Air Products & Chemicals, a provider of essential industrial gases and chemicals based in Allentown, Pennsylvania, announced its fiscal fourth-quarter results. Despite a decline in sales, the company reported higher earnings due to a decrease in energy pass-through charges and increased prices.
In the quarter ended Sept. 30, Air Products & Chemicals recorded a profit of $692.6 million, translating to $3.11 per share. This marked an improvement compared to $583.1 million, or $2.62 per share, in the same period last year. Adjusting for one-time items, the adjusted earnings were reported at $3.15 per share, surpassing analysts’ expectations of $3.11 per share.
Sales for the quarter reached $3.19 billion, a decline from $3.57 billion in the year-ago quarter. The decrease of 11% was driven by lower energy cost pass-through, offset by higher prices. Although sales were affected, profits remained strong.
Factors Influencing Performance
The company’s decision to raise prices, combined with increased income from equity affiliates, contributed to the improved bottom line. These positive factors offset higher costs and compensated for the previous year’s divestiture of the Russian business and impairment of two equity affiliates in the Asia segment.
Air Products & Chemicals continues to be a leading player in the industrial gases and chemicals market, focusing on delivering essential products to customers worldwide.