Evolv Technologies Holdings, Inc. (NASDAQ: EVLV) saw its stock price surge 5.93% in after-hours trading following the release of its third-quarter financial results that beat analyst expectations and an upward revision of its full-year 2025 guidance.
The security technology company reported Q3 revenue of $42.9 million, a 57% increase year-over-year and significantly higher than the analyst consensus estimate of $33.7 million. Evolv's adjusted loss per share narrowed to $0.02, beating the expected loss of $0.04 per share. The company's annual recurring revenue (ARR) reached $117.2 million, up 25% compared to the same period last year.
In light of the strong performance, Evolv raised its full-year 2025 revenue outlook to $142-$145 million, representing growth of 37%-40% year-over-year. This new guidance surpasses the previous forecast of $132-$135 million. The company also expects to deliver positive full-year Adjusted EBITDA in 2025 with margins in the high single digits, and anticipates being cash flow positive in the fourth quarter of 2025. These positive forecasts, coupled with the better-than-expected Q3 results, likely fueled investor optimism and drove the stock's after-hours rally.
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