SOUNDHOUND AI, INC. (SOUN): Results of Operations and Financial Condition
SOUNDHOUND AI, INC. (SOUN) filed an SEC Form 8-K — Results of Operations and Financial Condition. SoundHound AI Reports Record Q2 and All Time High Revenue of $61.9 million, Up 45%, Raises Full Year Outlook Delivers strong growth with OASYS driving significant enterprise AI adoption; improves all key profitability metrics SANTA CLARA, Calif.--SoundHound AI, Inc. (Nasdaq: SOUN
How this was made
The 30-second read
Why it matters
Traders can update models for revenue trajectory, cost structure, and cash burn. The cash balance declined versus year-end, and operating cash used widened versus the prior six-month period, which may influence expectations for future funding needs.
Market read
This is a primary-source financial update that can move the stock if investors were positioned for a different loss trajectory or cash burn profile.
What to watch
The filing includes large non-cash items (fair value changes on contingent acquisition liabilities and derivatives) that can distort operating loss optics versus underlying cash generation.
Revenue was $ 61,897 and net loss was $ (42,817) for the three months ended June 30, 2026.
Revenue was $ 61,897 versus $ 42,683 in the prior-year quarter, while net loss was $ (42,817), operating loss was $ (43,298), and net cash used in operating activities was $ (59,969) for the six months ended June 30, 2026.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Revenue (three months ended June 30)GAAP | $ 61,897 | – | – |
| Cost of revenues (three months ended June 30)GAAP | 33,967 | – | – |
| Sales and marketing expense (three months ended June 30)GAAP | 16,635 | – | – |
| Research and development expense (three months ended June 30)GAAP | 27,130 | – | – |
| General and administrative expense (three months ended June 30)GAAP | 25,989 | – | – |
| Change in fair value of contingent acquisition liabilities (three months ended June 30)GAAP | (3,697) | – | – |
| Amortization of intangible assets (three months ended June 30)GAAP | 5,171 | – | – |
| Total operating expenses (three months ended June 30)GAAP | 105,195 | – | – |
| Income (loss) from operations (three months ended June 30)GAAP | (43,298) | – | – |
| Interest expense (three months ended June 30)GAAP | (61) | – | – |
| Other income, net (three months ended June 30)GAAP | 2,724 | – | – |
| Total other income, net (three months ended June 30)GAAP | 2,663 | – | – |
| Income (loss) before provision for income taxes (three months ended June 30)GAAP | (40,635) | – | – |
| Provision for income taxes (three months ended June 30)GAAP | 2,182 | – | – |
| Net income (loss) (three months ended June 30)GAAP | $ (42,817) | – | – |
| Net income (loss) attributable to SoundHound common shareholders (three months ended June 30)GAAP | $ (42,817) | – | – |
| Comprehensive income (loss) (three months ended June 30)GAAP | $ (42,818) | – | – |
| Basic net income (loss) per share (three months ended June 30)GAAP | $ (0.10) | – | – |
| Diluted net income (loss) per share (three months ended June 30)GAAP | $ (0.10) | – | – |
| Weighted-average common shares outstanding, basic (three months ended June 30)GAAP | 430,521,776 | – | – |
| Weighted-average common shares outstanding, diluted (three months ended June 30)GAAP | 438,648,450 | – | – |
| Revenue (six months ended June 30)GAAP | $ 106,092 | – | – |
| Total operating expenses (six months ended June 30)GAAP | 172,061 | – | – |
| Income (loss) from operations (six months ended June 30)GAAP | (65,969) | – | – |
| Net income (loss) (six months ended June 30)GAAP | $ (67,845) | – | – |
| Basic net income (loss) per share (six months ended June 30)GAAP | $ (0.16) | – | – |
| Diluted net income (loss) per share (six months ended June 30)GAAP | $ (0.21) | – | – |
What drove it
- Revenue for the three months ended June 30, 2026 was $ 61,897, compared with $ 42,683 for the three months ended June 30, 2025.
- The change in fair value of contingent acquisition liabilities was (3,697) for the three months ended June 30, 2026, compared with 31,359 for the prior-year period.
- Other income, net was 2,724 for the three months ended June 30, 2026, compared with 4,752 for the prior-year period.
Concerns
- Net loss was $ (42,817) for the three months ended June 30, 2026.
- Research and development expense was 27,130 and general and administrative expense was 25,989 for the three months ended June 30, 2026.
- Net cash used in operating activities was (59,969) for the six months ended June 30, 2026.
- Cash and cash equivalents were $ 202,776 as of June 30, 2026, compared with $ 248,490 as of December 31, 2025.
- Proceeds from sales of Class A common stock under the Second Equity Distribution Agreement were 48,481 for the six months ended June 30, 2026.
What to watch
- Revenue, operating expenses, and net income (loss) in subsequent periods.
- Net cash used in operating activities and cash and cash equivalents.
- Changes in contingent acquisition liabilities and related fair-value adjustments.
- Capitalized software development costs and payments related to asset acquisitions.
Balance sheet and cash flow
- Cash and cash equivalents as of June 30, 2026: $ 202,776; as of December 31, 2025: $ 248,490.
- Accounts receivable, net as of June 30, 2026: 27,072; as of December 31, 2025: 32,336.
- Contract assets and unbilled receivable, net as of June 30, 2026: 34,834; as of December 31, 2025: 38,189.
- Contract assets and unbilled receivable, non-current, net as of June 30, 2026: 48,073; as of December 31, 2025: 29,906.
- Total assets as of June 30, 2026: $ 667,887; as of December 31, 2025: $ 688,173.
- Total current liabilities as of June 30, 2026: 70,875; as of December 31, 2025: 71,739.
- Contingent acquisition liabilities, net of current portion as of June 30, 2026: 83,637; as of December 31, 2025: 129,227.
- Total liabilities as of June 30, 2026: 177,457; as of December 31, 2025: 224,387.
- Total stockholders’ equity as of June 30, 2026: 490,430; as of December 31, 2025: 463,786.
- Net cash used in operating activities for the six months ended June 30, 2026: (59,969); prior year: (43,682).
- Purchases of property and equipment for the six months ended June 30, 2026: (822); prior year: (354).
- Capitalized software development costs for the six months ended June 30, 2026: (5,404); prior year: —.
- Payment related to asset acquisition for the six months ended June 30, 2026: (26,501); prior year: —.
- Net cash used in investing activities for the six months ended June 30, 2026: (32,727); prior year: (354).
- Proceeds from sales of Class A common stock under the Second Equity Distribution Agreement for the six months ended June 30, 2026: 48,481; prior year: 75,565.
- Net cash provided by financing activities for the six months ended June 30, 2026: 46,699; prior year: 76,606.
- Net change in cash, cash equivalents, and restricted cash equivalents for the six months ended June 30, 2026: (45,714); prior year: 32,360.
- Cash, cash equivalents, and restricted cash equivalents, end of period: $ 203,452; prior year: $ 231,276.
Analysis
SoundHound reported revenue of $ 61,897 for the three months ended June 30, 2026, compared with $ 42,683 in the prior-year quarter. For the six months ended June 30, 2026, revenue was $ 106,092, compared with $ 71,812 in the prior-year period. The filing does not provide revenue by operating segment, product category, customer, or geographic market, so the underlying sources of revenue are not disclosed in the supplied document.
The quarter remained loss-making on a GAAP basis. Income (loss) from operations was (43,298) and net income (loss) was $ (42,817), compared with (78,051) and $ (74,724), respectively, in the prior-year quarter. The current-quarter operating result included a (3,697) change in fair value of contingent acquisition liabilities, versus 31,359 in the prior-year quarter. Sales and marketing expense was 16,635, research and development expense was 27,130, and general and administrative expense was 25,989.
For the six months ended June 30, 2026, operating loss was (65,969) and net loss was $ (67,845), compared with operating income of 50,046 and net income of $ 55,208 in the prior-year period. The six-month results included a (43,089) change in fair value of contingent acquisition liabilities, compared with (144,741) in the prior-year period. Diluted net income (loss) per share was $ (0.21) for the six-month period, compared with $ 0.13 in the prior-year period.
Liquidity declined during the first half. Cash and cash equivalents were $ 202,776 as of June 30, 2026, versus $ 248,490 as of December 31, 2025. Net cash used in operating activities was (59,969), while net cash used in investing activities was (32,727), including (26,501) for a payment related to an asset acquisition and (5,404) of capitalized software development costs. Financing activities provided 46,699, including 48,481 of proceeds from sales of Class A common stock under the Second Equity Distribution Agreement.
The balance sheet showed total assets of $ 667,887, total liabilities of 177,457, and total stockholders’ equity of 490,430 as of June 30, 2026. Contingent acquisition liabilities, net of current portion, were 83,637, compared with 129,227 as of December 31, 2025. The supplied filing contains no forward guidance, no non-GAAP measures, no capital-return program, and no executive commentary or quotes.
Not in the filing
stated, not guessed- Revenue segment disclosure
- Revenue by product, customer, or geography
- Gross profit and gross margin
- Non-GAAP revenue, profitability, EPS, or cash-flow measures
- Free cash flow
- Forward revenue guidance
- Forward gross-margin guidance
- Forward operating-expense guidance
- Forward tax-rate guidance
- Prior guidance for comparison
- Debt balance
- Share repurchases
- Dividend declaration or payment
- Executive commentary and named-executive quotes
- Quarter-over-quarter comparisons
- Reported percentage changes for individual metrics
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
The 8-K (Item 2.02) reports SoundHound AI’s results of operations and financial condition, including condensed balance sheets, income statement, and cash flows for the quarter and six months ended June 30, 2026.
Ticker impact
SoundHound AI filed an 8-K with Q2 2026 results, showing revenue of $61.9M and a net loss of $42.8M.
Likely negative to neutral for the stock, as the quarter shows continued net losses and operating cash outflow, though revenue growth may cushion sentiment.
The 8-K discloses quarterly income statement and cash flow figures plus balance-sheet items (cash down, operating cash used, goodwill/intangibles unchanged). Without guidance or a new financing event, the impact is primarily informational rather than a discrete catalyst.
Market effects
AI voice/assistants and speech-tech peers may see read-across on monetization progress and cash burn tolerance.
No clear regional transmission beyond US small-cap growth sentiment.
Limited global impact; primarily company-specific financial reporting.
Counterpoint
Revenue increased year over year, and the balance sheet still shows substantial cash, which could reduce immediate dilution risk despite losses.
Key entities
- issuerSOUNDHOUND AI, INC.
Company filing the 8-K with Q2 2026 financial results and balance-sheet/cash-flow updates.
