Invitation to our General Meeting 2022

Group revenue for 2021 totaled 23,335 million euros, up +8.2% on a comparable basis ⁽¹⁾. This strong sales growth in 2021 follows the year 2020 that saw the Group demonstrate resilience in an especially tough sanitary environment. Sales in 2021 were up +6% ⁽²⁾ compared with 2019. Notably driven by projects related to the energy transition, consolidated revenue from Engineering & Construction was up +55.4% on a comparable basis. Global Markets & Technologies posted growth of +17.8%, which was buoyed by the momentum of the biogas market. Order intake is up sharply for both activities. Energy prices saw an exceptionally strong increase during the 2nd half of the year, especially in Europe, resulting in a significant energy impact on the sales, at +8.4% for 2021 and even +16.5% in the 4^th quarter. Currency and significant scope impacts were negative, at -1.6% and -1.1% respectively. All in all, the Group reported growth of +13.9% in published revenue.

Gas & Services revenue in 2021 totaled 22,267 million euros, a strong comparable growth of +7.3%. Gas & Services sales were up +13.3% as published in 2021: the energy impact (+8.8%) which hit record levels, especially toward the end of the year, was moderated by unfavorable currency (-1.6%) and significant scope (-1.2%) impacts. The significant scope impact results primarily from the divestment of Schülke in 2020 in Healthcare and the reduction or sale of the Group’s stakes in several non-strategic distributors in 2020 in Japan, partially offset by the acquisition of 16 Sasol air separation units in late June 2021.

• Gas & Services revenue in the Americas totaled 8,445 million euros in 2021, up by +7.6% on a comparable basis. Large Industries sales were up +7.6% driven by high demand, and the start-up and ramp-up of new units. The Industrial Merchant business continued to recover, with a +6.9% increase in revenue. Healthcare sales were up +13.7% for the year: teams remained focused on fighting the pandemic and business activity gradually returned to normal, particularly in the United States in proximity care. Electronics posted solid revenue growth of +5.2% in 2021.
• Revenue in Europe was up +7.0% on a comparable basis in 2021 to 8,315 million euros. Large Industries sales (+5.2%) were driven by the strong customer activity in the Steel and Chemicals markets as well as a gradual recovery in Refining. Industrial Merchant activity grew strongly by +10.8%, benefiting from dynamic volumes in all markets and geographies, and an acceleration of pricing impacts especially in the 4^th quarter. Healthcare posted revenue that was up by +4.7% on a comparable basis after an exceptionally strong growth of +9.7% in 2020: pandemic-related medical oxygen sales rose strongly in 2021, even if the 4^th quarter sales were below the 2020 record level. Moreover, revenue benefited from the pick-up of Home Healthcare activity and surgeries in hospitals.
• Revenue for the Asia-Pacific region in 2021 rose sharply by +6.4% on a comparable basis, totaling 4,790 million euros. Large Industries sales for the year rose steadily by +2.9%: after a highly robust 1st half of the year, they were down in the second half, mainly resulting from temporary measures of Dual Energy Control in China. The Industrial Merchant business saw a comparable growth of +10.2%, fueled by strong activity in China and the recovery across the rest of Asia. Electronics sales increased by +6.7% in 2021 on a comparable basis, with a significant contribution from Carrier Gases which benefited from the start-up and ramp-up of several units.
• Revenue for 2021 in the Middle East and Africa reached 717 million euros, up +12.7% on a comparable basis. Large Industries sales benefited from strong hydrogen demand by customers in the Yanbu basin in Saudi Arabia. Air gases volumes rose sharply in South Africa, as 16 Sasol ASUs (the acquisition of which was finalized in late June) were integrated: in the 2nd half of the year, sales totaled 70 million euros and were recognized as part of the significant scope effect, hence excluded from the comparable growth in 2021. Industrial Merchant revenue continued to grow and Healthcare saw strong growth especially over the first three quarters.

In terms of sales by business line, Large Industries sales rose +5.5% on a comparable basis and were driven by strong demand in the Steel and Chemicals markets, as well as a recovery in Refining over the year. Electronics revenue rose +7.0% in a thriving market. Healthcare growth remained strong at +7.2% despite a high basis of comparison in 2020, with teams still focused on fighting against covid-19. The recovery in the Industrial Merchant business continued in 2021, with sales rising +8.4%, driven by a pricing impact of +3.6% for the year, which picked up to reach +7.0% in the 4^th quarter.

Consolidated revenue from Engineering & Construction totaled 387 million euros in 2021, up strongly by +55.4% on a comparable basis. Over the year, order intake exceeded 1 billion euros for the first time since 2014, standing at 1,249 million euros. It benefited from positive momentum in Asia, which made up more than half of orders, as well as from the energy transition.

Global Markets & Technologies revenue for 2021 reached 681 million euros, representing a comparable growth of +17.8%. Biogas enjoyed strong momentum, benefiting from the ramp-up of new production units and the rise in sales prices, relating to the energy prices increase, especially in the United States.