Mobile ad network Millennial Media reported second quarter revenues for 2012 with $39.4 million in revenue and a net loss of $2.2 million. Although still a loss, the numbers beat analyst estimates and are an improvement over the company’s Q1 results, when Millennial reported $32.9 million in revenue and a $4 million loss.

Overall, the company’s revenue was up 75.6 percent year-over-year and 19.7 percent quarter-over-quarter. Its gross margin also improved slightly, rising from 39.1 percent in Q1 to 39.7 percent in Q2. Net loss per share on a GAAP basis (generally accepted accounting principles) was $0.03.

Millennial also reported its ads now reach more than 350 million unique users on a worldwide basis, with 140 million of those in the U.S. Millennial Media shows ads in more than 35,000 apps.

The company is estimating it will see Q3 revenues somewhere in the range of $43.5 to $45 million and non-GAAP net income between $600,000 and $800,000.

The company’s shares were up on the news, climbing over 26 percent to $12.86, but are still from the company’s original IPO price of $13, and down a whopping 48.4 percent from their first-day trading value of $25.