AppLovin’s shares jumped nearly 30% in extended trading on Feb. 12 after reporting strong fourth-quarter earnings.

The firm reported earnings per share of US$1.73, surpassing the US$1.24 anticipated by analysts, according to data from LSEG.

Revenue for the quarter reached US$1.37 billion, above the estimated US$1.26 billion.

Net income rose to US$599.2 million from US$172.3 million a year ago, driven by 43% revenue increase fueled by its AI-driven ad system.

Advertising revenue, which constitutes the majority of the business, climbed 73% to nearly US$1 billion.

AppLovin announced plans to sell its app business, mainly consisting of acquired game studios, for about US$900 million.

AppLovin projects first-quarter revenue between US$1.36 billion and US$1.39 billion, surpassing analysts’ expectations of US$1.32 billion.