Air Products & Chemicals Inc. reported unaudited consolidated earnings results for the first quarter ended December 31, 2016. For the quarter, the company reported sales of $1,882.5 million compared to $1,866.3 million a year ago. Operating income was $328.1 million compared to $372.5 million a year ago. Income from continuing operations before taxes were $336.6 million compared to $383.6 million a year ago. Income from continuing operations were $258.2 million or $1.15 per diluted share compared to $287.2 million or $1.29 per diluted share a year ago. Net income was $306.4 million compared to $372.0 million a year ago. Net income attributable to the company was $299.8 million compared to $363.6 million a year ago. Diluted income per share attributable to the company was $1.37 compared to $1.67 a year ago. Cash used in operating activities were $59.6 million compared to cash provided by operating activities of $176.9 million a year ago. Additions to plant and equipment was $239.2 million compared to $248.4 million a year ago. Adjusted operating income of $408 million increased 6%, and adjusted EBITDA of $652 million increased 3% over the prior year. For the quarter, on a non-GAAP basis, adjusted net income from continuing operations of $322 million was up 10% versus prior year, and adjusted diluted earnings per share from continuing operations of $1.47 was up 9% versus prior year. Effective tax rate this quarter was 21.2%, about 350 basis points lower than recent quarter for 3 main reasons. First, the underlying rate improved by about 50 basis points as a result of separating the MT business. Second, the company adopted a new accounting standard for share-based compensation that results in about 150 basis points reduction this quarter. This benefit will vary quarter-to-quarter, and the company expects it will be smaller for the rest of the year.

For the fiscal 2017 second quarter, the company expects adjusted EPS from continuing operations of $1.30 to $1.40.

The company expects fiscal 2017 adjusted EPS of $6.00 to $6.25, which at midpoint, represents an increase of 9% over last year. This includes an expected full-year adjusted tax rate of approximately 23%. The capital expenditure forecast for fiscal year 2017 is approximately $1 billion on a GAAP and non-GAAP basis.