2012 3rd quarter - air liquide · 2 october 25, 2012 2012 q3 revenue air liquide, world leader in...
TRANSCRIPT
2012 3rd Quarter
Paris, October 25, 2012 Fabienne Lecorvaisier l Chief Financial Officer
François Darchis l Senior Vice-President
Resilient activity
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2 2012 Q3 Revenue
Paris, October 25, 2012
Resilience in a contrasted environment
Solid investment dynamics
Innovation: a continued commitment
2012 3rd Quarter
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment3 2012 Q3 Revenue
Paris, October 25, 2012 Fabienne Lecorvaisier l Chief Financial Officer
2012 3rd Quarter
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
Key figures
4 2012 Q3 Revenue
Sales in €mQ3 11
revisedQ3 12 Q3 12/11
as published
Q3 12/11comparable(1)
YTD 12/11comparable(1)
Gas & Services 3,276 3,490 +6.5% +1.6% +2.2%
Engineering & Construction 158 167 +5.7% +2.5% +16.4%
Other Activities 163 146 -10.4% -12.5% -8.9%
Group Total 3,597 3,803 +5.7% +1.0% +2.2%
(1) excluding forex, natural gas and significant scope impacts
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2012 Q3 Revenue5
90
95
100
105
110
115
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3
Robust activity level
(1) Revenue (excluding forex and natural gas), adjusted for the number of days per month
base 100,average 2008
2009 20112010
Quarterly G&S activity indicator(1)
2012
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2012 Q3 Revenue
Four quarters of slower growth
(1) excluding forex, natural gas and significant scope impacts. 2009, 2010 and 2011 growth rates are not restated for the integration of Seppic into the G&S activity.
2009 2010 2011
G&S comparable growth(1)
2012
1.6%0.9%
4.0%
1.9%
7.7%
9.7%
11.4%11.3%10.7%
8.3%
-4.6%-5.2%-5.1%
-4.2%
11.0%
-6%
-4%
-2%
0%
2%
4%
6%
8%
10%
12%
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2012 Q3 Revenue
Developing economies up +10%
+ 0% + 10%
Advanced economies Developing economies
Comparable G&S sales growth(1)
(YTD 2012/YTD 2011)G&S sales share indeveloping economies
15%16%
19%
21%
2008 2009 2010 2011 YTD
2012
23%
(1) excluding forex, natural gas and significant scope impacts.
+ 4% +0%
-5%
+28%
+18%
+12%
+5%*
*Developing Asia: +9% excluding Electronics
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2012 Q3 Revenue
Resilience in all zones
G&S sales growth (1)
ME & Africa
Asia Pacific
Americas
€1,728m
€793m
€873m
€96m
Strong Eastern Europe
Solid growth in Canada andLatin America
Dynamic Industrial Merchantin Middle-East
Europe
Business
Declining IndustrialProduction in Japan
Further decline in the South
Economic context
(1) Comparable growth, excluding forex, natural gas and significant scope impacts. LI : Large Industries, IM : Industrial Merchant
Price pressure
Strikes in South Africa
Low natural gas price
Total G&S
€3,490m
Q3 2012 YTD 2012
+14.2%
+17.8%
-0.1%
+0.8%
+2.2%
+5.7%
+0.6%
+1.6%
+3.4%
+1.0% Weak base business
Hurricane Isaac
Strong LI in Dev. Asia andsolid IM in China
Low electronics outside China
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2012 Q3 Revenue
Gas & Services impacted by the Electronics cycle
+28%
+19%+13%
-8%-11% -12% -12%
-20%
-10%
0%
10%
20%
30%
Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 12
+4%
+2%+3%
+2%
+4%
+2%+1%
0%
3%
5%
8%
10%
Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 12
+17% +17%
+11%
+2%
+7%
+3% +4%
0%
5%
10%
15%
20%
Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 12
+7%
+5%
+2%
+6%
+7%+8%+8%
0%
2%
4%
6%
8%
10%
Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 12
Industrial Merchant +3% YTD Large Industries +5% YTD
Electronics -11% YTD Healthcare +4% YTD
- 4%excl. E&I
Comparable growth: excluding forex, natural gas and significant scope impacts, relative to the same period in preceding year.
Q3
2012
8%
38% 36%
18%
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2012 Q3 Revenue10
Engineering & Construction order intake remains strong
0
200
400
600
800
1000
1200
2009 2010 2011 2012
1,300
YTD
E&C order intake
In €m
YTD YTD YTD
YTD +84%
Third party E&C sales
134
156 158
258
178188
167
0
100
200
300
Q1
2011
Q2
2011
Q3
2011
Q4
2011
Q1
2012
Q2
2012
Q3
2012
532706
In €m
YTD +16%
Comparable growths
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2012 Q3 Revenue11
Development initiatives delivering
-3,0%
-1,0%
1,0%
3,0%
5,0%
7,0%
Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 12
G&S quarterly growth analysis
Base business
Start-ups,Ramp-ups,Site takeovers,Small acquisitions
Significantperimeter
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2012 Q3 Revenue
1.9 2.0 2.1
0
0,5
1
1,5
2
YTD 10 YTD 11 YTD 12
In €bn
-0,25
0,25
0,75
1,25
YTD 10 YTD 11 YTD 12
In €bn
Performance preserved
8.79.8
10.3
0
2
4
6
8
10
YTD 10 YTD 11 YTD 12
In €bn
Gas & Services sales
280 270
188
0
100
200
300
2010 2011 2012
In €M
Efficiencies
Net Capex(2) Operating Cash flow(3)
Annual objective 2012> 200 M€
(1) Published growth. (2) Financial investments, including transactions with minorities, net of divestitures. (3) from operations, before WCR.
2.2
+6%+80%
1.41.2
Industrial Financial(2)
YTD
+ 6% (1)
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
2.72.52.7
2.4
1.5
1.5 1.41.6
Dec-
11
Mar-
12
Jun-
12
Sept-
12
High investment decisions in Q3
2012 Q3 Revenue
YTD 09 YTD 10 YTD 11 YTD 12 2009 2010 2011 2012eYTD 09 YTD 10 YTD 11 YTD 12
4.14.024
15
1.5
0.6
In €bn
Investmentdecisions(1)
12-month portfolioof opportunities Start-ups(2)
(1) Industrial and financial investments, including transaction with minority shareholders, net of divestitures (2) Industrial projects > €10m
Developing Economies Advanced Economies
Net capex(1)
4.2
16
In €bn In €bn
1.64.0
27%60 % 47 %(2012e)
2.42.2
17-191.1
1.4
1.2
YTD
Acquisitions
36%
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
2% acquisition contribution to full year growth
2012 Q3 Revenue
YTD G&S closed acquisitions : € 820 M81%
2%
17%
IndustrialMerchant
LargeIndustries
Healthcare
Georgia Gulf (USA) Energas & Engweld(UK)Home Healthcare(Poland)
LVL Médical (France)
Gasmedi (Spain)
Gas distributors(Brazil and Canada)
Americas Europe Asia-Pacific
HomeHealthcare(Korea)
Home Healthcare(Canada)
Large Industries
Healthcare
Industrial Merchant
Middle-East& Africa
Local player(UAE)Jacoby biogas (USA)
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
Financing tailored to Home Healthcare acquisitions
SRI Investors
SRI LabelledEuro bond :
9 years
€ 500m
2.125% coupon
Reaching outto new investors
36%
64%
rating
2012 Q3 Revenue15
Paris, July 30, 2012
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2012 Q3 Revenue
Paris, October 25, 2012 François Darchis l Senior Vice-President
Innovation: a continued commitment
2012 3rd Quarter
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
Driving Innovation at Air Liquide
ADJACENT
From existing intonew business
CORE
Optimizing existingproducts
TRANSFORMATIONAL
Developing breakthroughsand creating new markets
Businessmodel
2012 Q3 Revenue
AdvancedTechnology+
+
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The Hydrogenexample
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
Core brings legitimacy
2012 Q3 Revenue
H2 for refineriesand chemical large sites
■ 50 large SMR H2 production plants
■ Pipeline network: 1,850 km
■ 1,500 trailers fleet
■ Desulphurization andhydrocracking (refineries)
■ Chemicals specific uses
Distribution
Production
Markets
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
545 km
Core Air Liquide, a worldwide hydrogen partner
2011 H2 sales: € 1.7 bn
2012 Q3 Revenue
40 km
950 km
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Assets for H2 supply
H2 production units
Main H2 network ■ Reliable and competitive H2 supply
Customer benefit
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
Adjacent Leveraging core business
2012 Q3 Revenue
H2 for local electricity supply
■ Telecom network availability
■ Electric forklifts and captive fleets
■ Existing core H2 distribution system
■ H2 filling stations for captive fleets
■ 700 bar cylinders
Distribution
■ Existing core H2 capacities (SMR)
■ Blue hydrogen (CCS(1) and biogas projects)
Production
Markets
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(1) Carbon Capture and Storage
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2012 Q3 Revenue
Adjacent Air Liquide serving captive fleets
■ Partnership in Europe forforklift fuel cell design andcommercialization
■ 5-minute easy refill
■ Cost competitive offer vsbattery solution
■ Guaranteed electric motorperformance
Customer benefit
■ Air Liquide already servingwarehouses in North Americaand Europe
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
2015: a new generation for electric vehicles ?
Mc Kinsey report
2012 Q3 Revenue
Paris Motor Show – Oct. 2012
(1)
(1) The region is ordering H2 filling stations. (2) Air Liquide, in the starting blocks, waiting for the H2 car.
Air Liquide dans les startingblocks en attendant la voiture àhydrogène (2)
«
»
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
Transformational Getting ready for clean mobility
2012 Q3 Revenue
H2 for electric car mobility
■ Customer friendly H2 refilling station
■ Nationwide logistic infrastructure
■ FCEV - Fuel Cell Electric Vehicle
■ Existing core H2 capacities (SMR)
■ Blue hydrogen (CCS and biogas projects)
■ Smart grid component (biomass, solar, wind…)
Production
Distribution
Markets
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2012 Q3 Revenue
Transformational Contributing to FCEV deployment
■ Enhanced driving experience
H2 refilling
FCEV: Fuel Cell Electric Vehicle
■ > 500 km autonomy
■ 5-minute refill andzero CO2 emission
Consumer benefit H2 energy market potential
1% of world car fleet =
€ 15 bn
+
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
Conclusion
2012 Q3 Revenue
■ … leverages its resources
■ … expands its business reach
■ … designs the future
generating sustainable innovation
(= Core)
(= Adjacent)
(= Transformational)
+
+
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Air Liquide…
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
2012 Outlook
2012 Q3 Revenue
■ Resilience in a contrasted environment
■ Solid investment dynamic
Q3 2012
Barring a major economic downturn,Air Liquide continues to aim
for growth in net profit in 2012.
2012 objective confirmed
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2012 Q3 Revenue
Appendix2012 3rd Quarter
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
Impact of currency and natural gas on G&S revenue
2012 Q3 Revenue
Natural Gas Impact +30 +46 +22 0 (9)
In €m
Average currency rate Q3 11 Q4 11 Q1 12 Q2 12 Q3 12
€/USD
€/CAD
€/JP¥
1.41
1.38
109.7
1.35
1.38
104.2
1.31
1.31
104.0
1.28
1.29
102.6
1.25
1.24
98.4
Currency
Natural Gas
In €m Q3 11 Q4 11 Q1 12 Q2 12 Q3 12
€/USD
€/CAD
€/JP¥
Others
(43)
(4)
+3
(13)
+5
(0)
+21
+0
+18
+4
+21
+27
+54
+11
+37
+48
+56
+16
+30
+5
Total currency impact (57) +26 +70 +150 +160
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
Growth in Q3 2012 G&S revenue
2000
2250
2500
2750
3000
3250
3500
Q3 2011 Comparable
growth (1)
Natural gas Change Scope Q3 2012
in €m
<9>
+9
0
+6.5%published
growth
3,276+54
3,490
+1.6%comparable (1)
(1) excluding forex, natural gas and significant perimeter impacts
+160
2012 Q3 Revenue29
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
Revenue analysis by quarter (1)
2012 Q3 Revenue
Sales in €m (1) Q3 11revised
Q4 11revised
Q1 12revised
Q2 12 Q3 12 Q3 12/11 Q3 12/11comparable(2)
Europe 1,674 1,720 1,747 1,724 1,728 +3.2% +1.0%
Americas 728 722 772 746 793 +8.9% +3.4%
Asia-Pacific 791 787 840 835 873 +10.3% -0.1%
Middle-East& Africa
83 84 84 89 96 +16.1% +14.2%
Gas & Services 3,276 3,313 3,443 3,394 3,490 +6.5% +1.6%
Engineering &Construction
158 258 178 188 167 +5.7% +2.5%
Other Activities 163 174 158 172 146 -10.4% - 12.5%
Group Total 3,597 3,745 3,779 3,754 3,803 +5.7% +1.0%
(1) 2011 figures are restated for the transfer of Seppic from Other activities to the Healthcare segment. (2) Excluding forex, natural gas and significant scope impacts
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
Revenue analysis by quarter (2)
2012 Q3 Revenue
Sales in €m (1) Q3 11revised
Q4 11revised
Q1 12revised
Q2 12 Q3 12 Q3 12/11 Q3 12/11comparable(2)
Industrial Merchant 1,238 1,256 1,281 1,283 1,322 +6.8% +1.4%
Large Industries 1,157 1,174 1,262 1,204 1,253 +8.3% +4.2%
Electronics 317 291 302 308 308 -3.1% -12.0%
Healthcare 564 592 598 599 607 +7.7% +4.6%
Gas & Services 3,276 3,313 3,443 3,394 3,490 +6.5% +1.6%
Engineering& Construction
158 258 178 188 167 +5.7% +2.5%
Other Activities 163 174 158 172 146 -10.4% -12.5%
Group Total 3,597 3,745 3,779 3,754 3,803 +5.7% +1.0%
(1) 2011 figures are restated for the transfer of Seppic from Other activities to the Healthcare segment. (2) Excluding forex, natural gas and significant scope impacts
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
G&S Revenue growth by quarter (3)
2012 Q3 Revenue
Growth aspublished
NaturalGas
CurrencySignificant
scopeComparable
growth(1)
Q1 2011 +15.4% +0.5% +3.5% - +11.4%
Q2 2011 +8.1% +1.6% -3.2% - +9.7%
Q3 2011 +5.9% +1.0% -1.9% -0.9% +7.7%
Q4 2011 +3.5% +1.5% +0.8% -0.7% +1.9%
Q1 2012 +6.3% +0.7% +2.2% -0.6% +4.0%
Q2 2012 +4.9% +0.0% +4.6% -0.6% +0.9%
Q3 2012 +6.5% -0.3% +4.9% +0.3% +1.6%
(1) excluding forex, natural gas and significant scope impacts
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
YTD 2012 Revenue breakdown by region
2012 Q3 Revenue
Large Industries ElectronicsHealthcareIndustrial Merchant
Americas: €2.3bn Asia: €2.5bnEurope: €5.2bn
Middle-East and Africa
AmericasEurope
Asia
27%
39%31%
3%
48%
33%
11%8%
34%
5%
37%
24%
3%
25%
22%
50%Gas & Services YTD 2012 Revenue€10.3bn
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October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2012 Q3 Revenue
Europe in Q3
-1% 2% 4%
Industrial Merchant
Large Industries
Q3 Gas & Services sales: € 1,728m
Q3 12/11 Comparable change (1): +1.0%
-0.2%
+2.3%
+3.0%
(1) excluding impact of currency, natural gas and significant scope
■ Large Industries Stabilized steel demand
Solid demand in refining and chemicals
Site takeover in Turkey
■ Industrial Merchant Difficult economic conditions
weighing on Southern Europe
Strong growth in developing Europe
Pricing actions continue
■ Healthcare Back to regular growth, post UK
contract reallocation
First contribution of LVL Médicalin Home Healthcare
More pressure on tariffs
IndustrialMerchant
Large Industries
Healthcare
Electronics
Healthcare
In €m YTD 2012Publ.
growthComp.
growth(1)
Revenue 5,199 +2.1% +0.6%
34
27%
39%
31%
3%
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2012 Q3 Revenue
Americas in Q3
-10% -5% 0% 5% 10% 15%
+3.9%
+4.4%
+13.4%
Industrial Merchant
Large Industries
Q3 Gas & Services sales: € 793m
Q3 12/11 Comparable change (1): +3.4%
-16.6%Electronics
7%11%
49%
33%
■ Large Industries Hurricane Isaac disruptions
Lower cogen sales due to decline inelectricity tariffs
Strong growth in South America
■ Industrial Merchant Sustained activity in Canada and
new capacities
Cylinders strong in Latam
■ Healthcare Dynamic Healthcare growth
■ Electronics Unfavorable E&I comparison base
(1) excluding impact of currency, natural gas and significant scope
Healthcare
Industrial Merchant
Large Industries
Healthcare
Electronics
-3.7%excl. E&I
In €m YTD 2012Publ.
growthComp.
growth(1)
Revenue 2,311 +8.2% +5.7%
35
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2012 Q3 Revenue
Asia-Pacific in Q3
-5% -1% 3% 7%
Industrial Merchant
Large Industries
Electronics
-1.0%
+7.8%-9.1%
Q3 Gas & Services sales: € 873m
Q3 12/11 Comparable change (1): -0.1%
37%
24%
5%
34%
■ Large Industries Start-up delays in the region
Growth in China at +20%
■ Industrial Merchant Japan still weak
Slower growth in Developing Asia
Sequential growth in Chinese bulk
■ Electronics E&I stabilized at a low level
Japanese industry restructuring
-5.2%excl. E&I
(1) excluding impact of currency, natural gas and significant scope
Industrial Merchant
Large Industries
Healthcare
Electronics
In €m YTD 2012Publ.
growthComp.
growth(1)
Revenue 2,547 +10.9% +0.8%
36
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment
Industrial Merchant pricing
2012 Q3 Revenue
+ 1.7%
+ 6.5%
+ 0.5%
+ 3.1%
+ 0.9%
+0.8%
+ 2.0%
+ 0.8%
+ 6.0%
+ 1.4%
Europe
Americas
Asia-Pacific
Middle-East and Africa
Total Industrial Merchant
Q3 2012 YTD 2012
37
October 25, 2012 Air Liquide, world leader in gases for industry, health and the environment2012 Q3 Revenue
For further information, please contact:
Investor Relations
Virginia Jeanson + 33 (0)1 40 62 57 37
Annie Fournier + 33 (0)1 40 62 57 18
Bastien Maurice + 33 (0)1 40 62 59 38
L’Air Liquide S.A.
Corporation for the study and application of processes developed by
Georges Claude with registered capital of 1,715,511,270.00 euros
Corporate headquarters:
75, Quai d’Orsay
75321 Paris Cedex 07
Tel : +33 (0)1 40 62 55 55
RCS Paris 552 096 281
Communications
Anne Bardot + 33 (0)1 40 62 50 93
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www.airliquide.com Follow us on Twitter @AirLiquideGroup
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