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**Chart Industries Q4 2024 Earnings Miss: Order Growth Soars, EPS Falls Short

28 February, 2025 | 3 Min Read

tickers: GTLS, BE, XOM

source: Motley Fool

tickers affected by this

tickerpolaritywhy?
GTLSpositivelyThe significant order volume and robust pipeline, particularly from major projects like the Woodside Louisiana LNG initiative, bode well for future revenue growth, which will positively affect the ticker prospect. Also, the strategic partnerships, strong operating margin, and the projected sales and EPS for 2025 indicate a bullish outlook, which should help to boost sentiment and price for the company.
BEpositivelyThe ticker BE may be positively affected by Chart Industries’ strong order intake and robust sales growth, particularly in the key clean energy segments like Heat Transfer Systems and Specialty Products. Additionally, the company’s strategic initiatives and partnerships, such as with Howden, along with the projected strong performance for 2025, could bolster investor confidence and contribute to a positive outlook for the stock. Investors may also be encouraged by the increased operating margin, reflecting effective operational efficiency.
XOMpositivelyThe positive growth in strategic areas, particularly the substantial sales increase in clean energy segments like Specialty Products and Heat Transfer Systems, may indicate a broader market trend towards clean energy solutions which could benefit traditional energy companies like Exxon Mobil (XOM) as it is diversifying its investments in the clean energy sector to meet regulatory and market demands.

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summary

Chart Industries QR 2024 Earnings Highlight Mixed Results

Article Summary Chart Industries, a global leader in engineered equipment and solutions for the clean energy and industrial markets, reported a mixed performance for its fourth quarter (Q4) 2024. The company’s earnings release, unveiled on February 28, 2025, showcased a robust surge in order volumes and sales growth. However, although sales and orders increased by 29.4% and 10.8% respectively, the company fell short of expectations in terms of earnings and revenue. Revenue landed at $1.11 billion, missing the $1.16 billion projection. Similarly, adjusted earnings per share (EPS) came in at $2.66, falling below the estimated $3.10. Foreign exchange impacts and operational challenges in the Theodore, Alabama facility were cited as key factors contributing to these misses. Chart Industries remains optimistic about future growth. However, the operational challenges observed in certain segments and foreign exchange impacts underscored the need for continued strategic initiatives and partnership leverage. ** Substantial Sales Increase in Clean Energy Segments** Despite the revenue and EPS misses, the company reported substantial growth in key business segments. This includes a 66.3% increase in orders for Heat Transfer Systems and a 47.7% sales surge in the Specialty Products division. The sales surge in the Specialty Products division was fueled by increasing demand from the space exploration and carbon capture sectors. The strong order intake in Heat Transfer Systems underscored the growing infrastructure demand, particularly with the Woodside Louisiana LNG project. Order growth in Q4 2024 Despite a significant setback in revenue from the Cryo Tank Solutions segment, attributed to declining European, Middle Eastern, and African (EMEA) demand, the company emphasized that a strong order intake of $1.55 billion aligned with its robust pipeline. This expansion was largely driven by major LNG projects, such as the Woodside Louisiana initiative. Chart’s Strong Performance On a positive note, Chart’s operating margin increased by 1 percentage point to 22%, showcasing the company’s operational efficiency. Additionally, Chart Industries’ strategic moves, such as its partnership with Howden, reflect a commitment to maintaining a competitive edge. Conclusion Looking forward, Chart Industries expects a strong year in 2025, with projected sales ranging from $4.65 billion to $4.85 billion, and adjusted EPS between $12.00 and $13.00 Ultimately, despite growth in strategic areas, the Q4 2024 earnings reflect the challenges Chart Industries faces in achieving consistent revenue and profitability growth, highlighting both opportunities and operational hurdles.

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