AudioEye Posts Record Revenue, Launches AI Platform Amid Legal Scrutiny

TUCSON, Ariz. – March 05, 2026 – AudioEye, Inc. (Nasdaq: AEYE) announced record financial results for its fourth quarter and full-year 2025, marking its fortieth consecutive period of record revenue. The digital accessibility leader paired its strong earnings report with the launch of a next-generation platform, a strategic move designed to solidify its market position as businesses face unprecedented legal pressure to make their websites accessible to all users.

The company's performance underscores a growing market urgency, fueled by a sharp increase in digital accessibility lawsuits. By combining robust financial growth with technological innovation, AudioEye is positioning itself not just as a service provider, but as a crucial partner for businesses navigating the complex and high-stakes world of online compliance.

A Picture of Accelerating Profitability

AudioEye's 2025 financial report paints a picture of a company hitting its stride. Full-year revenue surged 15% to a record $40.3 million, up from $35.2 million in 2024. More significantly, the company demonstrated impressive operating leverage. While revenue grew, full-year operating expenses increased by only 7%, allowing for a substantial boost in profitability.

Adjusted EBITDA, a key non-GAAP metric that excludes items like stock-based compensation and litigation expenses to provide a clearer view of operational performance, grew by an impressive 35% to $9.1 million for the full year. This growth is also reflected in the company's narrowing net loss, which decreased by 28% to $3.1 million in 2025.

The fourth quarter continued this trend, with revenue climbing 8% year-over-year to a record $10.5 million. Adjusted EBITDA for the quarter hit a record $2.8 million. The company's Annual Recurring Revenue (ARR), a critical indicator of future performance for subscription-based businesses, stood at a healthy $40.0 million as of year-end.

"We delivered an exceptional fourth quarter with strong ARR growth to close out a record year for AudioEye," said CEO David Moradi in the official announcement. He projected continued momentum, stating, "For 2026, we expect another year of strong operating leverage, with adjusted EBITDA growing by at least 30%, and expect to generate a run-rate adjusted EBITDA (on an annual basis) of $15 million by year-end."

Beyond Widgets: A New Platform for a New Era

Coinciding with its financial success, AudioEye unveiled its next-generation platform. The company claims this new offering delivers "unmatched transparency, ease of use, and 3-4x the legal protection of other solutions." The platform's architecture is designed to move beyond the limitations of simple, automated 'widget-based' solutions that have come under scrutiny.

AudioEye’s approach is a hybrid model that unifies three core components into a single dashboard:

1. AI-Powered Automation: The system uses artificial intelligence to continuously scan websites, identify accessibility issues based on Web Content Accessibility Guidelines (WCAG), and automatically fix a significant percentage of them.
2. Expert Audits: For more complex issues that AI cannot resolve, the platform incorporates manual testing and analysis from human accessibility experts.
3. Custom Code Fixes: Unlike many competitors, AudioEye's experts provide custom code fixes that are delivered directly through the platform, providing a transparent record of remediation.

This integrated system is built upon years of proprietary data gathered from fixing accessibility issues across its customer base of over 131,000 sites. This data-driven advantage was recently highlighted in an independent study by Adience, which found AudioEye's automated technology detects between 89% and 253% more WCAG issues than its competitors.

"We are well-positioned to capitalize on combining our proprietary data set with newly released agentic models to create new cutting-edge products, unlocking significant growth opportunities ahead," Moradi stated, signaling a future focus on advanced AI applications.

A Shield in a Litigious Environment

The launch of AudioEye's platform is particularly timely. The company's own 2026 Web Accessibility Litigation Report revealed a startling trend: total accessibility lawsuits have more than doubled since 2020. This legal storm is creating a powerful tailwind for the accessibility industry.

Critically, the report found that nearly 40% of businesses sued for accessibility violations already had an incomplete, widget-based solution in place. This finding directly challenges the efficacy of purely automated, 'set-it-and-forget-it' tools and validates AudioEye's more comprehensive, hybrid approach. By providing a detailed record of both automated and manual fixes, the company's platform is designed to offer a more robust defense against legal claims.

The market is responding to this need for better protection. AudioEye’s customer count grew to approximately 131,000 as of December 31, 2025, with much of that growth driven by its Partner and Marketplace channel, which serves small and medium-sized businesses that are often most vulnerable to litigation.

A Conservative Outlook for 2026

Looking ahead, AudioEye provided what its management described as a "pretty conservative" outlook. The company projects full-year 2026 revenue between $43 million and $44.5 million, with adjusted EBITDA and adjusted EPS both expected to grow by at least 30%.

While the earnings report was strong, the company's stock saw a slight dip in after-hours trading, suggesting that investors' high expectations for top-line revenue growth were not fully met by the Q4 numbers. However, management is focused on a long-term strategy of accelerating high-quality Annual Recurring Revenue, which it expects to outpace overall revenue growth in the coming year.

With the integration of past acquisitions now largely complete and a powerful new platform ready to deploy, AudioEye appears poised to capitalize on the increasing legal and social mandates for a more inclusive digital world. The company's ability to execute on its technology roadmap and continue converting market demand into profitable growth will be a key story for investors and the tech industry to watch in 2026.