Evolv Technologies Holdings, Inc. (EVLV) saw its stock surge 5.16% on Thursday, following the release of its impressive second-quarter financial results and an upward revision of its full-year 2025 guidance. The AI-based security technology company's performance exceeded analyst expectations, sparking investor enthusiasm.

For the second quarter, Evolv reported revenue of $32.54 million, marking a 27.42% increase from the same period last year and surpassing analyst estimates of $30.95 million. The company's adjusted earnings per share showed a loss of $0.02, beating the consensus estimate of a $0.04 loss and demonstrating significant improvement from the $0.06 loss per share in the previous year.

Investors were particularly encouraged by Evolv's robust Annual Recurring Revenue (ARR), which reached $110.5 million, up 27% year-over-year. This growth in recurring revenue underscores the company's successful business model and increasing market adoption of its AI-based security solutions. Looking ahead, Evolv raised its full-year 2025 revenue guidance to between $132 million and $135 million, representing a growth rate of 27% to 30%. The company also anticipates achieving positive full-year Adjusted EBITDA in 2025 and expects to be cash flow positive in Q4 2025, signaling a clear path towards profitability.

The strong quarterly performance and optimistic outlook led to a further 7.46% surge in Evolv's stock during after-hours trading, indicating sustained investor confidence in the company's growth trajectory and market position in the AI-based security technology sector.