Air Liquide - H1 2025 Results

PRESS RELEASE AND ACTIVITY REPORT

Paris, July 29, 2025

Leveraging performance and growth engines, 

Air Liquide remains on track in the 1^st half of 2025

- 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

(a)  See reconciliation in appendix.

(b)  Excluding exceptional and significant transactions that have no impact on the operating income recurring, see reconciliation in appendix. 

(c)  Based on the recurring net profit, see reconciliation in appendix.

(d)  Published change calculated on the 2024 revenue, not restated for the transfer of certain GM&T activities on January 1, 2025. See appendix.

(e)  Change excluding the currency, energy and significant scope impacts, see reconciliation in appendix. (f) Includes Argentina's contribution of +0.4%, declining sharply compared to 2024.

Commenting on the 1^st 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 1^st 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 theAmericas 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 1^st 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 1^st 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 at4.6 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”.

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. InElectronics (+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.

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%^([11])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^([12]) reached a record level of287 million euros in the 1^st 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^([13]) (Group share) stood at 1,842 million euros, a reported increase of +9.6% and +10.3%⁽^[14]⁾ 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^([15]) of 2.3 billion euros, a sharp increase of +39% compared with the first half of 2024.

The investment backlog^([16]) reached a new record of4.6 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 1^st RFNBO^([17]) 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-ORIGIN^TM 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 anunqualified review report has been issued by the statutory auditors.

Table of Contents of the activity report

H1 2025 PERFORMANCE.................................................................................... 7

Key Figures.....................................................................................................................................................................7

Income Statement.........................................................................................................................................................8

Change in Net debt......................................................................................................................................................16

Extra-financial performance....................................................................................................................................... 17

INVESTMENT CYCLE.........................................................................................18

RISK FACTORS..................................................................................................20

OUTLOOK..........................................................................................................20

APPENDICES.....................................................................................................21

Performance indicators.............................................................................................................................................. 21

Calculation of performance indicators (Semester)...................................................................................................22

Calculation of performance indicators (2^nd Quarter)................................................................................................ 25

2^nd quarter 2025 revenue............................................................................................................................................ 25

Geographic and segment information....................................................................................................................... 26

Consolidated income statement................................................................................................................................27

Consolidated balance sheet....................................................................................................................................... 28

Consolidated cash flow statement............................................................................................................................ 29

Definitions....................................................................................................................................................................30

Sales, Operating Income Recurring and investments key figures synthesis...........................................................31

H1 2025 PERFORMANCE

Key Figures

(a)  See reconciliation in appendix.

(b)  Excluding exceptional and significant transactions that have no impact on the operating income recurring, see reconciliation in appendix. (c) Adjusted for dividend seasonality.

(d)  Based on the recurring net profit, see reconciliation in appendix.

(e)  Published change calculated on the 2024 revenue, not restated for the transfer of certain GM&T activities on January 1, 2025. See appendix.

(f)   Change excluding the currency, energy and significant scope impacts. See reconciliation in appendix.

(g)  Includes Argentina’s contribution of +0.4%, declining sharply compared to 2024.

Income Statement

REVENUE

(a)                Merger in the 1^st quarter of 2025 of GM&T and E&C activities within Engineering & Technologies, except mainly the Maritime and Biogas activities transferred in the Industrial Merchant activity. The 2024 revenue corresponds to the sum of GM&T and E&C activities published revenue. See Appendix.

(b)                Published change calculated on the 2024 sales as published, not restated for the transfer of certain activities from GM&T and E&C on January 1, 2025. See Appendix. (c) Comparable growth excludes the perimeter impact related to the internal transfer of activities from GM&T to Industrial Merchant but includes the contribution related to the growth in the first half of 2025 of these activities. This growth contributes +0.2% in Gas & Services in the first half of 2025. See Appendix. (d) Includes Argentina’s contribution of +0.4%, declining sharply compared to 2024.

(a)  Merger on January 1, 2025 of GM&T and E&C activities within Engineering & Technologies, except mainly the Maritime and Biogas activities transferred in the Industrial Merchant activity.

(b)  Includes Argentina’s contribution of +0.4%, declining sharply compared to 2024.

(c)  Includes Argentina’s contribution of +0.3%, declining sharply compared to 2024.

Group

Group revenue stood at 13,722 million euros in the 1^st half of 2025, posting a comparable growth of +1.8%^([18]) compared to the 1^st half of 2024. The Group’s published sales increased by +2.6% in the 1^st 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.

As part of the Group's transformation initiatives, the Engineering & Construction and Global Markets & Technologies activities were merged on January 1, 2025 into a new Engineering & Technologies activity. Under a unified management, with a shared vision and common objectives, this new organization aims to enhance the Group's competitiveness and to contribute to its growth by providing a more integrated innovation cycle, leveraging scale and complementarity strengths. Certain businesses, mainly Biogas and Maritime, were transferred from the Global Markets & Technologies activity to the Industrial Merchant activity.

Consolidated revenue (external sales) of the Engineering & Technologies business stood at 412 million euros in the 1^st half, up +1.8% and internal sales for the Group’s investment projects rose sharply.

Gas & Services sales posted comparable growth of +1.8%^(19)([19]).

Gas & Services

Gas & Services revenue reached 13,310 million euros in the 1^st half, an increase of +1.8%^([20]) on a comparable basis. The published revenue increased +4.0%^([21]) in the 1^st 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 1^st half.

Sales from the Industrial Merchant business increased +1.3%^([22])(24) in the 1^st 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%⁽²⁴⁾) 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 1^st 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.

(a) Published change calculated on the 2024 sales as published, not restated for the transfer of certain activities from GM&T and E&C on January 1, 2025. See Appendix. (b) Comparable growth excludes the perimeter impact related to the internal transfer of activities from GM&T to the Industrial Merchant but includes the contribution related to the growth of these activities. This growth contributes +0.7% in EMEA, +0.2% in Gas & Services and +0.5% in Industrial Merchant. See Appendix. (c) Includes Argentina’s contribution of +0.9%, declining sharply compared to 2024. See appendix.

(d)  Includes Argentina’s contribution of +0.4%, declining sharply compared to 2024. See appendix.

(e)  Excluding internal transfer of assets. See appendix.

Americas

Gas & Services revenue in the Americas totaled 5,290 million euros in the 1^st half of 2025, up by +2.9%^([23]). The growth of Large Industries (+6.5%⁽²⁴⁾) 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%⁽²⁴⁾, 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. 

Americas Gas & Services H1 2025 Revenue

■ Revenue from Large Industries rose by +6.5%^([25]) in the 1^st half of 2025. It benefited from the contribution of a large Air Separation Unit started up in the 1^st quarter of 2024, a lower impact from customer maintenance turnarounds, particularly in the hydrogen business, and to a lesser extent, solid growth in sales of cogeneration units.

■ In the Industrial Merchant business, sales increased by +1.3%⁽²⁶⁾. The price effect (+3.4%) strengthened during the half-year. The price increase in the United States accounted for approximately 70% of the increase^([26]). Gas volumes remained stable overall and increased in the Pharmaceuticals and Technology sectors.

Europe, Middle East & Africa (EMEA)

Revenue in the Europe, Middle East & Africa region amounted to 5,427 million euros, stable (+0.5%^([27])) compared to the 1^st 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.

 EMEA Gas & Services H1 2025 Revenue

■ In the 1^st half of 2025, revenue from Large Industries was down by -1.9%. It was impacted in particular by the decline in sales of cogeneration units in Benelux and Air Separation Units in Italy. Customer demand remained soft in the Steel and Chemicals sectors, while volumes were resilient in Refining.

■ The Industrial Merchant business posted comparable revenue growth of +1.8% in the 1^st half. Excluding the growth from transferred businesses from GM&T, sales were stable (-0.3%) and increased by +1.6% excluding the divestiture in 2024 of businesses in 12 countries in Africa. The price effect (+2.8%) was significantly stronger than in 2024, supported by the rise in prices of liquid gases indexed to energy costs and by the increase in prices of packaged gases. In a context of low demand, volumes increased mainly in the

Manufacturing, Aeronautics and Utilities markets.

■ Growth in sales of the Healthcare business (+2.8%) remained solid. Home Healthcare continued its growth, driven by the increase in the number of patients cared for, particularly for diabetes and sleep apnea. Growth in sales of medical gases benefited from a contribution from volumes and prices aligned with inflation.

Asia Pacific

Revenue for the Asia Pacific region totaled 2,593 million euros in the 1^st 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 1^st half.

Asia Pacific Gas & Services H1 2025 Revenue

■ Revenue from Large Industries rose by +2.2% in the 1^st half of 2025. It was supported by the start-up and ramp-up of new units in China, including the take-over of a production unit from Wanhua at the end of 2024, and by the supply of additional volumes of hydrogen to the customer KMCI in South Korea under a long-term contract. Growth was mitigated by generally low demand in the region and by customer turnarounds, including an extended turnaround.

■           In Industrial Merchant, sales returned to growth

(+0.5%) in the 1^st half of 2025. Revenue growth in China was solid (+4%) despite the decline in helium sales: the increase in volumes was supported in particular by recent acquisitions and the start-ups of small on-sites. Business was mixed in the rest of the region, with high sales in

Equipment & Installations in Japan in the 1^st quarter but a strongly negative price effect in Australia (end of CO₂ price surcharges) and low activity in Singapore. Volumes were mainly up in the Manufacturing, Metallurgy, Utilities and Electronic Packaging markets. The price effect (-1.4%) improved during the half-year, impacted by the sharp drop in prices of helium in China and CO₂ in Australia and by the absence of inflation.

■ Revenue from the Electronics business increased by +3.5%. Carrier Gas sales were up sharply by more than +10%, supported by the start-up of seven new production units in Asia in the 1^st half. This growth was impacted by a decline in more cyclical Equipment & Installations sales, which normalized after reaching a record level in 2024, and by a decline in Advanced Materials revenue.

Engineering & Technologies^([28])

The consolidated revenue of the Engineering & Technologies business reached 412 million euros in the 1^st half, up +1.8%^([29]) on a comparable basis. In the 1^st quarter, growth was impacted by the divestiture of the Aerospace &

Defense business in March 2024. In the 2^nd quarter, sales of technological equipment, in particular Turbo-Brayton LNG reliquefaction units and gas separation membranes, were up sharply. The consolidated revenue of Engineering (external sales) was virtually unchanged while sales for the Group (excluded from consolidated revenue) were up sharply.

Order intake for Group projects and third-party customers amounted to 1,307 million euros, a sharp increase of +38% compared to the 1^st half of 2024. They include Air Separation units, including the world’s largest unit for a steelmaker customer in India, a large hydrogen production unit, proprietary helium liquefaction equipment as well as numerous Turbo-Brayton reliquefaction units.

OPERATING INCOME RECURRING

A key component of operating expenses, purchases posted a limited increase of +2.0% excluding the currency impact, as the rise in energy costs over the half-year, mainly natural gas, was offset by lower equipment costs (notably hardgoods). Personnel costs posted a very moderate increase of +1.3% excluding the currency impact in an inflationary context, benefiting from the initial effects of the organizational simplification plan. Other operating income was down -44.0% excluding the currency impact compared to a high comparison base in the 1^st half of 2024, which included a customer indemnity. Lastly, other operating expenses increased by +4.2% excluding the currency impact in an inflationary context.

Efficiencies^([30]) reached a record level of287 million euros in the 1^st half of 2025, a sharp increase of +23.3% compared to 233 million euros at the end of June 2024. The Group's transformation program is actively contributing to these efficiencies, notably the streamlining of the organization, the restructuring of Home Healthcare activities in France, and the deployment of digital tools integrating artificial intelligence to optimize production and the supply chain. Procurement-related efficiencies were also high, with the strengthening of globalized actions to leverage volumes. The cross-functional continuous improvement program, which includes several hundred industrial efficiency projects, contributed to more than a quarter of the total efficiencies.

Operating income recurring before depreciation and amortization amounted to 4,024 million euros, up +5.1% on a reported basis and +6.8% excluding the currency impact compared to the 1^st half of 2024.

Depreciation and amortization reached 1,287 million euros, an increase of +5.9% excluding the currency impact compared to the 1^st half of 2024, reflecting the impact of new unit start-ups.

The Group's operating income recurring (OIR) reached 2,737 million euros in the 1^st 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 1^st half of 2024. The increase in the reported margin was +50 basis points: the rise in energy costs, contractually passed through to Large Industries customers, increases reported sales with no impact on the recurring operating income in absolute value, thus creating a dilutive effect.

Gas & Services

H1 2025 Gas & Services Operating Income Recurring

The operating income recurring for the Gas & Services business amounted to 2,927 million euros, a reported increase of +7.6% compared to the first half of 2024, and +8.0% on a comparable basis. The reported operating margin was 22.0%, a strong improvement of +130 basis points excluding the energy impact.

Prices in the Industrial Merchant business showed an increase of +2.6% in the first half, demonstrating the Group's ability to pass on cost increases. Prices also increased in Large Industries and Healthcare.

(a) Operating income recurring / revenue as published

The recurring operating income for the Americas region reached 1,196 million euros in the 1^st half of 2025, a reported growth of +7.6%. Excluding the energy impact, the operating margin increased by +140 basis points compared to the first half of 2024. All activities contributed to this growth, supported in particular by significant efficiencies generated in the Industrial Merchant, Healthcare, and Electronics businesses. Price increases also contributed to the margin improvement in the Healthcare and Industrial Merchant businesses. The Industrial Merchant business and, to a lesser extent, Healthcare were the main contributors to the margin improvement in the Americas region.

The recurring operating income for the EMEA region amounted to 1,150 million euros, a reported increase of +10.3% compared to the 1^st half of 2024. The operating margin showed a strong improvement of +150 basis points excluding the energy impact compared to the 1^st half of 2024. The Industrial Merchant business was the largest contributor, notably through significant efficiencies and accretive price management. Efficiencies were also significant in the other activities. In Healthcare, they resulted in particular from the effects of the transformation plan for Home Healthcare in France.

In Asia Pacific, recurring operating income stood at580 million euros, a reported increase of +2.9%. Excluding the energy impact, the operating margin increased by +40 basis points. The Electronics business was the primary contributor through efficiencies and new accretive volumes from the start-up and ramp-up of carrier gases units. The margin improvement in Asia also benefited from significant efficiencies in other activities.

Engineering & Technologies

The recurring operating income for Engineering & Technologies reached 54 million euros in the 1^st half of 2025, representing 13.2% of sales, in line with the business's medium-term objectives.

Research & Development and Corporate costs

Research & Development expenses and Holding costs amounted to 244 million euros, an increase of +21.6% compared to the 1^st half of 2024. This is explained in particular by the implementation of the Group's transformation program, which notably includes the creation of a Group Industrial Department.

NET PROFIT

Other operating income and expenses totaled -47 million euros in the 1^st half of 2025. Other operating expenses amounted to -71 million euros and included in particular restructuring costs. Other operating income reached 24 million euros and mainly included capital gains on divestitures.

Financial results stood at -185 million euros, an improvement from -216 million euros in the 1^st half of 2024. It includes a cost of net debt of -117 million euros, down by -10.0%, which benefited in particular from a reduction in factoring costs. The average cost of net debt at 3.3% decreased slightly compared to 3.4% in the 1^st half of 2024. Other financial income and expenses amounted to -69 million euros, compared to -87 million euros in the 1^st half of 2024. The decrease is mainly explained by lower charges to take into account the hyperinflation in Argentina (where the inflation rate is much lower than in 2024).

The tax expense was 630 million euros, representing an effective tax rate of 25.1%, impacted by an exceptional tax surcharge in France in 2025, which is partially offset in the 1^st half of 2025 by an exceptional effect. In the first half of 2024, the effective tax rate stood at 23.6%.

The share of profit of associates stood at -9 million euros.

The share of minority interests in net profit reached 65 million euros, almost stable compared to 69 million euros in the 1^st half of 2024.

Net profit (Group share) stood at 1,801 million euros in the 1^st half of 2025, an increase of +7.2% on a reported basis and +7.9% excluding the currency impact. Recurring net profit^([31]) (Group share) stood at 1,842 million euros, a reported increase of +9.6% and +10.3%⁽^[32]⁾ excluding the currency impact. Recurring net profit (Group share) is calculated⁽³⁵⁾ by excluding the exceptional tax surcharge in France (for -45 million euros) and the residual impacts in 2025 of the elements qualified as non-recurring in the past (for 4 million euros).

Net earnings per share reached 3.12 euros per share, a strong increase of +6.8% compared to the 1^st half of 2024, in line with the evolution of the published net profit (Group share). Recurring net earnings per share were up +9.2%. The average number of outstanding shares used for the calculation of earnings per share on June 30, 2025, was 576,575,526.

Change in the number of shares

Change in Net debt

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.

The limited increase of 232 million euros in working capital requirement (WCR) compared to December 31, 2024, is explained in particular by a reduction in the factoring program, which has an upward impact on trade receivables, and by the increase in inventories, notably the helium reserves stored in the Group's cavern in Germany. Trade payables remained stable in the first half.

Net cash flow from operating activities, after changes in working capital, reached 2,977 million euros, an increase of +4.6% on a reported basis and +5.3% excluding the currency impact compared to the first half of 2024.

Capital expenditures stood at 1,919 million euros. They include industrial capital expenditures of 1,836 million euros and financial investments of 83 million euros. Proceeds from the sale of assets and activities reached 168 million euros and include the divestitures of Industrial Merchant activities in Nigeria and Home Healthcare in Japan and French Guiana.

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⁽^[33]⁾ 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.

Extra-financial performance

In the first half of 2025, all of the Group's activities are committed to the energy transition.

-          In Large Industries, the development of projects related to the energy transition continues. In particular, Air Liquide announced 1 billion euros of investment in two large electrolyzers (200 and 250 MW) in the frame of long-term contracts to produce low-carbon hydrogen in the Netherlands. Furthermore, the start-up of six medium and long-term power purchase agreements for the supply of decarbonized electricity, representing a total capacity of approximately 1.4 TWh per year, contributes to the decarbonization of air gases and hydrogen production.

-          The Industrial Merchant business benefits from the 1^st RFNBO⁽^[34]⁾ certification in Germany, which will foster the development of renewable hydrogen sales. The investment in a new biogenic CO₂ production unit in Australia was also decided in the 1^st half.

-          In Healthcare, the ECO-ORIGIN^TM offer is a great success with the signing of contracts with more than 100 hospitals and clinics for the supply of certified low-carbon medical gases.

-          In Electronics, under a long-term contract with a major player in the semiconductor industry, several new units will produce carrier gases by using exclusively decarbonized energy.

-          Finally, the Engineering & Technologies business will supply the world's largest CO₂ liquefaction unit, necessary for the realization of a bioenergy with carbon capture and storage (BECCS) project in Sweden.

Beyond the climate aspect, Air Liquide accelerated the implementation of detailed water management plans in the first half of 2025. There are now 49 of the 75 large production sites located in high water stress areas that have this in-depth plan that complies with the Group's new standard.  

INVESTMENT CYCLE

INVESTMENT DECISIONS AND INVESTMENT BACKLOG

In the first half of 2025, industrial and financial investment decisions reached a record level^([35]) of 2.3 billion euros, a sharp increase of +39% compared with the first half of 2024.

Industrial investment decisions amounted to 2,184 million euros, up +38% compared to 1,587 million euros in the first half of 2024.

●      The Group is enhancing its leading position in Electronics by investing in several ultra-pure carrier gas production units across all regions: a project of more than 250 million euros for a leading customer in the semiconductor industry in Germany, more than 50 million US dollars for a tier one customer in the United States, more than 70 million euros of investment on the sites of three customers in China, and approximately 70 million euros in Singapore to supply VSMC^([36]).

●      In Large Industries, an additional investment was decided in the first quarter for the major project with ExxonMobil in Baytown, Texas (United States). It corresponds to the extension of engineering and procurement activities contractually covered by the customer to move the project forward until the final investment decision (FID) is made by ExxonMobil. In addition, new investments will contribute to the development of the US Gulf Coast pipeline network: for air gases as part of a long-term contract renewal with Dow, and also for hydrogen following the signing of new customer contracts. In Italy, Air Liquide will invest in two new production units to supply air gases to a steel mill with an electric arc furnace.

●      To support local growth in Industrial Merchant, the Group has decided to invest in several small air gas production units in various Asian countries. The decisions also concern a biogenic CO₂ production unit in Australia, a cylinder filling center in China, and also equipment for the transport of argon in the United States.

Financial investment decisions stood at 81 million euros in the first half of 2025. They include five small acquisitions in Industrial Merchant in the United States, China, Brazil, and Spain, and the acquisition of two companies in Germany in Home Healthcare.

The investment backlog^([37]) reached a new record of4.6 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:

-    275 million US dollars for the part of the project contractually covered by the customer ExxonMobil in Baytown (United States), out of a total investment of 850 million US dollars;

-    approximately 300 million euros for the first investment tranche in the Elygator electrolyzer project (200 MW, the Netherlands), for which the final investment decision was made in July 2025;

-    more than 400 million euros for the Normand’Hy electrolyzer project (200 MW, France), which is expected to be started-up by the end of 2026 to supply TotalEnergies in the frame of a long-term contract;

-    Several other major projects such as the two bio-SMR⁽⁴¹ producing hydrogen from biogenic coproducts from the TotalEnergies biorefineries in Grandpuits and La Mède in France, or a carbon capture unit in the Netherlands (Porthos project) to decarbonize the Group's largest hydrogen production unit in Europe.

START-UPS

The main start-ups in first-half of 2025 include:

●      in Asia Pacific, 7 carrier gases production units for customers in the Electronics industry for a total investment amount of more than 280 million euros, a molybdenum production plant in South Korea, an Air Separation Unit

(ASU) to supply ExxonMobil in Singapore, a hydrogen filling center in China, and an ASU acquired from Wanhua Chemical Group in China in the 3^rd quarter of 2024, after signing a long-term contract;

●      in EMEA, a new rare gases production facility in South Africa and a small hydrogen production unit with a carbon capture system in France;

●      in the United States, three small on-site gas generators for a battery manufacturer.

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.

INVESTMENT OPPORTUNITIES

The 12-month portfolio of investment opportunities remains at a high level of 4.1 billion euros at the end of June 2025. Opportunities continue to be very dynamic, with new projects entering the portfolio offsetting the high level of investment decisions for the half-year (projects that leave the portfolio and enter the backlog). The portfolio of opportunities is diversified, with numerous projects, those related to the energy transition representing more than 40% of the portfolio, mainly in Europe and the United States. Approximately one-third of the opportunities concern the Electronics business with projects spread across Asia, the United States, and Europe.

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.        

RISK FACTORS

In a geopolitical context of increasing international tensions, Air Liquide has not identified any new risk factors in the first half. These are described in the 2024 Universal Registration Document, pages 72 to 89.

OUTLOOK

Air Liquide is and consistently remains a Growth Company. The growth of the Group is underpinned by four powerful engines, which are strategically activated based on market context and opportunities:

-          Optimized Utilization of Existing Assets: this engine drives low-capex growth by maximizing value from the current asset base. It encompasses two primary levers: pricing and volume optimization. This serves as a reservoir of growth, particularly pertinent in the current environment of reduced volumes.

-          Investments in Core Activities: leveraging the leading innovation and technology capabilities of the Group, this lever fuels growth through strategic investments in core operations. While Carrier Gases projects in Electronics are a major growth driver, significant growth investments continue to be made across Large Industries, Industrial Merchant, and Healthcare.

-          The Energy Transition: this growth engine extends beyond low-carbon hydrogen to include low-carbon oxygen like the ExxonMobil project in the US, and comprehensive CO₂ management solutions.

-          Acquisitions: the final growth pillar encompasses both bolt-on and strategic acquisitions.

These four growth engines are supported by robust foundations. The Group’s healthy balance sheet allows financing of industrial and financial investments. Furthermore, the ongoing transformation program is effectively lowering the cost structure of the Group to adapt to today's environment of reduced volumes.

Quarter after quarter, Air Liquide stays the course and continues to achieve solid financial performance. The Group recorded a profitable growth in sales, once again demonstrating the strength of its business model, a source of growth and resilience. The operating margin continues to improve,in line with the ambition for an improvement of +200 basis points over two years excluding the energy impact. In addition, the investment backlog achieved a new record high.

Air Liquide stays the course. The Group confirms its ability to further increase its operating margin and to deliver recurring net profit^([38]) growth at constant exchange rates in 2025, and to achieve its ambition to improve by +200 basis points its OIR margin⁽⁴²⁾ over the two years to end-2026.  

APPENDICES

Performance indicators

Performance indicators used by the Group that are not directly defined in the financial statements have been prepared in accordance with the AMF position 2015-12 about alternative performance measures. 

The performance indicators are the following:

●      Currency, energy and significant scope impacts

●      Comparable sales change and comparable operating income recurring change

●      Operating margin and operating margin excluding energy impact

●      Recurring net profit Group share

●      Recurring net profit excluding currency impact

●      Net Profit Excluding IFRS16

●      Net Profit Recurring Excluding IFRS16

●      Efficiencies

●      Return on Capital Employed (ROCE)

●      Recurring ROCE

DEFINITION OF CURRENCY, ENERGY AND SIGNIFICANT SCOPE IMPACTS 

Since industrial and medical gases are rarely exported, the impact of currency fluctuations on activity levels and results is limited to euro translation impacts with respect to the financial statements of subsidiaries located outside the eurozone. The currency impact is calculated based on the aggregates for the period converted at the exchange rate for the previous period.

In addition, the Group passes on variations in the cost of energy (electricity and natural gas) to its customers via indexed invoicing integrated into their medium and long-term contracts. This indexing can lead to significant variations in sales (mainly in the Large Industries Business Line) from one period to another depending on fluctuations in prices on the energy market.

An energy impact is calculated based on the sales of each of the main subsidiaries in Large Industries. Their consolidation allows the determination of the energy impact for the Group as a whole. The foreign exchange rate used is the average annual exchange rate for the year N-1. Thus, at the subsidiary level, the following formula provides the energy impact, calculated for natural gas and electricity respectively:

Energy impact = 

Share of sales indexed to energy year (N-1) x (Average energy price in year (N) - Average energy price in year (N-1))

This indexation effect of electricity and natural gas does not impact the operating income recurring.

The significant scope impact corresponds to the impact on sales of all acquisitions or disposals of a significant size for the Group. These changes in scope of consolidation are determined: 

●      for acquisitions during the period, by deducting from the aggregates for the period the contribution of the acquisition,

●      for acquisitions during the previous period, by deducting from the aggregates for the period the contribution of the acquisition between January 1 of the current period and the anniversary date of the acquisition,

●      for disposals during the period, by deducting from the aggregates for the previous period the contribution of the disposed entity as of the anniversary date of the disposal,

●      for disposals during the previous period, by deducting from the aggregates for the previous period the contribution of the disposed entity.

Calculation of performance indicators (Semester)

COMPARABLE SALES CHANGE AND COMPARABLE OPERATING INCOME RECURRING CHANGE

Comparable changes for sales and operating income recurring exclude the currency, energy and significant scope impacts described above.

-    As part of the Group's transformation initiatives, the Engineering & Construction and Global Markets & Technologies activities were merged on January 1, 2025 into a new Engineering & Technologies activity. Certain businesses, mainly Biogas and Maritime, were transferred from the Global Markets & Technologies activity to the Industrial Merchant activity.

The comparable growth excludes the perimeter impact related to the internal transfer of some activities from GM&T to the Industrial Merchant but includes the contribution related to the growth of these activities in the first half.

(a) Published change calculated on the 2024 revenue, not restated for the transfer of certain GM&T activities on January 1, 2025. See appendix.

-    Furthermore, also as part of the Group's transformation initiatives, an internal transfer of assets took place at the beginning of the year between the Large Industries and Industrial Merchant activities in the Americas. The perimeter impact related to this internal transfer on comparable growth is neutralized to allow a direct reading of the underlying evolution of these two activities.

H1 2025/2024

Revenue                                                                                                                                                                 H1 2025/2024               Impact of internal                  comparable after

(in millions of euros)                                                                                                                            comparable growth                transfer of assets                       neutralization

As this adjustment was not made in the first quarter, the table below shows comparable growth as published in April 2025 and comparable growth after neutralizing the impact of the internal transfer of assets.

OPERATING MARGIN AND OPERATING MARGIN EXCLUDING ENERGY IMPACT

The operating margin is the ratio of the operating income recurring divided by revenue. The operating margin excluding energy impact corresponds to the operating income recurring (not affected in absolute value by the the cost of energy contractually re-invoiced to Large Industries customers) divided by revenue excluding the energy impact to which is attached the corresponding currency impact. The ratio of operating income recurring divided by the revenue (whether restated or not from the energy impact) is calculated with rounding to one decimal place. The variation between 2 periods is calculated as the difference between these rounded ratios, which can result in positive or negative differences compared to a more precise calculation, due to rounding.

(a) Including the currency impact attached to the considered energy impact. (b) Excluding the energy impact.

RECURRING NET PROFIT GROUP SHARE AND RECURRING NET PROFIT GROUP SHARE EXCLUDING CURRENCY IMPACT

The recurring net profit Group share corresponds to the net profit Group share excluding exceptional and significant transactions that have no impact on the operating income recurring. 

NET PROFIT EXCLUDING IFRS 16 AND NET PROFIT RECURRING EXCLUDING IFRS 16

Net Profit excluding IFRS 16:

(a) The IFRS 16 impact includes the reintegration of leasing expenses, less depreciation and other financial expenses booked in relation to IFRS 16.

Net Profit Recurring excluding IFRS 16:

(a) The IFRS16 impact includes the reintegration of leasing expenses, less depreciation and other financial expenses booked in relation to IFRS 16.

EFFICIENCIES 

Efficiencies represent a sustainable cost reduction resulting from an action plan on a specific project. Efficiencies are identified and managed on a per project basis. Each project is followed by a team composed in alignment with the nature of the project (purchasing, operations, human resources...).

RETURN ON CAPITAL EMPLOYED - ROCE

Return on capital employed after tax is calculated based on the Group’s consolidated financial statements, by applying the following ratio for the period in question. 

For the numerator: net profit excluding IFRS16 - net finance costs after taxes for the period in question. 

For the denominator: the average of (total shareholders' equity excluding IFRS16 + net debt) at the end of the past three half-years.

(a) excluding non-recurring tax impact

RECURRING ROCE

The recurring ROCE is calculated in the same manner as the ROCE using the recurring net profit excluding IFR16 for the numerator. 

       (a) excluding non-recurring tax impact                                                                              

Calculation of performance indicators (2^nd Quarter)

                                                          Q2 2025/2024                                                                               Significant             Internal        Q2 2025/2024

Revenue Published Currency Natural gas Electricity scope transfer Comparable (in millions of euros) Q2 2025 Growth impact impact impact impact impact Growth

(a) Published change calculated on the 2024 revenue, not restated for the transfer of certain GM&T activities on January 1, 2025. See appendix.

As part of the Group's transformation initiatives, the Engineering & Construction and Global Markets & Technologies activities were merged on January 1, 2025 into a new Engineering & Technologies activity. Certain businesses, mainly Biogas and Maritime, were transferred from the Global Markets & Technologies activity to the Industrial Merchant activity.

The comparable growth excludes the perimeter impact related to the internal transfer of transferred activities sales from GM&T to the Industrial Merchant but includes the contribution related to the growth of these activities in the first half.

2^nd quarter 2025 revenue

BY GEOGRAPHY

(a)  Published change calculated on the 2024 sales as published, not restated for the transfer of certain activities from GM&T and E&C on January 1, 2025.

(b)  Comparable growth excludes the perimeter impact related to the internal transfer of activities from GM&T to the Industrial Merchant but includes the contribution related to the growth of these activities. This growth contributes +0.5% in EMEA and +0.2% in Gas & Services in the 2^nd quarter of 2025.

(c)  Includes Argentina’s contribution of +0.3%, declining sharply compared to 2024.

BY WORLD BUSINESS LINE

(a)  Published change calculated on the 2024 sales as published, not restated for the transfer of certain activities from GM&T and E&C on January 1, 2025.

(b)  Comparable growth excludes the perimeter impact related to the internal transfer of activities from GM&T to the Industrial Merchant but includes the contribution related to the growth of these activities. This growth contributes +0.4% in Industrial Merchant and +0.2% in Gas & Services in the 2^nd quarter of 2025. (c) Excluding internal transfer of assets.

(d) Includes Argentina’s contribution of +0.3%, declining sharply compared to 2024.

Geographic and segment information

CONTRIBUTION OF ARGENTINA TO THE RESULTS

Contribution of Argentina is calculated by the difference between the amounts consolidated at Gas & Services level and these same amounts consolidated excluding data from Argentina.

income statement

balance sheet

cash flow statement

The analysis of net cash and cash equivalents at the end of the period is as follows:

Net debt calculation

Statement of changes in net debt

Definitions

Investment decisions: Cumulative value of industrial and financial investment decisions. Growth and non-growth industrial projects, including the renewal of assets, efficiency projects, maintenance and safety, as well as financial decisions (acquisitions).

Investments backlog: Cumulative value of investments for projects that have been decided but not yet started up. Industrial projects of more than 10 million euros, excluding asset renewals and safety, maintenance and efficiency projects.

Portfolio of 12-month investment opportunities: Cumulative value of investment opportunities taken into account by the Group for a decision within the next 12 months. Industrial projects with a value of more than 5 million euros for Large Industries and more than 3 million euros for other business lines, excluding asset renewals and safety, maintenance and efficiency projects.

Sales, Operating Income Recurring and investments key figures synthesis

The following tables gather data already available in this report. They complement the key figures indicated in the table on the first page.

Sales

N.C.: Not communicated.

(a) Comparable growth excludes the perimeter impact related to the internal transfer of some activities from GM&T to the Industrial Merchant but includes the contribution related to the growth of these activities. This growth contributes +0.7% in EMEA and +0.2% in Gas & Services in the first half of 2025. See Appendix. (b) Includes Argentina’s contribution of +0.9%, declining sharply compared to 2024. See appendix. (c) Excluding internal transfer of assets. See appendix.

(d)  Excluding the growth from transferred businesses from GM&T, sales were stable (-0.3%) and increased by +1.6% excluding the divestiture in 2024 of businesses in 12 countries in Africa.

(e)  Includes Argentina’s contribution of +0.4%, declining sharply compared to 2024. See appendix.

Operating Income Recurring

(a) Operating income recurring / revenue as published.

Investments

(a)  At the end of the reporting period.

(b)  Cumulated from the beginning of the calendar year until the end of the reporting period.

The slideshow that accompanies this release is available as of 7:20 am (Paris time) at www.airliquide.com.

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Air Liquide is a world leader in gases, technologies and services for industry and healthcare. Present in 60 countries with approximately 66,500 employees, the Group serves more than 4 million customers and patients. Oxygen, nitrogen and hydrogen are essential small molecules for life, matter and energy. They embody Air Liquide’s scientific territory and have been at the core of the Group’s activities since its creation in 1902.

Taking action today while preparing the future is at the heart of Air Liquide’s strategy. With ADVANCE, its strategic plan, Air Liquide is targeting a global performance, combining financial and extra-financial dimensions. Positioned on new markets, the Group benefits from major assets such as its business model combining resilience and strength, its ability to innovate and its technological expertise. The Group develops solutions contributing to climate and the energy transition — particularly with hydrogen — and takes action to progress in areas of healthcare, electronics and high technologies. 

Air Liquide’s revenue amounted to more than 27 billion euros in 2024. Air Liquide is listed on the Euronext Paris stock exchange (compartment A) and belongs to the CAC 40, CAC 40 ESG, EURO STOXX 50, FTSE4Good and DJSI Europe indexes.