Shares of RPC Inc (NYSE: RES), a leading oilfield services provider, surged 9.03% in the pre-market trading session on Thursday after the company reported its fourth quarter and full year 2024 financial results.

For the fourth quarter of 2024, RPC reported revenues of $335.4 million, down 15% year-over-year but beating analyst estimates of $323.976 million. Net income came in at $12.8 million, a significant decline of 68% compared to the same period last year, while adjusted EBITDA fell 42% to $46.1 million.

Despite the year-over-year decline in profitability metrics, the market reacted positively to RPC's ability to generate strong cash flows and maintain a debt-free balance sheet. For the full year 2024, the company reported free cash flow of $129.5 million and ended the year with over $300 million in cash and no outstanding borrowings.

In the earnings release, RPC's President and CEO, Ben M. Palmer, expressed optimism about the company's new products and services in the downhole tools segment, stating that "early positive results in 2024" have set the stage for these offerings to "contribute more meaningfully in 2025." The company also highlighted its plans to continue investing in innovation across the business, with projected capital spending in the range of $150 million to $200 million for 2025.

Analysts and investors appear to have applauded RPC's focus on innovation and new product development, as well as its strong financial position and cash flow generation capabilities, which position the company well to navigate the highly competitive oilfield services industry.