Marathon Petroleum (MPC) shares are soaring 6.05% in pre-market trading on Tuesday, following the company's better-than-expected fourth quarter 2024 earnings report.

MPC reported adjusted earnings per share of $0.77 for Q4, beating analysts' consensus estimate of $0.02. The company's revenue of $33.47 billion also surpassed expectations of $31.12 billion.

While MPC's Refining & Marketing segment EBITDA declined year-over-year to $559 million due to lower market crack spreads, the company's midstream subsidiary MPLX LP reported strong results, offsetting the refining weakness. MPLX's earnings per limited partner unit of $1.07 beat the $1.03 consensus estimate.

Despite the challenging refining environment, MPC's diversified business model and focus on capital returns supported its performance. During the fourth quarter, the company returned approximately $1.6 billion to shareholders through $1.3 billion in share repurchases and $292 million in dividends.

Looking ahead, MPC expects to maintain its capital discipline, with a 2025 capital spending outlook of $1.25 billion for its standalone business and $2.0 billion for MPLX. The company's strong balance sheet, with $3.2 billion in cash and short-term investments and $5 billion available on its credit facility, positions it well for future growth opportunities.