A challenging first quarter for Zound
The global COVID-19 pandemic impacts Zound Industries as sales drop by 32 percent for the first quarter compared to 2019. Net sales for Q1 2020 totalled 257.7 MSEK.
Like many other companies, Zound Industries has been affected by the ongoing COVID-19 pandemic. Going into the year, stock levels in the industry were already high due to a weaker end to 2019 than expected. During the second half of the first quarter the market for headphones and speakers shrank due to the ongoing health emergency and the measures taken by governments and health authorities to stop the spread of the novel corona virus.
“It’s been a tough first quarter for Zound with the hardest part being forced to cut staff. We’ve had to rapidly adapt to a new reality as demand has decreased in light of the pandemic. However, we are well positioned to bounce back quickly when we come out on the other side of this crisis and we’ve launched some really exciting products already this year”, said Martin Axhamre, CFO and acting CEO.
Recent product highlights include the Marshall Monitor II ANC. Launced in March, it’s the company’s first over-ear headphone with noise cancellation and has received widespread praise from reviewers and customers. At the end of May Zound unveiled their first true wireless products, Urbanears Alby and Urbanears Luma, which will go on sale this summer.