Air Products And Chemicals, Inc. · NYSE:APD
Air Products And Chemicals — Goldman Sachs Basic Materials Conference 2011
17 slides from Air Products And Chemicals's conference presentation, May 24, 2011
Slide 1: Investor Update
Investor Update John McGlade Chairman, President and CEO Goldman Sachs Basic Materials Conference May 24, 2011
Slide 2: Forward Looking Statement
Forward Looking Statement Note: This presentation contains "forward-looking statements" within the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including earnings guidance, projections and targets. These forward-looking statements are based on management's reasonab
Slide 3: Air Products At a Glance
Air Products At a Glance Business Segment Sales Geographic Sales 33% 22% 39% 5% 41% 21% 32% 7% Tonnage United States Merchant Canada/Latin America Electronics & Performance Materials Europe Asia Equipment & Energy • $9B company • Diverse markets and geographies • Positioned for continued long-term v
Slide 4: Air Products Supply Modes
Air Products Supply Modes Stability and Profitable Growth Onsite/Pipeline Package Gases & Specialty Materials 27% 40% 12% 21% 15-20 year Contracts Short-Term Contracts Limited Volume Risk Differentiated Positions Energy Pass through Onsite/Pipeline Liquid/Bulk Equipment & Packaged Gases & Services S
Slide 5: Financial Performance
Financial Performance 17% 15% 13% 11% Op Margin ROCE 9% FY04 FY08 Q109 Q209 Q309 Q409 Q110 Q210 Q310 Q410 5 non-GAAP, see appendix for reconciliation
Slide 6: Macro Trends Drive Growth
Macro Trends Drive Growth Hydrogen Large-scale O2 Electronic Clean Water Energy Materials • Leading • Clean / efficient • Semiconduct • Wastewater, refinery H2 combustion or and TFT- drinking water supplier • Gasification LCD and water • Leader in H2 (IGCC, GTL, materials reuse fueling CTL, CTC) • S
Slide 7: Integrated Industrial Gas Model provides real benefits – locally and globally
Integrated Industrial Gas Model provides real benefits – locally and globally Supply Chain Market Global Leverage Tonnage/ Opportunity Scale Onsites • Co-product • New segments • Innovation economics − PG only • Productivity • Liquid − Bundled and best back-up • Sales practices Liquid/ − Greater • E
Slide 8: Integrated Model in China
Integrated Model in China Weihe PCEC • Onsite O2 & N2 • Largest Onsite • Liquid integration • Liquid integration Xingtai Steel • Existing Asset Purchase Beijing • New ASU • Liquid integration Xi’an Chengdu Shanghai PetroChina Guangzhou • First outsourced H2 for China Sanan Optoelectronics state-owne
Slide 9: Equity Affiliates
Equity Affiliates $2.3B revenue on 100% basis Important Source of Growth Italy Mexico India Thailand South Africa 9
Slide 10: Air Products: #1 Global H2 Position in high growth market
Air Products: #1 Global H2 Position in high growth market • Maintained 40+% share over 20 years (2 x closest competitor) • Significant Global Pipeline Networks • Highly probable Market Growth Drivers On-stream 2020 Increased On-stream Heavy Transportation On-stream Sept 2010 Crude Fuels Sept 2001 Ai
Slide 11: Merchant Gases
Merchant Gases Applications technology drives higher growth Benefits Markets Applications Quality Productivity Environment Cleanfire® HRi™ Burner Glass Freshline® Dual Mode Freezer Food NitroFAS™ II Wave soldering Electronic Packaging enhancement O2 Proprietary Nozzles Cement For a
Slide 12: Electronics
Electronics High Growth Markets • Growth across all key markets 150% LED - IC silicon (MSI) = 8% PV - TFT-LCD = 12% 100% TFT-LCD - PV = 25% Silicon (MSI) - LED = 30% 50% • Majority positions with 0% industry leaders - #1 in IC, TFT-LCD and 2010 2011 2012 2013 foundry • #1 in Electronic industry 2010
Slide 13: Outlook
Outlook FQ2 2011 EPS $1.41 • Higher Merchant volumes • Improved cost performance • Higher E&PM volumes EPS • Lower tax rate • Tonnage - lower bonuses and higher maintenance costs • Lower Equipment results EPS • Japan uncertainty FQ3 2011 EPS $1.42-$1.47 FY 2011 EPS $5.65-$5.75 13 Non-GAAP, see appen
Slide 14: The Air Products opportunity
The Air Products opportunity Stability Growth Results • Long term contracts, • Solid backlog and consistent and strong growth predictable cash flow opportunities in all • Double-digit EPS • Diversified across geographies growth markets, geographies • New growth • ROCE 3-5% above cost and distributio
Slide 15: Appendix Slides
Appendix Slides
Slide 16: Appendix: Q2 FY11 Results and Guidance
Appendix: Q2 FY11 Results and Guidance ($ Millions, except per share data) Non GAAP GAAP Measure Adjustments Non GAAP Measure $ % $ % Q211 vs. Q210 - Total Co. Q211 Q210 Change Change Q211 (1) Q210 (1) Q211 Q210 Change Change Sales 2,501.3 2,249.0 252.3 11% 2,501.3 2,249.0 252.3 11% Operating Income
Slide 17: Thank you… tell me more
Thank you... tell me more AIR PRODUCTS ZZ
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