Adjusted Financial Ratios (Summary)
Adjusted Total Asset Turnover
Adjusted Current Ratio
Adjusted Debt to Equity
Adjusted Debt to Capital
Adjusted Financial Leverage
Adjusted Net Profit Margin
Adjusted Return on Equity (ROE)
Adjusted Return on Assets (ROA)

Air Products & Chemicals Inc., adjusted financial ratios

	Sep 30, 2020	Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015
Activity Ratio
Total Asset Turnover
Reported	0.35	0.47	0.47	0.44	0.53	0.57
Adjusted	0.35	0.47	0.46	0.44	0.52	0.56
Liquidity Ratio
Current Ratio
Reported	3.59	2.54	2.17	2.36	1.31	0.80
Adjusted	3.60	2.56	2.18	2.39	1.35	0.80
Solvency Ratios
Debt to Equity
Reported	0.65	0.30	0.35	0.39	0.88	0.81
Adjusted	0.62	0.30	0.34	0.38	0.81	0.75
Debt to Capital
Reported	0.40	0.23	0.26	0.28	0.47	0.45
Adjusted	0.38	0.23	0.25	0.28	0.45	0.43
Financial Leverage
Reported	2.08	1.71	1.77	1.83	2.55	2.41
Adjusted	1.88	1.58	1.63	1.70	2.30	2.14
Profitability Ratios
Net Profit Margin
Reported	21.30%	19.73%	16.77%	36.65%	6.63%	12.91%
Adjusted	26.29%	13.86%	15.97%	20.95%	13.70%	4.46%
Return on Equity (ROE)
Reported	15.62%	15.92%	13.80%	29.75%	8.91%	17.63%
Adjusted	17.48%	10.19%	12.02%	15.74%	16.51%	5.33%
Return on Assets (ROA)
Reported	7.50%	9.29%	7.81%	16.25%	3.50%	7.33%
Adjusted	9.28%	6.46%	7.39%	9.26%	7.19%	2.49%

Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).

Financial ratio	Description	The company
Adjusted total asset turnover	An activity ratio calculated as total revenue divided by adjusted total assets.	Air Products & Chemicals Inc. adjusted total asset turnover ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.
Adjusted current ratio	A liquidity ratio calculated as adjusted current assets divided by adjusted current liabilities.	Air Products & Chemicals Inc. adjusted current ratio improved from 2018 to 2019 and from 2019 to 2020.
Adjusted debt-to-equity ratio	A solvency ratio calculated as adjusted total debt divided by adjusted total equity.	Air Products & Chemicals Inc. adjusted debt-to-equity ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.
Adjusted debt-to-capital ratio	A solvency ratio calculated as adjusted total debt divided by adjusted total debt plus adjusted total equity.	Air Products & Chemicals Inc. adjusted debt-to-capital ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.
Adjusted financial leverage	A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity. Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.	Air Products & Chemicals Inc. adjusted financial leverage ratio decreased from 2018 to 2019 but then increased from 2019 to 2020 exceeding 2018 level.
Adjusted net profit margin	An indicator of profitability, calculated as adjusted net income divided by total revenue.	Air Products & Chemicals Inc. adjusted net profit margin ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 exceeding 2018 level.
Adjusted ROE	A profitability ratio calculated as adjusted net income divided by adjusted total equity.	Air Products & Chemicals Inc. adjusted ROE deteriorated from 2018 to 2019 but then improved from 2019 to 2020 exceeding 2018 level.
Adjusted ROA	A profitability ratio calculated as adjusted net income divided by adjusted total assets.	Air Products & Chemicals Inc. adjusted ROA deteriorated from 2018 to 2019 but then improved from 2019 to 2020 exceeding 2018 level.

Air Products & Chemicals Inc., Financial Ratios: Reported vs. Adjusted

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	Sep 30, 2020	Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015
Reported
Selected Financial Data (US$ in thousands)
Sales	8,856,300)	8,918,900)	8,930,200)	8,187,600)	9,524,400)	9,894,900)
Total assets	25,168,500)	18,942,800)	19,178,300)	18,467,200)	18,055,300)	17,438,100)
Activity Ratio
Total asset turnover¹	0.35	0.47	0.47	0.44	0.53	0.57
Adjusted
Selected Financial Data (US$ in thousands)
Sales	8,856,300)	8,918,900)	8,930,200)	8,187,600)	9,524,400)	9,894,900)
Adjusted total assets²	25,077,300)	19,140,439)	19,292,616)	18,534,595)	18,158,876)	17,713,361)
Activity Ratio
Adjusted total asset turnover³	0.35	0.47	0.46	0.44	0.52	0.56

Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).

¹ 2020 Calculation
Total asset turnover = Sales ÷ Total assets
= 8,856,300 ÷ 25,168,500 = 0.35

² Adjusted total assets. See details »

³ 2020 Calculation
Adjusted total asset turnover = Sales ÷ Adjusted total assets
= 8,856,300 ÷ 25,077,300 = 0.35

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Activity ratio	Description	The company
Adjusted total asset turnover	An activity ratio calculated as total revenue divided by adjusted total assets.	Air Products & Chemicals Inc. adjusted total asset turnover ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.

	Sep 30, 2020	Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015
Reported
Selected Financial Data (US$ in thousands)
Current assets	8,684,900)	4,618,300)	5,082,200)	5,876,700)	4,317,300)	2,910,800)
Current liabilities	2,416,700)	1,820,900)	2,338,300)	2,489,000)	3,283,300)	3,648,100)
Liquidity Ratio
Current ratio¹	3.59	2.54	2.17	2.36	1.31	0.80
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted current assets²	8,708,800)	4,667,100)	5,106,200)	5,945,800)	4,419,100)	2,920,700)
Adjusted current liabilities³	2,416,700)	1,820,900)	2,338,300)	2,489,000)	3,283,300)	3,644,500)
Liquidity Ratio
Adjusted current ratio⁴	3.60	2.56	2.18	2.39	1.35	0.80

Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).

¹ 2020 Calculation
Current ratio = Current assets ÷ Current liabilities
= 8,684,900 ÷ 2,416,700 = 3.59

² Adjusted current assets. See details »

³ Adjusted current liabilities. See details »

⁴ 2020 Calculation
Adjusted current ratio = Adjusted current assets ÷ Adjusted current liabilities
= 8,708,800 ÷ 2,416,700 = 3.60

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Liquidity ratio	Description	The company
Adjusted current ratio	A liquidity ratio calculated as adjusted current assets divided by adjusted current liabilities.	Air Products & Chemicals Inc. adjusted current ratio improved from 2018 to 2019 and from 2019 to 2020.

	Sep 30, 2020	Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015
Reported
Selected Financial Data (US$ in thousands)
Total debt	7,907,800)	3,326,000)	3,812,600)	3,962,800)	6,225,200)	5,879,000)
Total Air Products shareholders’ equity	12,079,800)	11,053,600)	10,857,500)	10,086,200)	7,079,600)	7,249,000)
Solvency Ratio
Debt to equity¹	0.65	0.30	0.35	0.39	0.88	0.81
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted total debt²	8,314,300)	3,590,039)	4,024,316)	4,135,595)	6,419,676)	6,213,361)
Adjusted total equity³	13,319,200)	12,133,500)	11,863,900)	10,900,000)	7,905,900)	8,270,600)
Solvency Ratio
Adjusted debt to equity⁴	0.62	0.30	0.34	0.38	0.81	0.75

Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).

¹ 2020 Calculation
Debt to equity = Total debt ÷ Total Air Products shareholders’ equity
= 7,907,800 ÷ 12,079,800 = 0.65

² Adjusted total debt. See details »

³ Adjusted total equity. See details »

⁴ 2020 Calculation
Adjusted debt to equity = Adjusted total debt ÷ Adjusted total equity
= 8,314,300 ÷ 13,319,200 = 0.62

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Solvency ratio	Description	The company
Adjusted debt-to-equity ratio	A solvency ratio calculated as adjusted total debt divided by adjusted total equity.	Air Products & Chemicals Inc. adjusted debt-to-equity ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.

	Sep 30, 2020	Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015
Reported
Selected Financial Data (US$ in thousands)
Total debt	7,907,800)	3,326,000)	3,812,600)	3,962,800)	6,225,200)	5,879,000)
Total capital	19,987,600)	14,379,600)	14,670,100)	14,049,000)	13,304,800)	13,128,000)
Solvency Ratio
Debt to capital¹	0.40	0.23	0.26	0.28	0.47	0.45
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted total debt²	8,314,300)	3,590,039)	4,024,316)	4,135,595)	6,419,676)	6,213,361)
Adjusted total capital³	21,633,500)	15,723,539)	15,888,216)	15,035,595)	14,325,576)	14,483,961)
Solvency Ratio
Adjusted debt to capital⁴	0.38	0.23	0.25	0.28	0.45	0.43

Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).

¹ 2020 Calculation
Debt to capital = Total debt ÷ Total capital
= 7,907,800 ÷ 19,987,600 = 0.40

² Adjusted total debt. See details »

³ Adjusted total capital. See details »

⁴ 2020 Calculation
Adjusted debt to capital = Adjusted total debt ÷ Adjusted total capital
= 8,314,300 ÷ 21,633,500 = 0.38

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Solvency ratio	Description	The company
Adjusted debt-to-capital ratio	A solvency ratio calculated as adjusted total debt divided by adjusted total debt plus adjusted total equity.	Air Products & Chemicals Inc. adjusted debt-to-capital ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.

	Sep 30, 2020	Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015
Reported
Selected Financial Data (US$ in thousands)
Total assets	25,168,500)	18,942,800)	19,178,300)	18,467,200)	18,055,300)	17,438,100)
Total Air Products shareholders’ equity	12,079,800)	11,053,600)	10,857,500)	10,086,200)	7,079,600)	7,249,000)
Solvency Ratio
Financial leverage¹	2.08	1.71	1.77	1.83	2.55	2.41
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted total assets²	25,077,300)	19,140,439)	19,292,616)	18,534,595)	18,158,876)	17,713,361)
Adjusted total equity³	13,319,200)	12,133,500)	11,863,900)	10,900,000)	7,905,900)	8,270,600)
Solvency Ratio
Adjusted financial leverage⁴	1.88	1.58	1.63	1.70	2.30	2.14

Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).

¹ 2020 Calculation
Financial leverage = Total assets ÷ Total Air Products shareholders’ equity
= 25,168,500 ÷ 12,079,800 = 2.08

² Adjusted total assets. See details »

³ Adjusted total equity. See details »

⁴ 2020 Calculation
Adjusted financial leverage = Adjusted total assets ÷ Adjusted total equity
= 25,077,300 ÷ 13,319,200 = 1.88

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Solvency ratio	Description	The company
Adjusted financial leverage	A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity. Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.	Air Products & Chemicals Inc. adjusted financial leverage ratio decreased from 2018 to 2019 but then increased from 2019 to 2020 exceeding 2018 level.

	Sep 30, 2020	Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015
Reported
Selected Financial Data (US$ in thousands)
Net income attributable to Air Products	1,886,700)	1,760,000)	1,497,800)	3,000,400)	631,100)	1,277,900)
Sales	8,856,300)	8,918,900)	8,930,200)	8,187,600)	9,524,400)	9,894,900)
Profitability Ratio
Net profit margin¹	21.30%	19.73%	16.77%	36.65%	6.63%	12.91%
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted net income²	2,327,900)	1,236,100)	1,426,100)	1,715,400)	1,305,100)	440,900)
Sales	8,856,300)	8,918,900)	8,930,200)	8,187,600)	9,524,400)	9,894,900)
Profitability Ratio
Adjusted net profit margin³	26.29%	13.86%	15.97%	20.95%	13.70%	4.46%

Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).

¹ 2020 Calculation
Net profit margin = 100 × Net income attributable to Air Products ÷ Sales
= 100 × 1,886,700 ÷ 8,856,300 = 21.30%

² Adjusted net income. See details »

³ 2020 Calculation
Adjusted net profit margin = 100 × Adjusted net income ÷ Sales
= 100 × 2,327,900 ÷ 8,856,300 = 26.29%

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Profitability ratio	Description	The company
Adjusted net profit margin	An indicator of profitability, calculated as adjusted net income divided by total revenue.	Air Products & Chemicals Inc. adjusted net profit margin ratio deteriorated from 2018 to 2019 but then improved from 2019 to 2020 exceeding 2018 level.

	Sep 30, 2020	Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015
Reported
Selected Financial Data (US$ in thousands)
Net income attributable to Air Products	1,886,700)	1,760,000)	1,497,800)	3,000,400)	631,100)	1,277,900)
Total Air Products shareholders’ equity	12,079,800)	11,053,600)	10,857,500)	10,086,200)	7,079,600)	7,249,000)
Profitability Ratio
ROE¹	15.62%	15.92%	13.80%	29.75%	8.91%	17.63%
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted net income²	2,327,900)	1,236,100)	1,426,100)	1,715,400)	1,305,100)	440,900)
Adjusted total equity³	13,319,200)	12,133,500)	11,863,900)	10,900,000)	7,905,900)	8,270,600)
Profitability Ratio
Adjusted ROE⁴	17.48%	10.19%	12.02%	15.74%	16.51%	5.33%

Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).

¹ 2020 Calculation
ROE = 100 × Net income attributable to Air Products ÷ Total Air Products shareholders’ equity
= 100 × 1,886,700 ÷ 12,079,800 = 15.62%

² Adjusted net income. See details »

³ Adjusted total equity. See details »

⁴ 2020 Calculation
Adjusted ROE = 100 × Adjusted net income ÷ Adjusted total equity
= 100 × 2,327,900 ÷ 13,319,200 = 17.48%

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Profitability ratio	Description	The company
Adjusted ROE	A profitability ratio calculated as adjusted net income divided by adjusted total equity.	Air Products & Chemicals Inc. adjusted ROE deteriorated from 2018 to 2019 but then improved from 2019 to 2020 exceeding 2018 level.

	Sep 30, 2020	Sep 30, 2019	Sep 30, 2018	Sep 30, 2017	Sep 30, 2016	Sep 30, 2015
Reported
Selected Financial Data (US$ in thousands)
Net income attributable to Air Products	1,886,700)	1,760,000)	1,497,800)	3,000,400)	631,100)	1,277,900)
Total assets	25,168,500)	18,942,800)	19,178,300)	18,467,200)	18,055,300)	17,438,100)
Profitability Ratio
ROA¹	7.50%	9.29%	7.81%	16.25%	3.50%	7.33%
Adjusted
Selected Financial Data (US$ in thousands)
Adjusted net income²	2,327,900)	1,236,100)	1,426,100)	1,715,400)	1,305,100)	440,900)
Adjusted total assets³	25,077,300)	19,140,439)	19,292,616)	18,534,595)	18,158,876)	17,713,361)
Profitability Ratio
Adjusted ROA⁴	9.28%	6.46%	7.39%	9.26%	7.19%	2.49%

Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).

¹ 2020 Calculation
ROA = 100 × Net income attributable to Air Products ÷ Total assets
= 100 × 1,886,700 ÷ 25,168,500 = 7.50%

² Adjusted net income. See details »

³ Adjusted total assets. See details »

⁴ 2020 Calculation
Adjusted ROA = 100 × Adjusted net income ÷ Adjusted total assets
= 100 × 2,327,900 ÷ 25,077,300 = 9.28%

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Profitability ratio	Description	The company
Adjusted ROA	A profitability ratio calculated as adjusted net income divided by adjusted total assets.	Air Products & Chemicals Inc. adjusted ROA deteriorated from 2018 to 2019 but then improved from 2019 to 2020 exceeding 2018 level.

Air Products & Chemicals Inc. (NYSE:APD)

Adjusted Financial Ratios

Adjusted Financial Ratios (Summary)

Air Products & Chemicals Inc., Financial Ratios: Reported vs. Adjusted

Adjusted Total Asset Turnover

Adjusted Current Ratio

Adjusted Debt to Equity

Adjusted Debt to Capital

Adjusted Financial Leverage

Adjusted Net Profit Margin

Adjusted Return on Equity (ROE)

Adjusted Return on Assets (ROA)