France's Air Liquide Expects Net Profit to Rise in 2016

By Inti Landauro

PARIS--French industrial gas manufacturer and supplier Air Liquide SA (AI.FR) Tuesday said it expects net profit to rise again this year after its health business lifted profits in 2015.

The company said its net profit in 2015 rose 5.5% to 1.76 billion euros ($1.97 billion) up from EUR1.67 billion. Revenue gained 6.7% to EUR16.38 billion. Analysts polled by Factset had forecast net profit of EUR1.78 billion and overall revenue of EUR16.43 billion.

The company said the acquisition of U.S. rival Airgas (ARG) will boost net profit in the first 12 months following the acquisition. Even without taking into account the Airgas consolidation, the company will see its net profit rising in 2016.

Revenue from health-care businesses rose 8.9% to EUR2.8 billion and now represent 17% of the company's overall revenue, up from 15% 10 years earlier. The main driver of the health division is the home-care service, which provides medical equipment and supplies to patients in their home.

The unit has provided new opportunities for growth as the company's traditional business--providing gas to heavy industries--has stagnated in Europe over the past few years.

The company has made several acquisitions in the sector over the past few years.

Write to Inti Landauro at [e-mail]

(END) Dow Jones Newswires

February 16, 2016 03:03 ET (08:03 GMT)

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