The stock surged 66.57% in after-hours trading Wednesday following the earnings release.
Q2 Earnings Beat
Gaxos.ai reported earnings of 2 cents per share, beating the consensus estimate for a loss of 15 cents. Revenue of $2.46 million also topped the Street estimate of $1.75 million.
Revenue increased 35.8% sequentially, while advertising and marketing spending rose 13.5%.
Revenue generated per advertising dollar improved 20% to 78 cents from 65 cents in the first quarter. Advertising and marketing costs fell to 128% of revenue from 153%, a 16.4% improvement.
