Air Products Lifts 2026 Profit Forecast on Stronger Helium Prices and Sales Growth
Air Products' Financial Performance and Market Drivers
April 30 (Reuters) - Industrial gases maker Air Products raised its full-year earnings forecast on stronger pricing as well as benefits from higher helium prices and new assets coming online later in the year.
Helium Prices Surge Amid Global Disruptions
Disruptions to Qatar's natural gas processing from the Iran war have driven helium prices sharply higher, a critical gas that supports industries from semiconductors to medical imaging.
Supply Chain Resilience Initiatives
The company said it took actions to strengthen helium supply chain resilience for customers, including drawing from its U.S. storage cavern and increasing liquefaction processes in the country.
Outlook and Strategic Actions
"Air Products remains cautious given uncertainty around the macroeconomic environment but expects to see benefits in the second half from continued non-helium pricing actions, progress on productivity actions and new assets ramping up," the company said in a statement.
Regional Sales Performance
Overall Net Sales Growth
Its net sales during the second quarter rose 8.7% to $3.17 billion.
Europe Segment
For the three months ending March 31, sales in the Europe segment increased by 8.4%, reaching $789 million compared to the previous year.
Impact of Rising Energy Costs
Last month, Air Products said its operations in Europe had been significantly impacted by rising energy costs due to the conflict, though the overall impact was limited despite plant closures.
Asia Segment
Meanwhile, the Asia segment saw an increase of 7.5% to $833 million.
Americas Segment
Sales in its largest market, the Americas, rose 7.5% to $1.4 billion.
Profit and Earnings Forecast
The Pennsylvania-based company posted an adjusted profit of $3.20 per share, beating analysts' estimates of $3.06 per share, according to data compiled by LSEG.
The company now anticipates fiscal year 2026 adjusted earnings of $13.00 to $13.25 per share, compared to the previous forecast of $12.85 to $13.15 per share.
(Reporting by Katha Kalia in Bengaluru; Editing by Vijay Kishore)
