Shares of water technology company Xylem Inc. (XYL) surged 5.91% in premarket trading on Tuesday, following the release of the company's strong fourth-quarter and full-year 2024 results. Xylem's Q4 revenue of $2.3 billion and earnings per share of $1.34 both exceeded analyst estimates, driven by robust demand across its segments and solid execution.

For the fourth quarter, Xylem reported a 7% increase in both reported and organic revenue, reaching $2.3 billion versus the estimated $2.18 billion. Earnings per share came in at $1.34, significantly higher than the consensus estimate of $0.92. The company's full-year 2024 revenue grew 16% on a reported basis and 6% organically to $8.6 billion, while adjusted EPS rose 13% to $4.27.

Xylem's strong performance translated into a positive outlook for 2025, with the company forecasting full-year revenue of approximately $8.6 billion to $8.7 billion and adjusted EPS in the range of $4.50 to $4.70. Additionally, Xylem announced an 11% increase in its quarterly dividend to $0.40 per share, reflecting its robust cash generation capabilities and commitment to shareholder returns.