Lehigh Valley, PA – Nov. 7, 2023 – Air Products Chemical Company (NYSE: APD) today announced its full-year and fourth-quarter results for fiscal 2023. In a challenging economic environment, the company has demonstrated solid performance growth and a strong investment in the future.
For the full year of 2023, the operating income will be 12.6 billion US dollars and the operating profit will be 24.4$9.5 billion.
GAAP earnings per share (EPS) reached 10$30, up 2% year-on-year;GAAP net income increased 3% to $2.3 billionThe GAAP net profit margin was 186%, an increase of 80 basis points.
Adjusted earnings per share were 11$51, an increase of 12%;Adjusted EBITDA was $4.7 billion, up 11 percentAdjusted EBITDA margin was 373%, an increase of 390 basis points.
Operating income for the fourth quarter of 2023 was 31$9.1 billion.
GAAP earnings per share were 308 US dollars, a year-on-year increase of 20%;GAAP net income was 6US$9.4 billion, an increase of 17%;The GAAP net profit margin was 218%, an increase of 520 basis points.
Adjusted earnings per share were 3$15, an increase of 11%;Adjusted EBITDA was $1.3 billion, up 10 percentAdjusted EBITDA margin was 395%, an increase of 740 basis points.
In January 2023, the company raised its quarterly dividend to 1. per share$75, an increase for the 41st consecutive year.
In March, it issued its first green bonds, totaling 600 million US dollars and 700 million euros, becoming the first chemical company in the United States to include green and blue hydrogen projects in the category of eligible expenditures.
Advancing the Energy Transition:
Joint venture partners with ACWA Power and NEOM completed the financial closure of the world's largest green hydrogen ammonia production facilityWith a total value of US$8.4 billion, it received US$6.1 billion in non-recourse financing from 23 local, regional and international banks and financial institutionsAir Products Chemicals will be the exclusive buyer of green ammonia for the facility, which is planned to be transported to end markets for the production of green hydrogen for the transportation and industrial markets.
Announced the construction, ownership and operation of a state-of-the-art carbon capture and CO2 treatment facility at an existing hydrogen production facility in Rotterdam, the NetherlandsExpected to be operational in 2026, the resulting "blue" hydrogen product will serve ExxonMobil's Rotterdam refinery and other customers through Air Products Chemicals' hydrogen pipeline network system.
A joint venture with AES Corporation to build, own and operate the largest green hydrogen facility in the U.S. in Wilbagh County, Texas, was announced in December 2022.
Americas sales were $1.4 billion, down 12% year-over-year, primarily due to a 19% decline in energy cost pass-through.
Sales in Asia were 8$0.2 billion, down 7% year-over-year, primarily due to lower volumes of 7% and unfavorable currency effects.
Sales in Europe were 7US$1.2 billion, down 18% year-on-year, with a 24% drop in energy cost pass-through being the main reason.
Air Products & Chemical expects full-year fiscal 2024 adjusted earnings per share of 1280 to 13$10, the midpoint increased 13% year-over-year. Adjusted earnings per share for the first quarter of fiscal 2024 are expected to be 290 to 3$05, the midpoint increased by 13% year-on-year. Capital expenditures are expected to be $5.0 billion to $5.5 billion for fiscal 2024.
Seifi Ghasemi, Chairman, President and Chief Executive Officer of the Company, commented, "Our growth strategy is reflected in the results delivered by our hard work and dedication to our team. Our global team has delivered exceptional service to industrial gas customers across dozens of industries, while continuing to execute on our clean hydrogen megaprojects to decarbonize the heavy-duty transportation and industrial sectors of the global economy. Together, we have demonstrated the stability and resilience of our business, despite challenging economic conditions. While our strategic investments have grown, we have also continued to increase our dividends, paying out approximately $1.5 billion to shareholders this year. ”