TUCSON, Ariz., Jan. 14, 2022 /PRNewswire/ -- AudioEye,
Inc. (NASDAQ: AEYE), an industry-leading digital
accessibility platform delivering website accessibility compliance
to businesses of all sizes, provided a customer update and its
preliminary outlook for revenue, monthly recurring revenue, and net
loss for the fourth quarter 2021.
Preliminary Fourth Quarter 2021 Updates
- As of December 31, 2021, monthly
recurring revenue (MRR) is expected to be about $2.2 million representing an increase of 16% year
over year
- Fourth quarter 2021 revenue is expected to be in the range of
$6.4 million to $6.5 million representing an increase of 14-16%
year over year
- Net loss for the fourth quarter 2021 is expected to be between
$5.2 million and $4.9 million, inclusive of expected litigation
expense in the range of $0.9 million
to $1.1 million and expected stock
based compensation expense in the range of $2.1 million to $2.3
million (both of which we expect to exclude from our
non-GAAP loss for the quarter)
- Ended the fourth quarter with a customer count of approximately
82,000 representing an increase of 156% year over year
- Renewed significant contract with global HR and payroll
software and service company in December
- Signed a major agency and a large financial institution
"AudioEye's results in the fourth quarter reflect significant
progress across product development and sales. Our customers
started to take full advantage of our newly launched Issue
Reporting dashboard, which enables them to take proactive action
and address the most pressing accessibility issues faster and at
scale. The new feature, coupled with our human assisted technology,
allows us to deepen our relationships with existing customers and
attract new ones," said David
Moradi, CEO of AudioEye. "Highlights in the quarter include
renewing a significant contract with a global HR and payroll
software and service company, signing a major agency and a large
financial institution while experiencing strong growth in the
marketplace channel. We are well-positioned for the future and look
forward to supporting our customers with new innovations and a
comprehensive web accessibility platform in our mission to
eradicate all barriers to digital access."
About AudioEye
AudioEye is an industry-leading digital accessibility
platform delivering ADA and WCAG compliance at scale. By combining
easy-to-use technology and subject matter expertise, AudioEye helps
companies and content creators solve every aspect of web
accessibility — from finding and resolving issues to
navigating legal compliance, to ongoing monitoring and upkeep.
Trusted by the FCC, ADP, SSA, Samsung, and others, AudioEye
delivers automated remediations and continuous monitoring for
accessibility issues without making fundamental changes to website
architecture, source code, or browser-based tools. Join us on our
mission to eradicate barriers to digital access,
visit www.audioeye.com.
Cautionary Language
Our preliminary estimated results are subject to completion
of our customary year-end closing, review and audit procedures and
are not a comprehensive statement of our financial results for the
three months ended December 31, 2021.
We caution that our final results for the fiscal year ended
December 31, 2021 that we will file
with the SEC could include financial results for the three months
ended December 31, 2021 that vary
significantly from these preliminary estimates as a result of the
completion of our customary year-end closing, review and audit
procedures and other developments arising between now and the time
that our financial results for the fiscal year ended December 31, 2021 are finalized. These
preliminary estimates should not be viewed as a substitute for
complete financial statements prepared in accordance with GAAP and
they are not necessarily indicative of the results to be achieved
in any future period. Accordingly, you should not place undue
reliance on these preliminary estimates. The preliminary estimates
of results included above have been prepared by, and is the
responsibility of, the Company's management. MaloneBailey LLP
("MaloneBailey"), the Company's independent registered public
accounting firm, has not audited, reviewed, compiled or performed
any procedures with respect to the accompanying preliminary
financial data. Accordingly, MaloneBailey does not express an
opinion or any other form of assurance with respect
thereto.
Forward-Looking Statements
Any statements in this press release about AudioEye's
expectations, beliefs, plans, objectives, prospects, financial
condition, assumptions or future events or performance are not
historical facts and are "forward-looking statements" as that term
is defined under the federal securities laws. Forward-looking
statements are often, but not always, made through the use of words
or phrases such as "believe", "anticipate", "should", "confident",
"intend", "plan", "will", "expects", "estimates", "projects",
"positioned", "strategy", "outlook" and similar words. You should
read the statements that contain these types of words carefully.
Such forward-looking statements contained herein include, but are
not limited to, statements regarding anticipated contributions from
new sales channels, long-term growth prospects, opportunities in
the digital accessibility industry, our revenue and MRR guidance,
and our expectation of investments in marketing and sales. These
statements are subject to a number of risks, uncertainties and
other factors that could cause actual results to differ materially
from what is expressed or implied in such forward-looking
statements, including the variability of AudioEye's revenue and
financial performance; risks associated with our new platform and
sales channels; product development and technological changes; the
acceptance of AudioEye's products in the marketplace by existing
and potential future customers; competition; inherent
uncertainties and costs associated with litigation; general
economic conditions; and uncertainties regarding the impact on our
business and the overall economy from the coronavirus (COVID-19)
outbreak. These and other risks are described more fully in
AudioEye's filings with the Securities and Exchange Commission (the
"SEC"), including AudioEye's Annual Report on Form 10-K for the
year ended December 31, 2020 filed
with the SEC on March 11, 2021 and in
subsequent filings with the SEC. There may be events in the future
that AudioEye is not able to predict accurately or over which
AudioEye has no control. Forward-looking statements reflect
management's view as of the date of this press release, and
AudioEye urges you not to place undue reliance on these
forward-looking statements. AudioEye does not undertake any
obligation to update such forward-looking statements to reflect
events or uncertainties after the date hereof. Due to rounding,
numbers presented throughout this document may not add up precisely
to the totals provided and percentages may not precisely reflect
the absolute figures.
About Key Operating Metrics
We consider monthly recurring revenue ("MRR") as a key
operating metric and a key indicator of our overall business. We
also use MRR as (i) one of the primary methods for planning and
forecasting overall expectations and for evaluating, on at least a
quarterly and annual basis, actual results against such
expectations; and (ii) as a performance metric for certain
executive stock-based compensation awards.
We define MRR as the sum of (i) for our Enterprise sales
channel, the total of the average monthly recurring fee amount
under each active paid contract at the date of determination, plus
(ii) for our Partner and Marketplace channel, the recognized
recurring monthly fee amount for all paying customers at the date
of determination, in each case, assuming no changes to the
subscription and without taking into account any usage above the
subscription or recurring revenue base, if any, that may be
applicable to such subscription. This determination includes both
annual and monthly contracts for recurring products. Some of our
contracts are cancelable, which may impact future MRR. MRR excludes
revenue from our PDF remediation services and Mobile App report
business.
Corporate Contact:
AudioEye, Inc.
Dr. Carr Bettis, Executive
Chairman
cbettis@audioeye.com
Investor Contact:
Matt
Glover or Tom Colton
AEYE@gatewayir.com
(949) 574-3860
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SOURCE AudioEye, Inc.