Air Products and Chemicals, Inc. reported fiscal 2025 fourth‑quarter and full‑year results on November 6, 2025. Total revenue for the quarter was $3.17 billion, a 1 % decline from the $3.19 billion reported in Q4 2024, and the full‑year revenue was $12.0 billion, down 1 % from $12.1 billion a year earlier. Adjusted earnings per share for the quarter were $3.39, which missed the consensus estimate of $3.41 by $0.02, while the full‑year adjusted EPS was $12.03, a 3 % decline from the $12.43 reported in FY 2024.
The company’s GAAP results were modest: GAAP earnings per share were $0.02 and operating income was $17 million, compared with $8.81 and $2.4 billion in the same quarter a year earlier. The GAAP loss was largely driven by a $795 million pre‑tax charge related to business and asset actions, including write‑downs of several clean‑energy projects and the exit of the LNG process‑technology business. For the full year, a $3.7 billion pre‑tax charge translated into a $13.68 per‑share after‑tax impact of $3.0 billion.
Segment performance highlights that the core industrial‑gas business remained resilient. Sales in that segment were largely flat, and operating margins stayed in the high‑20s, reflecting strong pricing power and efficient cost management. In contrast, the clean‑energy portfolio suffered significant write‑downs, and the company’s helium business faced global demand headwinds, contributing to the overall revenue decline. The sale of the LNG process‑technology business in September 2024 also reduced volumes and impacted year‑over‑year comparisons.
Management reiterated its outlook for FY 2026, projecting adjusted earnings per share of $12.85 to $13.15 and a capital‑expenditure target of $4 billion. Guidance for the third quarter of FY 2026 was adjusted EPS of $2.95 to $3.10. CEO Eduardo Menezes emphasized a continued focus on high‑return industrial‑gas projects, disciplined capital allocation, and margin expansion, signaling a strategic shift away from high‑risk clean‑energy ventures.
Investors reacted positively to the earnings release, citing the company’s strategic reset and cost‑saving measures as key drivers of confidence. The market’s favorable response underscored the importance of the company’s disciplined approach to capital discipline and its focus on core industrial‑gas operations, even as it navigated short‑term revenue and earnings misses.
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