SoundHound AI Beats Q3 Estimates, Hikes Full-Year Outlook

Core Viewpoint - SoundHound AI reported better-than-expected third-quarter results but experienced a decline in stock price despite raising its full-year sales guidance [1][4]. Financial Performance - In the September quarter, SoundHound AI lost an adjusted 3 cents per share on sales of $42 million, surpassing analyst expectations of a 9 cents loss on $40.5 million in sales [2]. - The company improved from a loss of 6 cents per share on sales of $25.2 million in the same period last year [2]. - SoundHound raised its full-year revenue outlook to a range of $165 million to $180 million, with a midpoint of $172.5 million, exceeding the consensus estimate of $166 million [2]. Business Operations - SoundHound's technology is utilized by various companies for customer interactions in sectors such as call centers and restaurant drive-thrus, and is also integrated into select automobile brands like Jeep [3]. - The CEO highlighted the global boom in enterprise AI adoption and the company's strategy to leverage its leading position across diverse industries [4]. Stock Market Reaction - Following the earnings report, SoundHound's stock fell more than 3% in after-hours trading to $13.75, after a 9.5% decline during the regular session, closing at $14.23 [4].