SoundHound AI reported second-quarter revenue of $42.7 million, a 217% year-over-year increase that comfortably exceeded the $32.9 million analysts expected. Adjusted earnings showed a loss of $0.03 a share, narrowing from consensus forecasts of a $0.09 loss, while GAAP net loss widened to $74.7 million because of fair-value adjustments tied to earlier acquisitions. The company’s GAAP gross margin was 39%, with a non-GAAP margin of 58.4%; adjusted EBITDA was a loss of $14.3 million. SoundHound ended June with $230 million in cash and no debt. Buoyed by across-the-board demand for its voice-AI products in automotive, customer service and restaurant markets, the Santa Clara-based firm lifted its full-year 2025 revenue projection to $160 million–$178 million, ahead of Wall Street’s $159.6 million consensus. Chief Executive Officer Keyvan Mohajer said momentum is expected to accelerate in the second half, with several large contracts slated for the fourth quarter. Investors welcomed the results, sending the shares up about 14% in late trading and as much as 26.7% in pre-market dealings the following morning. Northland Securities and Mizuho Securities both upgraded the stock to Buy/Outperform and set a $14.50 price target, citing a deepening sales pipeline and a return to sustained organic growth. Separately, the company unveiled “Vision AI,” a real-time visual recognition engine embedded in its conversational-AI stack. The technology combines camera-based perception with SoundHound’s speech platform to enable multimodal agents for cars, drive-thrus, retail kiosks and industrial equipment, extending the firm’s push into enterprise-grade AI solutions.