Air Liquide Sa · EURONEXT:AI
Air Liquide Sa — L'Air Liquide Ord — FY 2024 Earnings Presentation
41 slides from Air Liquide Sa's earnings presentation, Feb 21, 2025
Slide 1: FY 2024 Results
FY 2024 Results François Jackow, Chief Executive Officer Jérôme Pelletan, Chief Financial Officer Emilie Mouren-Renouard, Group Vice President Adam Peters, CEO North America Paris, February 21, 2025 1 FY 2024 Results - February 21, 2025
Slide 2: Record Year, Margin Improvement, Future Growth
Record Year Margin: Improvement Step-up Future Growth: Major Commercial Successes François Jackow - Chief Executive Officer 2 THIS DOCUMENT IS PUBLIC FY 2024 Results - February 21, 2025
Slide 3: Strong 2024 Performance
Strong 2024 Performance Resilience Strong Performance Future Growth Comparable Group OIR Recurring CO2 Investment Sales Growth Margin(2) ROCE(3) Emissions Backlog + 3% (1) + 110 10.7% -11% € 4.2bn bps vs 2020(4) (1) Including +1.9% contribution from Argentina (2) Improvement of the operating Income
Slide 4: Acceleration of OIR Margin Improvement
Acceleration of OIR Margin Improvement A new level reached >+100 bps/y bps +70 to +80 bps/y +110 bps in 2024 +10 to +20 bps/y * * Yearly OIR margin improvements at the energy price of the previous year (*) In 2016, the year of the Airgas acquisition, OIR margin decreased by -170bps excluding the ene
Slide 5: Launch of Structural Transformations Boosting Performance
Launch of Structural Transformations Boosting Performance Streamlining the Leveraging Business Organization Service Centers Leveraging Data Industrial Initiatives Commercial Initiatives 5 THIS DOCUMENT IS PUBLIC FY 2024 Results - February 21, 2025
Slide 6: Delivering Strong Extra-Financial Results
Delivering Strong Extra-Financial Results Employees under -32% LTA (1) in 2024 Safety a common basis 100% vs 2023 42% of care coverage(3) 2022 2024 Women among CO2 -11% Managers & 31.5% 33% emissions Professionals vs. 2020(2) 2022 2024 (1) Lost-Time Accidents frequency rate of Air Liquide employees
Slide 7: Accelerated Investment Decisions to Prepare for the Future
Accelerated Investment Decisions to Prepare for the Future €bn >€4bn >€3bn >€2bn * Total industrial and financial investment decisions over 10 years See definitions in appendix (*) Excluding Airgas acquisition 7 THIS DOCUMENT IS PUBLIC FY 2024 Results - February 21, 2025
Slide 8: 2024 Major Project Wins Driven by Leading Technology
2024 Major Project Wins Driven by Leading Technology 12-months investment opportunities split Americas EMEA Asia Leading the Energy Transition in Europe #1 in Electronics Leveraging leading positions across the USA Energy Transition ASU Electronics incl. Advanced materials production centers 8 THIS
Slide 9: Undisputed Leadership in Low-C H2 Production in Europe
Air Liquide’s Undisputed Leadership in Low-C H2 Production in Europe ELYgator* Zeeland* 7 low-carbon Hydrogen Trailblazer units including 4 Normand’Hy in operations or under construction Porthos in Europe Grandpuits Low-C hydrogen La Mède* Renewable hydrogen (*) Recent agreement with customer, const
Slide 10: Delivering Value to Shareholders Over the Long Term
Delivering Value to Shareholders Over the Long Term Dividend per share(1) in € New dividend proposed in 2025(2) CAGR over 20 years +7.8% €3.30 ▪ +13.7% vs. 2024(3) Total Shareholder Return(4) annual average +12% over 20 years Free share attribution (1) Dividend per share paid in the year and related
Slide 11: Objectives Well On Track
Objectives Well On Track Objectives 2024 & investment decisions Achievement ■ Comparable sales growth +5-6% CAGR(1) +6.5%(2) 2021-2024 CAGR ✔ ■ ROCE >10% by 2023 and 10.7% forward(3) ■ CO2 emissions inflection -11%(4) around 2025 vs 2020 Investment decisions ■ €16bn(5) €12.7bn ✔ Sum 2022-2024 achieve
Slide 12: 2nd Step-up and One-Year Extension of Margin Improvement Ambition
2nd Step-up and One-Year Extension of Margin Improvement Ambition Feb . 20 25 460 + bps 24 . 20 +320 bps Feb x2 2 . 202 Mar +160 bps 2022 CMD(1) 2022 2025 2026 over 4 years over 5 years (1) Capital Markets Day 12 THIS DOCUMENT IS PUBLIC FY 2024 Results - February 21, 2025
Slide 13: Strong FY 2024 Performance, Backlog Sustained at a High Level
Strong FY 2024 Performance Backlog Sustained at a High Level Jérôme Pelletan - Chief Financial Officer 13 THIS DOCUMENT IS PUBLIC FY 2024 Results - February 21, 2025
Slide 14: Resilient Comparable Sales Growth in a Subdued Environment
Resilient Comparable Sales Growth in a Subdued Environment FY 24/23 FY 24/23 Q4 24/23 Sales in €m FY 23 FY 24 As published Comparable Comparable (1) Gas & Services 26,360 25,810 -2.1% +2.7% +1.9% Engineering & 390 412 +5.7% +5.8% +4.7% Construction Global Markets & 858 836 -2.6% -2.5% -1.5% Technolo
Slide 15: Growth in all Activities
Growth in all Activities FY 2024 Gas & Services comparable sales growth by Activities +9% Asia-Pacific EMEA(1) +2% Americas +3% -1% +7% +2% +1% G&S Comparable sales growth +3 % (1) Split between Europe and Middle-East Africa India available in appendix 15 THIS DOCUMENT IS PUBLIC FY 2024 Results - Feb
Slide 16: Q4 - All Activities up in Americas, Soft Industrial Demand in EMEA
Q4 - All Activities up in Americas, Soft Industrial Demand in EMEA, Sustained Growth in Asia Americas: €2,584m EMEA: €2,616m Asia: €1,369m FY 23: +5.1% FY 24: +7.3% FY 23: +4.4% FY 24: -1.1% FY 23: +1.8% FY 24: +1.6% +10% +8% +5% +3% +3% +2% (1) (1) (1) ▪ 1 major ASU start-up in Q1 ▪ Slightly better
Slide 17: Q4 – Resilience in a Subdued Environment
Q4 – Resilience in a Subdued Environment Industrial Merchant Large Industries Pricing driving growth Start-ups contribution offsetting turnarounds Sales Sales FY 23: +8.5% FY 24: +1.6% FY 23: -1.8% FYFY24: 24: +1.2% Q4 2024 Q4 2024 €2,962m €1,845m ● Sustained +3.6% pricing ● 2 Start-ups in Q1, in Ch
Slide 18: Q4 – Electronics and Healthcare Driving Growth
Q4 – Electronics and Healthcare Driving Growth Electronics Healthcare Growth in all regions Balanced growth between HHC(2) and Medical gases Sales FY 24: Sales FY 23: +2.4% FY 24: +3.3% FY 23: +8.4% FY 24: +8.6% Q4 2024 Q4 2024 €663m €1,100m ● >+10% growth in Carrier Gases from SU/RU(1) ● High HHC(2
Slide 19: +110bps of OIR Margin Improvement
+110bps of OIR Margin Improvement FY 24/23 FY 24/23 In €m FY 23 FY 24 As published Comparable (1) Revenue 27,608 27,058 -2.0% +2.6% Purchases (11,147) (10,008) -10.2% Personnel Expenses (5,100) (5,166) +1.3% Other net income and expenses (3,811) (3,988) +4.6% Operating profit before depreciation 7,55
Slide 20: Focused on Execution, Record High Efficiencies
Focused on Execution, Record High Efficiencies IM Pricing Efficiencies Portfolio Management +4.0% €497m 20 acquisitions +8.4% €400m 16 in all regions +14.7% ■ ■ 3 in Europe and in Americas +3.6% ■ 1 in Europe 2021 2022 2023 2024 Cumulative IM pricing effect 17 divestitures base 100 Year 2020 ■ Aerospac
Slide 21: Strong Growth Leverage on Net Profit
Strong Growth Leverage on Net Profit FY 24/23 In €m FY 23 FY 24 FY 24/23 FY 24/23 Excl. FX (1) As published Excl. FX & Argentina Revenue 27,608 27,058 -2.0% -1.7% +0.4% Operating income recurring 5,068 5,391 +6.4% +6.8% +10.7% Other non-recurring operating income & expenses (496) (446) Operating inco
Slide 22: Stable Net Debt, Strong Cash Flow Financing Dividends and Capex
Stable Net Debt, Strong Cash Flow Financing Dividends and Capex <10,261> <9,221> +6,539 <355> <9,159> <2,004> <284> <172> <3,445> Gearing 33.2% <217> Net Debt Net Debt Cash Flow WCR + Other Net Industrial Net Financial Dividends(2) Lease liabilities Currency & Net Debt 31 Dec. 2022 31 Dec. 2023 Inve
Slide 23: ROCE Improving While Increasing Investments
ROCE Improving While Increasing Investments Recurring ROCE(1) after tax 10.7% 11.0% 10.0% objective ROCE >10% 9.0% 8.0% 7.0% Airgas acquisition (1) Recurring ROCE based on Recurring Net Profit 23 THIS DOCUMENT IS PUBLIC FY 2024 Results - February 21, 2025
Slide 24: Record Level of Investment Opportunities and Decisions
Record Level of Investment Opportunities and Decisions 2024 Investment KPIs(1) 12-months investment Investment Investment €253m Opportunities Decisions Backlog(4) FY 2024 € 4.1 € 4.4 € 4.2 €310m to €340m bn bn bn FY 2025 Outlook Record high level: Record high level: Strong and diversified: ▪ Well bal
Slide 25: Outlook
Outlook 2025 Outlook OIR margin improvement ● 2nd step-up in ambition ● Extended to 2026 Air Liquide is confident in its ability to further increase its operating margin and to deliver recurring net profit growth, +460 at constant exchange rates.(1) bps over 5 years 2022-2026 (1) Operating margin excl
Slide 26: 2024 Key Takeaways
2024 Key Takeaways Record Year Enhanced Ambition Margin Structural 2nd Step up and Improvement transformation Extension to 2026 460 ■ Pricing + ■ Efficiencies bps ■ Portfolio Management over 5 years 2022-2026 Major Technology Boosting Project Wins Future Growth 26 THIS DOCUMENT IS PUBLIC FY 2024 Resul
Slide 27: Appendix
Appendix 27 THIS DOCUMENT IS PUBLIC FY 2024 Results - February 21, 2025
Slide 28: Energy Transition Projects with Public Support
Energy Transition Projects with Public Support European Projects Awarded Subsidies Projects in the USA 12-months Investment Investment Backlog Portfolio ▪ Normand’Hy ▪ Several projects ▪ Porthos Incl. ExxonMobil for ~$850m(2) (1) ▪ ELYgator ~€1bn ~€1bn gross capex gross capex Electrolyser Carbon Cap
Slide 29: FY 2024 - Beneficial Mix of Geographies and Activities
FY 2024 - Beneficial Mix of Geographies and Activities 2024 Gas & Services Revenue €25,810m 3% Global Markets & Technologies Engineering & Construction 2% 9% Electronics EMEA Industrial Merchant 44% Americas €10.2bn Asia-Pacific €5.3bn €10.3bn 16% Healthcare €27,058m 2024 Group Revenue 5% 2% 26% Large
Slide 30: Q4 Sales and FY 2024 OIR by Geographies
Q4 Sales and FY 2024 OIR by Geographies Americas EMEA Asia 5% 2% 11% IM 29% 35% 30% 28% LI 69% Q4 sales 15% split €2,584m €2,616m €1,369m HC EL 4% 33% 39% +5.3% -2.2% +4.0% incl. +3.4% from Argentina(1) Q4 24/23 +1% +1% Comparable +6% Sales Growth FY 2024 Growth as Comparable FY 2024 Growth as Compa
Slide 31: Continued Active Management of IM Pricing
Continued Active Management of IM Pricing Solid IM pricing Q4 2024 FY 2024 Continued accretive margin contribution Total Industrial + 4.0 % Merchant Value-added offers & service quality focus to customers ina as ent Airg Arg Americas 57% 36% + 6.9 %(1) Q4 2024 in Europe EMEA + 0.1 % Pricing from Ene
Slide 32: Q4 2024 Sales - Split Europe / AMEI
Q4 2024 Sales - Split Europe / AMEI Europe Europe FY 23: +4.2% FY 24: -1.4% 2% 32% 31% Q4 24 sales split €2,365m AMEI 35% FY 23: +7.0% FY 24: +1.7% -1.6% Q4 24/23 (1) Comparable Sales Growth G&S comparable sales growth (1) Divestitures in Africa and major 10-year maintenance in KSA 32 THIS DOCUMENT
Slide 33: Consolidated P&L
Consolidated P&L In €m 2023 2024 Revenue 27,608 27,058 Operating costs (20,058) (19,162) Operating profit before depreciation 7,550 7,896 Depreciation and amortization (2,482) (2,505) Operating income recurring 5,068 5,391 Other non-recurring operating income & expenses (496) (446) Operating income 4
Slide 34: Consolidated Balance Sheet Simplified
Consolidated Balance Sheet Simplified In €m ASSETS 31/12/2023 31/12/2024 EQUITY AND LIABILITIES 31/12/2023 31/12/2024 Goodwill 14,194 14,977 Shareholders' equity 24,321 26,860 Fixed assets 25,283 27,230 Minority interests 722 761 Other non-current assets 1,137 1,313 Total equity 25,043 27,621 Total n
Slide 35: Cash Flow Statement
Cash Flow Statement in €m FY 23 FY 24 Funds provided by operations 6,357 6,539 Changes in Working Capital (154) (155) Other cash items 60 (62) Net cash from operating activities 6,263 6,322 Purchases of PPE* and intangible assets (3,393) (3,525) Purchases of financial assets (103) (269) Proceeds from
Slide 36: Impact of Currency and Energy on G&S Revenue
Impact of Currency and Energy on G&S Revenue in €m Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 €/ARS (40) (62) (97) (182) (153) (161) (142) +21 €/RMB (18) (51) (83) (42) (36) (12) +0 +7 €/USD +102 (50) (177) (121) (27) +26 (22) +19 €/JP¥ (20) (17) (26) (21) (27) (23) (8) (5) €/TRY (5) (13) (9) (
Slide 37: Financing Structure as of December 31, 2024
Financing Structure as of December 31, 2024 Fixed / Variable rates Sources Maturity (gross debt) Commercial €m paper Fixed 3% rate 12,000 Bank debt 88% 20% > 5 years 8,000 Others(1) Between 1 and 1% 5 years 4,000 < 1 year Bonds(2) 0 Variable 76% Market debt rate 80% 12% (1) Others: put options grant
Slide 38: Definitions
Definitions Investment opportunities at end of the period ▪ Value of investment opportunities under consideration by the Group for decision within 12 months. Gross amounts, excluding subsidies. ▪ Industrial projects with investment value > €5m for Large Industries and > €3m for other business lines.
Slide 39: Regular and Sustained performance
Regular and Sustained performance CAGR over 30 years(1) Revenue (in €m) EPS (2) (in €) +5.9% +7.2% Cash Flow (in €m) Dividend Per Share(2) (in €) +7.1% +8.8% (1) Calculated according to prevailing accounting rules over 30 years (2) Based on current year results and proposed for payment the following
Slide 40: For further information, please contact
For further information, please contact: Upcoming events 2025 First Quarter Revenue: April 24, 2025 Annual General Meeting: May 6, 2025 Investor Relations www.airliquide.com IRTeam@airliquide.com Follow us Linkedin Corporate Headquarters: 75, Quai d’Orsay 75321 Paris Cedex 07 Tel : +33 (0)1 40 62 55
Slide 41: Disclaimer
Disclaimer This presentation may contain forward-looking statements (including objectives and trends) about Air Liquide’s financial situation, operating results, business activities and strategy. Although Air Liquide believes that the expectation reflected in such forward-looking statements are reason