Newpark Resources Inc. (NYSE: NR) witnessed a remarkable 8.88% surge in its stock price during after-hours trading on Monday, following the release of its second-quarter 2024 earnings report. The energy services company reported better-than-expected financial results, surpassing analyst estimates on both earnings and revenue fronts.

For the quarter ended June 30, 2024, Newpark Resources reported non-GAAP earnings per share of $0.12, outperforming the consensus analyst estimate of $0.08 by a significant margin of $0.05. The company's revenue also impressed, reaching $179 million, which exceeded the analyst consensus estimate of $169.33 million by $9.67 million, or 5.72%.

Despite the strong earnings beat, Newpark Resources' stock initially declined by 7.11% during regular trading hours on Wednesday. This sell-off may have been driven by concerns over the company's year-over-year revenue decline of 2.32% compared to the same period last year. However, the impressive earnings results and revenue beat appear to have outweighed these concerns, leading to the substantial after-hours rally.