Chart Industries, Inc (GTLS) saw its loss narrow to $3.29 million, or $0.11 a share for the quarter ended Dec. 31, 2016. In the previous year period, the company reported a loss of $230.12 million, or $7.54 a share. Revenue during the quarter dropped 17.79 percent to $214.37 million from $260.76 million in the previous year period. Gross margin for the quarter contracted 127 basis points over the previous year period to 26.64 percent. Operating margin for the quarter period stood at positive 1.09 percent as compared to a negative 91.63 percent for the previous year period.
Operating income for the quarter was $2.33 million, compared with an operating loss of $238.92 million in the previous year period.
“Our strong brand, diversified product offering, and diligent management of working capital and capital expenditures led to record operating cash flow of $171 million during 2016 despite continued challenges in our energy markets. Our strong cash flow generation and significant liquidity will continue to allow us to deploy capital for acquisitions, such as Hetsco, which was announced in early January. The addition of Hetsco expands the capabilities of our Energy & Chemicals (“E&C”) Lifecycle business and gets us to market faster,” stated Sam Thomas, Chart’s Chairman and Chief Executive Officer.
For fiscal year 2017, Chart Industries, Inc expects revenue to be in the range of $875 million to $925 million and the company expects its adjusted diluted earnings per share to be in the range of $0.60 to $1.00.
Operating cash flow improves significantly
Chart Industries, Inc has generated cash of $170.81 million from operating activities during the year, up 69.18 percent or $69.85 million, when compared with the last year. The company has spent $18.08 million cash to meet investing activities during the year as against cash outgo of $73.52 million in the last year. It has incurred net capital expenditure of $16.73 million on net basis during the year, down 56.42 percent or $21.66 million from year ago.
Cash flow from financing activities was $7.73 million for the year, up 1,762.89 percent or $7.32 million, when compared with the last year.
Cash and cash equivalents stood at $281.96 million as on Dec. 31, 2016, up 127.92 percent or $158.25 million from $123.71 million on Dec. 31, 2015.
Working capital increases
Chart Industries, Inc has recorded an increase in the working capital over the last year. It stood at $391.44 million as at Dec. 31, 2016, up 20.37 percent or $66.25 million from $325.19 million on Dec. 31, 2015. Current ratio was at 2.50 as on Dec. 31, 2016, up from 2.24 on Dec. 31, 2015.
Days sales outstanding went down to 31 days for the quarter compared with 32 days for the same period last year.
Days inventory outstanding was almost stable at 50 days for the quarter, when compared with the last year period.
Debt moves up
Chart Industries, Inc has witnessed an increase in total debt over the last one year. It stood at $233.71 million as on Dec. 31, 2016, up 9.31 percent or $19.91 million from $213.80 million on Dec. 31, 2015. Total debt was 18.95 percent of total assets as on Dec. 31, 2016, compared with 17.79 percent on Dec. 31, 2015. Debt to equity ratio was at 0.33 as on Dec. 31, 2016, up from 0.32 as on Dec. 31, 2015. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
