Shares of Sprout Social, Inc. (SPT) surged 6.42% in after-hours trading on Thursday following the company's impressive first-quarter 2025 financial results and optimistic future guidance. The social media management software provider significantly outperformed analyst expectations, demonstrating robust growth and improved profitability.

Sprout Social reported adjusted earnings per share of $0.22 for Q1 2025, handily beating the analyst consensus estimate of $0.15 by 46.67%. This represents a substantial 120% increase from the $0.10 per share earned 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 projected $107.86 million.

Looking ahead, Sprout Social provided an encouraging outlook for both the second quarter and full year 2025. For Q2, the company projects revenue between $110.4 million and $111.2 million, with adjusted EPS estimated between $0.14 and $0.16. The full-year 2025 guidance is equally optimistic, with total revenue expected to range from $448.9 million to $453.9 million and adjusted EPS forecasted between $0.69 and $0.77. The positive financial results and forward-looking guidance appear to have fueled investor confidence, driving the stock's after-hours rally.