Full Year 2019 Results Step-up in Performance Improvement High level - PowerPoint PPT Presentation

Full Year 2019 Results Step-up in Performance Improvement High level of Investments for Customers and Efficiency Commitment to Climate Reaffirmed Tokyo Innovation Campus

Agenda 1. Air Liquide Today – Short Introduction 2. 2019, A Landmark Year for Air Liquide 3. Performance Improvement in FY 2019 4. Group Credit Profile 5. 2020 Outlook 6. Appendix 2 Full Year 2019 Credit Investors The world leader in gases, technologies and services for Industry and Health

Air Liquide Today Short Introduction 3 Full Year 2019 Credit Investors The world leader in gases, technologies and services for Industry and Health

A World Leader in Gases, Technologies and Services for Industry & Health >3.7 m 67,000 ~ €22 bn 80 Customers Employees of Sales in 2019 Countries and Patients >€ 2.2 ~€5 >€60 bn bn bn Net Profit Cash Flow Market in 2019 in 2019* Capitalization** * cash flow from operating activities before changes of working capital ** on December 31, 2019 4 Full Year 2019 Credit Investors The world leader in gases, technologies and services for Industry and Health

A Strong Business Model ESG (d) Chemical Electricity ESG (d) Producer Refinery Natural gas Filling center Water Metal Producer Mutualize assets 1 SMR (a) Home healthcare ASU (b) Patient Liquefaction ASU (b) 2 piggyback Electronics Customer Hospital Filling center On-site (c) Filling Distributors, customer center bolt-on 3 acquisitions Air Liquide Activities Large Industries Industrial Merchant Bulk and Cylinder Healthcare Customer Electronics (b) ASU: Air gases production unit (Air Separation Unit) ( a) SMR: Hydrogen and carbon monoxide production unit (Steam Methane Reformer) (c) On-site: Small local production unit (d) ESG: Electronic Specialty Gases 5 Full Year 2019 Credit Investors The world leader in gases, technologies and services for Industry and Health

A Balanced Footprint Gas & Services revenue in 2019 Electronics 9% Large Industries Asia-Pacific 23% 27% Healthcare 18% Europe Africa Middle-East 34% 3% €21bn €21bn Americas Industrial 40 % Merchant 46% 6 Full Year 2019 Credit Investors The world leader in gases, technologies and services for Industry and Health

Financial Objectives Efficiencies >€300m on average/year (2) + Airgas synergies >$300m (2) Upgraded from >€300m to >€400m as of 2019 +6% to +8% CAGR 2016-2020 (1) >10% Maintain “A” range rating In 2021-2022 Capex/Sales 2017-2020: 10% to 12% (1) Including Airgas scope effect in 2017 contributing +2% to the CAGR 7 Full Year 2019 Credit Investors The world leader in gases, technologies and services for Industry and Health

Financial Objectives A ASSETS Reduce our carbon ASSETS -30 % intensity in 2025 vs. 2015 by C CUSTOMERS A global Act for clean industry by CUSTOMERS approach developing low-carbon solutions E ECOSYSTEMS ECOSYSTEMS 8 Full Year 2019 Credit Investors The world leader in gases, technologies and services for Industry and Health

Regular and Sustained Performance CAGR over 30 years (1) CAGR Revenue (in €m) + 5.6 % + 6.7 % EPS (2) (in €) 24 000 over 30 years (1) 20 000 5,0 16 000 4,0 12 000 3,0 2,0 8 000 1,0 4 000 0,0 0 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015 2017 2019 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015 2017 2019 Cashflow (in €m) Dividend (2,3) (in € per share) + 6.5 % + 8.7 % 3,0 4 000 2,5 2,0 3 000 1,5 2 000 1,0 1 000 0,5 0 0,0 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015 2017 2019 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015 2017 2019 (1) Calculated according to prevailing accounting rules over 30 years. (2) Adjusted for the 2-for-1 share split in 2007, for attributions of free shares and for a factor of 0.974 reflecting the value of the rights of the capital increase completed in October 2016. (3) Dividend 2019 subject to the approval of shareholders during the General Meeting on May 5, 2020 9 Credit Investors The world leader in gases, technologies and services for Industry and Health Full Year 2019

2019, A Landmark Year for Air Liquide 10 Credit Investors The world leader in gases, technologies and services for Industry and Health Full Year 2019

2019, A Landmark Year for Air Liquide • Commitment to a structured plan for performance improvement driving initial step up in margins • Commitment to customers and efficiency High level of investments, major signings in key basins • Commitment to climate reaffirmed Reduction in carbon intensity and launch of major innovative projects 11 Full Year 2019 Credit Investors The world leader in gases, technologies and services for Industry and Health

Strong Performance Improvement in 2019 + 4.3 % Group Sales + 70 bps Operating + 10.0 % Operating Income Recurring Margin (1) + 11.1 % Recurring Net Profit (2) Recurring ROCE (3) + 60 bps (1) Excluding energy impact (2) Excluding exceptional and significant operations not impacting the Operating Income Recurring (3) Return on Capital Employed based on Recurring Net Profit Credit Investors The world leader in gases, technologies and services for Industry and Health 12 Full Year 2019

Structured Program in Place to Deliver NEOS and Beyond Reinforced Launched Extended existing plan in 2019 Outlook Product Mix Pricing + Management … with commitment to  Transformation further improve the Efficiencies + Programs operating margin (1) . Bolt-on Portfolio + Acquisitions Streamlining (1) Assuming no major change in the environment and the international health situation is under control 13 Credit Investors The world leader in gases, technologies and services for Industry and Health Full Year 2019

High Investments , Order Intake Recovering Industrial Investment Decisions E&C and GM&T Order Intake € 3.2 bn € 1.4 bn GM&T E&C 3,5 1,5 3 1,2 2,5 0,9 2 1,5 0,6 1 0,3 0,5 0 0 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2016 2017 2018 2019 14 Credit Investors The world leader in gases, technologies and services for Industry and Health Full Year 2019

Proposed Dividend Distribution in 2020 +9.0% 20 years CAGR € 2.70 (2) Including free shares attribution every other year + 12.4 % 2,4 2,0 Dividend (1) Strong dividend increase in € per share 1,6  Increase of nominal 1,2  Free share attribution 0,8 58% Payout Ratio 0,4 0,0 1999 2001 2003 2005 2007 2009 2011 2013 2015 2017 2019 (1) Historical data adjusted for past free share attributions and for a factor of 0.9067 reflecting the value of the rights of the 2016 capital increase (2) Subject to the approval of shareholders during the General Meeting on May 5, 2020 15 Credit Investors The world leader in gases, technologies and services for Industry and Health Full Year 2019

Further Reduction of Carbon Intensity Climate Objectives 2019 Achievement announced in Nov. 2018 6.3 4.6 Reduction of -30 % Carbon intensity from 2015 to 2025 (kg CO 2 /€ EBITDA (1) ) Initial Carbon Intensity Commitment in kg CO 2 /€ EBITDA (1) * 4.4 2015 2016 2017 2018 2019 2019 2020 2021 2022 2023 2024 2025 (1) Operating Income Recurring before Depreciation and at 2015 exchange rate 16 Credit Investors The world leader in gases, technologies and services for Industry and Health Full Year 2019

Launch of Major Innovative Projects Low CO 2 CCS (1) Green H 2 H 2 Mobility Production California MOU with Northern Electrolyzer thyssenkrupp Lights in Quebec Paris Consortia with Ports HyGreen ArcelorMittal of Antwerp and Provence Rotterdam China (1) Carbon Capture and Storage 17 Credit Investors The world leader in gases, technologies and services for Industry and Health Full Year 2019

Performance Improvement in FY 2019 18 Credit Investors The world leader in gases, technologies and services for Industry and Health Full Year 2019

Step-up in Performance Improvement As published figures Group Sales Performance OIR/sales CF/sales (1) ROCE (2) + 4.3 % 17.3 % 22.2 % 8.6 % (1) Cash Flow from Operations before changes in Working Capital Requirement on Group Sales (2) Recurring ROCE, based on Recurring Net Profit 19 Credit Investors The world leader in gases, technologies and services for Industry and Health Full Year 2019

Regardless of the Environment, Robust FY Sales Growth  +2.1% FX Impact  -1.4% Energy Impact  +0.4% Scope FY Group Sales: 20 Credit Investors The world leader in gases, technologies and services for Industry and Health Full Year 2019

Q4 2019 Market Trends to Continue in Q1 2020  Chemicals  Soft Chemicals and Steel  LI Oil & gas  Sustained demand for Refining in Europe  Steel  New projects across markets  Metal Fab.  Construction  Widening contrasts in markets: IM  Energy - Growing Consumption and Technology sectors Food & Pharma   - Softening IP - related sectors  Techno & Research  IC market rebound expected driven by EL  Integrated Circuit development of 5G and IoT  Medical gases HC  Healthcare strong fundamentals   Home Healthcare 21 Credit Investors The world leader in gases, technologies and services for Industry and Health Full Year 2019