Shares of Red Violet, Inc. (RDVT) jumped 5.02% in after-hours trading on Wednesday, following the release of its impressive first-quarter 2025 financial results. The data analytics company reported significant growth across key metrics, surpassing analyst expectations and demonstrating robust business performance.
Red Violet announced a record total revenue of $22.0 million for Q1 2025, marking a 26% increase compared to the same period last year. This figure beat the analyst consensus estimate of $20.43 million by 7.69%. The company's bottom line also showed remarkable improvement, with net income soaring 93% to $3.4 million. This translated to earnings of $0.25 per basic share and $0.24 per diluted share, while adjusted earnings per share reached $0.33, surpassing the analyst estimate of $0.23 by an impressive 43.48%.
Other highlights from the quarterly report include a 37% increase in gross profit to $15.8 million, with gross margin improving from 66% to 72%. Adjusted EBITDA rose 47% to $8.4 million, and the adjusted EBITDA margin expanded from 32% to 38%. The company also reported a healthy financial position with cash and cash equivalents of $34.6 million as of March 31, 2025. These strong results across multiple financial metrics likely fueled investor enthusiasm, driving the stock's after-hours surge.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.