Shares of Sprout Social, Inc. (NASDAQ: SPT) surged 6.42% in after-hours trading on Thursday following the release of the company's impressive first-quarter 2025 financial results and optimistic future guidance. The social media management software provider demonstrated strong performance across key metrics, surpassing analyst expectations.

Sprout Social reported quarterly adjusted earnings of $0.22 per share, significantly beating the analyst consensus estimate of $0.15 by 46.67%. This represents a remarkable 120% increase from $0.10 per share in the same period last year. The company's quarterly revenue also exceeded expectations, coming in at $109.29 million, a 12.92% year-over-year increase and slightly above the anticipated $107.86 million.

The strong financial results were accompanied by impressive customer growth metrics. Sprout Social reported that customers contributing over $10,000 in annual recurring revenue (ARR) reached 9,381 as of March 31, 2025, a 6% increase compared to the previous year. Moreover, customers contributing over $50,000 in ARR grew by 22% to 1,766 in the same timeframe, indicating the company's success in attracting and retaining higher-value clients. The positive momentum is expected to continue, with Sprout Social projecting Q2 2025 revenue between $110.4 million and $111.2 million, and adjusted EPS between $0.14 and $0.16. For the full year 2025, the company anticipates total revenue between $448.9 million and $453.9 million, demonstrating confidence in its growth trajectory.