Audioeye | 8-K: FY2026 Q2 Revenue Beats Estimate at USD 10.72 M

Revenue: As of FY2026 Q2, the actual value is USD 10.72 M, beating the estimate of USD 10.7 M.

EPS: As of FY2026 Q2, the actual value is USD -0.07.

EBIT: As of FY2026 Q2, the actual value is USD -598 K.

Annual Recurring Revenue (ARR)

AudioEye, Inc.’s ARR was $42.3 million as of June 30, 2026, an increase from $41.2 million as of March 31, 2026, and an 11% increase compared to June 30, 2025.

Total Revenue

Total revenue for the second quarter of 2026 increased 9% year-over-year to a record $10.7 million, up from $9.9 million in the same prior-year period. For the six months ended June 30, 2026, revenue was $21.269 million, compared to $19.590 million for the six months ended June 30, 2025.

Gross Profit

Gross profit for the second quarter of 2026 increased to $8.4 million (79% of total revenue) from $7.6 million (77% of total revenue) in the same prior-year period. For the six months ended June 30, 2026, gross profit was $16.701 million, compared to $15.357 million for the six months ended June 30, 2025.

Adjusted Gross Margin

Adjusted gross margin was 84% in the second quarter of 2026, compared to 83% in the same prior-year period. For the six months ended June 30, 2026, adjusted gross margin was 84%, consistent with 84% for the six months ended June 30, 2025.

Operating Expenses

Operating expenses were $9.0 million in the second quarter of 2026, a 23% increase from the comparable prior-year period. Total operating expenses for the six months ended June 30, 2026, were $19.182 million, compared to $16.055 million for the six months ended June 30, 2025.

Operating Loss

Operating loss for the second quarter of 2026 was - $598 thousand, compared to an operating income of $242 thousand in the same prior-year period. Operating loss for the six months ended June 30, 2026, was - $2.481 million, compared to - $698 thousand for the six months ended June 30, 2025.

Net Loss

Net loss for the second quarter of 2026 was - $0.9 million, compared to a net loss of - $0.0 million in the same prior-year period. Net loss for the six months ended June 30, 2026, was - $2.979 million, compared to - $1.471 million for the six months ended June 30, 2025.

Adjusted EBITDA

Adjusted EBITDA in the second quarter of 2026 was a record $3.0 million, compared to $1.9 million in the same prior-year period. For the six months ended June 30, 2026, Adjusted EBITDA was $5.337 million, compared to $3.839 million for the six months ended June 30, 2025.

Cash and Cash Equivalents

As of June 30, 2026, AudioEye, Inc. had $8.7 million in cash and cash equivalents, an increase of $0.1 million from March 31, 2026. Cash and cash equivalents were $8.717 million as of June 30, 2026, compared to $5.288 million as of December 31, 2025.

Customer Base

As of June 30, 2026, AudioEye, Inc. had approximately 129,000 customers, representing an increase of 9,000 year-over-year from June 30, 2025.

Financial Outlook

AudioEye, Inc. anticipates third quarter 2026 revenue between $10.85 million and $11.05 million, with full-year 2026 revenue projected between $43.5 million and $44.0 million. The company expects third quarter 2026 Adjusted EBITDA to be between $3.4 million and $3.6 million, and at least $12.7 million for the full year 2026, representing 40% year-over-year growth. AudioEye, Inc. also projects over $15 million of annualized run rate Adjusted EBITDA by the end of 2026 and meaningful free cash flow generation in the second half of 2026, while evaluating options for excess cash like share buybacks and dividends.