Air Products (NYSE:APD) reported its fiscal year 2026 and fourth quarter financial results on November 5, 2026, disclosing full-year adjusted earnings per share of $13.45 and issuing fiscal 2027 guidance.

Key Highlights

  • Adjusted EPS of $13.45 for fiscal 2026 increased 12 percent over the prior year and exceeded the guidance midpoint, according to the filing.
  • Full-year GAAP EPS of $2.39 and operating income of $23 million, compared to a loss per share of $1.74 and an operating loss of $877 million in the prior year.
  • Full-year sales of $13.0 billion increased eight percent, or $954 million, driven by four percent higher volumes, two percent higher energy cost pass-through, and two percent favorable currency.
  • Capital expenditures of $3.3 billion, down $1.8 billion from the prior year; cash used for investing activities of $4.1 billion, down $3.0 billion.
  • Q4 adjusted EPS of $3.61 increased six percent, with fourth quarter sales of $3.6 billion increasing 12 percent over the prior year quarter.
  • Fiscal 2027 full-year adjusted EPS guidance set in the range of $14.15 to $14.50, with first quarter fiscal 2027 adjusted EPS guidance of $3.35 to $3.45.
  • Backlog expanded with over $2.0 billion of new electronics wins reported during the fiscal year.

Air Products Reports Core Business Improvement and Reduced Capital Spend in Fiscal 2026

Air Products disclosed fiscal 2026 full-year and fourth quarter results on November 5, 2026. On a GAAP basis, the company reported operating income of $23 million and an operating margin of 0.2 percent for the full year, compared to an operating loss of $877 million and a margin of negative 7.3 percent in the prior year. The filing noted that "both periods reflect significant charges related to business and asset actions, primarily associated with previously announced project exit decisions."

On a non-GAAP basis, adjusted operating income of $3.2 billion increased 11 percent, with an adjusted operating margin of 24.4 percent, an improvement of 70 basis points. The filing attributed the increase primarily to higher on-site volumes, favorable currency, and higher pricing, partially offset by fixed-cost inflation and higher incentive compensation. Full-year adjusted EPS of $13.45 also benefited from higher equity affiliates' income, according to the filing.

For the fourth quarter, the filing reported GAAP operating income of $633 million and EPS of $2.62, noting that current-year charges primarily reflect updated estimates associated with the sale process for two China coal gasification plants, including one sold in October 2026. Fourth quarter adjusted operating margin of 24.1 percent decreased 150 basis points, primarily due to higher costs. By segment, Americas sales of $1.6 billion increased 27 percent, Asia sales of $909 million increased four percent, and Europe sales of $856 million increased eight percent. Middle East and India equity affiliates' income of $97 million increased six percent, primarily from an affiliate in Saudi Arabia, the filing stated. Chief Executive Officer Eduardo Menezes was quoted as saying the results "demonstrate the progress we are making to improve our core industrial gas business, strengthen execution, and allocate capital with discipline."

What Was Disclosed

Air Products filed its fiscal 2026 full-year and fourth quarter earnings results, reporting adjusted EPS growth of 12 percent to $13.45, reduced capital expenditures, and expanded backlog. The company also issued fiscal 2027 adjusted EPS guidance of $14.15 to $14.50 and capital expenditure guidance of $3.0 billion to $3.5 billion.