Core Viewpoint - A class action lawsuit has been filed against SoundHound AI, Inc. for failing to disclose material weaknesses in its internal controls over financial reporting, particularly related to corporate acquisitions [1][2]. Group 1: Allegations - The lawsuit alleges that SoundHound did not disclose material weaknesses in its internal controls, which impaired its ability to account for corporate acquisitions [2]. - It is claimed that the company overstated its remediation efforts regarding these internal control weaknesses [2]. - The reported goodwill following the Amelia Acquisition was inflated and would require correction due to these weaknesses [2]. - SoundHound is expected to incur additional time and costs to account for the SYNQ3 and Amelia Acquisitions [2]. - The weaknesses increased the risk of the company being unable to file certain financial reports with the SEC in a timely manner [2]. Group 2: Stock Impact - On March 4, 2025, SoundHound announced it would be unable to timely file its Annual Report for 2024, citing the complexity of accounting for the SYNQ3 and Amelia Acquisitions [3]. - Following this announcement, SoundHound's stock price fell by $0.61, or 5.86%, closing at $9.72 per share [3]. Group 3: Class Action Participation - Shareholders may be eligible to participate in the class action against SoundHound AI, Inc. and can contact Robbins LLP if they wish to serve as lead plaintiff [4]. - Shareholders do not need to participate in the case to be eligible for recovery and can remain absent class members if they choose [4]. Group 4: Company Background - Robbins LLP is a recognized leader in shareholder rights litigation, dedicated to helping shareholders recover losses and improve corporate governance since 2002 [5].

SAN DIEGO, May 19, 2025 (GLOBE NEWSWIRE) -- Robbins LLP reminds stockholders that a class action was filed on behalf of all persons and entities that purchased or otherwise acquired Bitfarms Ltd. (NASDAQ: BITF) securities between March 21, 2023 and December 9, 2024. Bitfarms operates integrated Bitcoin (also referred to as “BTC”) data centers in Canada, the U.S., Paraguay, and Argentina. For more information, submit a form, email attorney Aaron Dumas, Jr., or give us a call at (800) 350-6003. The Allegation ...

Financial Data and Key Metrics Changes - The company completed its 2022 restatement and is on track to become current with its filing obligations [6][8] - For 2023, estimated GAAP revenue is projected to be between $620 million and $625 million, with recurring revenue making up approximately 80% of total revenue [23][24] - Adjusted EBITDA for 2023 is estimated to be between $139 million and $144 million, which is higher than previously estimated [24] - For 2024, GAAP revenue is estimated to be between $583 million and $588 million, with a recurring revenue percentage consistent with prior years [27] - Adjusted EBITDA for 2024 is estimated to be between $85 million and $90 million, below previous guidance [29][30] Business Line Data and Key Metrics Changes - Provider business revenue dipped by 1% year-over-year, while payer and life sciences revenue declined by 10% [27][28] - The company signed significant contracts in its provider business, including a multimillion-dollar deal with a large urology practice and a major wound care organization [13][14] - The payer business saw the onboarding of nearly 400 new sites in 2025, with care gap alerts provided to over 3,500 healthcare practices [14] Market Data and Key Metrics Changes - The company experienced unexpected revenue shortfalls in the payer and life sciences segments, particularly in Q4 of 2024 [26][68] - The life sciences segment saw softness in media revenue and real-world data sales, while the payer segment faced implementation delays [68] Company Strategy and Development Direction - The company aims to remediate material weaknesses and enhance internal controls while executing its growth strategy [15][36] - The focus is on expanding the core provider base and enhancing the value of offerings, including AI-enabled workflows [15][16] - The company is pursuing additional debt financing to ensure liquidity and support future growth [80] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the business model despite revenue shortfalls and emphasized the importance of operational improvements [12][36] - The outlook for 2025 anticipates flat revenue compared to 2024, with expectations of growth from new customers offset by customer attrition [32][58] - Management noted that the remediation efforts and regaining current filing status are expected to occur in 2026 [33][41] Other Important Information - The company incurred significant external audit and legal fees in 2023 and 2024, impacting cash flow [9][30] - The acquisition of Science.io and Koa Health is expected to impact EBITDA margins due to new costs associated with these businesses [101][102] Q&A Session Summary Question: Clarification on remediation efforts and filing status - Management clarified that remediation efforts can continue while regaining currency on filings, with both expected to occur in 2026 [38][40] Question: Net attrition in provider business - Higher net attrition was noted in the core provider business, particularly in revenue cycle management, but not driven by market consolidation [44][46] Question: Revenue visibility for FY 2025 - Management indicated that while revenue is expected to be flat, there are uncertainties due to customer attrition and the need for a rebound from the previous year's shortfall [60][63] Question: Trends in life sciences and pharma segment - Management noted softness in media revenue but observed a pickup in spending in Q1 2025, indicating potential recovery in the life sciences segment [89] Question: Impact of acquisitions on financials - The acquisition of Science.io is not expected to contribute revenue in 2024, but it is seen as a strategic investment in AI capabilities [97][100]