The chart below shows how APD performed 10 days before and after its earnings report, based on data from the past quarters. Typically, APD sees a +0.98% change in stock price 10 days leading up to the earnings, and a +1.60% change 10 days following the report. On the earnings day itself, the stock moves by -2.72%. This data can give you a slight idea of what to expect for the next quarter's release.
Positive
Earnings Per Share Beat Guidance: Adjusted earnings per share of $2.86 exceeded the upper-end of guidance range of $2.75 to $2.85, up 1% over last year, driven by results in the Americas.
EBITDA Margin Improvement: Adjusted EBITDA margin increased by 140 basis points compared to the prior year, reflecting a favorable business mix and pricing strength.
Operating Margin Improvement: Adjusted operating margin improved by 80 basis points year-over-year, indicating enhanced operational efficiency.
Americas Pricing Increase: Americas segment saw a 2% increase in overall pricing, translating to a 4% gain in merchant pricing, driven by strong demand.
Asia Segment Performance Improvement: Asia segment reported a 2% volume improvement and a 7% increase in adjusted EBITDA, primarily due to favorable volumes and costs.
Negative
Earnings Miss Report: Air Products and Chemicals, Inc. misses on earnings expectations with reported EPS of $2.86, falling short of the expected $3.13.
Volume Decline Impact: Overall volume decreased by 2% compared to last year, primarily due to the divestment of the LNG business, which negatively impacted earnings.
Limited EBITDA Growth: Adjusted EBITDA increased by only 1%, primarily due to higher costs and lower equity affiliate income, indicating limited operational efficiency improvements.
Volume Decline in Europe: In Europe, volume declined by 5%, driven by lower onsite demand and continued weakness in merchant demand, particularly for helium, negatively affecting overall performance.
Corporate Segment Revenue Decline: The Corporate and Other segment reported lower sales and profits this quarter, primarily due to the sale of the LNG business, indicating a significant loss in revenue streams.
Air Products and Chemicals, Inc. (NYSE:APD) Q1 2025 Earnings Call Transcript
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