Momo Inc (ADR)(NASDAQ:MOMO) shares fell despite the company’s impressive quarterly earnings results.

The information technologies company posted earnings of 35 cents per share, topping analysts’ expectations by three cents per share. The figure was a 191.67% increase compared to the year-ago non-GAAP earnings figure of 12 cents per share.

Revenue also impressed for Momo’s period at $312.2 million, which was well ahead of Wall Street’s consensus estimate of $287.84 million. Sales were up 15% compared to the year-ago figure.

Mobile marketing revenue came in at $19 million, a 15% surge year-over-year. Mobile gaming revenue rose 23% to $9.1 million. Momo’s monthly active users rose to 91.3 million, ahead of the year-ago figure of 74.8 million.

Despite the company’s strong period, shares fell due to Momo’s high valuation. Ahead of trading Tuesday, the company had a market capitalization close to $9 billion. The company traded for about nine times trailing-12-month sales, including its most recent results.

Costs and expenses also rose in the quarter to $246 million, a 189% increase due to higher broadcaster revenue shares, marketing and promotional expenses, hiring more workers and infrastructure spending.

Net cash from operating activities also saw a surge at $108.1 million. Momo ultimately finished the quarter with roughly $846.3 million in cash and equivalents.

Third-quarter revenue is slated to be in the range of $337 million to $342 million, topping the consensus estimate of $307.13 million.

MOMO stock fell sharply Tuesday, dropping more than 20.1% by day’s end.