Chart posts record LNG revenue growth

Chart Industries has reported results for the fourth quarter and year ended 31st December 2013, posting record sales for the full year.

Highlights

• Record orders over US$ 1.27 billion for the full year 2013
• Record sales of US$ 1.18 billion, up 16% over full year 2012
• Year-end backlog of US$ 729 million, up 18% from year-end 2012
• Announces US$ 80 million D&S China capacity expansion
• Net income for Q4 2013 was US$ 23.2 million
• Net income for full year 2013 was US$ 83.2 million

Comments

Chart CEO, Sam Thomas, commented: "I am pleased to report another record year of orders and sales at Chart, especially liquefied natural gas (LNG) revenue growth in both D&S and E&C, which increased by 89% over 2012.

“We have made significant inroads in the market and, combined with our capacity expansions and introduction of standard plants for small to mid-scale liquefaction, our positive long term outlook remains unchanged.

LNG fuel

"We continue to see increased end user demand for LNG as a replacement for diesel fuel in transportation and oilfield applications globally. While a majority of the transportation growth has been in Asia, we are seeing demand increase domestically as well, but at a somewhat slower pace than the market anticipated. While we are aware of the recent delays in the adoption of LNG in the over the road trucking industry, we feel customers are still committed to the long-term viability and benefits associated with LNG.

"We are confident that our growth initiatives, focus on quality, and commitment to meeting customer expectations will enable Chart to meet rising customer demand and uphold our status as a leading worldwide supplier to the energy and industrial gas markets. With this continued evidence of rising demand, I am pleased to announce that we have decided to expand our capacity in China for both LNG and industrial gas applications with an US$ 80 million greenfield site near our current Changzhou, China facility. This investment will come in phases and allow us to meet the future demands of both markets."

Outlook

• Chart began 2014 with a substantial order backlog.
• The company expects LNG opportunities to continue to increase both in North America and Asia.
• In North America, the growth of on-road LNG infrastructure continues, although at a slower pace than anticipated.
• In Asia, Chart sees the market picking up in the second half of 2014 after the recent pause related to gas price increases.
• Chart will continue to invest for the future, as the company believes in the long-term growth opportunities in LNG and natural gas processing.

Adapted from press release by Katie Woodward

Read the article online at: https://www.lngindustry.com/liquid-natural-gas/25022014/chart_posts_record_lng_revenue_growth_213/