Air Products and Chemicals, Inc. (NYSE:APD) Q4 2019 Earnings Conference Call - Final Transcript

Nov 07, 2019 • 10:00 am ET


Air Products and Chemicals, Inc. (NYSE:APD) Q4 2019 Earnings Conference Call - Final Transcript


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Good morning, and welcome to the Air Products and Chemicals Fourth Quarter Earnings Release Conference Call.

Today's call is being recorded at the request of Air Products. Please note that this presentation and the comments made on behalf of Air Products are subject to copyright by Air Products and all rights are reserved. Beginning today's call is Mr. Simon Moore, Vice President of Investor Relations.

Simon Moore

Thank you, Leanne, and good morning, everyone. Welcome to Air Products' fourth quarter 2019 earnings results teleconference. This is Simon Moore, Vice President of Investor Relations. I'm pleased to be joined today by Seifi Ghasemi, our Chairman, President and CEO; Scott Crocco, our Executive Vice President and Chief Financial Officer and Sean Major, our Executive Vice President, General Counsel and Secretary. After our comments, we'll be pleased to take your questions. Our earnings release and the slides for this call are available on our website at This discussion contains forward-looking statements. Please refer to the forward-looking statement disclosure that can be found in our earnings release and on Slide number 2.

In addition, throughout today's discussion, we will refer to various financial measures. Unless we specifically state otherwise, we are referring to adjusted non-GAAP measures, including adjusted earnings per share, adjusted EBITDA and adjusted EBITDA margin on both the company-wide and segment basis and ROCE. Reconciliations can be found on our website in the relevant earnings release section.

Now, I'm pleased to turn the call over to Seifi.

Seifi Ghasemi

Thank you, Simon, and good morning, everyone. Thank you for taking time from your busy schedule to be on our call today. We are very pleased that our record fiscal year earnings per share of $8.21 represents our fifth consecutive year of double-digit earnings growth. And our earning per share of $2.27 for the quarter also represents another record, up 14% over last year's strong results, and is the 22nd and I'd like to stress 22nd consecutive quarter of year-over-year earnings growth. Scott will comment on our financial results in more details. So I'm going to focus my comments on safety, our higher purpose as a company, the very large acquisition in Saudi Arabia that we announced last week, and the press release we issued yesterday.

Now please turn to Slide number 3. Safety, without question is job number one for all of us at Air Products. And our goal has always been zero accidents and zero incidents. Although, you can see our good progress versus 2014, our safety performance in 2019 was not acceptable as we did not show improvement versus 2018. Our people are certainly redoubling their efforts in this area, so that we can move toward our ultimate goal of an accident-free work environments.

Now please turn to Slide number 6, our Five-Point Plan. I want to comment on point number five on the right-hand side, which describes our higher purpose. We believe that in addition to creating value for our shareholders through strong financial results, we do have a responsibility as a public