What happened

Shares of Digital Turbine (APPS -3.59%) have skyrocketed today, up by 23% as of 12:05 p.m. EDT, after the company reported fiscal first-quarter earnings. The mobile app advertising platform beat analyst expectations for both the top and bottom lines.

So what

Revenue in the fiscal first quarter soared 93% to $59 million, crushing the consensus estimate of $48.5 million in sales. That resulted in adjusted net income of $12.5 million, or $0.13 per share. Wall Street was looking for just $0.09 per share in adjusted profits. Adjusted EBITDA was $14.1 million, and the tech company said its Application Media software was installed on more than 43 million devices during the quarter.

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Image source: Getty Images.

"Positive momentum trends throughout the business drove better-than-expected results and have the Company well-positioned for continued strong performance going forward," CEO Bill Stone said in a statement. "Advertisers are actively allocating spend toward platforms that offer directly measurable results, and our business is a clear beneficiary of this trend, particularly given the higher conversion rates generated by our platform as businesses and consumers everywhere are increasingly engaging with applications and mobile content as part of their daily routines."

Now what

Guidance was also rosy, with fiscal second-quarter revenue forecast in the range of $59 million to $61 million, well above the $51.4 million in sales that analysts are currently modeling for. That should translate into adjusted earnings per share of $0.11 to $0.12, compared to the consensus estimate of $0.09. Adjusted EBITDA next quarter is expected to be $11 million to $12 million.

Analysts were impressed by the strong results and guidance. Canaccord Genuity reiterated a buy rating on the stock and doubled its price target from $12 to $24, while Ladenburg Thalmann upgraded its rating from neutral to buy.