Profile: Airgas Inc (ARG.N)
Airgas, Inc., incorporated on August 21, 1986, is a supplier of industrial, medical and specialty gases, and hardgoods, such as welding equipment and related products. The Company is also a producer of atmospheric gases, carbon dioxide, dry ice and nitrous oxide and a supplier of safety products, refrigerants, ammonia products and process chemicals. The Company also offers supply chain management services and solutions, and product and process technical support across many customer segments. The Company operates in two segments: Distribution and All Other Operations. The businesses within the Distribution business segment offer a portfolio of related gas and hardgoods products and services to the end customers. The All Other Operations business segment consists of six business units which primarily manufacture and/or distribute carbon dioxide, dry ice, nitrous oxide, ammonia and refrigerant gases. In March 2014, the Company acquired Welding & Therapy Service, Inc. In June 2014, Airgas Inc acquired assets and operations of Team Welding, Ltd.
Distribution Business Segment
The Company’s Distribution business segment’s principal products include industrial, medical and specialty gases sold in packaged and bulk quantities, as well as hardgoods. The Company’s air separation facilities and national specialty gas labs primarily produce gases that are sold by the various regional and other business units within the Distribution business segment as part of the complementary suite of similar products and services for the Company’s customers. Gas sales primarily include atmospheric gases including nitrogen, oxygen and argon; helium; hydrogen; welding and fuel gases, such as acetylene, propylene and propane; carbon dioxide; nitrous oxide; ultra high purity grades of various gases; special application blends, and process chemicals. Within the Distribution business segment, the Company also recognizes rent revenue derived from the rental of its gas cylinders, cryogenic liquid containers, bulk storage tanks, tube trailers and welding-related and other equipment. The Distribution business segment accounted for approximately 90% of net sales during the fiscal year ended March 31, 2014 (fiscal 2014). The Company’s operations are in the United States.
All Other Operations Business Segment
The Company’s primary products produced and/or supplied are carbon dioxide, dry ice (solid form of carbon dioxide), nitrous oxide, ammonia and refrigerant gases. The Company is a producer of nitrous oxide gas with three nitrous oxide production facilities operated by the Company. The Company is a distributor of anhydrous and aqua ammonia. Industrial ammonia applications primarily include the abatement of nitrogen oxide compounds in the utilities industry (DeNOx), chemicals processing, commercial refrigeration, water treatment and metal treatment. The Company operates 29 distribution facilities across the United States and purchases ammonia from suppliers under agreements. The Company purchases and distributes refrigerants and provides technical and refrigerant reclamation services. The primary focus of the refrigerants business is on the sale, distribution and reclamation of refrigerants, with a varied customer base that includes small and large heating, ventilation, and air conditioning (HVAC) contractors and distributors, facility owners, transportation companies, manufacturing facilities and government agencies. The All Other Operations business segment accounted for approximately 10% of sales in fiscal 2014.
SUITE 100, 259 N. RADNOR-CHESTER
RADNOR PA 19087