Shares of Momo Inc. (MOMO - Get Report) surged on Tuesday after the Chinese dating and gaming app company reported fiscal first-quarter earnings that beat analysts' forecasts amid a strong uptick in live video service revenue.
Momo shares jumped nearly 12% to $29.10 on the Nasdaq Stock Market after the company known as "China's Tinder" reported fiscal first-quarter net income of $43.1 million, or 20 cents per American depositary share.
On an adjusted basis, per-ADR earnings came in at 62 cents, above analysts' expectations. Analysts polled by FactSet had been anticipating earnings of 54 cents per ADS.
Net revenue jumped by 35% to $554.7 million. Live video service revenue increased by 14% on an increase in quarterly paying users, as well as an increase in average revenue per paying user per quarter.
Separately, Momo said it now expects second-quarter revenue growth to come in above analysts' consensus estimates.
Shares of Momo plunged in late April after the company said that some Chinese app stores had been directed by Chinese government authorities to remove its Tantan dating app.
Momo (Chinese: 陌陌; pinyin: mò mò) is a Chinese hook-up app turned live-streaming video platform with the same name.