SOUNW · SoundHound AI, Inc.

SoundHound AI delivered record Q1 2026 revenue of $44.2 million, up 52% year-over-year, driven by strong demand across automotive, IoT, restaurants, retail, and financial services. Excluding acquisitions, core automotive and IoT AI revenue surged 88%, underscoring organic growth momentum. GAAP gross margin contracted to 31.1% from 36.5% due to non-recurring vendor true-up costs and acquisition-related impacts, while non-GAAP margin held steady at 49.7%. The GAAP net loss of $25.0 million included a $39 million non-cash gain from marking contingent acquisition liabilities to fair value amid lower stock price; non-GAAP net loss was $26.6 million. CEO Keyvan Mohajer highlighted the robust start and upcoming LivePerson acquisition, which combines SoundHound's voice/agentic AI with LivePerson's digital messaging for a $500M revenue opportunity, targeting at least $350M-$400M in 2027 with $100M growable from LivePerson customers. CFO James Hom emphasized innovation, scale potential, and a strong balance sheet with $216 million cash and no debt. The OASYS launch represents a breakthrough self-learning platform automating agent creation and improvement. Business wins spanned auto OEMs, Walmart TVs, QSR drive-thrus, major banks, insurers, and utilities, plus channel partnerships. FY2026 revenue guidance reaffirmed at $225-$260 million signals confidence despite Q1 EBITDA loss of $26.7 million. Cash burn intensified with $26.3 million operating outflow versus $19.2 million prior year, reflecting investment in growth.