Business
AudioEye Reports Third Quarter 2020 Results
Record Total Customer Count, MRR and Total Revenue TUCSON, Ariz., Nov. 12, 2020 /PRNewswire/ -- AudioEye, Inc. (NASDAQ: AEYE), an industry-leading digital
About this update from Audioeye, Inc.
[{"type":"text","content":"Record Total Customer Count, MRR and Total Revenue\n\n\nTUCSON, Ariz., Nov. 12, 2020 /PRNewswire/ -- AudioEye, Inc. (NASDAQ: AEYE), an industry-leading digital accessibility platform delivering website accessibility compliance to businesses of all sizes, reported financial results for the third quarter ended September 30, 2020.\n\n \n \n \n \n \n \n\n \nThird Quarter 2020 Financial Results \nTotal revenue increased 92% to a little over $5.3M from $2.8M in the same prior year period. The year-over-year increase in revenue was primarily due to continued growth in the Company's vertical partner channel, coupled with new business and renewals in the enterprise channel. As of September 30, 2020, monthly recurring revenue (MRR) was about $1.7M, an increase of 67% on a year-over-year basis. Gross profit increased 132% to $3.8M (~71% of total revenue) from $1.6M (~59% of total revenue) in the same prior year period. The increases in gross profit and gross margin were primarily due to increased revenue and improvement in efficiencies being realized as the Company continues to improve and expand the level of automation in its remediations, offset in part by higher costs for investments to support the revenue growth. Operating expenses increased 43% to $5.4M from $3.8M in the same prior year period. The increase in total operating expenses was primarily due to increased investments in talent across various functions, product development, sales, marketing, and severance. Net loss available to common stockholders was $1.1M, or $(0.12) per share, compared to $2.2M, or $(0.27) per share, in the same prior year period. The improvement in net loss reflects the increase in our gross profit as we scale, and also benefit from warrant liability accounting, and partially offset by higher equity compensation costs and severance related charges. On a Non-GAAP basis, net loss available to common stockholders was about $200K, or $(0.02) per share. The Non-GAAP earnings and EPS reflect adjustments as described further below under \"Use of Non-GAAP Financial Measures.\" At quarter-end, the Company had $10.3M in cash, compared to $2.1M at June 30, 2020. This cash balance reflects net proceeds from a public offering of common stock and cash received from exercise of warrants in the third quarter. As of September 30, 2020, total customer count had grown to ab...