What happened

Shares of Helix Energy Solutions Group (HLX -0.39%) had surged nearly 15% by 12:30 p.m. ET on Tuesday. Fueling the oil stock today was its fourth-quarter results and the authorization of a share repurchase program. 

So what

Helix Energy reported $287.8 million in revenue in the fourth quarter. That was up more than 70% from last year, beating the analysts' consensus estimate by nearly $34 million. The company also recorded $2.7 million, or $0.02 per share, of net income. That was $0.01 per share ahead of analysts' expectations. 

CEO Owen Kratz commented on what drove the company's results in the earnings press release: "Our fourth quarter 2022 results maintained strong performance sequentially in what is normally a seasonally slower period for Helix. Our fourth quarter results were aided by a healthy oil and gas market, seasonally adjusted but strong Robotics operations, and ongoing contribution from our Alliance acquisition."

The company expects those strong market conditions to continue driving its results in 2023. That's giving management the confidence to start returning cash to shareholders.

Helix authorized a $200 million share repurchase program, which Kratz calls "an excellent opportunity to increase shareholder value." It's enough money to repurchase up to 15% of the company's outstanding shares at the current $1.3 billion market cap

Now what

Helix is benefiting from strong market conditions, which it expects will continue this year. That should enable the company to continue generating free cash flow, which it intends to use in repurchasing its shares. Those catalysts could allow the stock to continue rising.