Figma shares surged 5.01% during intraday trading on Wednesday, as the design software company reported second-quarter financial results that exceeded analyst expectations and provided a strong outlook for the coming quarters.

The company posted Q2 adjusted earnings per share of $0.08, doubling the consensus estimate of $0.04. Revenue for the quarter reached $370.1 million, significantly above the $351.6 million forecast. Figma also highlighted a robust net dollar retention rate of 136% as of June 30, indicating strong customer expansion and satisfaction.

Looking ahead, Figma's guidance added to the positive momentum. The company expects third-quarter revenue between $373 million and $375 million, compared to the $364.9 million consensus. For the full fiscal year, revenue is projected to be in the range of $1.463 billion to $1.467 billion, well above the $1.44 billion estimate. Furthermore, CFO noted that the quarter marked the first full period of AI credit monetization, signaling new growth avenues.