Air Products and Chemicals, Inc. ( (APD) ) has released its Q4 earnings. Here is a breakdown of the information Air Products and Chemicals, Inc. presented to its investors.
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Air Products and Chemicals, Inc. is a leading industrial gases company that supplies essential gases and equipment to various industries and is a major player in the global hydrogen market. The company has announced its fiscal 2024 fourth-quarter results, showcasing significant growth in earnings and strategic advancements. Key highlights include a GAAP EPS of $8.81, up 186%, and a GAAP net income of $2.0 billion, driven mainly by the sale of its LNG business for $1.81 billion. The company has also increased its adjusted EBITDA margin to 44.1% for the quarter, reflecting a strong operational performance.
The company has made notable strategic moves, such as the divestiture of its LNG business to focus on its core industrial gas operations and clean hydrogen initiatives. Air Products is investing in expanding its gas separation technologies and has signed a 15-year agreement to supply green hydrogen to TotalEnergies, aiming to support the decarbonization of European refineries. These strategies align with the company’s goals of advancing sustainability and addressing the growing demand for cleaner energy solutions.
In fiscal 2024, Air Products reported adjusted EPS of $12.43, up 8%, and adjusted EBITDA of $5.0 billion, a 7% increase. The company’s sales were $12.1 billion, slightly down due to lower energy cost pass-through, but offset by higher pricing. The recent sale of the LNG business contributed significantly to net income, highlighting the company’s commitment to shareholder value through strategic divestments and investments in growth areas.
Looking forward, Air Products anticipates fiscal 2025 adjusted EPS to range between $12.70 and $13.00, with capital expenditures expected to be between $4.5 billion and $5.0 billion. The company is poised to continue its focus on industrial gases and clean hydrogen, aiming to leverage its strong cash flow and strategic partnerships to drive future growth and shareholder returns.
