Chart Industries Reports Fourth Quarter and Full Year 2024 Financial Results

Chart Industries, Inc., a global leader in the design, engineering, and manufacturing of process technologies and equipment for gas and liquid molecule handling, has released its financial results for the fourth quarter and full year ending December 31, 2024. The results reflect the company's performance from continuing operations, excluding businesses divested in 2023.

Financial Highlights

For the fourth quarter of 2024, Chart Industries reported:

• Orders of $1.55 billion, a 29.4% increase compared to the fourth quarter of 2023.
• Sales of $1.11 billion, a 10.8% increase excluding foreign exchange impacts.
• Reported operating income of $188.3 million, or $243.4 million when adjusted for unusual items, resulting in a 22.0% adjusted operating income margin.
• EBITDA of $260.7 million, or $283.6 million when adjusted, reflecting a 25.6% margin.
• Free cash flow of $261.0 million.

For the full year 2024, the company reported:

• Orders of $5.01 billion, a 13.2% increase compared to 2023.
• Sales of $4.16 billion, a 17.5% increase excluding foreign exchange impacts.
• Reported operating income of $647.5 million, or $876.3 million when adjusted, resulting in a 21.1% adjusted operating income margin.
• EBITDA of $914.0 million, or $1,013.8 million when adjusted, reflecting a 24.4% margin.
• Free cash flow of $387.9 million.

Business and Operational Highlights

Chart Industries experienced significant growth in various segments:

• Specialty Products orders increased by 27.7% in Q4 2024, driven by carbon capture, energy recovery, infrastructure, and space exploration.
• Heat Transfer Systems (HTS) saw a 66.3% increase in orders, including a major LNG order.
• Repair, Service, and Leasing (RSL) orders grew by 14.2%, reflecting strong aftermarket trends.

Strategic Initiatives and Corporate Developments

Key corporate developments include:

• Partnerships with ExxonMobil, Bloom Energy, GCC, and Reliant Carbon Capture & Storage.
• Strong performance in the LNG market, with significant orders and a robust commercial pipeline.
• Reduction in net leverage ratio to 2.80 as of December 31, 2024, with a target of below 2.5 in 2025.

Management's Perspective

Jill Evanko, CEO and President of Chart Industries, commented on the results: "Increasing demand for energy globally and a renewed focus on U.S. LNG contributed to record orders in the fourth quarter 2024. Our anticipated continuing broad-based demand and strong aftermarket growth combined with Chart Business Excellence improvements are expected to drive additional margin expansion in 2025."

Future Outlook

Chart Industries reiterated its 2025 outlook, anticipating sales between $4.65 billion and $4.85 billion, adjusted EBITDA between $1.175 billion and $1.225 billion, and adjusted diluted EPS of $12.00 to $13.00. The company expects to achieve a net leverage ratio target of 2.0 to 2.5 by the end of 2025.

SEC Filing: CHART INDUSTRIES INC [ GTLS ] - 8-K - Feb. 28, 2025