Investing.com -- Tenaris (BIT: TENR ) shares jumped more than 4% in Milan after the company announced that its board has approved a share repurchase program of up to $1.2 billion, with the launch anticipated in June.

At Tuesday’s closing price on the Milan exchange, the buyback would cover around 6.9% of Tenaris’s outstanding shares. The company plans to cancel all ordinary shares acquired through the program.

“The decision to launch the buyback program is driven by the company’s strong cash flow and solid balance sheet,” Tenaris said.

“The buyback program will be carried out under the authority granted by the annual general meeting of shareholders held on May 6, 2025, up to a maximum of 10% of the Company´s shares,” it added.

Last month, Tenaris reported first-quarter 2025 results with net sales reaching $2.92 billion, up 3% from the previous quarter but down 15% compared to the same period last year.

Operating income dipped slightly to $550 million.

The company generated strong free cash flow of $647 million during the quarter, boosting its net cash position to $4 billion.

For the second quarter, Tenaris said it expects a modest rise in sales and forecasts a stable EBITDA margin.