SoundHound AI (SOUN, Financials) stock dropped 10.1% to $9.28 as of 11:46 a.m. GMT-5 on Tuesday after the company announced a delay in filing its annual report for 2024.
The artificial intelligence company mentioned internal control flaws over financial reporting and the difficulty of accounting for two acquisitions as causes of concern. Within the 15-day extension time permitted by SEC rules, the business plans to turn in their Form 10-K by March 18.
In January 2024, the Santa Clara, California-based company bought Synq3, Inc.; in August 2024, Amelia Holdings, Inc. Completed via a mix of cash and stock transactions, the acquisitions have complicated financial reporting and added time to the process.
SoundHound AI underlined once again that, as of December 31, 2024, it has found substantial shortcomings in its internal controls over financial reporting. The corporation withheld specifics on the remedial actions being implemented.
The delay follows SoundHound AI's Feb. 27, fourth-quarter financial results disclosure. While its profits per share were at -$0.69, below analyst forecasts by $0.60, the firm earned $34.54 million in income, a 101.45% rise year-over-years.
Assuring investors that the business is trying to remedy the reporting issues and satisfy the new filing date, CEO Dr. Keyvan Mohajer signed off on the SEC notice.
This article first appeared on GuruFocus.免責聲明：投資有風險，本文並非投資建議，以上內容不應被視為任何金融產品的購買或出售要約、建議或邀請，作者或其他用戶的任何相關討論、評論或帖子也不應被視為此類內容。本文僅供一般參考，不考慮您的個人投資目標、財務狀況或需求。TTM對信息的準確性和完整性不承擔任何責任或保證，投資者應自行研究並在投資前尋求專業建議。