SoundHound revenue up 52% to $44M on Interactions deal; operating loss returns as earnout gains fade

Filed May 11, 2026 · Period ending March 31, 2026 · Compared to 10-Q May 12, 2025 · ~2 min read

Key Changes

• high

  Q1 2026 revenue grew 52% YoY to $44.2M driven by September 2025 Interactions acquisition ($76.1M purchase price), which added Fortune 100 customers in customer service and workflow orchestration. Growth rate decelerated from 151% in Q1 2025 as prior-year Amelia acquisition now in baseline.

  MD&A: Revenue Growth & Interactions Acquisition verify on EDGAR →
• high

  Operating results swung from $128.1M income in Q1 2025 to $22.7M loss in Q1 2026. Q1 2025 included $176.1M non-cash earnout gain from stock price decline; Q1 2026 gain only $39.4M. Excluding these non-operating items, underlying operations remain loss-making but improving.

  MD&A: Operating Income verify on EDGAR →
• high

  Gross margin compressed from 36% to 31% due to Interactions acquisition adding $0.6M intangible amortization and $2.8M stock-based compensation. Management expects gradual improvement as acquisitions integrate.

  MD&A: Gross Margin verify on EDGAR →