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SoundHound AI partners with Beef 'O' Brady's for voice orders

EditorEmilio Ghigini
Published 17/07/2024, 14:14
SOUN
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SANTA CLARA, Calif. - SoundHound AI , Inc. (NASDAQ:SOUN), known for its voice artificial intelligence technology, has announced a partnership with Beef 'O' Brady's, a family sports pub franchise, to roll out an AI-powered voice ordering system for customer phone orders. The initiative, which is already operational in all corporate locations, is now available for integration across the chain's franchises.

The voice AI system by SoundHound is designed to understand and process natural human speech, allowing customers to place orders for pick-up without the need for manual intervention by restaurant staff.

This technology aims to address high call volumes, especially during busy periods, by answering all calls and taking multiple orders simultaneously. According to the company, this will enable Beef 'O' Brady's employees to focus on preparing food and providing service to in-store guests.

In addition to order taking, SoundHound's AI can respond to a variety of customer inquiries, including questions about the menu, special promotions, opening times, and parking. This enhancement comes as the nation prepares for the 2024 Summer Olympics, with the expectation that customers will benefit from the ease of ordering their favorite meals during the event.

Jason Saposnik, VP of Information Technology at Beef 'O' Brady's, emphasized the company's commitment to innovation and customer satisfaction. He expressed enthusiasm about simplifying the ordering process through AI technology to ensure a smooth customer experience.

SoundHound AI's expansion in the restaurant industry is supported by a consumer study indicating a growing trend towards AI-managed food ordering. With the recent acquisition of Allset, an online ordering platform, SoundHound AI aims to further strengthen its presence and partnerships within the restaurant sector.

James Hom, Chief Product Officer at SoundHound AI, highlighted the importance of optimizing the ordering experience and praised Beef 'O' Brady's for being at the forefront of adopting AI technology to enhance customer interactions.

This partnership represents a strategic move by both companies to adapt to shifting consumer preferences towards convenience and efficiency in the restaurant industry. The information is based on a press release statement.

In other recent news, SoundHound AI has experienced significant financial developments. The company reported a robust 73% surge in revenue, with earnings surpassing $11 million. Despite an operating loss and a net loss for the quarter, SoundHound AI has shown confidence in its future performance by raising its full-year revenue guidance to between $65 million and $77 million.

Furthermore, SoundHound AI announced the automatic conversion of all its series A preferred stock into class A common stock, resulting in approximately 2,134,631 new shares of common stock. This move followed the company's strong performance and the fulfillment of specific conditions agreed upon with investors.

The company also reported the complete repayment of $100 million in outstanding debt, significantly improving its financial position and boosting its cash reserve to about $180 million.

These recent developments reflect SoundHound AI's commitment to financial stability and growth, with the company aiming to achieve adjusted EBITDA profitability by 2025. SoundHound AI's financial health is further evidenced by a backlog of $682 million, indicative of customer commitment and long-term contracts. These developments are part of SoundHound AI's recent news and ongoing efforts to enhance its financial standing.

InvestingPro Insights

As SoundHound AI, Inc. (NASDAQ:SOUN) forges ahead with its innovative voice AI technology in the restaurant industry, its financial metrics and market performance provide a broader context for its growth trajectory. With a substantial market capitalization of $1.92 billion, SoundHound AI reflects a significant market presence. The company's aggressive expansion is underscored by a remarkable 51.31% revenue growth over the last twelve months as of Q1 2024, outpacing many of its peers in the tech sector.

Investors have taken note of SoundHound AI's potential, as evidenced by the impressive 225.7% price total return over the last six months. The market has responded positively to the company's strategic moves, including the partnership with Beef 'O' Brady's and acquisition of Allset, as indicated by a 35.9% price total return in the last month alone.

However, it's worth noting that the company is trading at a high Price / Book multiple of 12.51, which suggests a premium valuation compared to its book value. This is a critical metric for investors to consider, especially in light of the fact that analysts do not anticipate the company will be profitable this year, as per an InvestingPro Tip. Moreover, with the company holding more cash than debt on its balance sheet, it is in a favorable position to manage its growth initiatives and navigate the competitive landscape.

For those looking to delve deeper into the financial nuances of SoundHound AI, there are additional InvestingPro Tips available that can provide further insights into the company's performance and potential. To explore these tips and make more informed investment decisions, visit InvestingPro and consider using the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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