Air products announced a net income of $281m, or diluted earnings per share (EPS) of $1.31, for its fiscal second quarter ending 31st March 2012.
Second quarter revenues of $2,344m decreased 2% versus the previous year, primarily on lower energy pass-through and a stronger dollar.
Commenting on the quarter, John McGlade, Chairman, President and CEO, said, “Overall, second quarter volumes were below our expectations, as business activity did not pick up as much as we expected. With Europe in recession, we have taken actions to improve our business portfolio and cost positions.”
“While our volumes were held down by lower demand, we did see positive impact from our pricing efforts and new plants” said
John McGlade, Chairman, President and CEO Air Products
Underlying sales were up 2% on higher Tonnage Gases volumes and improved pricing in Merchant Gases.
Looking ahead, McGlade added, “We are entering the second half of the year at lower levels of business activity than originally anticipated, reducing growth in both sales and earnings for fiscal 2012. We still expect both to pick up during the second half of 2012 and into 2013. Our capital spending for this year is anticipated to come in at the high end of our range at approximately $2.2b.”
McGlade forecast, “We expect to sign a record amount of new business this year and to continue to deliver gains in productivity that will contribute to strong, profitable growth.”