116 million American snorers. The free app analyzes snoring patterns through smartphones to provide health insights and connect users to virtual care through GEM SLEEP clinic.

The app complements Sleep Number's existing smart bed solutions, including the Partner Snore™ feature with FlexFit™ smart adjustable bases. Through a premium upgrade to BreatheIQ+ starting at $14.99/month, users can access advanced features including snore type assessments and respiratory insights.

The technology, developed with Diametos GmbH, aims to address undiagnosed sleep disorders, noting that 80% of sleep apnea cases remain undetected among the 30+ million U.S. adults diagnosed. New BreatheIQ customers will receive special offers on Sleep Number® smart beds, with bundles starting under $2,300.

Sleep Number (SNBR) has announced a significant board restructuring agreement with Stadium Capital Management, its largest shareholder. The agreement involves the retirement of five Board members, including previously announced departures of Michael J. Harrison and Shelly R. Ibach before the 2025 Annual Meeting.

Three additional directors will step down: Barbara R. Matas (by 2025 Annual Meeting), Brenda J. Lauderback (by December 31, 2025), and Stephen L. Gulis, Jr. (upon debt refinancing completion or 2026 Annual Meeting). Hilary A. Schneider has been appointed as Chair of the Management Development and Compensation Committee.

The agreement includes Stadium Capital's withdrawal of its director nominations and commitment to vote in favor of Sleep Number's nominees at the 2025 Annual Meeting. This restructuring aims to create a smaller, more agile Board focused on strengthening company performance and profitable growth.