Air Products Stock Tumbles on Weak Profit Forecast | Global News Avenue

Air Products Stock Tumbles on Weak Profit Forecast
Key Points
Shares in air products and chemicals fell on Friday after the company missed expectations for the quarter’s earnings outlook.The results of gas suppliers in the first quarter of fiscal 2025 roughly meet analysts’ estimates.The report comes after appointing a new CEO and an agent campaign that has allowed activist investor Mantle Hill to win three of four nominees voted for the Air Products board.
Air products and chemicals (apd) Stocks fell on Friday, the second day after the company’s earnings outlook for the quarter was underperformed.

Adjusted earnings for industrial gas suppliers were $636.9 million, or $2.86 per share, and revenue was $2.93 billion, which was $2.93 billion in the first quarter, roughly in line with analyst estimates summarized by Visible Alpha.

However, the company’s adjusted earnings outlook for the second quarter was $2.75 to $2.85, well below analyst consensus.

The result is after the new CEO appointment, fighting the agent of Mantle Hill
The report was issued a few days after the announcement of the new CEO on Tuesday, former Linde (Forest) Executive Eduardo Menezes replaced Seifi Ghasemi as CEO Friday.

CEO Change comes after a proxy battle with radical investment firm Mantle Ridge, which has attacked the company’s leadership over the past few years as the company’s industry competitors perform well and have a wider market. Ghasemi leads air products to focus on high-risk projects and reduces the company’s profit margins, which the company calls “false and misleading claims.”

Last month, four of the four nominees of activist investors were voted on the Air Products Board, according to a press release.

In trading on Friday afternoon, Air Products stocks fell more than 5% to $310.13, despite Friday’s losses, their shares have been up about 40% over the past 12 months.