Shares of Axon Enterprise (NASDAQ: AXON), a leading provider of law enforcement technology solutions, skyrocketed 16.78% in pre-market trading on Wednesday, following the company's stellar fourth-quarter results and upbeat 2025 guidance.

For the quarter ended December 31, 2024, Axon reported record revenue of $575.1 million, up an impressive 33.1% year-over-year, driven by robust demand across all business segments. The company's high-margin Axon Cloud & Services segment grew 41% to $230.3 million, fueled by strong adoption of premium AI-powered offerings and the Axon Evidence digital evidence management platform.

Axon's TASER segment also delivered a robust 37% revenue growth to $221.2 million, propelled by the continued scaling of the innovative TASER 10 device and growing adoption of virtual reality training solutions. The company's Sensors & Other segment grew 18% to $124 million, benefiting from sustained demand for body cameras and fleet solutions.

On the profitability front, Axon reported an 85% surge in adjusted earnings per share to $2.08, crushing Wall Street's expectations of $1.40. The company achieved a remarkable 25% adjusted EBITDA margin for the full year 2024, a milestone initially set for 2025, reflecting its strong operating leverage and disciplined cost management.

Looking ahead, Axon issued bullish guidance for fiscal 2025, projecting revenue in the range of $2.55 billion to $2.65 billion, representing approximately 25% growth at the midpoint. The company expects to maintain its impressive adjusted EBITDA margin at around 25% as it continues investing heavily in strategic growth areas like AI, autonomous systems, and enterprise security integration.