Twilio (NYSE: TWLO) shares surged 10.86% in after-hours trading on Thursday following the release of its impressive first-quarter 2025 financial results and an optimistic outlook for the year. The cloud communications platform provider significantly outperformed market expectations, demonstrating robust growth and improved profitability.

The company reported adjusted earnings per share (EPS) of $1.14, handily beating the analyst consensus estimate of $0.94 by 21.28%. This represents a substantial 42.5% increase from the $0.80 per share reported in the same period last year. Twilio's quarterly revenue also exceeded expectations, coming in at $1.17 billion, surpassing the projected $1.14 billion by 2.84% and marking an 11.94% year-over-year growth.

Adding to the positive sentiment, Twilio raised its organic revenue growth target for 2025 to 7.5% - 8.5% year-over-year, signaling confidence in its future performance. The company also provided a strong outlook for the second quarter, projecting adjusted EPS between $0.99 and $1.04, and revenue in the range of $1.18 billion to $1.19 billion. These factors combined to fuel investor enthusiasm, driving the significant after-hours stock price increase.