Shares of Twilio (TWLO) surged 8.81% in after-hours trading on Thursday following the cloud communications company's release of better-than-expected first-quarter 2025 financial results and an optimistic outlook for the year ahead.

The company reported adjusted earnings per share of $1.14, significantly outperforming the analyst consensus estimate of $0.94 by 21.28%. This represents a substantial 42.5% increase from the $0.80 per share reported in the same period last year. Twilio's quarterly revenue also exceeded expectations, coming in at $1.17 billion, surpassing the projected $1.14 billion by 2.84% and marking an 11.94% year-over-year growth.

Adding to the positive sentiment, Twilio raised its organic revenue growth target for 2025 to 7.5% - 8.5% year-over-year, signaling confidence in its future performance. The company also provided a strong outlook for the second quarter, projecting adjusted earnings per share between $0.99 and $1.04, with revenue expected to range from $1.18 billion to $1.19 billion. CEO Khozema Shipchandler commented on the results, stating, "Twilio saw another quarter of revenue growth acceleration and double-digit growth, illustrating that our commitment to operating with more discipline, rigor, and focus is paying off."