SoundHound AI Inc (NASDAQ:SOUN) shares are falling Tuesday after the company announced it’s unable to timely file its 10-K with the U.S. Securities and Exchange Commission.

What Happened: SoundHound AI said in a regulatory filing early Tuesday that it requires additional time to prepare the financial statements for its annual 10-K for fiscal year ended Dec. 31, 2024, due to the complexity of accounting for recent acquisitions.

The company noted that it previously identified material weaknesses in its internal control over financial reporting. SoundHound said Tuesday that the material weaknesses continue to exist as of Dec. 31, 2024. The company expects to file its Form 10-K no later than March 18.

Last week, SoundHound reported better-than-expected results for the fourth quarter, turning in revenue of $34.54 million versus estimates of $33.69 million, and a loss of five cents per share versus estimates for a loss of 10 cents per share, according to Benzinga Pro.

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Total revenue was up 101% on a year-over-year basis and the company raised its full-year 2025 revenue outlook to a range of $157 million to $177 million, up from a prior range of $155 million to $175 million.

"We had a breakthrough year, expanding our leadership position in voice and conversational AI through major customer wins, expanded partnerships, groundbreaking generative AI innovation, and strategic acquisitions," said Keyvan Mohajer, co-founder and CEO of SoundHound AI.

SOUN Price Action: SoundHound AI shares jumped more than 12% following earnings last week. The stock has now given back all of its gains. SoundHound shares were down 143.5% at $8.93 at the time of publication Tuesday, according to Benzinga Pro.

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