# SoundHound AI Shares Fall 53% in 2026 as Operating Cash Use Rises By Enna Lee Canonical URL: https://www.tokenpost.com/news/investing/34096 Published: 2026-10-17T16:20:22.000Z Updated: 2026-10-17T16:20:22.000Z Section: Investing > Second-quarter revenue climbed 45% and the net loss narrowed, while first-half operating cash outflow rose to nearly $60 million. SoundHound AI (SOUN) shares closed at $4.72 on Oct. 16, down 52.7% from year-end, as revenue growth coincided with greater first-half cash outflow from operations. The Oct. 16 close at 4 p.m. ET (20:00 UTC) compared with $9.97 at 4 p.m. EST (21:00 UTC) on Dec. 31, 2025, producing a 52.7% price decline, or 53% rounded. The move came a day after SoundHound led a group of [AI-linked stocks higher in U.S. trading](). For the quarter ended June 30, revenue reached $61.9 million, up 45% from the year-earlier quarter. GAAP gross margin was 45.1%. The GAAP net loss narrowed to $42.8 million from $74.7 million in the second quarter of 2025. Cash flow moved in the opposite direction. Operating activities used $60 million during the first six months of 2026, compared with $43.7 million in the same period a year earlier. At June 30, SoundHound had $203 million in cash and cash equivalents and no debt. The net-loss comparison covers a quarter, while the cash-flow figures cover six months. SoundHound interim CFO and co-founder James Hom said, “Our cost discipline is key as we drive our business toward achieving profitable growth.” The company sells voice and agentic AI software for automotive, restaurant and health care uses. It completed its acquisition of LivePerson on Sept. 4, after the quarter ended. The companies plan to integrate LivePerson’s digital messaging platform into SoundHound’s OASYS system. SoundHound set its 2026 revenue outlook at $230 million to $260 million on Aug. 5, before the acquisition closed. It had planned to update the outlook after closing. The June-quarter results and the forecast therefore cover periods before the LivePerson deal and do not show the combined company’s post-acquisition financial performance. ## Links in this article - [AI-linked stocks higher in U.S. trading](https://www.tokenpost.com/news/investing/33138)