Shares of NICE Ltd (NASDAQ: NICE) surged 9.30% during intraday trading on Thursday, following the release of its impressive third-quarter 2025 financial results and an upward revision of its full-year guidance. The Israeli cloud-based software provider demonstrated robust performance, particularly in its AI-driven cloud services, which has excited investors and analysts alike.

NICE reported quarterly earnings of $3.18 per share, meeting analyst expectations and marking a 10.42% increase from the same period last year. The company's revenue for Q3 reached $732 million, slightly beating the consensus estimate and representing a 6.09% year-over-year growth. Notably, cloud revenue grew by an impressive 13% compared to the previous year, driven by strong demand for AI solutions and the successful integration of the Cognigy acquisition.

In light of its strong performance, NICE has raised its full-year 2025 revenue guidance to between $2.932 billion and $2.946 billion. The company also updated its full-year EPS guidance to $12.18-$12.32. NICE's CEO, Scott Russell, attributed the positive results to the company's AI-first strategy and the growing momentum in its CX AI business. With AI capabilities now included in every new seven-figure CX deal, NICE is well-positioned to capitalize on the increasing demand for enterprise-grade AI solutions in the customer experience sector. The market's enthusiastic response to NICE's results underscores the growing importance of AI in the software industry and the company's strong positioning in this rapidly evolving market.