...November 26, 2024 S&P Global Ratings forecasts Chart will modestly improve its S&P Global Ratings-adjusted EBITDA margin and continue to focus on deleveraging in 2024 and 2025. We expect the company will modestly expand its S&P Global Ratings-adjusted EBITDA margins to the low-20% area in 2024 and 2025 on increased pricing and the continued realization of cost synergies from its acquisition of Howden in 2023. At the same time, we do not expect Chart will undertake any large debt-funded acquisitions or shareholder-friendly initiatives in the near term because management has committed to reducing its net leverage to the 2.0x-2.5x range before focusing on inorganic growth opportunities. In our view, the combined impact of the company's improving margin profile and supportive financial policy will cause its S&P Global Ratings- adjusted leverage to decline to the mid-3x area in 2024 before falling below 3x thereafter. We expect the continued focus on water quality, reducing carbon emissions,...
