Redeye updates its estimates after Sleep Cycle’s Q4 2023 report, which came in slightly lower on sales and EBIT. However, when adjusting for an impairment charge, Sleep Cycle boosted an operating margin of 31%, which few companies can match. We were also encouraged to see that the subscriber base grew again q/q, reaffirming that the subscription turnaround is intact. The next catalyst will be the presentation of Sleep Cycle’s updated strategy.