Sonder Q1 2025: RevPAR up 13% YoY, Occupancy Rate increases 7% YoY.

• Sonder Q1 2025 RevPAR up 13% YoY to $139 • Occupancy rate at 83%, a 7 ppt increase YoY • Bookable nights down 21% YoY to 858,000 due to Portfolio Optimization Program • Financial results filed in Q1 2025 Form 10-Q • Details available on Sonder's website at investors.sonder.com

Sonder (NASDAQ:SOND), a hospitality company known for its technology-driven apartments and boutique hotels, released its first quarter 2025 results on August 25, 2025. The company's revenue (GAAP) declined year-over-year in the first quarter of 2025, falling to $118.9 million from $133.5 million. Bookable nights dropped 21% year-over-year in the first quarter of 2025, underscoring the impact of its ongoing Portfolio Optimization Program aimed at streamlining its property base [1].

Despite progress in operational performance, marked by higher occupancy and revenue per available room (RevPAR) in the first quarter of 2025, net loss (GAAP) increased to $56.5 million in the first quarter of 2025 from $50.5 million in the first quarter of 2024. Operating cash burn improved 89% year-over-year in the first quarter of 2025, but Sonder continued to face regulatory uncertainty due to delayed financial filings and ongoing non-compliance with Nasdaq listing requirements [1].

Sonder's RevPAR rose 13% year-over-year in the first quarter of 2025 to $139, indicating improved income from each room regardless of occupancy. Occupancy rate climbed to 83% in the first quarter of 2025, up 7 percentage points from the prior year. These improvements were seen in RevPAR and occupancy rate [1].

However, profitability remained a challenge. Net loss (GAAP) expanded 12% to $56.5 million in the first quarter of 2025. Adjusted EBITDA, a non-GAAP measure of core profitability before interest, taxes, and certain non-cash charges, stayed nearly flat at $(56.7) million in the first quarter of 2025. On the positive side, net cash used in operating activities (GAAP) fell by 89% year-over-year in the first quarter of 2025. Adjusted free cash flow (non-GAAP) improved by 76% to $(6.9) million in the first quarter of 2025 [1].

Sonder's Portfolio Optimization Program, which aims to reduce the number of lower-performing units and concentrate resources on higher-yield properties, contributed to the decline in bookable nights. The program is part of Sonder's strategy to manage geographic diversification, tailor offerings to various traveler segments, and leverage technological integration in both guest experience and internal operations [1].

Sonder's financial results were filed in the Q1 2025 Form 10-Q, available on Sonder's investor relations website at investors.sonder.com [1].

References:
[1] https://www.mitrade.com/insights/news/live-news/article-8-1067863-20250826