Keysight Technologies (KEYS) stock surged 5.64% in after-hours trading on Tuesday following the release of its impressive second-quarter fiscal 2025 results, which exceeded analyst expectations and prompted the company to raise its full-year growth outlook.

The Santa Rosa, California-based electronic measurement company reported revenue of $1.31 billion for the quarter ended April 30, up from $1.22 billion in the same period last year and surpassing the $1.28 billion forecast by analysts. Keysight's adjusted earnings per share (EPS) came in at $1.70, beating the consensus estimate of $1.65 and marking a significant increase from $1.41 a year ago.

Keysight's strong performance was driven by growth across multiple sectors. The company reported a 9% increase in commercial communications sales and a 9% rise in aerospace, defense, and government sales compared to the previous year. Additionally, its electronic industrial solutions sector saw a 5% uptick, reflecting growth in semiconductor and general electronics businesses, although partially offset by declines in automotive and energy sectors. CEO Satish Dhanasekaran expressed optimism, stating, "Even as we are monitoring the overall macroeconomic environment, we continue to see a healthy funnel of opportunities and are raising full-year growth expectations to the midpoint of our long-term 5-7% target." The company also provided a positive outlook for the third quarter, projecting revenue between $1.305 billion and $1.325 billion, and adjusted EPS between $1.63 and $1.69, further bolstering investor confidence.