10-Q · August 13, 2026
AudioEye delivered Q2 revenue of $10.716 million, up approximately 7.2% year over year, with gross margin expanding to 79.0% and adjusted EPS of $0.23 exceeding the $0.19 estimate. Adjusted EBITDA reached a record $3.0…
Earnings analysis · 10-Q
AEYE earnings analysis
Filed October 26, 2026 · Our reading of the company's report
The latest report
AudioEye delivered Q3 revenue of $10.963 million, slightly above consensus, while gross margin expanded to 83% and adjusted EBITDA rose 58% to $3.886 million. However, the supplied 10-Q excerpt does not include the full…
Read full summary
AudioEye delivered Q3 revenue of $10.963 million, slightly above consensus, while gross margin expanded to 83% and adjusted EBITDA rose 58% to $3.886 million. However, the supplied 10-Q excerpt does not include the full income statement, balance sheet, cash-flow statement, segment disclosures, or quantitative MD&A outlook, limiting assessment of operating leverage, liquidity, and free cash flow. The Fifth Amendment increases buyback flexibility by removing the $7.0 million cap, but repurchases remain subject to a $5.0 million minimum-liquidity condition, no default, and lender notification requirements. The company stated that there were no material changes to the risk factors in its 2025 Form 10-K.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.08
- Gross margin
- 83%
What stood out
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Revenue modestly exceeded consensus
Q3 revenue was $10.963 million, approximately $38,000 above the $10.925 million consensus estimate and up from approximately $10 million in Q3 2025.
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Gross margin expanded sharply
Gross margin expanded to 83%, up from 77.4% in Q3 2025 and 78.8% in Q2 2026, indicating substantial year-over-year and sequential improvement.
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Adjusted EBITDA improved
Adjusted EBITDA increased 58% to $3.886 million, according to the related quarterly earnings disclosure; separate 10-Q financial-statement detail was not included in the supplied excerpt.
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Buyback capacity increased
The Fifth Amendment removed the prior $7.0 million aggregate stock-buyback cap for fiscal years 2025 through 2027, subject to amended liquidity and default conditions.
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Controls remained effective
Disclosure controls were concluded to be effective as of September 30, 2026, and the company reported no internal-control changes that materially affected, or were reasonably likely to materially affect, controls during the quarter.
What to watch
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Buybacks constrained by liquidity covenant
Stock repurchases remain conditioned on liquidity of at least $5.0 million after giving effect to each repurchase, and the company must provide the bank at least five business days' notice before a trading window in which it intends to repurchase shares.
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Lender restrictions remain material
The Fifth Amendment eliminated the former $7.0 million buyback cap but preserves conditions requiring no event of default and bank-satisfactory evidence of at least $5.0 million of liquidity, leaving repurchases subject to lender oversight.
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Repurchase execution has not begun
The company reported 45,565 employee-related share surrenders during the quarter at an average price of $7.19 per share; no shares were repurchased under the public buyback program, while $7.45 million remained available under the prior program at September 30, 2026.
Management's outlook
The supplied 10-Q excerpt does not provide quantitative revenue or EPS guidance. Separate earnings materials reported Q4 2026 revenue guidance of $11.4 million-$11.6 million, adjusted EPS guidance of $0.32-$0.33, and full-year adjusted EBITDA guidance of $13.4 million-$13.6 million.
Earlier filings 4
10-Q · May 12, 2026
AudioEye, Inc. reported Q1 2026 earnings with a revenue of $10.6 million, an 8% increase from the prior year, alongside an EPS of $0.18, beating estimates. Management remains optimistic about continued growth, driven by…
10-K · April 30, 2026
AudioEye, Inc. had a solid fiscal year 2025 with revenue reaching $40 million, showing consistent year-over-year growth. The company reported improvements in free cash flow and adjusted EBITDA, indicating a stronger…
10-K · March 12, 2026
AudioEye presents a stable SaaS revenue base (about $40.0M in 2025) anchored by patented accessibility technology (26 U.S. issued patents) and a two-channel go-to-market (Enterprise and Partner & Marketplace). Free cash…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.