AudioEye Inc

Announcement: AEYE 8-K Special Filing

Performance Analysis:

AudioEye Inc. is a digital accessibility platform that specializes in delivering ADA and WCAG compliance on web applications and digital platforms. The company saw continued revenue growth, increase in customer count, and expansion in its product features and capabilities in the first quarter of 2023. The company has two sales channels - Partner and Marketplace channel and Enterprise channel, which remain the primary focus of the company's recurring revenue growth. In the first quarter of 2023, the company's total revenue increased by 13% over the prior year comparable period. The company had approximately 95,000 customers, an increase from 74,000 customers at the end of March 2022. The company's Customer count increased in both the Enterprise and Partner and Marketplace channel during this period.

The company's Annual Recurring Revenue at the end of March 2023 was approximately $29.6 million, which represented an increase of 5% year-over-year. In the first quarter of 2023, revenue from the Partner and Marketplace channel grew by 14% from the prior year comparable period, while the Enterprise channel's revenue growth was 11%. The Enterprise channel represented about 41% of ARR at the end of March 2023, while the Partner and Marketplace channel represented about 59%.

Forward Looking Analysis:

AudioEye Inc. is expected to grow and continue to focus on recurring revenue growth in both its enterprise and partner and marketplace channels. The company plans to continue to invest in research and development, as well as expanding its portfolio of proprietary intellectual property. The regulatory environment for the company's products and services remains a risk factor in the future, as well as the level of competition from existing and new competitors in the marketplace. 

According to the CEO of the company, Todd Bankofier, “we continue to expand and enhance the capabilities of our solutions to meet the ever-evolving demands that come with advancing technology, increasing regulatory requirements, and growing awareness of the need for inclusive online experiences.” Furthermore, the company expects the demand for its products and services to increase, as the number of lawsuits around website accessibility compliance in the US continues to rise. Therefore, AudioEye expects to see a rise in demand for its compliance services in the next quarter and beyond. 

Moreover, the COVID-19 pandemic and the work from home environment continue to drive the need for accessible digital platforms, making AudioEye’s solutions more indispensable. The company’s continued investment in research and development, along with the expansion of the partner and enterprise channels, remain key drivers of the company’s growth.

Form 10-Q - Quarterly report [Sections 13 or 15(d)]

AudioEye (AEYE) Q1 FY23 Earnings Review: Strong Customer Growth and Increased Recurring Revenue.

AudioEye, Inc., the industry-leading digital accessibility platform for websites and apps, reported its financial results for the first quarter ended March 31, 2023, and it was a record-breaking one for the company. The first quarter of 2023 marked the company's twenty-ninth consecutive period of record revenue. Moreover, AudioEye generated record revenue, ARR, and gross margins while driving year-over-year expense reduction. The CEO of AudioEye, David Moradi, reported that the company's rate of innovation is increasing, and more announcements regarding additional AI capabilities and products are expected soon.

Looking at the financial outlook for the second quarter of 2023, AudioEye expects to generate revenue of between $7.8 million and $7.9 million. The company's long-term growth prospects also seem promising, given the anticipated contributions from new sales channels and opportunities in the digital accessibility industry.

AudioEye considers annual recurring revenue (ARR) as a key operating metric and a key indicator of its overall business. The company manages customers through two primary channels: the Enterprise and Partner and Marketplace channels. The former consists of larger clients, including federal, state, and local government agencies, that engage directly with AudioEye sales personnel for custom pricing and solutions. The latter serves small and medium-sized businesses that purchase an AudioEye solution from their partner or reseller's web-hosting platform.

Lastly, the company has utilized non-GAAP financial measures, such as non-GAAP earnings (loss) and non-GAAP earnings (loss) per diluted share, to compare their operating performance consistently over time by removing the impact of certain items, such as taxes, expenses that do not relate to core operations, and significant transaction and litigation-related expenses. 

Based on AudioEye's record-breaking financial results for the first quarter of 2023, it seems like a promising investment opportunity for both short-term and long-term investors.

Form 8-K - Current report - Item 2.02 Item 9.01

$AEYE reports twenty-ninth consecutive record-breaking quarter in Q1 2023, generating record revenue, ARR, and gross margins while reducing year-over-year expenses. CEO reports increasing innovation and promising growth prospects.

Form 8-K - Current report - Item 5.02 Item 5.03 Item 7.01 Item 9.01

Part 1: Performance Analysis

AudioEye Inc, a leading digital accessibility platform, reported a strong financial performance for the year ended December 31, 2022. The company focused on product innovation, revenue expansion, and expense management, resulting in a 22% increase in total revenue year-over-year. This growth in revenue was driven by the company's efforts to expand its Enterprise and Partner and Marketplace channels, with both channels experiencing 28% and 17% growth in revenue, respectively. Furthermore, AudioEye increased its customer base to approximately 86,000 customers, representing an increase of 4,000 customers from the prior year. The company's Annual Recurring Revenue ("ARR") increased by 13% to $29.2 million. 

Additionally, AudioEye acquired the Bureau of Internet Accessibility ("BOIA") in March 2022, which contributed to Enterprise revenue growth. The company's gross profit improved by 23% year-over-year, from $18.4 million in 2021 to $22.7 million in 2022. This increase in gross profit was achieved despite an increase in research and development costs, representing 24% of total revenue, primarily due to investments in engineering and product talent to further drive product development. 

Part 2: Forward Looking Analysis

Looking forward, AudioEye appears to be well-positioned for continued growth in the digital accessibility market. The company's focus on product innovation, revenue expansion, and expense management has led to improved financial performance. With the growing global emphasis on web accessibility, the company is well-positioned to capitalize on the increasing demand for web accessibility solutions. 

According to the World Health Organization (WHO), approximately 15% of the world's population lives with a disability, and this number is growing. This implies that the digital accessibility market has significant growth potential as more businesses seek to make their services accessible to a broader audience. 

Additionally, based on the management's discussion, AudioEye has been developing its solutions to comply with the evolving web accessibility regulations such as the Web Content Accessibility Guidelines (WCAG) 2.2 and 3.0, which shows that the company is focusing on product innovation to stay ahead of industry trends. By continuing its focus on recurring revenue growth in both its Enterprise and Partner and Marketplace channels, while still offering its Website and Native Mobile App report services and PDF services, AudioEye can leverage its patented technology to expand access to individuals with disabilities and enhance the overall user experience. 

In conclusion, with a continued focus on product innovation and expense management, along with growing demand for web accessibility solutions, AudioEye appears poised for continued growth in the future. Its strong financial performance, well-positioned competitive position, and focus on product development and customer services could attract potential investors to invest in the company. However, the impact of any new and emerging competitors or regulatory changes on the company's future financial performance must also be taken into account.

Form 10-K - Annual report [Section 13 and 15(d), not S-K Item 405]

AudioEye reports strong 2022 financial performance - 22% YoY revenue growth, 13% YoY ARR increase, and 23% YoY gross profit improvement.

Analyst Summary:
AudioEye, an industry-leading SaaS accessibility platform that delivers website accessibility compliance to businesses, announced record financial results for Q4 and full year 2022. This marks the 28th consecutive period of record revenue for the company. The company's CEO, David Moradi, stated that the fourth quarter demonstrated 19% revenue growth with an increase in gross margin while operating expenses were driven down by 19%. The financial results showcased the company's non-GAAP profitability and improvement in GAAP net loss. Additionally, the company's revenue guidance for Q1 2023 projects YoY growth of 13% at the midpoint, with a range of between $7.7 million and $7.9 million. AudioEye's report also outlined their ARR (annual recurring revenue) and the two primary channels they reach their customers, Enterprise and Partner and Marketplace. The company believes ARR to be a key operating metric, which for them reached $21.5m during Q4, representing a 38% YoY increase. AudioEye has used non-GAAP financial measures such as non-GAAP earnings (loss) and non-GAAP earnings (loss) per diluted share to provide investors with greater insight into their financial and operational decision-making.

Announcement: AEYE 8-K Special Filing

Announcement: AEYE 8-K Special Filing

AudioEye (AEYE) Q1 FY23 Earnings Review: Strong Customer Growth and Increased Recurring Revenue.

AudioEye (AEYE) Q1 FY23 Earnings Review: Strong Customer Growth and Increased Recurring Revenue.

$AEYE reports twenty-ninth consecutive record-breaking quarter in Q1 2023, generating record revenue, ARR, and gross margins while reducing year-over-year expenses. CEO reports increasing innovation and promising growth prospects.

$AEYE reports twenty-ninth consecutive record-breaking quarter in Q1 2023, generating record revenue, ARR, and gross margins while reducing year-over-year expenses. CEO reports increasing innovation and promising growth prospects.

Announcement: AEYE 8-K Special Filing

Announcement: AEYE 8-K Special Filing

AudioEye reports strong 2022 financial performance - 22% YoY revenue growth, 13% YoY ARR increase, and 23% YoY gross profit improvement.

AudioEye reports strong 2022 financial performance - 22% YoY revenue growth, 13% YoY ARR increase, and 23% YoY gross profit improvement.

$AEYE reports record financial results, with 28th consecutive period of record revenue.

$AEYE reports record financial results, with 28th consecutive period of record revenue.