Sonim Technologies Q2 2025 Revenue Misses Estimates, Posts $7.5 Million Net Loss

Sonim Technologies Inc reported Q2 2025 revenue of $11.2 million, missing estimates, and posted a net loss of $7.5 million. The company faced challenges like increased costs and a loss on contract fulfillment assets. Despite this, Sonim launched the XP Pro smartphone with AT&T and commenced shipments of the H500 mobile hotspot to European distributors. The company raised $5.4 million through common stock sales to support product expansion and new launches.

Sonim Technologies Inc. (NASDAQ: SONM) reported its second-quarter 2025 financial results, with revenue of $11.2 million, which fell short of analysts' estimates. The company posted a net loss of $7.5 million, primarily due to increased costs and a loss on contract fulfillment assets. Despite these challenges, Sonim launched the XP Pro smartphone with AT&T and commenced shipments of the H500 mobile hotspot to European distributors. The company also raised $5.4 million through the sale of common stock to support product expansion and new launches [1].

The company's revenue for the second quarter of 2025 was $11.2 million, a decrease from $16.7 million in the first quarter of 2025. The first quarter of 2025 included a one-time $5.3 million addition to revenue related to the expiration of customer allowance agreements. Gross profit for the second quarter of 2025 was $0.8 million, or 8% of revenues, compared to the first quarter of 2025 gross profit of $8.4 million, or 50% of revenues. Operating expenses decreased from $7.7 million in the first quarter of 2025 to $7.6 million in the second quarter of 2025, primarily due to a decrease in R&D costs [1].

Sonim's CEO, Peter Liu, commented on the quarter's results, stating that while the company faced some one-time expenses and timing shifts in product shipments, these were necessary steps for long-term success. The company is focused on exploring strategic opportunities to monetize its Nasdaq listing and deliver maximum value to shareholders [1].

The company's balance sheet at the end of the second quarter of 2025 showed $2.0 million in cash, $2.9 million in trade accounts receivable, and $9.9 million in inventory. Subsequent to the end of the quarter, Sonim received net proceeds of $7.1 million related to sales of common stock through a public offering and the issuance of debt [1].

Sonim also announced a definitive agreement with Social Mobile to acquire substantially all of Sonim's assets in an all-cash transaction for $15.0 million and up to an additional $5.0 million in an earn-out payment. The transaction is expected to close in the fourth quarter of 2025, subject to customary closing conditions, including stockholder approval [1].

References:

[1] https://www.barchart.com/story/news/34012747/sonim-technologies-reports-second-quarter-2025-financial-results