Air Products beats first-quarter profit estimates on pricing, cost controls

Jan 30 (Reuters) - Industrial gases manufacturer Air Products APD.N beat Wall Street's first-quarter profit estimates on Friday, helped by pricing and cost controls in its core industrial gas business that cushioned weak helium demand.

Shares of the company rose nearly 2% in premarket trading.

Last year, Air Products said it was continuing with a 16% reduction of its global workforce, a process that began in 2022, to help offset higher input costs.

The company also benefited from strong pricing across its product line, except helium, along with productivity gains, with rising demand for cleaner transport fuels lifting its hydrogen and carbon monoxide, or syngas, business.

Chief Executive Eduardo Menezes said the company delivered strong results despite headwinds from helium, as it continued to focus on earnings growth and maintain capital discipline.

Its net sales during the three months ended December 31 stood at $3.10 billion, beating estimates of $3.05 billion according to data compiled by LSEG.

Its Americas business rose 4.2% to $1.34 billion, while its second largest market, Asia, increased nearly 2% to $831.5 million. Nearly 60% of its 2025 sales took place outside of the United States, according to Air Products' annual report.

The Pennsylvania-based company posted an adjusted profit of $3.16 per share in the quarter, beating estimates of $3.05 per share.

The company also forecast second-quarter profit to be between $2.95 and $3.10 per share, compared with estimates of $3.02 per share.