Praxair Inc. (PX) engages in the production and distribution of industrial gases, primarily in North America, South America, Europe and Asia. Increased applications of industrial gases in industries like healthcare, petroleum refining, computer-chip manufacturing, beverage carbonation, fiber-optics, steel making, aerospace, chemicals and water treatment is a boon for the company. This Danbury, CT-based company has a $35.4 billion market capitalization.
However, weak industrial activities in the U.S. as well as damper global economy in the first-quarter 2015 had adverse impacts on demand for Praxair’s products. To add to the woes, declining oil prices forced some oil-producing companies to curtail their production, adversely impacting the company’s businesses from the oil and gas industry. Also, the company face headwinds from unfavorable foreign currency movements, geopolitical issues and a competitive business environment.
Praxair delivered lower-than-expected results in two of last four trailing quarters and in-line results in the rest, with a negative average earnings surprise of 0.31%. Also, earnings estimate on the company has decreased over the last few days.
Currently, PX has a Zacks Rank #4 (Sell), but that could definitely change after the release of its upcoming earnings report. We have highlighted some of the key stats from this just-revealed announcement below:
Earnings: Praxair’s adjusted earnings came in at $1.43 per share in first-quarter 2015. The bottom line result came in line with the Zacks Consensus Estimate of $1.43 per share.
Revenue: Revenues missed. Praxair generated revenues of $2,757 million, below the Zacks Consensus Estimate of $2,960 million.
Key Stats to Note: Praxair distributed approximately $0.4 billion to shareholders in the form of dividends and share buyback. Also, the company’s board of directors has announced a quarterly dividend of 71.5 cents per share to be paid on Jun 15 to shareholders of record as on Jun 5.
Stock Price: Praxair shares were down almost 0.65% ahead of the report while no movement has been recorded in the pre-market trading session.
Check back our full write up on this PX earnings report later!
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(We are re-publishing this article to correct an error. The original version, published earlier, should no longer be relied upon.)
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