June 09, 2011 Lehigh Valley, Pa.
Air Products outlines 2015 goals:
- Sales growth of 11-13% to more than $15 billion
- Operating margin of 20%
- Return on capital employed to 15%
Today at Air Products’ (NYSE:APD) Investor Conference, John McGlade, chairman, president and chief executive officer, revealed new financial targets for 2015 to take the company to a new level of performance.
“Consistent with our proven track record of setting and meeting long-term goals, our opportunities in key growth markets and focused execution will allow us to deliver enhanced revenue growth and sustained margin and return improvement,” said McGlade. “We expect these results will generate significant shareholder value.”
McGlade outlined the company’s growth advantage with its strong positions in the energy, environmental and emerging markets worldwide. He said by executing on its innovation, improvement and integration actions, the company should continue to lower its costs, improve returns and gain a greater competitive advantage over its peers.
He also said he expects Air Products to deliver top line growth of 11 percent to 13 percent per year over the next four years, which would bring the company’s total revenues to more than $15 billion in 2015. McGlade anticipates Air Products’ operating margin to improve 300 basis points to 20 percent, and its return on capital to increase 150 basis points to 15 percent from 2011 to 2015.
“We are ready to begin delivering on the commitments we have made today by winning through our market advantage and driving superior financial returns—just as we have delivered on our previous financial goals,” said McGlade.
Paul Huck, senior vice president and chief financial officer, then outlined to shareholders how the revenue, margin and return on capital goals would be met by 2015. The remainder of the conference includes presentations by Air Products’ executives explaining their business plans for 2015 and an event showcasing displays that highlight strategic actions contributing to Air Products’ success.
The conference is being webcast at www.airproducts.com, and a replay will be available after 3:00 p.m. EDT at www.airproducts.com/IC2011.
Air Products (NYSE:APD) serves customers in industrial, energy, technology and healthcare markets worldwide with a unique portfolio of atmospheric gases, process and specialty gases, performance materials, and equipment and services. Founded in 1940, Air Products has built leading positions in key growth markets such as semiconductor materials, refinery hydrogen, home healthcare services, natural gas liquefaction, and advanced coatings and adhesives. The company is recognized for its innovative culture, operational excellence and commitment to safety and the environment. In fiscal 2010, Air Products had revenues of $9 billion, operations in over 40 countries, and 18,300 employees around the globe. For more information, visit www.airproducts.com.
NOTE: This release may contain forward-looking statements within the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management’s reasonable expectations and assumptions as of the date of this release regarding important risk factors. Actual performance and financial results may differ materially from projections and estimates expressed in the forward-looking statements because of many factors not anticipated by management, including risk factors described in the Company’s Form 10K for its fiscal year ended September 30, 2010.