Chart Industries Reports Q3 2025 Revenue Growth but Faces Net Loss Due to Merger Termination Fee

Chart Industries, Inc. reported its financial results for the third quarter of 2025, revealing a consolidated revenue of $1,100.6 million, a 3.6% increase from $1,062.5 million in the same period last year. However, the company experienced a net loss attributable to common shareholders of $145.3 million, compared to a profit of $62.2 million in the prior year. The loss per share for the quarter was $(3.23), significantly down from earnings of $1.48 per share in the third quarter of 2024. The decline in profitability was largely attributed to a $266 million termination fee related to the company's merger agreement with Baker Hughes, which was recorded as an expense during the quarter.

In terms of operational performance, Chart Industries saw a notable increase in orders, totaling $1,680.4 million for the third quarter, up from $1,167.5 million a year earlier. The company's backlog also grew to $6,049.5 million as of September 30, 2025, compared to $4,535.3 million at the same time last year. The increase in orders was primarily driven by the Heat Transfer Systems and Specialty Products segments, which benefited from strong demand in liquefied natural gas (LNG) projects and other applications.

The company’s financial position showed improvements in cash and cash equivalents, which rose to $399.2 million from $308.6 million at the end of 2024. Total assets increased to $9,789.8 million, up from $9,123.9 million at the end of the previous fiscal year. However, total liabilities also rose to $6,421.6 million, compared to $6,128.7 million at the end of 2024, reflecting increased debt levels associated with the ongoing merger activities.

Strategically, Chart Industries is in the process of merging with Baker Hughes, a move that has been approved by both the company's board and its shareholders. The merger is expected to close in mid-2026, pending regulatory approvals. The agreement stipulates that each share of Chart's common stock will be converted into $210 in cash at the time of the merger. The company has also terminated a previous merger agreement with Flowserve, incurring a significant termination fee, which has impacted its financial results for the quarter.

Looking ahead, Chart Industries anticipates continued growth in its order backlog and revenue, driven by strong demand in its key segments. However, the company remains cautious about potential macroeconomic challenges, including geopolitical tensions and inflationary pressures, which could impact its operations and financial performance in the future.