Shares of Magnite, Inc. (NASDAQ: MGNI) surged 6.76% in after-hours trading on Wednesday following the release of its impressive first-quarter 2025 financial results, which significantly surpassed analyst expectations. The advertising technology company demonstrated robust performance across key financial metrics, despite ongoing economic uncertainties.

Magnite reported adjusted earnings per share of $0.12 for Q1, handily beating the analyst consensus estimate of $0.07 by 71.43%. This represents a substantial 140% increase from the $0.05 per share reported in the same period last year. The company's quarterly revenue also exceeded expectations, coming in at $155.77 million, surpassing the analyst estimate of $144.20 million by 8.02%. This marks a 4.32% year-over-year increase from $149.32 million.

Other notable financial highlights include a gross profit of $93 million and adjusted EBITDA of $36.8 million, the latter outperforming the estimate of $30 million. The adjusted EBITDA margin stood at an impressive 25%. However, investors should note that Magnite reported a net loss of $9.6 million for the quarter. Despite the strong results, the company has adopted a more cautious approach to its outlook and guidance, citing tariff-driven economic uncertainty. As a result, Magnite is not reaffirming its full-year 2025 expectations at this time.