Melissa Schaeffer
Executive Vice President and Chief Financial Officer at Air Products and Chemicals
Thank you, Eric. And good day-to everyone. Please turn to Slide number 4 of the materials we have posted on the website for this call. Safety is our number-one priority without exception. We are proud of the continuous improvement we were able to achieve in this area, but our goal and efforts are always towards zero accidents and zero incidents.
Now, please turn to Slide number five for our first-quarter results. As we announced in January, first-quarter adjusted earnings per share of $2.86 exceeded the upper-end of our guidance range of $2.75 to $2.85, up 1% over last year, driven by results in the Americas. Our earnings per share improved despite the divestment of the LNG Process Technology and equipment business, which closed at the end of fiscal 2024. The LNG business contributed roughly $0.08 to our first-quarter earnings in 2024. Our adjusted EBITDA margin was up 140 basis-points and our adjusted operating margin increased 80 basis-points versus prior year.
Please turn to Slide number six for our fiscal 2025 second-quarter and full-year outlook. We are maintaining our fiscal 2025 full-year guidance. We continue to monitor the strengthening US dollar, tariffs and the global helium market for potential impact to the remainder of the year. Consistent with our focus on driving productivity, we continue to evaluate actions to reduce our costs and improve our services to our customers., we expect our second-quarter adjusted earnings per share to be in the range of $2.75 to $2.85, which is up 1% to 4%, reflective of the LNG divestiture. We are proud of the results this quarter. I'm particularly grateful that our people stayed focused on the work at hand, demonstrating their unwavering commitment to our customers, shareholders and all whom we serve. I would like to thank them for their support and continued efforts to position the company for long-term success.
Now please turn to Slide number seven for a detailed review of our first-quarter results. Compared to last year, overall volume was down 2%, primarily due to the LNG business divestment. Volume in Americas improved this quarter, but was offset by the weakness in Europe. Total company price was up 1%, which equates to a 2% improvement for the merchant business, driven by continued pricing strength in the Americas and Europe. Adjusted EBITDA improved 1%, primarily due to a better price, partially offset by higher costs and lower equity affiliate income. Adjusted EBITDA margin was up 140 basis-points due to favorable business mix and price. Sequentially, volume was down following a strong finish to fiscal 2024 and the sale of the LNG business in September.
Now please turn to Slide number eight for a discussion of our first-quarter adjusted earnings per share. Adjusted earnings per share of $2.86 increased $0.04 despite the $0.08 contribution from LNG in the prior year, which is reflected in our volume variance. Our price net of variable-cost was favorable $0.10, demonstrating continued strength in the Americas and Europe. The pricing improvement more than offset unfavorable other costs of $0.07. Lower prior year incentive compensation and inflation drove increased costs, which were partially offset by our productivity improvements.
Now, please turn to Slide number nine for a brief discussion of our business segment results. You can find individual slides covering each of the business segments in the appendix. Looking at each business segment. Americas, overall pricing was 2% higher with improvement across most product lines. This translates to a 4% merchant pricing gain for the region. The 3% volume improvement was driven by a significant non-recurring sale of helium to an existing merchant customer. These factors drove adjusted EBITDA 6% higher and improved adjusted EBITDA margin by 150 basis-points. For our Asia segment, the 2% volume improvement was driven by contributions from new assets. Adjusted EBITDA increased 7%, primarily due to favorable volumes, costs and equity affiliate income. Adjusted EBITDA margin was up 160 basis-points.
Looking at Europe results, broad-based pricing improved 1%. Volume was down 5%, driven by lower on-site and continued weakness in merchant demand, primarily Helium. Adjusted EBITDA was 3% lower as weaker volume was partially offset by higher price and favorable cost. The Uzbekistan project is undergoing planned facility upgrades during the first-half of fiscal 2025. We expect the facility to return to normal operation and contribute near its full run-rate at the start of the 3rd-quarter.
Moving to our Middle-East and India segment. Lower merchant volume was a headwind for sales and adjusted EBITDA. Adjusted EBITDA was also negatively impacted by unfavorable equity affiliate income and cost. And finally, for our Corporate and Other segment, sales and profits were lower this quarter, primarily due to the sale of the LNG business.
Thank you. And now we will be delighted to answer your questions. And as a reminder, we request that questions be limited to our financial results and our outlook.
