LPSN

SOUN has fallen 55% over 12 months despite Q2 revenue beating consensus by 45%, as investors penalize cash burn and dilution risk. Peers CRNC and AI both declined sharply over 12 months but neither matches SOUN's 70% consensus upside or H.C. Wainwright's $20 Street-high target. It sounds nuts, but SoFi1 is giving new Active Invest users up to $3,000 in stock for a limited time, and all it takes is a $50 deposit to get started.2 See for yourself (Sponsor) SoundHound AI (NASDAQ:SOUN) currently trades at $7.48, while the average Wall Street price target sits at $12.71, an implied gap of 69.92% between current price and analyst consensus. SoundHound builds independent voice and agentic AI software deployed across automotive, healthcare, restaurants, and financial services. Wall Street is watching because the top line compounds fast while losses narrow, and the pending LivePerson acquisition could reshape the revenue base heading into 2027. One prominent analyst carries the Street-high target of $20, implying roughly 167% upside from here. SoundHound has lost 54.67% over the past year. Shares traded as high as $22.17 in the last 52 weeks before drifting toward single digits. The selloff came despite strong results. Q2 FY2026 revenue of $61.9 million came in 45.02% ahead of the prior year and beat the $52.4 million consensus. Investors punished the story for cash burn and dilution risk: cash slipped from $248.5M to $202.8M over six months, stock-based comp ran at $21.5M in the quarter, and contingent acquisition liabilities of $83.6M loom over the share count. The pain was company-specific. The S&P 500 rose 20.62% over the same 12-month window while SOUN lost more than half its value. SoFi Active Invest is offering a limited-time promotion. Open an account, fund it with $50 or more, and you could receive up to $3,000 in complimentary stock for Active Invest accounts. See for yourself by clicking here now. (Sponsor) Analysts have refused to blink because the operating story keeps beating models. Of the analysts tracked, six rate SOUN a Buy and two rate it Hold, with no Sell ratings. Full-year 2026 revenue guidance was raised to $230 million to $260 million, and combined 2027 revenue with LivePerson is projected at $350 million to $400 million minimum. H.C. Wainwright's bull case sits at the top of the range. The firm highlights rapid drive-thru monetization at Church's Texas Chicken, Torchy's Tacos, and White Castle, expansion into Vision AI and the Agentic+ platform, and cross-selling voice into the Amelia and LivePerson customer bases. Operational leverage is expected to push SoundHound toward adjusted EBITDA break-even by late 2026 or 2027, backed by a debt-free balance sheet. CEO Keyvan Mohajer told investors that "our pipeline has never been this big, and our win rate has never been this good," citing an eight-figure commitment signed in less than 90 days from demo to contract. With Gartner projecting agentic AI software spending near $1 trillion by 2030, the analyst view is that SoundHound is early in a category it helped define. Recent revisions have leaned reiteration and upgrade, not downgrade. The broader enterprise and voice AI cohort is soft, but SOUN's 12-month drop is the steepest of the closest comparables. Cerence (NASDAQ:CRNC), the closest voice-in-vehicle competitor, trades at $8.61 against a consensus target of $10.75, roughly 25% upside. It has fallen 36.32% over the past year. The rating slate skews Hold at one Buy and four Holds. C3.ai (NYSE:AI) sits at $10.18 with a consensus target of $8.82, meaning analysts collectively see downside from here. Shares are off 45.27% over 12 months, and the rating mix is bearish at one Buy, seven Holds, three Sells, and three Strong Sells following downgrades tied to restructuring under returning CEO Tom Siebel. BigBear.ai (NYSE:BBAI) trades at $3.34 with a consensus target of $4.00, about 20% upside. The stock is down 42.51% on the year, with one Buy and two Holds and no meaningful upgrade momentum. The largest analyst-implied upside across the group belongs to SoundHound at 69.92% on consensus, and 167% on the Street-high case. SOUN trades at $7.48 with an average analyst target of $12.71, implying 69.92% upside. Coverage is concentrated among eight analysts, with six Buy ratings and two Hold, and no Sells. Year to date, SOUN is off 24.97%, while the S&P 500 is up 14.07%. Recent trading has been firmer, with the stock up 11.81% over the past month following the Q2 report. Reddit sentiment around the earnings release ran very bullish at 82, and insider activity is net buying with 17 recent transactions. The bull case strengthens if the LivePerson deal closes cleanly and combined 2027 revenue arrives at the $350 million to $400 million range with gross margin marching back toward the 70% level the CFO explicitly targets. The path to consensus $12.71 runs through EBITDA break-even, continued 40%-plus revenue growth, and OASIS wins that convert eight-figure demos into signed contracts. Scott Buck's $20 target stops looking like a stretch if that happens. The bear case takes hold if cash burn chews through the $202.8 million war chest faster than losses narrow, if $21.5 million quarterly stock comp turns growth into permanent dilution, or if LivePerson integration surfaces execution risk. A high beta of 2.83 means the round trip could hurt. The peer group offers less upside on worse fundamentals, the consensus gap is real, and the operating trajectory is trending the right way. This is a high-volatility bet on execution rather than a safe compounder, and position sizing matters more than conviction here. Looking to grow your money but unsure where to begin? SoFi Active Invest is offering a limited-time promotion—open a new Active Invest account, fund it with $50 or more, and you could receive up to $3,000 in complimentary stock. From $0 commission trading3 to fractional shares4 and automated investing, this app is designed to simplify investing for everyone, whether you’re just starting or already experienced. Its easy to sign up and secure your bonus.(Sponsor) Contact [email protected] for any questions or corrections.

SoundHound AI, Inc. SOUN used its second-quarter 2026 call to emphasize accelerating enterprise adoption of OASYS, stronger deal conversion and a raised full-year revenue outlook. Management also highlighted improving profitability measures despite continued investment. The quarter produced $61.9 million in revenues, up 45% year over year, versus the Zacks Consensus Estimate of $52.49 million. Non-GAAP loss per share was 2 cents, compared with the consensus loss estimate of 3 cents. SoundHound AI, Inc. price-consensus-eps-surprise-chart | SoundHound AI, Inc. Quote Interim CFO and co-founder James Hom raised 2026 revenue expectations to $230 million to $260 million after the strong first half. The outlook excludes the pending LivePerson acquisition. Hom said SoundHound intends to remain aggressive in capturing market share through existing-customer expansion, new customer wins and targeted investments in channels and OASYS. CEO and co-founder Keyvan Mohajer said management expects to update guidance after LivePerson closes, which the company continues to expect before year-end. Mohajer described OASYS as a major contributor to second-quarter performance. He said SoundHound is moving prospects from demonstrations to signed contracts in months and converting pilots to larger deployments at a record pace. In response to a Cantor Fitzgerald analyst, Mohajer said the company’s pipeline and win rate have never been stronger. He pointed to wins in demonstrations, RFPs and pilots as evidence of OASYS traction. He also detailed OASYS’ “AI builds AI” capability, which can reduce complex agent-development work from months to minutes and support automated improvement after deployment. Hom said enterprise AI remained SoundHound’s largest revenue contributor, with growth spanning healthcare, financial services, technology and automotive. Healthcare generated seven deals, including one seven-figure agreement. Mohajer highlighted continued momentum in Asia, where SoundHound has signed major deals for five consecutive quarters. The company landed a seven-figure China automotive infotainment deal and expanded generative AI deployments with Stellantis and Hyundai. Restaurants also remained an expansion area. Mohajer said renewal rates reached 100% for key accounts, while Smart Answering more than doubled year over year and several major restaurant chains expanded location coverage. Hom said GAAP gross margin reached 45.1%, up 6.1 percentage points year over year, while non-GAAP gross margin was 58.4%. Adjusted EBITDA loss improved 33% to $9.6 million. Management attributed efficiencies to infrastructure modernization, cloud optimization, legacy-system consolidation and increased use of in-house technology. Hom said the company still expects gross margin to exceed 70% over time. Mohajer added that smaller customers now run entirely on SoundHound’s own stack, while one large healthcare customer is preparing to switch. He tied the model strategy to lower costs, higher quality and greater control. A D.A. Davidson analyst asked how guidance changes under a LivePerson closing scenario. Mohajer reiterated that current 2026 guidance excludes the acquisition and that timing uncertainty prevents a precise contribution estimate. A Northland Capital Markets analyst asked about 2027 expectations. Mohajer maintained the previously discussed $350 million to $400 million range, assuming the merger closes successfully in the second half of 2026. Mohajer also identified two key integration opportunities: upgrading LivePerson customers to OASYS and adding voice capabilities to LivePerson’s digital customer-service base. He said regulatory clearances have been secured. Management’s tone centered on expanding enterprise adoption while maintaining cost discipline. Hom said SoundHound plans to keep investing in technology and go-to-market capacity as it works toward profitable growth. Mohajer emphasized OASYS, proprietary models, channel partnerships and acquisitions as the company’s main scaling levers. He also pointed to upcoming Voice Commerce projects in vehicles and televisions as additional use cases. The call left management focused on converting a larger pipeline, broadening deployments within existing accounts and preparing for LivePerson integration without including the acquisition in current-year guidance. SOUN currently carries a Zacks Rank #3 (Hold). Its Value Score is F, Growth Score is D, Momentum Score is F and VGM Score is F, leaving the shares without the stronger A or B style characteristics emphasized in the Zacks framework. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. The Style Scores are designed to complement the Zacks Rank, with higher grades indicating more favorable characteristics. Investors should note that the Zacks Rank can change as earnings estimates are revised following the just-reported results. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report SoundHound AI, Inc. (SOUN) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Interested in SoundHound AI, Inc.? Here are five stocks we like better. Record revenue and raised outlook: SoundHound reported Q2 revenue of $61.9 million, up 45% year over year, while improving gross margins and reducing adjusted EBITDA losses. The company raised its full-year revenue forecast to $230 million–$260 million. OASYS is driving adoption: The agentic AI platform helped generate new demonstrations, pilots and production deployments, with particularly strong traction in healthcare, financial services, restaurants and automotive. SoundHound said some implementations can now be completed in minutes rather than months. Expansion plans remain significant: SoundHound expects its LivePerson acquisition to close before year-end, pending remaining steps, and maintained its 2026 revenue outlook of at least $350 million–$400 million assuming the deal closes. The company is also pursuing voice-commerce pilots and continued growth in automotive markets. 2 AI Stocks That Could Benefit as AI Moves Beyond the Data Center SoundHound AI (NASDAQ:SOUN) reported record second-quarter revenue of $61.9 million, up 45% from a year earlier and 40% sequentially, as the company cited demand for its conversational and agentic AI offerings across healthcare, financial services, automotive, restaurants and other industries. Chief Executive Officer and Co-Founder Keyvan Mohajer said the quarter was the company’s largest to date, with improvements in gross margin, adjusted EBITDA and earnings per share both year over year and sequentially. He attributed a significant portion of the performance to OASYS, the self-learning agentic AI platform SoundHound launched publicly in May. → SpaceX’s First Earnings Report Could Decide Whether Shorts or Bulls Have Control Investors Abandoned These 3 AI Stocks Too Early, Says Jeff Clark “Our results were beyond our own expectations,” Mohajer said, adding that OASYS has helped the company win demonstrations, requests for proposals, pilots and production deployments. He said SoundHound recently signed an eight-figure commitment less than 90 days after an initial demonstration. Chief Financial Officer and Co-Founder James Hom said growth was broad-based, led by enterprise AI and supported by healthcare, financial services, technology and automotive. SoundHound’s enterprise AI business remained its largest revenue contributor, while its automotive operations in Asia posted substantial growth for a fifth consecutive quarter, according to Hom. Revenue totaled $61.9 million, up 45% year over year. GAAP gross margin was 45%, up six percentage points from the prior-year quarter. Non-GAAP gross margin was 58%, flat year over year and up eight percentage points sequentially. GAAP operating loss was $43.3 million, an improvement of 45% from a year earlier. Adjusted EBITDA loss was $9.6 million, improving 33% year over year. GAAP net loss was $42.8 million, or $0.10 per share. Non-GAAP net loss was $9 million, or $0.02 per share. Cash and equivalents totaled $203 million at quarter-end, with no debt. → 3 Drone Stocks That Should Soar After the Summer Slump SoundHound’s Bottom Is In—Inflection and 50% Upside Ahead? Hom said the company has been working to improve efficiency through infrastructure modernization, cloud-spending optimization, legacy-system consolidation, adoption of in-house technology and acquisition synergies. Acquisitions have temporarily weighed on gross margin, he said, but the company expects margins to exceed 70% in the future, similar to levels when it became public. SoundHound raised its full-year revenue outlook to a range of $230 million to $260 million, reflecting its first-half performance and continuing demand. The outlook does not include the planned acquisition of LivePerson because the timing of the transaction’s closing remains uncertain. → Meta’s Earnings Drop Shows Wall Street Wants More Than Ad Growth Mohajer said OASYS is designed to enable companies to build and deploy AI agents across channels rather than tying customer interactions to a specific platform or modality. The platform’s “AI Builds AI” feature can create and refine agentic workflows using documents, application programming interfaces and prior interaction data, he said. During the question-and-answer session, Mohajer said implementations that previously required months of work and large professional-services teams can now be completed in minutes in some cases. The system can also identify missing information or capabilities after deployment and propose enhancements for human approval, he said. The company cited healthcare as an area of particular traction. Mohajer said one top-20 healthcare provider quadrupled its spending during the quarter, while SoundHound added Champion Payer Solutions and either renewed or expanded relationships with five additional healthcare organizations. Hom said the company signed seven healthcare deals during the quarter, including one seven-figure agreement. In financial services, SoundHound said it renewed or expanded contracts with two of the world’s seven largest banking institutions and one large global insurer. The company also cited new and expanded business with organizations including Rakuten Securities, a global asset-management firm and a Canadian-headquartered financial-services company. In restaurants, the company said its Smart Answering offering for small and midsize businesses more than doubled year over year. It signed three major U.S. restaurant chains during the quarter and reported 100% renewal rates among key restaurant accounts. Mohajer said restaurant deployments are also creating cross-selling opportunities for IT help desk and guest-relations services through OASYS. SoundHound continued to expand in Asia, particularly in China’s automotive market. The company signed a seven-figure agreement with a large infotainment software company for agentic AI solutions and an IoT agreement with an automotive maintenance and diagnostics company. It also signed a six-figure unit expansion with Indian two-wheeler company Ultraviolette and reached an agreement with another OEM to deploy real-time generative AI features in vehicles in India. Elsewhere, SoundHound said Stellantis expanded unit adoption in Europe and added live generative AI capabilities, while Hyundai is adding generative AI enhancements in the U.S., Latin America and India. The company also outlined upcoming voice-commerce initiatives. In the third quarter, it plans to begin piloting direct in-vehicle transactions with an unnamed automotive brand through a recently signed contract. Later this year, it expects to launch with a global electronics manufacturer that will use its technology to enable retail and restaurant purchases through television screens in U.S. homes. Mohajer said SoundHound is investing in its proprietary Polaris speech foundation model, specialized large language models and speech-synthesis technology. Smaller customers are now operating entirely on SoundHound’s own technology stack, he said, and the company is preparing to deploy the stack with one of its largest healthcare customers after seeing improvements in accuracy and latency. SoundHound said it has received key regulatory clearances for its planned acquisition of LivePerson and continues to expect the deal to close before year-end. Mohajer said the transaction would broaden the company’s conversational AI footprint to include 25 Fortune 100 brands and expand its enterprise customer base. Management said its prior outlook of at least $350 million to $400 million in revenue next year remains unchanged, assuming the LivePerson transaction closes in the second half of 2026. The company did not provide a separate estimate for LivePerson’s contribution this year. Mohajer said LivePerson’s digital customer-service offerings would complement SoundHound’s voice capabilities. He described opportunities to upgrade LivePerson customers to OASYS and to offer voice services to customers that have historically used LivePerson primarily for web chat and digital interactions. “All the new customers we expect will utilize OASYS,” Mohajer said, while noting that existing customers will transition from legacy platforms at a pace with which they are comfortable. SoundHound AI, Inc is a voice AI and conversational intelligence company specializing in speech recognition, natural language understanding and sound identification technologies. Founded in 2005 and headquartered in Santa Clara, California, the company initially gained recognition with its music discovery app before pivoting to enterprise-grade voice AI solutions. Over the years, SoundHound AI has built a comprehensive platform that enables developers and businesses to embed conversational intelligence into a wide range of products and services. The company's core offering is the Houndify voice AI platform, which provides customizable speech-to-meaning technology, domain-specific natural language understanding and text-to-speech capabilities. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "SoundHound AI Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

The Trade Desk (TTD) came out with quarterly earnings of $0.34 per share, missing the Zacks Consensus Estimate of $0.41 per share. This compares to earnings of $0.41 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -17.07%. A quarter ago, it was expected that this digital-advertising platform operator would post earnings of $0.32 per share when it actually produced earnings of $0.28, delivering a surprise of -12.5%. Over the last four quarters, the company has surpassed consensus EPS estimates just once. The Trade Desk, which belongs to the Zacks Internet - Services industry, posted revenues of $715.06 million for the quarter ended June 2026, missing the Zacks Consensus Estimate by 4.86%. This compares to year-ago revenues of $694.04 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. The Trade Desk shares have lost about 50.1% since the beginning of the year versus the S&P 500's gain of 12.8%. While The Trade Desk has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for The Trade Desk was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.51 on $803.89 million in revenues for the coming quarter and $1.88 on $3.18 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Internet - Services is currently in the bottom 38% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. LivePerson (LPSN), another stock in the same industry, has yet to report results for the quarter ended June 2026. This customer-service technology company is expected to post quarterly loss of $1.00 per share in its upcoming report, which represents a year-over-year change of +39.4%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. LivePerson's revenues are expected to be $48.61 million, down 18.4% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The Trade Desk (TTD) : Free Stock Analysis Report LivePerson, Inc. (LPSN) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

RF Industries, Ltd. (RFIL) came out with quarterly earnings of $0.14 per share, beating the Zacks Consensus Estimate of $0.09 per share. This compares to earnings of $0.07 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +55.56%. A quarter ago, it was expected that this company would post earnings of $0.03 per share when it actually produced earnings of $0.06, delivering a surprise of +100%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. RF Industries, which belongs to the Zacks Semiconductors - Radio Frequency industry, posted revenues of $20.69 million for the quarter ended April 2026, surpassing the Zacks Consensus Estimate by 5.19%. This compares to year-ago revenues of $18.91 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. RF Industries shares have added about 224.4% since the beginning of the year versus the S&P 500's gain of 8.6%. While RF Industries has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for RF Industries was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.19 on $22.36 million in revenues for the coming quarter and $0.58 on $86.63 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Semiconductors - Radio Frequency is currently in the top 20% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the broader Zacks Computer and Technology sector, LivePerson (LPSN), has yet to report results for the quarter ended March 2026. This customer-service technology company is expected to post quarterly loss of $0.79 per share in its upcoming report, which represents a year-over-year change of +72.3%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. LivePerson's revenues are expected to be $53.82 million, down 16.8% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report RF Industries, Ltd. (RFIL) : Free Stock Analysis Report LivePerson, Inc. (LPSN) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

When SoundHound AI (NASDAQ: SOUN) reported its 2026 first-quarter results, the artificial intelligence (AI) voice company reported revenue surged 52% to $44.2 million. What investors soon found out was that not only was it not enough to move the stock price, but shares also slid. SoundHound didn't raise its full-year 2026 revenue outlook, and markets seemed worried about its pending acquisition of LivePerson in an all-stock deal valued at $43 million. Still, one number in that report seemed largely dismissed: $100 million. SoundHound's business is based on turning conversational interactions into actions. For example, with its voice-enabled AI inside a vehicle, you can place a hands-free dinner order for pickup while driving home from work. Those voice-enabled use cases are expanding, as are the contracts SoundHound is landing. Its client base includes Stellantis, White Castle, Chipotle Mexican Grill, and several other well-known companies. What SoundHound doesn't have is message-based solutions, which is where LivePerson can complement the overall business. Through LivePerson, a business can deploy AI agents to answer customer questions on its website, send text message reminders about orders, and offer updates. Pieced together, the idea is that a business can have an AI agent handle everything from answering phone calls to replying to website questions. The acquisition suggests SoundHound is trying to get ahead of the growing opportunities in the AI agent market. According to Grand View Research, the global AI agent market is expected to climb from $7.6 billion in 2025 to $182.9 billion by 2033. By integrating LivePerson into its business and cross-selling, SoundHound believes that, at a minimum, revenue will fall between $350 million and $400 million in 2027. If the LivePerson deal closes in the second quarter, it is expected to account for $100 million of that total. As a reference point, revenue in 2025 was $168.9 million, and the company expects 2026 full-year revenue to fall between $225 million and $260 million. That's why that $100 million is such an important number from the earnings report, as this acquisition could rapidly increase SoundHound's revenue. On paper, SoundHound's acquisition of LivePerson makes sense to create robust AI agent offerings. The issue is that LivePerson is a struggling company, with its stock price plummeting nearly 100% over the past five years. It's not a guarantee that LivePerson will be successfully integrated into the voice offerings. As an unprofitable company, SoundHound faces an additional challenge with this deal: It will now be proving out its own business model while adding a struggling company to its fold. Also, as an all-stock deal, there's typically short-term pressure because of investors' concerns about shareholder dilution. This is an aggressive move by SoundHound, and years down the road, it could prove to be a savvy deal. The AI voice company doesn't have any debt and still expects to remain debt-free if the deal closes, which limits some of the risk. Still, it all comes down to execution. For those who are bullish, there's still no need to take on excessive risk, making gradual, steady share purchases over time a potentially ideal strategy. That way, you won't have to face extensive losses if the acquisition doesn't work out. Before you buy stock in SoundHound AI, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and SoundHound AI wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $477,813!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,320,088!* Now, it’s worth noting Stock Advisor’s total average return is 986% — a market-crushing outperformance compared to 208% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of May 24, 2026. Jack Delaney has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Chipotle Mexican Grill and SoundHound AI. The Motley Fool recommends Stellantis and recommends the following options: short June 2026 $36 calls on Chipotle Mexican Grill. The Motley Fool has a disclosure policy. The 1 Number in This AI Company's Earnings Report That Changes Everything was originally published by The Motley Fool

SoundHound AI (SOUN) posted record Q1 revenue of $44.2M, up 52% YoY, with automotive and IoT growing 88%, while the LivePerson (LPSN) acquisition targeting $500M combined revenue opportunity is expected to close in the second half of 2026 and unlock at least $350M-$400M in FY2027 revenue. SoundHound trades at 21.4x sales versus an industry average of 3.4x, leaving limited room for execution errors as the company burned $26.3M in operating cash during Q1 and is unprofitable, though the OASYS agentic AI platform and recent Fortune 100 wins provide multiple growth levers. The analyst who called NVIDIA in 2010 just named his top 10 stocks and SoundHound AI wasn't one of them. Get them here FREE. Voice and agentic AI specialist SoundHound AI (NASDAQ:SOUN) just delivered its sixth straight earnings beat, and our model has digested the results. Here is where the 24/7 Wall St. price target lands. Our price target for SoundHound is $17.91, implying 85.98% upside from the current $9.63 share price. Our recommendation is buy with a moderate confidence level of 50%, reflecting the wide range of credible outcomes for a high-beta AI growth name still operating at a loss. The analyst who called NVIDIA in 2010 just named his top 10 stocks and SoundHound AI wasn't one of them. Get them here FREE. SoundHound has whipsawed traders. Shares climbed 20.98% in the past week and 43.73% over the past month, yet the stock is still down 3.41% year to date and sits 34% off the 52-week high of $22.17 with a 52-week low of $5.83. The catalyst is a clean Q1 FY2026 print. Revenue hit $44.2 million, up 52% YoY, with the core automotive and IoT vertical growing 88% organically. EPS came in at -$0.06, the sixth consecutive consensus beat. Management reaffirmed FY2026 revenue guidance of $225 million to $260 million and projected at minimum $350 million to $400 million in FY2027 once the LivePerson acquisition closes in the second half of 2026. Bulls have a real script. The LivePerson (NASDAQ:LPSN) deal targets a $500 million combined revenue opportunity serving 25 of the Fortune 100, while OASYS, the new self-learning agentic AI platform, opens enterprise budgets. Recent wins include a 7-figure Japanese OEM commitment, integration across Walmart (NYSE:WMT) Walmart's ONN TV brand, and expansion with one of the world's largest banks across 100 global markets. H.C. Wainwright carries a $20 price target and Cantor Fitzgerald is at $15. Our bull case lands at $22.77. SoundHound burned $26.3 million in operating cash during Q1, and GAAP gross margin compressed 5.4 percentage points to 31.1% on vendor true-up costs. A P/S ratio of 21.4x against an industry average of 3.4x leaves no margin for execution slips. Bulls would counter that the gross margin hit was a one-time vendor adjustment, that non-GAAP gross margin was 60.5% in Q4 2025, and that $215.6 million in cash funds the runway. Still, our bear case sits at $14.11 if LivePerson integration slips or AI multiples compress. My price target of $17.91 implies meaningful upside, and the recommendation is buy at 50% confidence. The factor that tips the scale is the FY2027 revenue ramp toward $350 million to $400 million. The bull thesis strengthens if LivePerson closes on schedule and OASYS lands at least one new Fortune 100 logo by year end. The thesis weakens if cash burn widens beyond Q1 levels or FY2026 guidance gets trimmed. Looking further out, here is where our model projects SoundHound could trade, assuming current growth and margin trajectory hold. These projections assume SoundHound executes on the LivePerson integration and sustains agentic AI traction. Significant upside or downside could result from enterprise AI multiple shifts or a slowdown in voice AI adoption. This analyst's 2025 picks are up 106% on average. He just named his top 10 stocks to buy in 2026. Get them here FREE.

Interested in SoundHound AI, Inc.? Here are five stocks we like better. SoundHound AI posted Q1 2026 revenue of $44.2 million, up 52% year over year, with strength across enterprise AI, automotive, financial services, restaurants, healthcare and technology. Management said no customer represented more than 10% of revenue. The company’s planned LivePerson acquisition is central to its growth strategy, with management calling it a “transformational” move that could expand its enterprise reach across more than 30 countries. SoundHound said the deal could help support $350 million to $400 million in 2027 revenue, assuming it closes in the second half of 2026. SoundHound highlighted OASYS, its new agentic AI platform, as a major product initiative designed to deploy AI agents across multiple channels and reduce reliance on manual maintenance. The company also reaffirmed its 2026 revenue guidance of $225 million to $260 million and ended the quarter with $216 million in cash and no debt. SoundHound’s Bottom Is In—Inflection and 50% Upside Ahead? SoundHound AI (NASDAQ:SOUN) reported first-quarter 2026 revenue of $44.2 million, up 52% from a year earlier, as management pointed to broad enterprise demand, automotive growth and continued expansion across financial services, restaurants, healthcare and technology. CEO and Co-Founder Keyvan Mohajer said the company “started the year strong,” adding that excluding the impact of acquisitions, SoundHound’s automotive and IoT AI business grew 88% year over year. CFO and Co-Founder James Hom said financial services and automotive led the quarter’s growth, while healthcare, restaurants and technology also made strong contributions. → Insider Sales: Top AST SpaceMobile Insider Cuts Postion Over 30% MarketBeat Week in Review – 02/23 - 02/27 Hom said SoundHound maintained customer diversification during the quarter, with no customer accounting for more than 10% of revenue. The company’s enterprise AI business remained its largest revenue contributor. A major focus of the call was SoundHound’s planned acquisition of LivePerson, which Mohajer described as a “transformational turnaround opportunity.” SoundHound announced two weeks before the call that it had entered into a definitive agreement to acquire LivePerson, a digital messaging and conversational AI company serving enterprise and mid-market customers. → Light Speed Returns: Corning Cashes In on NVIDIA Growth SoundHound’s New Sales Assist Agent Put Voice AI Back in the Spotlight Mohajer said the combined company would work with enterprise customers in more than 30 countries, including 12 of the top 15 global banks, four of the top five global airlines, four of the top five global automakers and 10 major telecommunications providers. He said the combined customer base includes 25 Fortune 100 companies. SoundHound expects the deal to close in the second half of the year. Mohajer said the company would focus on strengthening LivePerson’s financial position, accelerating modernization of its platform and delivering faster innovation. He also said voice AI is one of the most requested capabilities from LivePerson customers, which SoundHound expects to offer immediately after closing. → Years in the Making, AMD’s Upside Movement Has Just Begun Hom said that, assuming the LivePerson acquisition closes in the second half of 2026, SoundHound expects an “achievable revenue range” of at least $350 million to $400 million in 2027, including at least $100 million of “growable contribution” from LivePerson’s long-tenured customers. Management also said the combined business is expected to reach $500 million based on the existing customer base alone by offering SoundHound voice AI to LivePerson customers and digital-and-voice omnichannel solutions to SoundHound customers. Management also highlighted OASYS, SoundHound’s newly announced Orchestrated Agent System. Mohajer said the platform is designed to let AI build fleets of AI agents in minutes using existing documentation and integrations, replacing older build-and-deploy models that required ongoing manual maintenance. According to Mohajer, OASYS allows businesses to build an AI agent once and deploy it across phone, text, web chat, kiosks, social media, televisions and vehicles. He said the platform combines SoundHound’s core technology with capabilities from its acquisitions into “one unified engine.” Mohajer cited a Fortune 100 insurance customer that he said achieved more than $10 million in quarterly labor savings using SoundHound’s current platform. He said the customer’s AI served more than 21 million customers, maintained more than 96% routing accuracy, processed more than 1 million financial transactions and generated more than $5 million in savings through enhanced customer self-service. He said that customer has been testing OASYS in beta along with other large enterprise customers. In response to an analyst question, Mohajer said larger existing customers would likely be among the first wave of OASYS migration and beta users, while new customers are expected to use the platform going forward. He said the migration of customers to OASYS is “the biggest priority for the company,” though SoundHound did not provide a specific number or timeline. SoundHound reported GAAP gross margin of 31% in the quarter. Non-GAAP gross margin was 50%, adjusted for non-cash amortization of purchased intangibles and employee stock compensation. Hom said the decline in the quarter was partly due to true-up costs from a third-party vendor used in the company’s digital-first business, which he said would not recur in future periods. First-quarter operating expenses included: R&D expenses of $26.2 million, up 6% year over year, largely due to acquisitions and related headcount and development costs. Sales and marketing expenses of $19.2 million, up 60% year over year, primarily driven by acquisitions and go-to-market investments. G&A expenses of $25.7 million, up 39% year over year, primarily due to legal, advisory and other acquisition-related costs. Adjusted EBITDA was a loss of $26.7 million. GAAP net loss was $25 million, or $0.06 per share. Hom said GAAP results were affected by an approximately $39 million change in the fair value of contingent liabilities tied to completed acquisitions, which he described as non-operating and non-cash. Non-GAAP net loss was $26.6 million, or $0.06 per share. The company ended the quarter with $216 million in cash and equivalents and no debt. SoundHound reaffirmed its 2026 revenue outlook of $225 million to $260 million. Hom said the company still expects revenue to ramp through the year because of customer seasonality and timing of large renewals and new deals, though he said seasonality should even out as recurring revenue grows. Management said SoundHound is continuing to pursue cost synergies from acquisitions while making “calculated and time-bound” investments in its foundation models. Mohajer said SoundHound’s Polaris speech foundation model will power OASYS, and the company plans to invest in specialized language models and speech synthesis so that most OASYS interactions can run on SoundHound’s own models rather than third-party frontier models. Mohajer said that investment is expected to be less than 1% of SoundHound’s market capitalization this year and is intended to reduce future costs as customer traffic migrates to OASYS. SoundHound said it signed a new seven-figure commitment with a prominent Japanese automaker to deploy its voice assistant globally and expanded into South America with a multinational automotive OEM. Hom said the company doubled the number of units committed with a prominent Japanese manufacturer. Mohajer also said SoundHound signed an agreement to integrate its voice AI into Walmart’s onn TV brand and is seeing progress in voice commerce as multiple TV and automotive brands integrate the company’s solution. In restaurants, Mohajer said one quick-service restaurant customer reported that drive-thru locations using SoundHound voice AI generated more revenue than comparable locations without the technology. The company also reported increased adoption of its Voice Insights product. During the question-and-answer session, management said SoundHound is not seeing pricing pressure in automotive. Mohajer said generative AI and live generative AI upgrades have allowed the company to increase revenue per unit, and he identified agentic AI, OASYS and voice commerce as further potential monetization opportunities in vehicles. SoundHound AI, Inc is a voice AI and conversational intelligence company specializing in speech recognition, natural language understanding and sound identification technologies. Founded in 2005 and headquartered in Santa Clara, California, the company initially gained recognition with its music discovery app before pivoting to enterprise-grade voice AI solutions. Over the years, SoundHound AI has built a comprehensive platform that enables developers and businesses to embed conversational intelligence into a wide range of products and services. The company's core offering is the Houndify voice AI platform, which provides customizable speech-to-meaning technology, domain-specific natural language understanding and text-to-speech capabilities. The article "SoundHound AI Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for May 2026.

This article first appeared on GuruFocus. Revenue: $59.3 million, above the high end of guidance range. Adjusted EBITDA: $10.8 million, exceeding guidance expectations. Hosted Services Revenue: $51 million, down 15% year over year. Recurring Revenue: $52.9 million, representing 89% of total revenue. Professional Services Revenue: $8.3 million, down 36% year over year. Average Revenue per Customer: $680,000, up 9% year over year. Net Revenue Retention: 78%, down from 80% in the previous quarter. Cash on Balance Sheet: $95 million at the end of the fourth quarter. Full-Year 2026 Revenue Guidance: $195 million to $207 million. Full-Year 2026 Adjusted EBITDA Guidance: Loss of $4 million to a gain of $7 million. First Quarter 2026 Revenue Guidance: $53 million to $55 million. First Quarter 2026 Adjusted EBITDA Guidance: $2 million to $5 million. Warning! GuruFocus has detected 6 Warning Signs with LPSN. Is LPSN fairly valued? Test your thesis with our free DCF calculator. Release Date: March 12, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. LivePerson Inc (NASDAQ:LPSN) outperformed its Q4 guidance on both the top and bottom lines, with revenue reaching $59.3 million and adjusted EBITDA at $10.8 million. The company launched Syntrix, a new platform designed to provide assurance for AI deployments, which is gaining traction with enterprise customers. LivePerson Inc (NASDAQ:LPSN) secured significant renewals with major financial services, airlines, telecom, and healthcare providers, demonstrating strong customer confidence. The partnership with Google Cloud is yielding positive results, including a multimillion-dollar renewal and expansion through the Google Cloud Marketplace. The company is seeing increased adoption of its generative AI suite, with over 20% of conversations leveraging this technology in Q4. LivePerson Inc (NASDAQ:LPSN) expects a year-over-year decline in revenue for 2026, with guidance ranging from $195 million to $207 million. Net revenue retention was 78% in Q4, down from 80% in the previous quarter, indicating challenges in maintaining customer revenue. The company anticipates adjusted EBITDA to range from a loss of $4 million to a gain of $7 million for the full year of 2026, reflecting ongoing financial challenges. Revenue from hosted services decreased by 15% year over year, and professional services revenue declined by 36% year over year. Despite positive developments, the company acknowledges that there is still work to be done to further improve its capital structure and achieve long-term growth. Q: Could you explain the decrease in total OpEx for Q4 and how you expect it to scale through 2026? A: The decrease in OpEx for Q4 was primarily due to a large restructuring executed in the prior quarter, which was a structural change to our cost base. As we move forward, we plan to invest in product innovation and commercial presence to ensure positive net ARR in the second half of 2026. - John Collins, CFO and COO Q: Can you clarify how you expect positive net new ARR in the second half of 2026 while revenue continues to decline? A: The positive net ARR expected in the second half will be offset by the negative net ARR from recent periods, resulting in sequential revenue declines. Historical customer losses are still impacting the P&L throughout 2026. Our guidance reflects a healthy pipeline, particularly for our core platform. - John Collins, CFO and COO Q: Could you expand on the demand and development of Syntrix, and how you plan to evolve its roadmap? A: Syntrix was developed in response to customer needs for simulation capabilities to train AI agents and live reps. It addresses compliance challenges and ensures AI models perform as expected before deployment. We plan to enhance Syntrix with analytics and governance features to support AI deployments across varied tech stacks. - John Collins, CFO and COO Q: What is the pricing model for Syntrix, and what impact does it have on renewals? A: Syntrix uses a conversation-based pricing model, reflecting consumption rather than seat-based pricing. Early indications show it as an upsell opportunity and a retention tool, driving improvements in training velocity and customer savings. We expect it to contribute significantly to our pipeline. - John Sabino, CEO Q: How does the Google Cloud Marketplace partnership impact your sales strategy and pipeline? A: The Google Cloud Marketplace simplifies procurement and elevates LivePerson's position within enterprise technology budgets. It serves as a retention lever and is expected to drive renewals and expansions. We anticipate it will create new opportunities and customers through aligned incentives with Google's field teams. - John Sabino, CEO For the complete transcript of the earnings call, please refer to the full earnings call transcript.

-- Total Revenue of $59.3 million, above the high-end of our guidance range -- -- Adjusted EBITDA above the high-end of our guidance range -- NEW YORK, March 12, 2026 /PRNewswire/ -- LivePerson, Inc. (NASDAQ: LPSN) ("LivePerson" the "Company", "we" or "us"), a leading provider of predictable conversational AI, today announced financial results for the fourth quarter ended December 31, 2025. Fourth Quarter Highlights Total revenue was $59.3 million for the fourth quarter of 2025, a decrease of 19% as compared to the same period last year, driven by customer cancellations and downsells. LivePerson signed 40 deals in total for the fourth quarter, consisting of 36 existing and 4 new customers. Trailing-twelve-months average revenue per enterprise and mid-market customer (ARPC) increased 8.8% for the fourth quarter to $680,000, up from approximately $625,000 for the comparable prior-year period. ARPC is calculated using only recurring revenue, which is consistent with the revenue base for calculating Net Revenue Retention. "Over the past year, we improved our balance sheet, optimized our cost structure, and successfully scaled and innovated on our platform," said John Sabino, LivePerson CEO. "With Syntrix launched, our Google Cloud partnership scaling, and our platform modernization near completion, we are now executing from a stronger position, focused on accelerating innovation, expanding high-velocity partnerships, and returning to growth." "We are entering 2026 with a leaner cost base and improved balance sheet, providing a stronger foundation for commercial execution," said John Collins, LivePerson CFO and COO. "Strong renewal performance in the quarter underscored customer confidence in the staying power of our platform, and we expect growing traction with partners like Google Cloud Marketplace to help maintain the momentum." Customer Expansion During the fourth quarter, the Company signed 40 total deals for the quarter, including 36 expansions and 4 new logos. Expansions included: a major European telecommunications provider; a leading South American bank; and a global airline carrier. New logos included: a New Zealand-based wealth manager. Net Loss, Adjusted Operating Income (Loss) and Adjusted EBITDA Net loss for the fourth quarter of 2025 was $46.1 million or $3.92 per share, as compared to a net loss of $112.1 million or $19.00 per share for the fourth quarter of 2024. Adjusted operating income, a non-GAAP financial metric, for the fourth quarter of 2025 was $5.5 million, as compared to $1.0 million adjusted operating income for the fourth quarter of 20241. Adjusted operating income (loss) excludes provision for income taxes, interest expense, interest income, amortization of purchased intangibles and finance leases, litigation, consulting and other employee costs, restructuring costs, stock-based compensation expense, change in fair value of warrants, gain on troubled debt restructuring, gain on debt extinguishment, impairment of goodwill, impairment of intangibles and other assets, leadership transition costs, working capital adjustment related to the Kasamba divestiture, IT transformation costs, acquisition and divestiture costs, loss on divestiture, and other (income) expense, net. Adjusted EBITDA, a non-GAAP financial measure, for the fourth quarter of 2025 was $10.8 million as compared to adjusted EBITDA of $8.1 million for the fourth quarter of 2024. Adjusted EBITDA excludes interest expense, interest income, provision for income taxes, depreciation and amortization, amortization of purchased intangibles and finance leases, litigation, consulting and other employee costs, restructuring costs, stock-based compensation expense, change in fair value of warrants, gain on troubled debt restructuring, gain on debt extinguishment, impairment of goodwill, impairment of intangibles and other assets, leadership transition costs, working capital adjustment related to the Kasamba divestiture, IT transformation costs, acquisition and divestiture costs, loss on divestiture, and other (income) expense, net. A reconciliation of non-GAAP financial measures to GAAP measures has been provided in the financial tables included in this press release. An explanation of the non-GAAP financial measures and how they are calculated is included below under the heading "Non-GAAP Financial Measures." Cash and Cash Equivalents The Company's cash balance was $95.0 million at December 31, 2025, as compared to $183.2 million at December 31, 2024. Financial Expectations The following forward-looking measures and the underlying assumptions involve significant known and unknown risks and uncertainties, and actual results may vary materially from these forward-looking measures. The Company does not present a quantitative reconciliation of the forward-looking non-GAAP financial measures, adjusted EBITDA and adjusted EBITDA margin to the most directly comparable GAAP financial measures (or otherwise present such forward-looking GAAP measures) because it is impractical to forecast certain items without unreasonable efforts due to the uncertainty and inherent difficulty of predicting, within a reasonable range, the occurrence and financial impact of and the periods in which such items may be recognized. In particular, these non-GAAP financial measures exclude certain items, including interest expense, interest income, provision for income taxes, depreciation and amortization, amortization of purchased intangibles and finance leases, litigation, consulting and other employee costs, restructuring costs, stock-based compensation expense, change in fair value of warrants, gain on troubled debt restructuring, gain on debt extinguishment, impairment of goodwill, impairment of intangibles and other assets, leadership transition costs, working capital adjustment related to the Kasamba divestiture, IT transformation costs, acquisition and divestiture costs, loss on divestiture, and other (income) expense, net, which depend on future events that the Company is unable to predict. Depending on the size of these items, they could have a significant impact on the Company's GAAP financial results. For the first quarter of 2026, we currently expect total revenue to range from $53 million to $55 million or (18)% to (15)% year over year. We currently expect recurring revenue to represent 92% of total revenue. For the first quarter of 2026, we currently expect adjusted EBITDA to range from $2 million to $5 million, or a margin of 3.8% to 9.1%. For the full year 2026, we currently expect total revenue to range from $195 million to $207 million or (20)% to (15)% year over year. In addition, we currently expect recurring revenue to represent 92% of total revenue. For the full year 2026, we currently expect adjusted EBITDA to range from $(4) million to $7 million, or a margin of (2.1)% to 3.4%. First Quarter 2026 Full Year 2026 Disaggregated Revenue Included in the accompanying financial results are revenues disaggregated by revenue source, as follows: Supplemental Fourth Quarter 2025 Presentation LivePerson will post a presentation providing supplemental information for the fourth quarter of 2025 on the investor relations section of the Company's web site at ir.liveperson.com. Earnings Teleconference Information The Company will discuss its fourth quarter of 2025 financial results during a teleconference today, March 12, 2026, at 5:00 PM ET. To participate via telephone, callers should dial in five to ten minutes prior to the 5:00 p.m. Eastern start time; domestic callers (U.S. and Canada) should dial 1-877-407-0784, while international callers should dial 1-201-689-8560, and both should reference the conference ID "13758561." The conference call will also be simulcast live on the Internet and can be accessed by logging onto the investor relations section of the Company's web site at ir.liveperson.com. If you are unable to participate in the live call, the teleconference will be available for replay approximately two hours after the call until March 26, 2026. To access the replay, please call 1-844-512-2921 (U.S. and Canada) or 1-412-317-6671 (international). Please reference the conference ID "13758561." A replay will also be available on the investor relations section of the Company's web site at ir.liveperson.com. About LivePerson, Inc. LivePerson (NASDAQ: LPSN) is an enterprise leader in predictable conversational AI. The world's leading brands use our award-winning Conversational Cloud and Syntrix platforms to connect with millions of customers. We power nearly a billion messages every month, providing uniquely rich data analytics, agent training, and AI evaluation tools to unlock the power of conversational AI for better business outcomes. Learn more at liveperson.com. Non-GAAP Financial Measures Investors are cautioned that the following financial measures used in this press release and on our earnings call are "non-GAAP financial measures": (i) adjusted EBITDA, or net loss before interest expense, interest income, provision for income taxes, depreciation and amortization, amortization of purchased intangibles and finance leases, litigation, consulting and other employee costs, restructuring costs, stock-based compensation expense, change in fair value of warrants, gain on troubled debt restructuring, gain on debt extinguishment, impairment of goodwill, impairment of intangibles and other assets, leadership transition costs, working capital adjustment related to the Kasamba divestiture, IT transformation costs, acquisition and divestiture costs, loss on divestiture, and other (income) expense, net; (ii) adjusted EBITDA margin, or net loss before interest expense, interest income, provision for income taxes, depreciation and amortization, amortization of purchased intangibles and finance leases, litigation, consulting and other employee costs, restructuring costs, stock-based compensation expense, change in fair value of warrants, gain on troubled debt restructuring, gain on debt extinguishment, impairment of goodwill, impairment of intangibles and other assets, leadership transition costs, working capital adjustment related to the Kasamba divestiture, IT transformation costs, acquisition and divestiture costs, loss on divestiture, and other (income) expense, net, divided by revenue; (iii) adjusted operating income (loss), or net loss before provision for income taxes, interest expense, interest income, amortization of purchased intangibles and finance leases, litigation, consulting and other employee costs, restructuring costs, stock-based compensation expense, change in fair value of warrants, gain on troubled debt restructuring, gain on debt extinguishment, impairment of goodwill, impairment of intangibles and other assets, leadership transition costs, working capital adjustment related to the Kasamba divestiture, IT transformation costs, acquisition and divestiture costs, loss on divestiture, and other (income) expense, net; (iv) free cash flow, or net cash used in operating activities less purchases of property and equipment, including capitalized internal-use software development costs; (v) non-GAAP cost of revenue, or cost of revenue excluding stock-based compensation and IT transformation costs; (vi) non-GAAP sales and marketing expenses, or sales and marketing expenses excluding stock-based compensation and leadership transition costs; (vii) non-GAAP general and administrative expenses, or general and administrative expenses excluding stock-based compensation, litigation, consulting and employee costs, leadership transition costs and acquisition and divestiture costs; and (viii) non-GAAP product development expenses, or product development expenses excluding stock-based compensation, litigation, consulting and employee costs, leadership transition costs and IT transformation costs. Non-GAAP financial information should not be construed as an alternative to any other measures of performance determined in accordance with GAAP, or as an indicator of our operating performance, liquidity or cash flows generated by operating, investing and financing activities as there may be significant factors or trends that it fails to address. We present non-GAAP financial information because we believe that it is helpful to some investors as one measure of our operations. Forward-Looking Statements Statements in this press release and on our earnings call regarding LivePerson that are not historical facts are forward-looking statements and are subject to risks and uncertainties that could cause actual future events or results to differ materially from such statements. Any such forward-looking statements, including but not limited to financial guidance, changes to our capital structure, our ability to execute on our transformation strategy, the effects of our cost-reduction efforts and the impact of our new hires, are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. With respect to our financial guidance, we note that it is routine for our internal projections and expectations to change as the quarter and year progress, and therefore it should be clearly understood that the internal projections and beliefs upon which we base our expectations may change. Although these expectations may change, we are under no obligation to inform you if they do. Some of the factors that could cause actual results to differ materially from the forward-looking statements contained herein include, without limitation: our ability to retain existing customers and cause them to purchase additional services and to attract new customers; the intensive personnel, infrastructure and resource commitment required to support our customer base; our ability to retain key personnel, attract new personnel and to manage staff attrition; our ability to realize the intended operational efficiencies and cost savings from our restructuring initiatives; our ability to successfully integrate acquisitions; our ability to secure necessary financing on commercially reasonable terms, or at all; lengthy sales cycles; delays in our implementation cycles; payment-related risks; potential fluctuations in our quarterly revenue and operating results; limitations on the effectiveness of our controls; non-payment or late payment of amounts due to us from a significant number of customers; volatility in the capital markets; recognition of revenue from subscriptions; customer retention and engagement; our ability to develop and maintain successful relationships with partners, service partners, social media and other third-party consumer messaging platforms and endpoints; our ability to effectively operate on mobile devices; the highly competitive markets in which we operate; general economic conditions; failures or security breaches in our services, those of our third-party service providers, or in the websites of our customers; regulation or possible misappropriation of personal information belonging to our customers' Internet users; US and international laws and regulations regarding privacy data protection and AI and increased public scrutiny of privacy, security and AI issues that could result in increased government regulation and other legal obligations; ongoing litigation and legal matters; new regulatory or other legal requirements that could materially impact our business; governmental export controls and economic sanctions; industry-specific regulation and unfavorable industry-specific laws, regulations or interpretive positions; future regulation of the Internet or mobile devices; technology-related defects that could disrupt the LivePerson services; our ability to protect our intellectual property rights or potential infringement of the intellectual property rights of third parties; the use of AI in our product offerings or by our vendors; the presence of, and difficulty in correcting, errors, failures or "bugs" in our products; our ability to license necessary third-party software for use in our products and services, and our ability to successfully integrate third-party software; potential adverse impact due to foreign currency exchange rate fluctuations; additional regulatory requirements, tax liabilities, currency exchange rate fluctuations and other risks if and as we expand; risks related to our operations in Israel; potential failure to meet service level commitments to certain customers; legal liability and/or negative publicity for the services provided to consumers via our technology platforms; technological or other defects that could disrupt or negatively impact our services; our ability to maintain our reputation; changes in accounting principles generally accepted in the United States; natural catastrophic events and interruption to our business by man-made problems; potential limitations on our ability to use net operating losses to offset future taxable income; risks related to our common stock being traded on more than one securities exchange; risks related to our ability to comply with stock exchange listing requirements; and other factors described in the "Risk Factors" sections of the Company's Annual Report on Form 10-K for the year ended December 31, 2024, filed with the SEC on March 14, 2025, and the Company's Quarterly Report on Form 10-Q for the quarterly periods ended March 31, 2025, June 30, 2025 and September 30, 2025, filed with the SEC on May 8, 2025, August 13, 2025 and November 12, 2025, respectively. This list is intended to identify only certain of the principal factors that could cause actual results to differ from those discussed in the forward-looking statements. Readers are referred to the Company's reports and documents filed from time to time by us with the Securities and Exchange Commission for a discussion of these and other important factors that could cause actual results to differ from those discussed in forward-looking statements. Investor Relations contact [email protected] View original content to download multimedia:https://www.prnewswire.com/news-releases/liveperson-announces-fourth-quarter-2025-financial-results-302712818.html