Air Products stock gets fiscal 2027 outlook after Q4 update

Air Products & Chemicals reported its fiscal 2026 fourth-quarter and full-year results on Thursday, November 5, 2026, and set its initial fiscal 2027 outlook. The company expects adjusted earnings per share of 14.15 to 14.50 US dollars for fiscal 2027 after adjusted earnings rose 12 percent to 13.45 US dollars in fiscal 2026.

The company said in its fiscal 2026 results release that fourth-quarter adjusted earnings per share increased 6 percent to 3.61 US dollars. Adjusted operating income rose 5 percent to 856 million US dollars, while adjusted operating margin declined 150 basis points to 24.1 percent as higher costs offset part of the benefit from volumes and pricing.

Higher volumes lift quarterly performance

Fourth-quarter sales increased 12 percent to 3.6 billion US dollars. Air Products attributed the increase to 9 percent higher volumes, with higher pricing, energy cost pass-through and favorable currency each contributing 1 percentage point. On-site supply, new assets and a significant asset sale linked to an early contract termination in the Americas supported the volume contribution.

Regional performance was uneven. Americas sales rose 27 percent to 1.6 billion US dollars on 26 percent higher volumes, and operating income increased 20 percent to 469 million US dollars. Asia sales grew 4 percent to 909 million US dollars, while Europe sales increased 8 percent to 856 million US dollars, helped in part by energy cost pass-through. European operating margin came under pressure from higher costs and power-related effects.

Charges separate GAAP from adjusted results

Reported GAAP figures also reflected business and asset action charges, primarily connected with project exits and the sale process for two China coal gasification plants. Fourth-quarter GAAP earnings per share were 2.62 US dollars, compared with 0.02 US dollars a year earlier, while operating income was 633 million US dollars versus 17 million US dollars. For the full year, GAAP earnings per share were 2.39 US dollars, compared with a loss of 1.74 US dollars in the prior year.

The adjusted figures are therefore the clearer measure of the continuing operating trend, but investors still need to account for the cash and capital-allocation consequences of project exits. Management said fiscal 2026 capital expenditures fell by 1.8 billion US dollars to 3.3 billion US dollars.

Management sets a measured outlook

For the first quarter of fiscal 2027, Air Products expects adjusted earnings per share of 3.35 to 3.45 US dollars. Full-year capital expenditures are projected at 3.0 billion to 3.5 billion US dollars. The plan leaves spending at a high level while the company continues to develop its industrial gas project backlog and major energy-transition projects.

Chief Executive Officer Eduardo Menezes said the company would focus on disciplined capital allocation, stronger execution and continued operating income growth. The outlook gives investors a framework for judging whether pricing, productivity and new assets can offset inflation, higher costs and the effects of project exits.

Real-time quote of Air Products stock: Air Products stock traded at 274.35 euros on Lang & Schwarz at 13:03 CET on Friday, November 6, 2026.

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More news and analyses on Air Products stock will track the next quarterly update and progress against the fiscal 2027 earnings and capital-spending targets.