Air Products & Chemicals Increases Sales but Misses Revenue Estimate
Air Products & Chemicals (NYS: APD) reported earnings on Jan. 24. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q1), Air Products & Chemicals missed on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased slightly, and earnings per share dropped.
Margins shrank across the board.
Air Products & Chemicals recorded revenue of $2.4 billion. The 13 analysts polled by S&P Capital IQ expected to see sales of $2.5 billion. Sales were 1.3% higher than the prior-year quarter's $2.4 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at $1.36. The 18 earnings estimates compiled by S&P Capital IQ averaged $1.36 per share on the same basis. GAAP EPS of $1.16 for Q1 were 5.7% lower than the prior-year quarter's $1.23 per share.
Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.
For the quarter, gross margin was 26.8%, 130 basis points worse than the prior-year quarter. Operating margin was 15.9%, 100 basis points worse than the prior-year quarter. Net margin was 10.2%, 100 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $2.6 billion. On the bottom line, the average EPS estimate is $1.48.
Next year's average estimate for revenue is $10.6 billion. The average EPS estimate is $6.03.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 653 members out of 673 rating the stock outperform, and 20 members rating it underperform. Among 203 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 198 give Air Products & Chemicals a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Air Products & Chemicals is outperform, with an average price target of $98.71.
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At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.