Shares of PHINIA INC (PHIN) surged 9.25% in Thursday's intraday trading session, following the company's fourth quarter and full-year 2024 earnings report that highlighted strong aftermarket performance and an upbeat outlook for 2025 supported by share buybacks.

The automotive parts manufacturer reported Q4 net sales of $833 million, a 5.6% decrease from last year but ahead of Wall Street expectations. While adjusted EPS of $0.71 missed estimates, PHINIA's aftermarket segment posted robust sales growth across regions, offsetting lower fuel systems sales.

For 2025, PHINIA forecasts net sales between $3.23 billion and $3.43 billion, implying up to 4% year-over-year growth. The company expects adjusted EBITDA in the range of $450 million to $490 million, with margins of 13.7% to 14.5%. PHINIA also projects adjusted free cash flow of $160 million to $200 million for the year.

Additionally, the board authorized a $200 million increase to the existing $400 million share repurchase program, boosting investor confidence. PHINIA also raised its quarterly dividend by 8% to $0.27 per share.

"We delivered solid results in the fourth quarter despite softened demand in the Light Vehicle and Commercial Vehicle markets, driven by operational execution, improved price-cost performance and strong Aftermarket sales," said CEO Brady Ericson. He added that the company is well-positioned for growth with new business wins across end markets.