Air Products (NYSE: APD) has reported its first quarter fiscal 2026 results, demonstrating resilience and strength in its base business. The company's GAAP earnings per share (EPS) increased by 10 percent to $3.04, with GAAP operating income reaching $735 million, up 14 percent from the prior year. Adjusted EPS also saw a 10 percent increase to $3.16, surpassing the top-end of the guidance, while adjusted operating income rose by 12 percent to $757 million.
In terms of revenue, first quarter sales reached $3.1 billion, marking a six percent increase from the prior year. This growth was fueled by three percent higher energy cost pass-through, two percent favorable currency, and one percent higher pricing. However, volumes remained flat due to higher on-sites being offset by lower helium demand and a significant, non-recurring helium sale to an existing merchant customer in the Americas segment in the prior year.
The company's performance across its business segments also revealed notable developments. In the Americas, sales increased by four percent to $1.3 billion, with operating income rising by the same percentage to $404 million. Meanwhile, in Asia, sales reached $832 million, reflecting a two percent increase from the prior year, with operating income climbing seven percent to $232 million. In Europe, sales grew by 12 percent to $782 million, and operating income increased by 20 percent to $224 million. The Middle East and India equity affiliates' income remained flat at $85 million.
Looking ahead, Air Products is maintaining its full-year fiscal 2026 adjusted EPS guidance in the range of $12.85 to $13.15, with second quarter adjusted EPS guidance set at $2.95 to $3.10. The company also continues to expect capital expenditures of approximately $4.0 billion for the full fiscal year 2026.
In December 2025, Air Products announced advanced negotiations with Yara International for low emission ammonia projects in the U.S. and Saudi Arabia. Additionally, the company increased its quarterly dividend on common stock to $1.81 per share, marking the 44th consecutive year of dividend increases. Air Products was also awarded supply contracts from the National Aeronautics and Space Administration (NASA) totaling more than $140 million to provide liquid hydrogen for several NASA facilities.
The company is scheduled to host its fiscal 2026 first quarter earnings teleconference on January 30, 2026, at 8:00 a.m. Eastern Time. Air Products, a world-leading industrial gases company with over 85 years of operation, is focused on serving energy, environmental, and emerging markets while aiming to generate a cleaner future. Following these announcements, the company's shares moved 0.58%, and are now trading at a price of $267.53. For the full picture, make sure to review Air Products & Chemicals's 8-K report.
