Shares of the mobile technology company, Applovin Corp. (NASDAQ: APP) soared in pre-market trading at the time of publishing on Thursday after the company’s losses narrowed in Q1 to $0.01 per share versus a loss of $0.31 per share in the same period last year while analysts were expecting earnings of $0.07 per share.
The company posted Q1 revenues of $715.4 million, up by 14.4% year-over-year and surpassing consensus estimates of $695.6 million. At the end of Q1, APP’s monthly active payers fell to 1.8 million versus 2.7 million in the same period last year but Average Revenue per Monthly Active Payer (ARPMAP) increased to $46 from $41 in the same period last year.
Looking forward, the management expects Q2 revenues between $710 and $730 million while adjusted EBITDA is projected to range from $280 to $300 million.
Analysts are cautiously optimistic about APP stock with a Moderate Buy consensus rating based on four Buys and two Holds.
