Air Liquide Conference Call Summary Company Overview - **Company**: Air Liquide - **Date**: March 31, 2026 - **Focus**: 2025 sustainability performance and future outlook Key Points Industry Context - The sustainability landscape has evolved significantly over the past five years due to geopolitical events and increased focus on energy security and sovereignty [3][4] - Air Liquide's ADVANCE strategic plan, which integrates financial and non-financial performance, is concluding in 2025 [3] Sustainability Performance - **CO2 Emissions**: - Absolute CO2 emissions reduced by 13% compared to 2020, achieving the first objective one year ahead of schedule [5] - Carbon intensity decreased by 46% compared to 2015, surpassing the 2025 target of -30% [6] - **Water Management**: - Water management plans implemented at all 75 priority sites in high water-stressed areas [6] - **Health Care**: - 64% of 2.3 million home patients benefit from personalized care plans [6] - Access Oxygen program expanded to cover 3.5 million people in low and middle-income countries [7] Social Contributions - Achieved a record low accident frequency rate of 0.4 for employees, a 60% reduction in two years [9] - Increased female representation in management roles to 34%, a 4% increase since 2020 [9] - Common Basis of Care program fully deployed, ensuring social coverage for 65,000 employees [10] Climate Transition Plan - **Decarbonization Roadmap**: Built on three strategic levers: 1. **Low Carbon Energy Sourcing**: 40% of power purchased is low carbon, preventing 2.7 million tons of CO2 emissions annually [11][22] 2. **Asset Management**: Improved energy efficiency and electrification of assets, contributing to a 35% reduction in emissions [11] 3. **Carbon Capture and Storage (CCS)**: First CCS project in Europe underway, expected to capture 2.5 million tons of CO2 annually [15][16] Future Outlook - Air Liquide aims to continue its focus on energy efficiencies, low carbon sourcing, and climate adaptation [17] - Advocacy for low carbon products is essential, especially for hard-to-abate sectors [17] Questions and Clarifications - **Scope 2 Emissions**: Clarified that low carbon power accounts for 40% of total power purchased, while renewable energy is around 14% of total energy consumption [22][24] - **Scope 3 Emissions**: Currently focusing on clarifying Scope 3 emissions without immediate plans for setting targets [39][40] - **Water Management**: Plans to equip all 112 priority sites with water management plans moving forward [42][43] Additional Insights - The company is actively engaging with suppliers to reduce Scope 3 emissions and is tracking customer net zero objectives [74][46] - The Carbon Measures initiative aims to advocate for product-level carbon intensity standards and improve carbon accounting protocols [61][64] Conclusion - Air Liquide has demonstrated strong sustainability performance and resilience despite a complex international context, with a commitment to translating ambitions into concrete impacts for customers, the planet, and society [17]

Financial Data and Key Metrics Changes - BHP reported strong operational and financial performance for the financial year 2025, achieving a return on capital employed of 20.6% and an underlying margin of 53% on EBITDA [24][21] - The company returned $5.6 billion in dividends, contributing to over $100 billion returned to shareholders over the past decade [25][18] - A 63% reduction in high potential injury frequency was achieved over the past five years, indicating improved safety performance [21] Business Line Data and Key Metrics Changes - Record production was achieved at Western Australia Iron Ore, maintaining its status as the lowest-cost major iron ore producer for six consecutive years [24] - Copper production grew by 28% over the past three years, marking the largest absolute growth among major miners globally [24] - 45% of BHP's EBITDA now comes from copper, more than double the percentage from five years ago [25] Market Data and Key Metrics Changes - BHP contributed nearly $47 billion to the economies it operates in, with about $10 billion in taxes and royalties [24] - The company is pursuing growth in copper and potash, with significant projects in South Australia, Chile, and Canada [25][26] Company Strategy and Development Direction - BHP aims for high-quality growth that drives value, focusing on a mix of assets and commodities that are attractive for the future [15][23] - The company is reshaping its portfolio to increase exposure to copper, recognizing its importance in a more urbanized and energy-efficient future [25][23] - BHP is committed to responsible investment and creating social value, which is integral to its operational and financial strategies [17][18] Management's Comments on Operating Environment and Future Outlook - Management highlighted the importance of competitive tax policies to attract global investment, emphasizing the need for stability and competitiveness in Australia [40][41] - The company sees growing opportunities in the mining sector as nations recognize the importance of resource investment for economic development and national security [27][28] - BHP is committed to decarbonization, aiming for a 30% reduction in its carbon footprint by 2030 [79] Other Important Information - The company is actively engaging with the Queensland government regarding tax and royalty settings that impact its coal operations, particularly in the BMA division [46][48] - BHP is entering the potash market with the Jansen project in Canada, with first production expected by mid-2027 [26] Q&A Session Summary Question: Impact of a turnover tax on BHP and the mining industry - Management acknowledged the proposal for a net cash flow tax and emphasized the need for competitive tax policies to attract investment [40][41] Question: Conversations with the Queensland government regarding coal tax relief - Management confirmed ongoing discussions with the Queensland government, advocating for tax and royalty settings to align with global competitors [48] Question: Status of iron ore sales and currency used in transactions - Management indicated that less than 10% of sales are conducted in currencies other than U.S. dollars, primarily in RMB for portside sales in China [56][59] Question: Implications of U.S.-Australia relations on BHP - Management noted that Australia is well-positioned to support U.S. needs for critical minerals, particularly through projects like Resolution Copper [66] Question: Concerns about dividend payment dates - Management explained that variations in dividend payment dates are linked to the timing of financial results announcements [72] Question: Environmental sustainability and koala habitat protection - Management highlighted commitments to decarbonization and environmental stewardship, including efforts to protect habitats and support local communities [79][81]