Air Liquide continues its trajectory with another solid quarter

Air Liquide continues its trajectory with another solid quarter

Group sales increased by +2.1% on a comparable basis

  • By ICN Bureau | April 25, 2024

Air Liquide Group revenue totaled 6,650 million euros in the 1st quarter of 2024, posting a growth of +2.1% on a comparable basis with the 1st quarter of 2023.

The Group’s published sales were down -7.3% in the 1st quarter of 2024, affected by unfavorable energy (-5.5%) and currency (-3.9%) impacts. There was no significant scope impact. The favorable impact on comparable growth of proactive price increases to counter hyperinflation in Argentina is estimated at approximately +1.7%.

Commenting on sales in the first quarter of 2024, François Jackow, Chief Executive Officer of the Air Liquide Group, stated: “With a proven resilient business model, Air Liquide delivers once again a solid performance in the first quarter. The Group thus maintains its growth trajectory despite an uncertain environment, and continues to prepare a sustainable future thanks to an investment momentum supported by numerous projects in the energy transition. Air Liquide’s teams are moreover fully mobilized on continuous performance improvement and structural efficiency projects undertaken as part of our ADVANCE strategic plan, of which the original margin increase ambition we doubled at the beginning of the year.”

Group sales increased by +2.1% on a comparable basis - the first quarter of last year having been particularly dynamic. Published sales were down -7.3%, due to the decline in energy prices - for which variations are contractually passed through to Large Industries customers - as well as negative currency impacts. Revenue reached 6.65 billion euros, including 6.36 billion euros for the Gas & Services business.

The Gas & Services business, which represents 96% of the Group’s revenue, was up +2.0% on a comparable basis. Geographically, growth was notably driven by the dynamism of the Americas. By business line, Healthcare in particular stood out, with Industrial Merchant and Large Industries also contributing to the increase in sales on a comparable basis.

In line with the ADVANCE renewed ambition announced in February this year, Air Liquide is pursuing the continuous improvement of its operational performance by implementing new structural actions to deliver savings in the coming quarters. Over the first three months of the year, the Group notably generated efficiencies amounting to 112 million euros, ahead of its average annual target of 400 million euros. It also continued the active management of its business portfolio and the adjustment of its prices in Industrial Merchant, leveraging its ability to create value for customers.

Still very high at 4.1 billion euros, the Group’s backlog is diversified and well balanced among activities and geographies. Investment decisions amounted to close to 900 million euros, up +11% compared to last year. The 12-month portfolio of investment opportunities remains high at 3.4 billion euros. More than 40% of these opportunities are related to the energy transition with, in particular, the first decarbonization projects in the United States and Europe. This portfolio includes projects in Electronics in Asia, as well as in the United States and Europe.

In 2024, Air Liquide is confident in its ability to further increase its operating margin and to deliver recurring net profit growth, at constant exchange rates.”

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