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SoundThinking, Inc. Reports Second Quarter 2025 Financial Results

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SoundThinking (Nasdaq: SSTI) reported Q2 2025 financial results with revenues of $25.9 million, down 4% year-over-year. The company posted a GAAP net loss of $3.1 million, compared to a $0.8 million loss in Q2 2024. Gross profit decreased 14% to $13.8 million (53% of revenues).

The company reaffirmed its FY 2025 guidance with revenue between $111.0-113.0 million (10% YoY growth at midpoint) and Adjusted EBITDA margin of 20-22%. Annual Recurring Revenue (ARR) is expected to grow from $95.6 million to approximately $110.0 million by early 2026.

During Q2, SoundThinking expanded its ShotSpotter solution to four new cities and one university, while also expanding with four existing customers. The company repurchased 31,570 shares for approximately $0.5 million.

SoundThinking (Nasdaq: SSTI) ha comunicato i risultati finanziari del secondo trimestre 2025 con ricavi di 25,9 milioni di dollari, in calo del 4% su base annua. La società ha registrato una perdita netta GAAP di 3,1 milioni di dollari, rispetto a una perdita di 0,8 milioni di dollari nel 2° trimestre 2024. Il margine lordo è diminuito del 14% a 13,8 milioni di dollari (53% dei ricavi).

La società ha confermato le previsioni per l'esercizio 2025 con ricavi compresi tra 111,0 e 113,0 milioni di dollari (crescita del 10% su base annua al punto medio) e un margine di Adjusted EBITDA del 20-22%. L'Annual Recurring Revenue (ARR) dovrebbe salire da 95,6 milioni di dollari a circa 110,0 milioni di dollari entro i primi mesi del 2026.

Nel secondo trimestre SoundThinking ha esteso la soluzione ShotSpotter a quattro nuove città e un'università e ha ampliato l'attività con quattro clienti esistenti. La società ha riacquistato 31.570 azioni per circa 0,5 milioni di dollari.

SoundThinking (Nasdaq: SSTI) informó los resultados del 2T 2025 con ingresos de 25,9 millones de dólares, una caída del 4% interanual. La compañía registró una pérdida neta GAAP de 3,1 millones de dólares, frente a una pérdida de 0,8 millones de dólares en el 2T 2024. El beneficio bruto se redujo un 14% hasta 13,8 millones de dólares (53% de los ingresos).

La empresa reafirmó su guía para el ejercicio 2025 con ingresos entre 111,0 y 113,0 millones de dólares (crecimiento del 10% interanual en el punto medio) y un margen de EBITDA ajustado del 20-22%. Se espera que el Annual Recurring Revenue (ARR) crezca de 95,6 millones de dólares a aproximadamente 110,0 millones de dólares a principios de 2026.

Durante el 2T, SoundThinking amplió su solución ShotSpotter a cuatro nuevas ciudades y una universidad, además de ampliar la relación con cuatro clientes existentes. La compañía recompró 31.570 acciones por aproximadamente 0,5 millones de dólares.

SoundThinking (Nasdaq: SSTI)는 2025년 2분기 실적을 발표했으며 매출은 $25.9 million으로 전년 동기 대비 4% 감소했습니다. 회사는 GAAP 기준 순손실 $3.1 million을 기록했으며, 이는 2024년 2분기의 $0.8 million 손실과 비교됩니다. 총이익은 14% 감소해 $13.8 million(매출의 53%)을 기록했습니다.

회사는 2025 회계연도 가이던스를 유지했으며 매출을 $111.0-113.0 million으로, 중간값 기준 전년 대비 10% 성장과 조정 EBITDA 마진 20-22%를 제시했습니다. 연간 반복수익(ARR)은 $95.6 million에서 2026년 초까지 약 $110.0 million으로 증가할 것으로 예상됩니다.

2분기 동안 SoundThinking은 ShotSpotter 솔루션을 4개의 신규 도시와 1개 대학으로 확장했고 기존 고객 4곳과도 추가 확장했습니다. 회사는 약 $0.5 million에 31,570주를 자사주 매입했습니다.

SoundThinking (Nasdaq: SSTI) a publié ses résultats du 2e trimestre 2025 : un chiffre d'affaires de 25,9 millions de dollars, en baisse de 4% sur un an. La société a enregistré une perte nette GAAP de 3,1 millions de dollars, contre une perte de 0,8 million de dollars au 2e trimestre 2024. Le bénéfice brut a diminué de 14% pour atteindre 13,8 millions de dollars (53% des revenus).

La société a réaffirmé ses prévisions pour l'exercice 2025, avec un chiffre d'affaires compris entre 111,0 et 113,0 millions de dollars (soit +10% en glissement annuel au point médian) et une marge d'Adjusted EBITDA de 20-22%. Le revenu récurrent annuel (ARR) devrait passer de 95,6 millions de dollars à environ 110,0 millions de dollars début 2026.

Au 2e trimestre, SoundThinking a étendu sa solution ShotSpotter à quatre nouvelles villes et une université, tout en renforçant sa présence auprès de quatre clients existants. La société a racheté 31 570 actions pour environ 0,5 million de dollars.

SoundThinking (Nasdaq: SSTI) meldete für das zweite Quartal 2025 einen Umsatz von 25,9 Millionen US-Dollar, ein Rückgang von 4% gegenüber dem Vorjahr. Das Unternehmen verzeichnete einen GAAP-Nettoverlust von 3,1 Millionen US-Dollar, verglichen mit einem Verlust von 0,8 Millionen US-Dollar im 2. Quartal 2024. Der Bruttogewinn sank um 14% auf 13,8 Millionen US-Dollar (53% der Umsatzerlöse).

Das Unternehmen bestätigte seine Prognose für das Geschäftsjahr 2025 mit einem Umsatz zwischen 111,0 und 113,0 Millionen US-Dollar (am Mittelpunkt ein YoY-Wachstum von 10%) und einer Adjusted-EBITDA-Marge von 20–22%. Der Annual Recurring Revenue (ARR) soll von 95,6 Millionen US-Dollar auf rund 110,0 Millionen US-Dollar bis Anfang 2026 wachsen.

Im 2. Quartal hat SoundThinking seine ShotSpotter-Lösung in vier neuen Städten und einer Universität eingeführt und bei vier Bestandskunden erweitert. Das Unternehmen kaufte 31.570 Aktien für rund 0,5 Millionen US-Dollar zurück.

Positive
  • Reaffirmed full-year 2025 revenue guidance of $111.0-113.0 million, representing 10% YoY growth
  • Expanded to 4 new cities, 1 new university, and 4 existing customer expansions
  • Maintained strong ARR growth projection from $95.6M to $110.0M by 2026
  • Available credit facility of $21.0 million provides financial flexibility
Negative
  • Revenue decreased 4% YoY to $25.9 million
  • GAAP net loss widened to $3.1 million from $0.8 million YoY
  • Gross margin declined to 53% from 60% YoY
  • Lost significant Chicago contract impacting revenue by $2.8 million

Insights

SoundThinking's Q2 showed revenue decline and wider losses amid transformation efforts, but management reaffirms full-year guidance.

SoundThinking's Q2 2025 results reveal a company in transition experiencing some short-term pain. Revenue decreased 4% year-over-year to $25.9 million, primarily due to the loss of their Chicago contract. More concerning is the gross profit decline of 14% to $13.8 million, with margins compressing from 60% to 53%.

The company's net loss widened significantly to $3.1 million from $0.8 million in Q2 2024, while Adjusted EBITDA fell by 33% to $3.4 million. The deterioration in profitability stems from increased maintenance costs and investments in AI capabilities, compounded by timing issues with a NYPD sublicensing contract that created a cost-revenue mismatch they expect to resolve in Q3.

Despite these headwinds, management remains confident enough to reaffirm full-year guidance of $111-113 million in revenue (10% growth at midpoint) and 20-22% Adjusted EBITDA margins. They also expect Annual Recurring Revenue to grow from $95.6 million to approximately $110 million by early 2026.

The company's transformation from a domestic ShotSpotter business to a global "SafetySmart platform company" appears to be progressing but at a cost to near-term performance. Their strategic emphasis on AI capabilities aims to enhance product intelligence and operational efficiency, potentially supporting their ambitious long-term targets of 70% gross margins and 40% Adjusted EBITDA margins with 15% annual revenue growth.

The balance sheet shows $9 million in cash, $30.7 million in accounts receivable, and $43.5 million in deferred revenue, providing some stability during this transition period. The company also continues to return capital to shareholders, repurchasing 31,570 shares for approximately $0.5 million during the quarter.

Company Reaffirms FY 2025 Revenue Guidance Range of $111.0 Million to $113.0 Million, Representing 10% Year-Over-Year Growth at the Midpoint

Company Reaffirms Expectation for ARR1 to Increase from $95.6 Million at the Beginning of 2025 to Approximately $110.0 Million at the Beginning of 2026

FREMONT, Calif., Aug. 12, 2025 (GLOBE NEWSWIRE) -- SoundThinking, Inc. (Nasdaq: SSTI), a leading public safety technology company, today reported financial results for the second quarter ended June 30, 2025.

Second Quarter 2025 Financial and Operational Highlights

  • Revenues decreased 4% to $25.9 million, compared to $27.0 million for the same quarter of 2024.
  • Gross profit decreased 14% to $13.8 million (53% of revenues), compared to $16.1 million (60% of revenues) for the same quarter of 2024.
  • GAAP net loss totaled $3.1 million, compared to GAAP net loss of $0.8 million for the same quarter of 2024.
  • Adjusted EBITDA1 totaled $3.4 million (13% of revenues), compared to $5.1 million (19% of revenues) for the same quarter of 2024.
  • Went “live” with ShotSpotter in four new cities and one new university and expanded with four existing customers.
  • Repurchased 31,570 shares of common stock for approximately $0.5 million as part of an existing share repurchase program.

1 See the section below titled “Non-GAAP Financial Measures and Key Business Metrics” for more information about Adjusted EBITDA and its reconciliation to GAAP net income (loss) and more information about Annual Recurring Revenue (ARR).

Management Commentary

“We are making steady and meaningful progress on our transformation into a broader public safety technology company.” said President and CEO Ralph Clark. “We believe our early investments in technology, innovation and talent are bearing fruit and positioning us for long-term profitable growth and impact. We are focused on building a business that creates measurable value for our shareholders, work colleagues, customers and the communities they serve.”

“As expected, our second quarter revenues dipped compared to the first quarter of 2025 and declined by 4% on a year-over-year basis due primarily to the non-renewal of our contract with the City of Chicago. Importantly, we are reaffirming our full year 2025 revenue guidance range of $111.0 million to $113.0 million and Adjusted EBITDA margin guidance range of 20% to 22%.”

“We are intentionally managing our expenses while we scale our solutions to build a resilient business capable of thriving in a rapidly evolving global landscape. We are particularly keen on our embrace of AI capabilities to enhance our customer-facing product intelligence, boost developer productivity and automate key internal processes. It has already improved the way we build, deploy, scale and support our technology. We believe our focused commitment to these strategic priorities will pay dividends in client retention and expansion into new verticals as we look to expand on our leadership position in the public safety and security technology market. We remain confident in our path to ultimately achieve our long-term financial targets of 70% gross margin and 40% Adjusted EBITDA margin while growing topline revenue at 15% per year.”

Second Quarter 2025 Financial Results

Revenues for the second quarter of 2025 were $25.9 million, compared to $27.0 million for the same quarter of 2024. The decrease of $1.1 million in revenues was primarily due to approximately $2.8 million related to the non-renewal of our contract with the City of Chicago, offset by the $1.9 million increase related to new bookings and expansions with existing customers.

Gross profit for the second quarter of 2025 was $13.8 million (53% of revenues), compared to $16.1 million (60% of revenues) for the same period in 2024. Gross margin was lower, as expected, primarily related to additional maintenance of existing ShotSpotter deployments and expenses related to licensing of software for the NYPD that is not yet offset by any revenue from the execution of a related new sublicensing contract with the NYPD. We expect to enter into the new sublicensing contract in the third quarter of 2025 and anticipate receiving catch-up revenue related to the additional costs of revenues that were present in the second quarter of 2025.

Total operating expenses for the second quarter of 2025 were $16.7 million, compared to $16.1 million for the same period in 2024. Total operating expenses remained relatively flat year over year, even with investments in AI modeling and tools to enhance the capabilities of our SafePointe solution, because the $0.6 million increase in comparison was primarily due to a $0.6 million adjustment in fair value of contingent consideration recognized in the second quarter of 2024 related to the SafePointe acquisition which reduced the reported second quarter operating expenses in 2024.

Net loss for the second quarter of 2025 totaled $3.1 million or $(0.24) per basic and diluted share (based on 12.7 million basic and diluted weighted-average shares outstanding), compared to net loss of $0.8 million or $(0.06) per basic and diluted share (based on 12.8 million basic and diluted weighted-average shares outstanding) for the same period in 2024.

Adjusted EBITDA for the second quarter of 2025 totaled $3.4 million, compared to $5.1 million in the same period last year. The lower Adjusted EBITDA was primarily due to the delayed software sublicensing contract with the NYPD, increased cost of revenue related to maintenance activities and our investments in enhancing our AI capabilities.

At quarter end, the company had $9.0 million in cash and cash equivalents, $30.7 million in accounts receivable and contract assets, net, $43.5 million in deferred revenue, $4.0 million in debt related to borrowings to partially fund the SafePointe, LLC acquisition in the third quarter of 2023 and approximately $21.0 million available on its credit facility.

The company repurchased 31,570 shares of its common stock at an average price of $14.84 per share for approximately $0.5 million under its existing share repurchase program.

 Financial Outlook

The company reaffirmed its full-year 2025 revenue guidance range of $111.0 million to $113.0 million, representing 10% year-over-year growth at the midpoint. The company also reaffirmed its Adjusted EBITDA margin guidance range of 20% to 22% for the full year 2025 and reaffirmed its expectation for ARR to increase from $95.6 million at the beginning of 2025 to approximately $110.0 million at the start of 2026.

“We expect to deliver both revenue growth and increased profitability in 2025 and beyond,” added Clark. “Our transformation from a domestic ShotSpotter business to a global diversified SafetySmart platform company is well underway. Our long-term financial targets of 70% gross margin and 40% Adjusted EBITDA margin, while growing topline revenue at 15% per year, are intact as we remain confident in the enduring success of ShotSpotter and accelerating adoption of our broader SafetySmart platform across domestic and international markets.”

The company’s financial outlook statements are based on current expectations. The preceding statements are forward-looking, and actual results could differ materially depending on market conditions and the factors set forth under “Forward-Looking Statements” below. The company has not reconciled its Adjusted EBITDA outlook to GAAP net income (loss) due to the uncertainty and variability of interest income (expense), income taxes, depreciation and amortization, stock-based compensation expenses, and acquisition-related expenses, including any adjustments to the company’s contingent consideration obligation, which are reconciling items between Adjusted EBITDA and GAAP net income (loss). Because the company cannot reasonably predict such items, a reconciliation to forecasted GAAP net income (loss) is not available without unreasonable effort. Such items could have a significant impact on the calculation of GAAP net income (loss). For more information, see “Non-GAAP Financial Measures and Key Business Metrics” below.

Conference Call

SoundThinking will hold a conference call today, August 12, 2025 at 4:30 p.m. Eastern Time (1:30 p.m. Pacific Time) to discuss these results and provide an update on business conditions.

SoundThinking management will host the presentation, followed by a question-and-answer period.

U.S. dial-in: 1-877-407-8029
International dial-in: 1-201-689-8029
Conference ID: 13754600

A live audio webcast of the conference call will be available in listen-only mode simultaneously and available for replay via the investor relations section of the company’s website at www.soundthinking.com.

Please call the conference telephone number five minutes prior to the start time. An operator will register your name and organization.

A replay of the call will be available after 7:30 p.m. Eastern time on the same day through Tuesday, August 26, 2025.

U.S. replay dial-in: 1-877-660-6853
International replay dial-in: 1-201-612-7415
Replay ID: 13754600

Non-GAAP Financial Measures and Key Business Metrics

Adjusted Net Income (Loss): Adjusted net income (loss), a non-GAAP financial measure, represents the company’s net income (loss) before adjustments to the company's contingent consideration obligation, restructuring expense and loss from disposal of fixed assets.

Adjusted EBITDA: Adjusted EBITDA, a non-GAAP financial measure, represents the company’s net income (loss) before interest (income) expense, income taxes, depreciation, amortization and impairment, restructuring costs and losses on restructuring related fixed asset disposals, stock-based compensation expense and adjustments to the company's contingent consideration obligation. Adjusted EBITDA is a measure used by management internally to understand and evaluate the company’s core operating performance and trends across accounting periods and in connection with developing future operating plans, making strategic decisions regarding the allocation of capital and considering initiatives focused on cultivating new markets for its solutions. In particular, the exclusion of these expenses in calculating Adjusted EBITDA facilitates comparisons of the company’s operating performance on a period-to-period basis.

SoundThinking believes adjusted net income (loss) and Adjusted EBITDA also provide useful information to investors and others in understanding and evaluating its operating results in the same manner as its management and board of directors. For example, SoundThinking adjusts EBITDA for stock-based compensation expense and acquisition-related expenses because such expenses often vary for reasons that are generally unrelated to financial and operational performance in a particular period. Stock-based compensation is utilized by SoundThinking to attract and retain employees with a goal of long-term retention and the alignment of employee interests with those of the company and its stockholders, rather than to address operational performance for any particular period’s financial performance measures, in particular net income (loss), or its other GAAP financial results.


The following table presents a reconciliation of GAAP net loss, the most directly comparable GAAP measure, to adjusted net loss, for each of the periods indicated (in thousands, except share and per share data):

             
  Three Months Ended June 30,  Six Months Ended June 30, 
  2025  2024  2025  2024 
  (Unaudited)  (Unaudited) 
GAAP net loss $(3,120) $(752) $(4,604) $(3,661)
Less:            
Restructuring expense     346      346 
Loss on disposal of fixed assets     5      5 
Change in fair value of contingent consideration     (554)     (554)
Adjusted net loss $(3,120) $(955) $(4,604) $(3,864)
Adjusted net loss per share, diluted $(0.24) $(0.07) $(0.36) $(0.30)
Weighted average shares used in computing adjusted net loss per share, basic and diluted  12,712,191   12,792,952   12,680,456   12,781,910 


The following table presents a reconciliation of GAAP net loss, the most directly comparable GAAP measure, to Adjusted EBITDA for each of the periods indicated (in thousands):

  Three Months Ended June 30,  Six Months Ended June 30, 
  2025  2024  2025  2024 
  (Unaudited)  (Unaudited) 
GAAP net loss $(3,120) $(752) $(4,604) $(3,661)
Less:            
Interest expense, net  20   61   32   183 
Income taxes  86   234   186   348 
Depreciation and amortization  2,498   2,518   4,968   5,055 
Restructuring expense     346      346 
Loss on disposal of fixed assets     5      5 
Stock-based compensation expense  3,841   3,146   7,245   6,073 
Change in fair value of contingent consideration     (554)     (554)
Impairment of property and equipment  36   106   73   358 
Adjusted EBITDA $3,361  $5,110  $7,900  $8,153 


Annual Recurring Revenue (ARR):
ARR is calculated for a year based on the expected GAAP revenue for the year from contracts that are in effect on January 1st of such year, assuming all such contracts that are due for renewal during the year renew as expected on or near their renewal date, and including contracts executed during the year after January 1st, but for which GAAP revenue recognition starts January 1st of the year. ARR is used by management internally to provide a clearer picture of its sustainable revenue base. SoundThinking believes ARR provides useful information to investors and others in understanding and evaluating growth of its recurring services because recurring revenue is particularly relevant for businesses operating under a subscription model, where customer retention and contract renewals play a significant role in long-term financial performance.

Forward-Looking Statements

This press release and earnings call referencing this press release contains "forward-looking statements" within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding the company’s guidance for 2025 revenue and Adjusted EBITDA, the company’s long-term targets for gross margin, Adjusted EBITDA margin and revenue growth, the company's expectations for the increase in its ARR, , the company’s belief its strategic investments will pay dividends in client retention and expansion into new verticals, the company’s expectations for entering into a sublicensing contract with the NYPD in the third quarter of 2025 and receiving catch-up revenue, the company’s long-term financial targets and the company’s expectations for accelerating adoption of the company’s SafetySmart platform across domestic and international markets. Words such as "expect," "anticipate," "should," "believe," "target," "project," "goals," "estimate," "potential," "predict," "may," "will," "could," "intend," or variations of these terms or the negative of these terms and similar expressions are intended to identify these forward-looking statements. Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond the company’s control. The company’s actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including but not limited to: the company’s ability to successfully negotiate and execute contracts with new and existing customers in a timely manner, if at all; the company’s ability to maintain and increase sales, including sales of the company’s newer product lines; the availability of funding for the company’s customers to purchase the company’s solutions; the complexity, expense and time associated with contracting with government entities; the company’s ability to maintain and expand coverage of existing public safety customer accounts and further penetrate the public safety market; the potential effects of negative publicity; the company’s ability to sell its solutions into international and other new markets; the lengthy sales cycle for the company’s solutions; changes in federal funding available to support local law enforcement; the company’s ability to deploy and deliver its solutions; the company’s ability to maintain and enhance its brand; and the company’s ability to address the business and other impacts and uncertainties associated with macroeconomic factors, including tariffs and trade measures, as well as other risk factors included in the company’s most recent annual report on Form 10-K and other SEC filings. These forward-looking statements are made as of the date of this press release and are based on current expectations, estimates, forecasts and projections as well as the beliefs and assumptions of management. Except as required by law, the company undertakes no duty or obligation to update any forward-looking statements contained in this press release and the earnings call referencing this press release as a result of new information, future events or changes in its expectations.

About SoundThinking, Inc.

SoundThinking, Inc. (Nasdaq: SSTI) is a leading public safety technology company that delivers AI- and data-driven solutions for law enforcement, civic leadership, and security professionals. SoundThinking is trusted by more than 300 customers and has worked with approximately 2,100 agencies to drive more efficient, effective, and equitable public safety outcomes. The company’s SafetySmartTM platform includes ShotSpotter®, the leading acoustic gunshot detection system; CrimeTracerTM, the leading law enforcement search engine; CaseBuilderTM, a one-stop investigation management system; ResourceRouterTM, software that directs patrol and community anti-violence resources to help maximize their impact; SafePointe®, an AI-based weapons detection system; and PlateRanger powered by Rekor, a leading ALPR solution. SoundThinking has been designated a Great Place to Work®company.

Company Contact:

Alan Stewart, CFO
SoundThinking, Inc.
+1 (510) 794-3100
astewart@soundthinking.com

Investor Relations Contacts:

Ankit Hira
Solebury Strategic Communications for SoundThinking, Inc.
+1 (203) 546 0444
ahira@soleburystrat.com


 
SoundThinking, Inc.
Condensed Consolidated Statements of Operations
(In thousands, except share and per share data)
(Unaudited)
 
  Three Months Ended June 30,  Six Months Ended June 30, 
  2025  2024  2025  2024 
Revenues $25,889  $26,960  $54,238  $52,370 
Costs            
Cost of revenues  12,058   10,781   23,776   21,052 
Impairment of property and equipment  36   106   73   358 
Total costs  12,094   10,887   23,849   21,410 
Gross profit  13,795   16,073   30,389   30,960 
             
Operating expenses            
Sales and marketing  6,525   7,322   13,784   14,434 
Research and development  3,746   3,468   7,811   7,028 
General and administrative  6,467   5,880   12,941   12,710 
Change in fair value of contingent consideration     (554)     (554)
Total operating expenses  16,738   16,116   34,536   33,618 
Operating loss  (2,943)  (43)  (4,147)  (2,658)
Other expense, net            
Interest expense, net  (20)  (61)  (32)  (183)
Other expense, net  (71)  (414)  (239)  (472)
Total other expense, net  (91)  (475)  (271)  (655)
Loss before income taxes  (3,034)  (518)  (4,418)  (3,313)
Provision for income taxes  86   234   186   348 
Net loss $(3,120) $(752) $(4,604) $(3,661)
Net loss per share, basic and diluted $(0.24) $(0.06) $(0.36) $(0.29)
Weighted-average shares used in computing net loss per share, basic and diluted  12,712,191   12,792,952   12,680,456   12,781,910 


 
SoundThinking, Inc.
Condensed Consolidated Balance Sheets
(In thousands)
(Unaudited)
 
  June 30,  December 31, 
  2025  2024 
Assets      
Current assets      
Cash and cash equivalents $8,950  $13,183 
Accounts receivable and contract assets, net  30,743   25,464 
Prepaid expenses and other current assets  4,816   4,881 
Total current assets  44,509   43,528 
Property and equipment, net  19,915   20,131 
Operating lease right-of-use assets  1,643   1,878 
Goodwill  34,213   34,213 
Intangible assets, net  31,266   33,182 
Other assets  3,230   3,861 
Total assets $134,776  $136,793 
Liabilities and Stockholders' Equity      
Current liabilities      
Accounts payable $3,348  $3,442 
Accrued expenses and other current liabilities  7,153   10,216 
Line of credit  4,000   4,000 
Deferred revenue, short-term  38,479   38,401 
Total current liabilities  52,980   56,059 
Deferred revenue, long-term  5,051   5,832 
Deferred tax liability  1,378   1,361 
Operating lease liabilities, net of current portion  846   1,142 
Total liabilities  60,255   64,394 
Stockholders' equity      
Common stock: $0.005 par value; 500,000,000 shares authorized;
12,788,631 and 12,634,485 shares issued and outstanding as of
June 30, 2025 and December 31, 2024, respectively
  64   64 
Additional paid-in capital  183,719   177,021 
Accumulated deficit  (108,902)  (104,298)
Accumulated other comprehensive loss  (360)  (388)
Total stockholders' equity  74,521   72,399 
Total liabilities and stockholders' equity $134,776  $136,793 

FAQ

What were SoundThinking's (SSTI) key financial results for Q2 2025?

SoundThinking reported Q2 2025 revenues of $25.9 million (down 4% YoY), gross profit of $13.8 million (53% margin), and a net loss of $3.1 million.

What is SoundThinking's (SSTI) revenue guidance for full-year 2025?

The company reaffirmed its FY 2025 revenue guidance range of $111.0-113.0 million, representing 10% year-over-year growth at the midpoint.

How did the loss of the Chicago contract affect SSTI's Q2 2025 results?

The non-renewal of the Chicago contract resulted in a $2.8 million revenue decrease, which was partially offset by $1.9 million from new bookings and existing customer expansions.

What is SoundThinking's (SSTI) expected Annual Recurring Revenue (ARR) growth for 2025?

SSTI expects ARR to increase from $95.6 million at the start of 2025 to approximately $110.0 million by the beginning of 2026.

What are SoundThinking's long-term financial targets?

The company targets 70% gross margin and 40% Adjusted EBITDA margin while growing topline revenue at 15% per year.
SoundThinking Inc

NASDAQ:SSTI

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144.73M
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25.1%
58.75%
0.94%
Software - Application
Services-prepackaged Software
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United States
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