Chart net income declines in Q3
Chart Industries reported a net income of $22.9 million for the third quarter showing a drop from $24.4 million in Q3 2013.
Net sales for the third quarter of 2014 decreased 3% to $293.8 million from $301.8 million in the comparable period a year ago.
Gross profit for the third quarter of 2014 was $91.2 million, or 31.0% of sales, versus $88.6 million, or 29.4% of sales, in the comparable quarter of 2013.
“Strength in North American industrial gas demand improved results in both packaged and bulk applications during the quarter. The ethane cracker award, which is included in third quarter orders and backlog, is an indicator of rising interest in gas processing and petrochemical applications as U.S. oil production delivers more natural gas liquids into the market. In addition, as evidenced by the LNG liquefaction orders previously announced, there is growing interest in LNG as a fuel for high-horsepower applications in such industries as rail, mining, marine, and oil & gas. This supports the long-term positive outlook for natural gas as a diesel replacement,” said Sam Thomas, Chart’s Chairman, President and Chief Executive Officer.
Thomas further said that at the same time, the company’s most recent results speak to the current challenges Chart is managing in its China LNG businesses. Chinese regulatory and customer delays impacted the company’s China LNG business.”
Backlog at September 30, 2014 was $751.8 million, up 8% from the June 30, 2014 level of $695.0 million. Orders for the third quarter of 2014 were $354.4 million, up 26% compared with $280.6 million for the second quarter of 2014.
Press Release; Image: Chart