* Sees Q4 adj EPS $1.42 to $1.47, vs est. $1.50
* Cuts full-year EPS to $5.40-$5.45 from $5.47-$5.60
* Q3 adj EPS $1.41, in line with analysts' estimates.
July 24 Industrial gas supplier Air Products and
Chemicals Inc forecast a lower-than-expected profit for
the current quarter and trimmed its full-year outlook due to
weakness in Asia and Europe.
Growth in Asia, Europe and sales at the company's
electronics segment were below expectations during the third
quarter, Chief Executive John McGlade said.
Europe, the company's second-biggest market after the United
States, has been a drag on its performance in recent quarters.
The company has been looking to reduce its dependence on the
continent. In June, it bought a 67 percent stake in Chile-based
Indura SA, expanding in fast-growing Latin America.
Air Products sold its homecare business in Belgium, Germany,
France, Portugal and Spain to bigger rival Linde AG
for $750 million earlier this year.
The company said it continued to "actively market" the
remaining portion of its homecare business, which is primarily
in the United Kingdom, and expects to close a sale by the end of
Allentown, Pennsylvania-based Air Products said it may have
to take a charge in the future related to disposing the
The company -- which supplies argon, oxygen and other
industrial gases to retail, manufacturing and construction
customers -- said it continued to reduce costs at its European
business and had cut about 600 jobs.
Air Products, whose customers include Apple Inc and
Intel Corp, said third-quarter operating margin at its
electronics and performance materials segment fell 3.1
percentage points due to lower volumes and pricing.
"The current economic uncertainty continues to impact our
near-term volume growth," CEO McGlade said.
The company expects an adjusted fourth-quarter profit of
between $1.42 and $1.47 per share. Analysts on average were
expecting $1.50 per share, according to Thomson Reuters I/B/E/S.
The company now expects a full-year profit of between $5.40
per share and $5.45 per share, down from its earlier forecast of
$5.47 per share to $5.60 per share.
Third-quarter profit rose to $484.5 million, or $2.26 per
share, from $326.5 million, or $1.50 per share, a year earlier.
Excluding one-time items, it had a profit of $1.41 per
share, in line with analysts' estimates.
Revenue fell 5 percent to $2.34 billion. Cost of sales fell
7 percent, while selling and administrative costs dipped 2
percent in the third quarter.
Shares of Air Products, which have lost about 7 percent in
2012 till Monday, closed at $79.58 on the New York Stock