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Dec 31, 2022

SoundHound Q4 2022 Earnings Report

SoundHound AI reported strong Q4 revenue with an increase of 84% year-over-year.

Key Takeaways

SoundHound AI reported an 84% increase in Q4 revenue year-over-year, reaching $9.5 million. The company's gross margin increased to 71%, and although the company experienced a net loss, they anticipate revenue growth of approximately 50% in 2023 and expect to become adjusted EBITDA positive in Q4 2023.

Q4 revenue increased by 84% year-over-year to $9.5 million.

Gross margin for Q4 increased to 71%, a 4 percentage point increase year-over-year.

Cumulative bookings backlog increased by 59% year-over-year, reaching $332 million.

The company expects to grow its revenue by approximately 50% in 2023.

Total Revenue
$9.5M
Previous year: $5.15M
+84.4%
EPS
-$0.15
Previous year: -$0.32
-53.1%
Cumulative Bookings Backlog
$332M
Previous year: $208M
+59.7%
Gross Profit
$6.75M
Previous year: $3.44M
+95.9%
Cash and Equivalents
$9.2M
Previous year: $21.6M
-57.5%
Free Cash Flow
-$20.6M
Previous year: -$795K
+2484.4%
Total Assets
$38M
Previous year: $49.2M
-22.8%

SoundHound

SoundHound

Forward Guidance

SoundHound expects to grow its revenue by approximately 50% in 2023, with revenue expected to be in the range of $43 to $50 million. The company also anticipates becoming adjusted EBITDA positive in the fourth quarter of 2023.