Leveraging performance and growth engines, Air Liquide remains on track in the 1st half of 2025

Paris, France,
  • Press Releases
  • Group

  • Profitable growth and resilience in an uncertain environment, reflecting the strength of the business model

  • Delivering margin improvement

  • Record investment backlog, a source of future growth

Commenting on the 1st half of 2025, François Jackow, Chief Executive Officer of the Air Liquide Group, stated:

“Quarter after quarter, Air Liquide stays the course and continues to achieve a very solid financial performance. We recorded an increase in sales, once again demonstrating the strength of our business model, a source of growth and resilience. Our operating margin continues to improve, perfectly in line with our ambition for a +200 basis point increase over two years. In addition, our investment backlog achieved a new record high. In a market environment that remains uncertain, the Group relies more than ever on diversified growth engines, particularly in the electronics and energy transition sectors.

In detail, in the 1st half of 2025, published Group sales grew by +2.6%. Sales are up by +1.8% on a comparable basis. The Gas & Services business, which accounts for 97% of the Group's revenue, was also up +1.8% on a comparable basis. Our sales increased across all geographies, particularly in the Americas and in Asia, with an increase in revenue of +2.9% and +2.1%, respectively. Regarding our activities, Healthcare continued its strong momentum, with growth of +5%.

Continuing the rollout of its transformation plan, and in line with its margin growth ambition, Air Liquide significantly increased its operating margin in the 1st half of 2025, up +100 basis points, including +130 basis points for the Gas & Services businesses, excluding the energy effect. With a strong contribution, efficiencies reached 287 million euros.

The Group's recurring net profit[1] increased by +10.3%[2] excluding the currency impact in the 1st half of 2025. The growth of our cash flow remained very strong, enabling us to finance the investments needed for our future development. Recurring ROCE[3] continued to improve, reaching 11%, a high level maintained above the ADVANCE objective set at 10%.

Lastly, the investment backlog achieved a new record. Now standing at 4.6 billion euros, it spans all geographies - emphasizing Large Industries and Electronics. Representing 4.1 billion euros, the 12-month portfolio of investment opportunities was stable. More than 40% of these relate to the energy transition, and around a third is linked to semiconductors.

Air Liquide stays the course. The Group confirms its ability to further increase its operating margin and to deliver recurring net profit[4]growth at constant exchange rates in 2025, and to achieve its ambition to improve by +200 basis points its OIR margin(4) over the two years to end-2026”.

Highlights

  • Industry and Decarbonization
  • In the United States, investment up to 200 million US dollars in Louisiana to expand its pipeline network and to modernize one of Air Liquide's plants as part of a contract renewal with Dow.
  • Strengthening of the Group's presence in Japan with a significant investment in a new Air Separation Unit in order to meet the needs of Mitsubishi Materials and, more broadly, the demand driven by the energy transition and semiconductors.
  • Announcement of two large-scale projects in the Netherlands to produce renewable and low-carbon hydrogen in Europe: the ELYgator project, a 200 MW Air Liquide electrolyzer, having received support from the Dutch government and the Group’s final investment decision in July, as well as the creation of a 50/50 joint venture with TotalEnergies to build a 250 MW electrolyzer.
  • Electronics
  • In Germany, more than 250 million euros invested to build new state-of-the-art industrial gas production units for a major customer in the semiconductor industry located in Silicon Saxony. For the Group, this is the largest investment project in electronics in Europe and an active contribution to European sovereignty.
  • In the United States, a 50 million US dollar investment to support the growth of the semiconductor industry. An additional ultra-pure gas production plant will be built on the site of one of the largest manufacturers in the world for advanced chip design.
  • In South Korea, a new molybdenum production plant has been inaugurated and will supply a critical new advanced material for next-generation semiconductors. Through this strategic investment, Air Liquide strengthens its leadership, as the first industrial player able to provide these solutions at large scale to its partners.
  • In Singapore, signature of a long-term supply contract worth approximately 70 million euros with VSMC. Air Liquide will build a new production unit there to supply high purity gases to support the semiconductor industry.
  • Healthcare
  • In Germany, strengthening of the Home Healthcare business through the acquisition of two residential intensive care companies (intensivLeben GmbH and AP-Sachsen GmbH), thereby expanding Air Liquide's presence in the market for assisted living facilities.
  • Sustainable Development
  • Successful completion of a 500 million euro green bond issue to finance or refinance flagship energy transition projects.

Group revenue stood at 13,722 million euros in the first half of 2025, posting a comparable growth of +1.8%[5] compared to the first half of 2024. The Group’s published sales increased by +2.6% in the first half of 2025. They benefited from a favorable energy impact of +2.3% mitigated by a negative currency impact of -1.5%. There was no significant scope impact.

Gas & Services revenue reached 13,310 million euros in the first half, an increase of +1.8%[6] on a comparable basis. The published revenue increased +4.0%[7] in the first half of 2025, benefiting from a positive energy effect of +2.4% mitigated by a negative currency impact of -1.6%. There was no significant scope impact in the first half. All variations below are on a comparable basis (excluding currency, energy and significant scope impacts).

Sales from the Industrial Merchant business increased +1.3%[8] [9] in the first half: they benefited from a still very strong price effect (+2.6%) and stable gas volumes, but were impacted by declining equipment sales (“hardgoods”) in the United States. Revenue from Large Industries increased slightly (+0.9%[9]) supported by the contribution of new production units and by resilient business in a difficult environment. In Electronics (+0.9%), the strong increase in Carrier Gas sales of more than +10% in the first half of 2025, supported by the start-up of seven production units, offset soft Equipment & Installations sales. Lastly, the Healthcare business, whose growth is uncorrelated with industry trends, posted continued solid revenue growth (+5.0%), with a well-balanced contribution from Home Healthcare and Medical Gases.

  • Gas & Services revenue in the Americas totaled 5,290 million euros in the first half of 2025, up by +2.9%[10]. The growth of Large Industries (+6.5%[9]) benefited from the start-up of a large Air Separation Unit in early 2024 and solid growth in the hydrogen business. In Industrial Merchant, revenue increased by +1.3%[9], supported by a very solid price effect of +3.4% and stable gas volumes, but was impacted by declining hardgoods sales. The strong growth in Healthcare sales (+11.7%) was driven in particular by price increases in the Medical Gases business in the United States and the development of Home Healthcare in Latin America. In Electronics (-2.2%), the increase of more than +10% in sales of Carrier Gases and Advanced Materials did not fully offset the sharp year-over-year decline in sales of Equipment & Installations, which posted a record level in 2024.
  • Revenue in the Europe, Middle East & Africa (EMEA) region amounted to 5,427 million euros, stable (+0.5%[11]) compared to the first half of 2024. In Large Industries (-1.9%), revenue was mainly impacted by a decline in sales of cogeneration units in Benelux and air gases in Italy. Sales from the Industrial Merchant business posted a +1.8% increase on a comparable basis, supported by a very solid price effect of +2.8%. In the Healthcare business, sales continued to grow (+2.8%), both in home healthcare and medical gases.
  • Revenue for the Asia Pacific region totaled 2,593 million euros in the first half of 2025, an increase of +2.1%. In Large Industries, recent start-ups of production units in China contributed to a +2.2% increase in sales. Industrial Merchant sales (+0.5%) returned to growth, particularly in China despite the decline in helium sales. Electronics revenue increased (+3.5%), supported by the start-up of seven carrier gas production units in the first half.

The consolidated revenue of the Engineering & Technologies business reached 412 million euros in the first half, up +1.8%[12] on a comparable basis. Order intake for Group projects and third-party customers amounted to 1,307 million euros, a sharp increase of +38% compared to the first half of 2024.

Efficiencies[13] reached a record level of 287 million euros in the 1st half of 2025, a sharp increase of +23.3% compared to 233 million euros at the end of June 2024.

The Group's operating income recurring (OIR) reached 2,737 million euros in the first half of 2025. It increased by +5.2% and +7.2% on a comparable basis (excluding currency impact), which is significantly higher than the comparable sales growth (+1.8%), highlighting a strong leverage effect. The operating margin (OIR to revenue) stood at 19.9% on a reported basis, a sharp increase of +100 basis points excluding the energy impact compared to the first half of 2024. The reported Gas & Services operating margin is significantly up by +130 basis points excluding the energy impact.

Net profit (Group share) stood at 1,801 million euros in the first half of 2025, an increase of +7.2% on a reported basis and +7.9% excluding the currency impact. Recurring net profit[14] (Group share) stood at 1,842 million euros, a reported increase of +9.6% and +10.3%[15] excluding the currency impact.

Net earnings per share reached 3.12 euros per share, a strong increase of +6.8% compared to the first half of 2024, in line with the evolution of the published net profit (Group share).

Cash flow from operating activities before changes in working capital amounted to 3,253 million euros in the first half of 2025, up +3.1% on a reported basis and +4.2% excluding the currency impact. It increased by +6.4% excluding the exceptional tax surcharge in France in the first half of 2025, an exceptional customer indemnity in the first half of 2024, and the currency impact.

Net debt at June 30, 2025, reached 9,794 million euros, a decrease of 362 million euros compared to June 30, 2024, and an increase of 635 million euros compared to December 31, 2024, after the payment of nearly 2.0 billion euros in dividends in May. The net debt-to-equity ratio, adjusted for dividend seasonality, stood at 33.5%, stable compared to the end of 2024.

Return on capital employed after tax (ROCE) was 10.5% in the first half of 2025. Recurring ROCE[14]  reached 11.0%. It increased by +30 basis points compared to the first half of 2024, and remains significantly above the target of over 10% in the Advance strategic plan.

In the first half of 2025, industrial and financial investment decisions reached a record level[16] of 2.3 billion euros, a sharp increase of +39% compared with the first half of 2024.

The investment backlog[17] reached a new record of 4.6 billion euros, up from 4.5 billion euros in the first quarter of 2025. The investments in the backlog are diversified, spread across approximately 80 projects in all geographies. One third of these investments, or 1.6 billion euros, corresponds to projects in the Electronics business. More than 40%, or 2.0 billion euros, are related to the energy transition.

The additional contribution to sales from unit ramp-ups and start-ups reached 157 million euros in the first-half of 2025. For the full year, it is expected to be between 310 and 340 million euros.

The 12-month portfolio of investment opportunities remains at a high level of 4.1 billion euros at the end of June 2025. The total portfolio of opportunities, also including opportunities beyond 12 months, is stable (despite a record level of decisions this half-year) and exceeds 10 billion euros. It includes significant projects in the energy transition and the Electronics sector.

In terms of sustainable development, all Air Liquide activities are committed to the energy transition. In Large Industries, the Group notably announced the investment of one billion euros for two electrolysers in the Netherlands and started-up 6 decarbonized power purchase agreements. The Industrial Merchant will leverage the 1st RFNBO[18] certification to supply renewable hydrogen in Germany and will build a new biogenic CO2 plant in Australia. In parallel, progress has been made in Healthcare with the ECO-ORIGINTM offer, in Electronics where new units will produce carrier gases using decarbonized energy, and in Engineering & Technologies with the sale of the largest CO2 liquefaction unit. Air Liquide has also accelerated the implementation of comprehensive water management plans.

Air Liquide is and remains a growth company. The Group's growth is supported by four strong growth engines strategically activated according to market context and opportunities: optimizing the use of existing assets, investing in core business activities, energy transition and acquisitions. These four growth engines are supported by strong foundations. The Group's solid balance sheet enables the financing of industrial and financial investments. The ongoing structural transformation program contributes to effectively reducing the Group's cost structure to adapt to the current environment of lower volume demand.

The Air Liquide Board of Directors met on July 28, 2025. During this meeting, the Board reviewed the consolidated financial statements ending June 30, 2025. Limited review procedures were completed with respect to the consolidated interim financial statements, and an unqualified review report has been issued by the statutory auditors.

Footnotes

  1. ^ Excluding exceptional and significant transactions that have no impact on the operating income recurring, see reconciliation in the appendices.
  2. ^ Includes a contribution of +2.3% of Argentina in a context of hyperinflation, declining sharply compared to 2024.
  3. ^ Based on the recurring net profit, see reconciliation in the appendices.
  4. ^ Operating margin excluding the energy impact. Recurring net profit excluding exceptional and significant transactions that have no impact on the operating income recurring.
  5. ^ Includes Argentina’s contribution of + 0,4 %, declining sharply compared to 2024.
  6. ^ Includes Argentina’s contribution of +0.4%, declining sharply compared to 2024 and a contribution of +0.2% related to the growth in the 1st half of 2025 of transferred businesses from GM&T to the Industrial Merchant.
  7. ^ Published change calculated on 2024 published sales, not restated for the transfer of certain activities from GM&T in the 1st quarter of 2025. See Appendix.
  8. ^ Includes a contribution of +0.5% related to the growth in H1 2025 of transferred businesses from GM&T to the Industrial Merchant. See appendix.
  9. a, b, c, d Excluding internal transfer of assets. See appendix.
  10. ^ Includes Argentina’s contribution of +0.9%, declining sharply compared to 2024.
  11. ^  Includes a contribution of +0.7% related to the growth in the first half of 2025 of transferred businesses from GM&T to the Industrial Merchant. See appendix.
  12. ^ This growth does not take into account the perimeter impact related to the internal transfer of some activities from GM&T to the Industrial Merchant. See appendix.
  13. ^ See definition in appendix.
  14. a, b See definition and reconciliation in appendix.
  15. ^ Includes a contribution of +2.3% of Argentina in a context of hyperinflation, declining sharply compared to 2024.
  16. ^  Excluding the acquisition of Airgas in 2016.
  17. ^  Includes industrial growth projects with an investment amount greater than 10 million euros. See definition in the appendix.
  18. ^ Renewable Fuel of Non-Biological Origin.

  • Leveraging performance and growth engines, Air Liquide remains on track in the 1st half of 2025

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