Earnings Releases·Oct 26, 2026, 4:09 PM ET

AudioEye — Third Quarter 2026 Earnings Summary

Q3 2026 revenue rose 7% YoY to $11.0 million, while net income turned positive at $1.0 million ($0.08/share) versus a $0.6 million loss in the prior year; Adjusted EBITDA surged 58% YoY to $3.9 million with an adjusted EPS of $0.30.
Full-year 2026 guidance was raised to $43.6–$43.8 million in revenue and $13.4–$13.6 million in Adjusted EBITDA, with Q4 revenue guidance set at $11.4–$11.6 million and Adjusted EPS expected between $0.32–$0.33.
The Board authorized a new $15 million stock repurchase program (valid through October 2027), replacing prior authorizations and funded by working capital and operating cash.
Strategic focus shifted toward recurring revenue, driving a 12% YoY ARR growth and a customer base of 130,000, supported by the October 2026 launch of new AI products (Agentic Audits and AudioEye SDK MCP).
Operating expenses decreased 5% YoY to $7.8 million due to AI efficiencies, while gross margins improved to 83% (GAAP) and 88% (Adjusted); litigation expenses totaled $492,000 in Q3 and $3.4 million for the first nine months.