By Dean Seal
Air Products and Chemicals cut its earnings outlook for the year as lower volumes and higher costs pressured results in its fiscal second quarter.
The provider of essential industrial gasses and chemicals said it now expects adjusted earnings of $11.85 to $12.15 a share for the year, instead of $12.70 to $13 a share as previously projected. It expects $2.90 to $3 a share for the current fiscal third quarter, below analyst estimates for $3.27 a share.
The stock fell 4.1% to $259.95 in premarket trading.
For the first three months of 2025, the company posted a loss of $1.73 billion, or $7.77 a share, compared with a profit of $572.4 million, or $2.57 a share, in the same quarter a year earlier.
The shortfall was driven by a $2.3 billion after-tax charge related to project cancellations, cost-reduction measures and other strategic moves during the quarter.
Stripping out one-time items, adjusted earnings were $2.69 a share. Analysts surveyed by FactSet had been expecting $2.83 a share.
Revenue came in flat year-over-year at $2.9 billion, under analyst estimates for $2.92 billion, according to FactSet. Gains from energy cost pass-through and higher pricing were offset by foreign currency effects and lower volumes, largely from the divestiture of its liquefied natural gas business to Honeywell.
Write to Dean Seal at dean.seal@wsj.com
(END) Dow Jones Newswires
May 01, 2025 06:25 ET (10:25 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.