Chart Industries Inc
NYSE:GTLS
Chart Industries Inc
Chart Industries Inc., a notable player in the global market, weaves its success story through its innovative approach to designing and manufacturing highly-engineered equipment for the energy and industrial gas markets. Founded in 1992, Chart Industries has strategically positioned itself at the heart of energy transformation by providing critical infrastructure necessary for the distribution, storage, and end-use of hydrocarbon, industrial gases, and alternative energy sources. With operations spread across the globe, Chart harnesses the power of technological innovation and precision engineering to deliver products that accommodate the growing demand for sustainable and efficient energy solutions. Its commitment to high-quality, efficient, and reliable engineering work allows the company to remain a preferred partner in industries spanning aerospace, medical, food and beverage, and LNG.
The company generates revenue primarily through the sale of its specialized cryogenic equipment, which facilitates the efficient storage and transport of gas in various forms. Notably, Chart Industries taps into the burgeoning demand for liquefied natural gas (LNG) equipment, positioning itself at the forefront of the transition to cleaner energy sources. Its business is organized into three segments: Energy & Chemicals, Distribution & Storage Western Hemisphere, and Distribution & Storage Eastern Hemisphere. Through these segments, Chart serves a diverse clientele—from small-scale LNG producers to large industrial gas companies—offering equipment like brazed aluminum heat exchangers, cryogenic storage systems, and vacuum insulated piping. By focusing on sectors poised for growth, such as renewable energy and carbon capture, Chart Industries not only captures immediate business opportunities but also invests in future-proofing its path in the evolving industrial landscape.
Chart Industries Inc., a notable player in the global market, weaves its success story through its innovative approach to designing and manufacturing highly-engineered equipment for the energy and industrial gas markets. Founded in 1992, Chart Industries has strategically positioned itself at the heart of energy transformation by providing critical infrastructure necessary for the distribution, storage, and end-use of hydrocarbon, industrial gases, and alternative energy sources. With operations spread across the globe, Chart harnesses the power of technological innovation and precision engineering to deliver products that accommodate the growing demand for sustainable and efficient energy solutions. Its commitment to high-quality, efficient, and reliable engineering work allows the company to remain a preferred partner in industries spanning aerospace, medical, food and beverage, and LNG.
The company generates revenue primarily through the sale of its specialized cryogenic equipment, which facilitates the efficient storage and transport of gas in various forms. Notably, Chart Industries taps into the burgeoning demand for liquefied natural gas (LNG) equipment, positioning itself at the forefront of the transition to cleaner energy sources. Its business is organized into three segments: Energy & Chemicals, Distribution & Storage Western Hemisphere, and Distribution & Storage Eastern Hemisphere. Through these segments, Chart serves a diverse clientele—from small-scale LNG producers to large industrial gas companies—offering equipment like brazed aluminum heat exchangers, cryogenic storage systems, and vacuum insulated piping. By focusing on sectors poised for growth, such as renewable energy and carbon capture, Chart Industries not only captures immediate business opportunities but also invests in future-proofing its path in the evolving industrial landscape.
Orders Growth: Orders rose 17.3% year-over-year to $1.32 billion, with notable LNG wins and broad strength across end markets.
Sales & Margins: Sales reached $1 billion, up 6.6% organically, and gross margin stayed strong at 33.9% for the fourth consecutive quarter.
Profitability: Adjusted operating income margin expanded by 190 basis points, and adjusted EBITDA rose to $231.1 million (23.1% of sales).
EPS & Cash Flow: Adjusted diluted EPS increased 38.8% to $1.86. Free cash flow was negative $80.1 million but improved by $55.6 million over last year’s Q1.
Backlog & Demand: Backlog is robust, with LNG representing about a quarter and a strong pipeline in data centers, nuclear, and marine. Aftermarket is about one-third of business and remains resilient.
Guidance Reiterated: Full-year 2025 sales and EBITDA outlooks were reaffirmed, with sales expected at $4.65–$4.85 billion and EBITDA at $1.175–$1.225 billion.
Tariff Headwinds: Tariffs expected to have a manageable gross impact, with mitigation actions and price increases already underway.
Leverage Target: Company on track to achieve net leverage ratio below 2.5 in 2025, with net debt anticipated around $3 billion by year-end.
