Twilio (NYSE:) reported better-than-expected Q1 outcomes, driving its shares up almost 1% in pre-market Thursday.

The corporate reported adjusted EPS of $0, in comparison with 5c within the year-ago interval, whereas analysts have been anticipating a loss per share of 22c. TWLO generated $875.4 million in income, up 48% YoY and beating the analyst consensus of $864.2 million.

Greenback-based internet growth price stood at 127%, in comparison with the analyst consensus of 129%. The variety of lively buyer accounts totaled 268,000, whereas analysts have been on the lookout for 263,968.

For Q2, Twilio expects adjusted loss per share within the vary of 20c to 23c, in comparison with the estimated loss per share of 14c. Income is predicted within the vary of $912 million to $922 million, in comparison with the consensus projection of $917.9 million.

Morgan Stanley analyst Meta A Marshall reiterated an Obese score and a $240.00 per share worth goal on the TWLO inventory.

“Twilio’s Q1 upside to each rev and GM expectations ought to assist reset among the investor dialog round LT profitability. Management in digital transformation, multitude of development drivers and traction w/ software program options preserve us OW, w/ present val and 2H comps offering a pretty setup,” Marshall advised shoppers.

UBS analyst Taylor McGinnis additionally weighed in positively. The analyst lowered the worth goal to $210.00 per share from the prior $310.00 on the Purchase-rated TWLO inventory.

“We’re constructive on TWLO’s indication GMs may keep round 1QF22’s stage (with variability), however the high-end 2Q natural revs development information of 29% fell in need of expectations and this may occasionally lead some to query the 30% revs development sturdiness by way of 2024 regardless of TWLO’s reiteration and expectation for 2HF22 development enchancment off simpler comps.”

By Senad Karaahmetovic