Chart Industries: Solid Financial Numbers Support Share Price Gains

Chart Industries

Chart Industries (NASDAQ:GTLS) has been generating substantial revenue and earnings growth over the last year.

It is an independent global manufacturer of engineered equipment used in the storage, production and end use of industrial gases. The boom in the energy sector has also been adding to the company’s growth; Chart Industries drives almost half of the revenue of the energy sector.

Chart’s sales of $319.9 million in the second quarter this year increased 14% sequentially, and sales jumped 34% over the same period last year. All three of the company’s segments contributed positively to its sales growth in the second quarter.

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The management has also been actively converting robust revenue growth into big profits. Chart’s adjusted earnings per share rose from $0.21 per share in the second quarter of 2017 to $0.55 per share in the second quarter of this year.

Chart Industries
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Many market participants appreciate Chart’s business strategies and significant growth in financial numbers. Chart Industries’ shares jumped almost 90% over the past twelve months.

Outlook Supports Bullish Sentiments

The company has been experiencing robust demand for packaged gas applications and for respiratory and cryobiological product lines from all over the world. Its orders of $360.3 million increased 12% sequentially, the sixth straight quarter of sequential growth. Chart Industries’ orders backlog grew 43% over the same period last year.

Our second quarter results reflect the past three quarters’ order strength. With the strength in packaged gas, order activity in Asia, and European LNG vehicle tank and trailer demand, combined with our right-sized cost structure, we expect to see the second half of 2018 at higher sales and earnings levels than the first half of the year,” said Jill Evanko, Chart’s President and CEO.

Chart Industries
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Robust order backlog has allowed Chart Industries to increase its full-year revenue and EPS guidance range from prior estimates. The company expects its revenue to hit $1.25 billion this year and that its earnings are likely to stand in the range of $2.05 per diluted share, compared to the prior guidance of $1.2 billion in sales and $2.0 per share in earnings.

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