Leadership Change at Sleep Number: CEO Announces Resignation

The leadership of the company Sleep Number is undergoing changes: The CEO has announced his resignation by the 2025 Annual Shareholders' Meeting. To ensure a smooth transition, the board has engaged an external consulting firm to find a suitable successor. Until the end of 2025, the current CEO will support the company as a strategic advisor. In addition to this significant change, further adjustments have been made in the board and company management to improve the company's strategic direction. Financially, Sleep Number remains robust, although demand in the third quarter fell short of expectations. The company reported a gross profit of 60.8% and achieved an adjusted EBITDA of $28 million. However, the forecast for the entire fiscal year has been adjusted to an adjusted EBITDA of $115 to $125 million due to weak demand. Sleep Number continues to focus on its innovations, such as the new ClimateCool Smart Beds, to strengthen its market position and boost sales. Despite the challenges, the company remains confident in its more resilient operating model and its ability to generate cash flow in a challenging economic environment. In conclusion, the CEO thanked his team for their outstanding work in a challenging market environment and looked optimistically towards the company's future.