Chart narrows guidance as sales decline
Ohio-headquartered LNG engineer, Chart Industries reported an increase in third-quarter income, reaching US$15 million up from $4.8 million in the corresponding quarter in 2015.
The company noted that its distribution and storage segment has seen a “good order flow” from LNG terminals in Europe, although its third quarter results have been impacted by continued energy market slowdown.
Net sales for the third quarter of 2016 decreased 22.8 percent to $203.9 million from $264.0 million in the comparable period a year ago, primarily due to the slowdown seen in the energy markets.
According to Chart’s report, distribution and storage segment sales dropped 2.3 percent to $126.6 million in the quarter under review compared to $129.6 million in the corresponding quarter in 2015.
“Revenues in LNG applications are down this quarter in Asia and in the U.S., but Europe is up somewhat versus the prior year quarter, reflecting continued downstream LNG activity,” the report reads.
Based on the year-to-date results, the company has narrowed its 2016 sales guidance, expecting a result to be in the range of $850 million to $875 million. This is down from the previous sales guidance of $850 million to $900 million.