(AOF) – Air Liquide has announced a long-term agreement to supply ultra-high purity hydrogen, helium and carbon dioxide to one of the world’s largest semiconductor manufacturers. As part of this agreement, the French group plans to invest nearly 60 million US dollars (approximately 50 million euros) to build and operate production units and systems that the Group will hold on a new production site in Phoenix, Arizona. Commissioning is scheduled for the second half of 2022.
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=/ Key points /=
– Second in the world behind Linde-Praxair in industrial and medical gases, born in 1902;
– Sale of €20.5 billion structured in 3 branches: gas and industrial services for 96%, engineering and construction (less than 3%) then GMT or global markets and technologies;
– Balance of revenues by geographical area – Americas for 38%, Europe for 33%, Asia-Pacific for 22%;
– Economic model based on multi-year contracts (1/3 of revenue generated by twenty-year contracts) and long-term industrial partnerships offering good visibility of future results and an operating margin of more than 20%;
– Open capital, with 33% individual shareholders and 2.5% for employees, Benoît Poitier being Chairman and CEO of the 13-member Board of Directors;
– Healthy balance sheet, with net debt rated A, reduced to €10.6 billion, or 58.5% of shareholders’ equity.
=/ Issues /=
– After the execution of the “NEOS-2020” strategy, reaffirmation of a target return on capital employed of +10% in 2023 then 2024;
– Innovation strategy led by the dedicated IDD department, financed to the tune of €300 million, 1/3 of which for ecological transition, aiming for operational excellence, openness to technologies in core businesses or breakthrough technologies, through :
– global network of 5 innovation campuses, with 300 academic, industrial or start-up innovation partnerships,
– dedicated laboratories: Digital factory for data expertise, Alizent for IoT, m-Lab for molecules, i-Lab for deciphering trends, etc.
– ALIAD venture capital fund, in alliance with the Chinese fund CSE,
– deployment of Turbo-Brayton technology for LNG carriers,
– deployment of the IBO program to digitalize the supply of liquid gases;
– Environmental strategy revised in March aimed at carbon neutrality by 2050 with 2 intermediate objectives, 2025 (start of absolute reduction in emissions) and 2035 (33% decline compared to 2015), through:
– CO2 capture, production of hydrogen by electrolysis and use of biomethane,
– tripling of hydrogen sales to €6 billion, after €3 billion in 2030,
– partnership with Rothschild & CO and Solar Impulse in a fund endowed with €200 million to support SMEs offering solutions for the environment;
– Acceleration of projects around hydrogen for mobility and storage of renewable energies;
– Industrial investment decisions of more than €3 billion, nearly half of which related to the energy transition.
=/ Challenges /=
– Sensitivity to the €/$ parity and to oil prices;
– Impact of the pandemic: increase in sales of 8% and 1&% for net profit in 1
er
semester ;
– 2021 objective of an increase in operating margin and recurring net income;
– Dividend 2020 at €2.75.