SoundHound AI Inc's stock experienced a pre-market plunge of 10.28% on Friday, extending losses from the previous session after the company released its first-quarter 2026 financial results.

The voice-AI company reported revenue of $44.2 million for the March quarter, representing a 52% year-over-year increase that exceeded analyst expectations. However, investor sentiment turned sharply negative as the company's losses widened significantly beyond forecasts. SoundHound reported an adjusted loss of 6 cents per share, missing the consensus estimate of a 4-cent loss by 50%, while its adjusted EBITDA loss of $26.7 million more than doubled analyst expectations of a $12 million loss.

Analysts noted that SoundHound's recent acquisition spree has weighed on earnings results, with the company making four acquisitions in the past two years. The wider-than-expected losses overshadowed both the strong revenue growth and recent business developments, including the launch of its new OASYS agentic AI platform and the announced agreement to acquire LivePerson for an equity value of $43 million.