Shares of Magnite, Inc. (NASDAQ: MGNI) surged 6.76% in after-hours trading on Wednesday, following the release of the company's impressive first-quarter 2025 financial results that significantly exceeded analyst expectations.

The advertising technology company reported adjusted earnings per share of $0.12, handily beating the analyst consensus estimate of $0.07 by 71.43%. This represents a substantial 140% increase from the $0.05 per share reported in the same period last year. Magnite's quarterly revenue also outperformed, coming in at $155.77 million, surpassing the analyst estimate of $144.20 million by 8.02% and marking a 4.32% year-over-year growth.

Other notable figures from the earnings report include a gross profit of $93 million and an adjusted EBITDA of $36.8 million, which exceeded the estimate of $30 million. The company achieved an impressive adjusted EBITDA margin of 25%. However, Magnite reported a net loss of $9.6 million for the quarter. Despite the strong performance, the company has taken a more cautious approach to its outlook and guidance due to tariff-driven economic uncertainty, choosing not to reaffirm its full-year 2025 expectations. This prudent stance reflects the challenging macroeconomic environment that may impact future performance.