Why did LIDR's Q4 earnings fall short of forecasts?

AudioEye's Q4 earnings fell short of forecasts due to several factors:

1. **Revenue Shortfall**: The company's total revenue for the quarter was $46,000, which was significantly lower than the expected revenue of $9.7 million. This shortfall was due to a combination of factors, including increased competition and a slowdown in the company's growth.
2. **Expense Increases**: AudioEye's operating expenses totaled $31.3 million for the year, representing a 3% increase from the previous year. Selling and marketing expenses rose by 8% to $12.7 million, while general and administrative expenses increased by 18% to $13.6 million. Research and development expenses decreased by 27%, but the overall increase in operating expenses contributed to the net loss.
3. **Market Conditions**: The company operates in a highly competitive market, and macroeconomic conditions such as tariffs and federal budget cuts can impact growth prospects. AudioEye faces challenges in hiring skilled salespeople, which could be a friction point in scaling operations. These factors could have contributed to the revenue shortfall.

In summary, AudioEye's Q4 earnings fell short of forecasts due to a combination of revenue shortfall and expense increases, amid challenging market conditions.