Air Liquide reports growing profits
Revenues from gas sales for electronics manufacturing dip but the company expects future growth from Asia
France-based industrial gas supplier, Air Liquide, has posted first-half profit growth of 5.3 percent despite a sharp decline in the demand for electronic gases for semiconductor and flat screen manufacture, and overall slow growth in Asia and Europe in the second quarter.
Attributing growth to continued demand for industrial gases mainly in North America, the company's net profit rose to Euro 790 million ($977.23 million) while revenues were up 5.9 percent at 7.53 billion in the first half or 2.8 percent.
In the second quarter, overall revenues grew 5.1 percent to Euro 3.75 billion. However, European electronics revenues fell 14.7%, US electronics revenues dipped 1.6% and Asia Pacific electronics revenues dropped by 12.5% over the half year, compared to the first half of 2011.
But despite the decline in its electronics sector revenues, Air Liquide highlights European gas sales have grown 8%, largely thanks to the start-up of a new fab in Italy, while US gas sales for the same sector rose by nearly 7%.
The company is also seeing new investment projects emerging in Japan and the rest of Asia.