Summary
Air Products & Chemicals, Inc. (APD) reported its fourth fiscal quarter and full fiscal year 2002 results. For the fourth quarter, the company announced net income of $144 million, or $0.65 per diluted share, representing significant year-over-year growth of 40% in net income and 38% in diluted EPS. This performance exceeded the company's prior guidance by one cent per share. Total revenues for the quarter were flat at $1.4 billion compared to the prior year, but underlying sales (excluding acquisitions, divestitures, and currency effects) decreased by 3% due to softer volumes in merchant gases, lower equipment sales in electronics, and reduced chemical prices. For the full fiscal year 2002, APD reported sales of $5.4 billion, down 8% from the prior year, while net income remained flat at $519 million. Full-year diluted EPS was $2.36 ($2.33 exclusive of special items). The company highlighted strategic moves during the year, including the acquisition of a controlling interest in Taiwan's San Fu Chemical Company to bolster its Asian electronics position, the divestiture of its U.S. packaged gas business, and the entry into the U.S. respiratory homecare market with the acquisition of American Homecare Supply. Looking ahead, APD provided an initial fiscal year 2003 EPS guidance range of $2.40 to $2.60, anticipating no to modest growth in U.S. manufacturing production.
Key Highlights
- 1Fourth quarter diluted EPS of $0.65, up 38% year-over-year, exceeding company guidance.
- 2Net income for the fourth quarter increased by 40% to $144 million.
- 3Full fiscal year 2002 sales decreased 8% to $5.4 billion, while net income was flat.
- 4Acquisition of controlling interest in San Fu Chemical Company (Taiwan) to strengthen Asian electronics presence.
- 5Divestiture of the U.S. packaged gas business completed.
- 6Entry into the U.S. respiratory homecare market with the acquisition of American Homecare Supply.
- 7Fiscal year 2003 EPS guidance projected between $2.40 and $2.60.