Supplemental Information

9 Months Ended

Jun. 30, 2026

Disclosure Text Block Supplement [Abstract]

Supplemental Information

SUPPLEMENTAL INFORMATION

Related Party Transactions

We have related party sales to some of our equity affiliates and joint venture partners as well as other income primarily from fees charged for use of Air Products' patents and technology. Sales to and other income from related parties totaled approximately $85 and $275 for the three and nine months ended 30 June 2026, respectively, and $90 and $240 for the three and nine months ended 30 June 2025, respectively. Sales agreements with related parties include terms that are consistent with those that we believe would have been negotiated at an arm’s length with an independent party. As of 30 June 2026 and 30 September 2025, our consolidated balance sheets included related party trade receivables of approximately $200 and $105, respectively.

During the third quarter of fiscal year 2025, we reimbursed $24.7 to Mantle Ridge LP and certain of its affiliated entities (collectively, “Mantle Ridge”, a related party) for costs they incurred in connection with the proxy contest that concluded in January 2025. Refer to “Shareholder Activism-Related Costs” below for additional information.

Related party debt consists of shareholder loans with our joint venture partner, Lu’An Clean Energy Company. Total debt owed to related parties was $215.7 and $236.5 as of 30 June 2026 and 30 September 2025, respectively. These amounts included $29.5 and $59.0, respectively, in "Current portion of long-term debt" on the consolidated balance sheets.

Changes in Estimates

Changes in estimates on sale of equipment projects accounted for under the cost incurred input method are recognized as a cumulative adjustment for the inception-to-date effect of such change. We recorded changes to project revenue and cost estimates that unfavorably impacted operating income (loss) by $20 and $78 for the three and nine months ended 30 June 2026, respectively, and operating income (loss) by $20 and $63 for the three and nine months ended 30 June 2025, respectively.

Shareholder Activism-Related Costs

In the prior-year third quarter, we recorded shareholder activism-related costs of $25.0 ($18.8 after tax) in connection with a proxy contest that concluded in January 2025 following certification of the directors elected at the 2025 Annual Meeting of Shareholders. For the nine months ended 30 June 2025, shareholder activism-related costs totaled $86.3 ($71.7 after tax). These costs were not allocated to our reportable segments.

Of the total costs recorded in fiscal year 2025, $31.9 related to legal and other professional service fees and proxy solicitation expenses incurred directly by Air Products, and $29.7 related to executive separation costs following the appointment of a new Chief Executive Officer by the Board of Directors. These separation costs included a noncash charge of $22.4 associated with accelerated vesting of share-based awards and $7.3 in severance and other cash benefits.

The remaining $24.7 was authorized and paid during the third quarter as a reimbursement to Mantle Ridge for expenses incurred in connection with the proxy contest. The reimbursement was unanimously approved by our Board of Directors, with one director abstaining from the vote due to his role as founder and Chief Executive Officer of Mantle Ridge. Reimbursed costs included legal counsel, proxy engagement services, governance advisory services, communication expenses, and other out-of-pocket costs associated with Mantle Ridge's engagement with Air Products.

Acquisition of Ijsfabriek Strombeek

On 30 April 2025, we completed the acquisition of Ijsfabriek Strombeek, an independent industrial gases company in Belgium, in a transaction accounted for as a business combination. Total consideration was $74.2, net of cash acquired, of which $59.9 was paid in cash at closing. Ijsfabriek Strombeek was a producer and distributor of merchant gases, including medical gases, dry ice, and carbon dioxide. The results of this business are consolidated within our Europe segment.

Sale of Business

In April 2025, we completed the sale of our 100% ownership interest in a consolidated subsidiary located in Singapore that primarily supplied merchant gases within our Asia segment. Cash proceeds of $104.3 were received in full upon closing. The transaction resulted in a gain of $67.3 ($51.9 after tax) that was presented as “Gain on sale of business” on our consolidated income statements for the three and nine months ended 30 June 2025. The gain was not recorded in the results of the Asia segment.

Sale of Other Assets

In June 2025, we sold a regional office in Hersham, England, for cash proceeds of $37.7. We recognized a gain on sale of $31.3 ($23.8 after tax) that was presented within “Other income (expense), net” on our consolidated income statements for the three and nine months ended 30 June 2025. The gain was not recorded in the results of the Europe segment.