In order to enhance its product and service offering,
), the supplier of industrial, medical and specialty gases as
well as hardgoods, has acquired Welding & Therapy Service,
Inc. The financial terms of the transaction were not disclosed.
Welding & Therapy Service distributes industrial and medical
gases as well as welding supplies through five locations in
Indiana and Kentucky. Its annual revenues exceed $10 million and
the company has been serving customers for more than 40 years.
As per the buyout, the locations of Welding & Therapy Service
including Louisville, Bedford, Clarksville, Columbus, Princeton
and 51 associates will fall under Airgas' Mid America region. The
acquisition became effective on Mar 3, 2014. Notably, the deal
will help to better the service and product offering of both the
The acquisition is in line with Airgas' commitment to bolster
growth through the integration of additional businesses. The deal
was Airgas' 11th acquisition in the fiscal year ended Mar 31,
2014 with annual revenues of nearly $82 million.
Airgas reported adjusted earnings of $1.18 a share in
third-quarter fiscal 2014 (ended Dec 31, 2013), up 13% year over
year. The results were in line with the Zacks Consensus Estimate.
Revenues in the reported quarter rose 3% year over year to $1.24
billion. Acquisitions contributed year-over-year sales growth of
2% in the quarter.
Airgas expects earnings per share in the range of $1.18 to $1.23
for the fourth quarter of fiscal 2014, which will mark an
increase of 4%-9% from the prior-year figure. For fiscal 2014,
the company expects earnings per share in the range of $4.69 to
$4.74, reflecting an 8%-9% year-over-year rise. However, taking
the challenging economic conditions into consideration, Airgas
stated that it will take longer than expected to reach its annual
sales target of $6.5 billion.
Radnor, Pennsylvania-based Airgas, through its subsidiaries,
distributes industrial, medical and specialty gases as a well as
hardgoods in the U.S. The company also markets its products and
services through the Internet as well as catalog and telesales
Airgas currently carries a Zacks Rank #4 (Sell). However, some
better-ranked stocks in the chemical-diversified sector include
Northern Technologies International Corp.
Akzo Nobel NV
Compass Minerals International Inc.
). While Northern Technologies sports a Zacks Rank #1 (Strong
Buy), Akzo Nobel and Compass Minerals have a Zacks Rank #2
AKZO NOBEL NV (AKZOY): Get Free Report
AIRGAS INC (ARG): Free Stock Analysis Report
COMPASS MINERLS (CMP): Free Stock Analysis
NORTHERN TECH (NTIC): Free Stock Analysis
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