Air Products stock drops as profit falls shy of forecasts, but revenue beats

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Shares of Air Products & Chemicals Inc. sank 5.3% in premarket trading Wednesday, after the industrial gases company reported a fiscal fourth-quarter profit that fell below expectations, as the COVID-19 pandemic weighed on results, while revenue topped forecasts. Net income fell to $486.8 million, or $2.19 a share, from $503.2 million, or $2.27 a share. Excluding non-recurring items, adjusted earnings per share fell 4% to $2.19, including an estimated 15 cent to 20 cent negative impact from COVID-19. The FactSet EPS consensus was $2.21. Sales grew 1.6% to $2.32 billion, above the FactSet consensus of $2.26 billion, as beats in the Americas and Europe, Middle East and Africa (EMEA) regions offset a miss in Asia. “Around the world, the energy transition is a focus for economic recovery, and our expertise, technology and people put Air Products at the heart of providing sustainable energy and environmental solutions,” said Chief Executive Seifi Ghasemi. The stock, which closed at a record as recently as Monday, has run up 31.9% year to date, while the S&P 500 has gained 9.7%.
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