Shares of Braze, Inc. (NASDAQ: BRZE) surged 10.87% in pre-market trading on Friday, following the company's release of better-than-expected fourth-quarter results, announcement of a strategic acquisition, and positive outlook for the upcoming fiscal year.

The customer engagement platform provider reported impressive Q4 fiscal 2025 financial results, surpassing analyst expectations. Braze's revenue for the quarter reached $160.4 million, beating the consensus estimate of $155.7 million. The company's adjusted earnings per share came in at $0.12, significantly outperforming the expected $0.05. This strong performance was driven by new customer acquisitions, upsells, and renewals, resulting in a 22.5% year-over-year revenue growth.

Adding to investor enthusiasm, Braze announced its agreement to acquire OfferFit, an AI decisioning company, for $325 million. The acquisition, to be paid through a combination of cash and Braze Class A stock, is expected to enhance Braze's AI capabilities in customer engagement. Furthermore, Braze provided a positive outlook for the fiscal year 2026, forecasting revenue between $686 million and $691 million, surpassing analyst expectations of $688.07 million. The combination of strong Q4 results, strategic AI acquisition, and optimistic guidance appears to be driving the significant pre-market stock price increase.