Core Viewpoint - Linde reported quarterly earnings of $3.95 per share, exceeding the Zacks Consensus Estimate of $3.93 per share, and showing an increase from $3.75 per share a year ago, indicating a positive earnings surprise of 0.51% [1] Group 1: Earnings Performance - The company has surpassed consensus EPS estimates for the last four quarters [2] - Linde's revenues for the quarter ended March 2025 were $8.11 billion, which missed the Zacks Consensus Estimate by 1.77%, and remained relatively flat compared to year-ago revenues of $8.1 billion [2] - The company has not beaten consensus revenue estimates over the last four quarters [2] Group 2: Stock Performance and Outlook - Linde shares have increased approximately 8.3% since the beginning of the year, contrasting with the S&P 500's decline of -5.3% [3] - The future performance of Linde's stock will depend on management's commentary during the earnings call and the company's earnings outlook [3][4] - The current consensus EPS estimate for the upcoming quarter is $4.14 on revenues of $8.39 billion, and for the current fiscal year, it is $16.43 on revenues of $33.91 billion [7] Group 3: Industry Context - The Chemical - Specialty industry, to which Linde belongs, is currently ranked in the bottom 41% of over 250 Zacks industries, which may impact stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that investors should monitor these revisions closely [5][6]

EX-99.1 2 lin_ex991.htm PRESS RELEASE Linde Reports First-Quarter 2025 Results First-Quarter Highlights Woking, UK, May 1, 2025 – Linde plc (Nasdaq: LIN) today reported first-quarter 2025 net income of $1,673 million and diluted earnings per share of $3.51, up 3% and 5% respectively. Excluding Linde AG purchase accounting impacts and other charges, adjusted net income was $1,880 million, up 3% versus prior year. Adjusted earnings per share was $3.95, 5% above prior year. Linde's sales for the first quarter ...

May 1, 2025 Forward-Looking Statement Linde plc Investor Teleconference Presentation First Quarter 2025 This document contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are identified by terms and phrases such as: anticipate, believe, intend, estimate, expect, continue, should, could, may, plan, project, predict, will, potential, forecast, and similar expressions. They are based on management's reasonable expecta ...

Linde plc (LIN) is set to report first-quarter 2025 results on May 1, before market open.Let us delve into the factors that are likely to have influenced the performance of this global industrial gas producer. However, before that, it would be worth reviewing LIN’s performance in the previous quarter.Highlights of Q4 Earnings & Surprise HistoryIn the last reported quarter, Linde’s earnings of $3.97 per share beat the Zacks Consensus Estimate of $3.93 due to higher pricing and increased volumes from the Amer ...

Wall Street analysts forecast that Linde (LIN) will report quarterly earnings of $3.93 per share in its upcoming release, pointing to a year-over-year increase of 4.8%. It is anticipated that revenues will amount to $8.26 billion, exhibiting an increase of 2% compared to the year-ago quarter. The consensus EPS estimate for the quarter has been revised 0.1% higher over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial estimate ...

Core Insights - The article discusses the perspective of Joseph Jones, a professor with over fifteen years of market study experience, focusing on portfolio construction from a dividend growth investor's viewpoint [1]. Group 1 - Joseph Jones emphasizes the importance of dividend growth in portfolio construction, which is a key strategy for long-term investors [1].

Collaboration with Linde - O-I Glass, Inc. has partnered with Linde plc to implement the OPTIMELTTM Thermochemical Regenerator technology at its Holzminden plant in Germany, aimed at enhancing efficiency and reducing emissions [1][2] - The OPTIMELTTM TCR technology can reduce fuel consumption in the melting process by approximately 30% and is adaptable to various fuels, including low-carbon hydrogen [2][5] - Linde will also install a Centrifugal VITRON Vacuum Pressure Swing Adsorption plant to produce oxygen for the furnace, improving power efficiency and lowering the environmental footprint [4][5] Financial Performance - O-I Glass reported a fourth-quarter 2024 adjusted loss per share of 5 cents, which was better than the Zacks Consensus Estimate of a loss of 11 cents, but down from earnings of 12 cents in the same quarter last year [6] - Revenues for the quarter were $1.53 billion, a decrease of 6.8% year-over-year, missing the Zacks Consensus Estimate of $1.61 billion, with flat sales volume in tons [7] Stock Performance - O-I Glass shares have declined by 23.6% over the past year, compared to a 21.8% decline in the industry [8]

Financial Performance - Linde's sales for 2024 were $33,005 million, a slight decrease from $33,364 million in 2022, indicating a year-over-year decline of approximately 1.1%[16]. - Sales for 2024 were $33,005 million, flat compared to 2023, with a 2% increase from higher pricing in the Americas and EMEA segments[124]. - Reported operating profit increased by 8% to $8,635 million, driven by higher pricing and productivity savings[124]. - Net income for Linde plc rose to $6,565 million, a 6% increase from $6,199 million in 2023[124]. - Adjusted net income was $7,475 million, reflecting a 7% increase from $6,989 million in 2023[127]. - Cash flow from operations was $9,423 million, up $118 million from 2023, influenced by higher net income[124]. - Cost of sales decreased by 2% to $17,143 million, representing 51.9% of sales, down from 53.2% in 2023[127]. - Selling, general and administrative expenses increased by 1% to $3,337 million, accounting for 10.1% of sales[132]. - Reported interest expense rose by 28% to $256 million due to higher borrowings and interest rates[141]. - The effective tax rate for 2024 was 23.4%, up from 22.7% in 2023, primarily due to prior year benefits[143]. - Reported diluted earnings per share increased by $1.03, or 8%, in 2024 compared to 2023, with adjusted diluted EPS at $15.51, up $1.31[147]. - EBITDA rose to $12,585 million in 2024 from $12,007 million in 2023, while adjusted EBITDA increased to $12,819 million from $12,133 million[149]. Operational Highlights - Approximately 65% of Linde's 2024 sales were generated outside the United States, highlighting the company's significant international presence[28]. - Linde's Engineering business focuses on sustainable technologies, helping customers avoid and utilize carbon dioxide emissions, thus supporting the transition to clean energy[25]. - The company has a diverse customer base across various industries, including healthcare, chemicals, energy, and manufacturing, reducing dependency on any single customer[27]. - Linde's research and development efforts are directed towards gas processing, separation technologies, and clean energy, with facilities located in Germany, New York, Illinois, and China[30]. - The company operates in a highly competitive market, facing pressure from both global and regional players, which necessitates continuous innovation and efficiency improvements[36]. - Linde's international operations are subject to risks including currency exchange rate fluctuations, which could adversely affect financial results[59]. - The company serves a diverse group of industries across more than 80 countries, which generally leads to financial stability through various business cycles[54]. Workforce and Employment - As of December 31, 2024, Linde employed 65,289 individuals globally, with a workforce composition of approximately 28% women and 72% men[42]. - The number of employees decreased by 2%, or 1,034 employees, to 65,289 as of December 31, 2024, primarily due to cost reduction programs and a divestiture in APAC[148]. - Linde's ability to attract and retain qualified personnel is critical for successful business management and product development[63]. Capital and Investments - Capital expenditures totaled $4,497 million, with dividends paid amounting to $2,655 million[124]. - Acquisitions in 2024 were $317 million, a decrease of $636 million from 2023, primarily related to packaged gas businesses in the Americas[203]. - Linde's backlog of large projects under construction was approximately $7.1 billion at the end of 2024[202]. - Cash and cash equivalents at the end of the period were $4,850 million, an increase of $186 million from 2023[199]. - Cash used for financing activities decreased to $4,359 million in 2024 from $5,400 million in 2023[206]. - Total net debt outstanding rose to $16,773 million at December 31, 2024, an increase of $2,064 million from $14,709 million at December 31, 2023[209]. Risk Management - Linde is exposed to legal risks related to product liability, particularly in the U.S., where class action risks are historically significant[80]. - Changes in tax laws could adversely affect Linde's financial position, especially as it is currently treated as a U.K. tax resident[87]. - Cybersecurity is identified as a top enterprise risk, with Linde implementing advanced security technologies and mandatory training for employees[91]. - Linde's compliance with international laws and regulations is critical, as failure to do so may result in significant penalties and reputational damage[77]. - Catastrophic events such as natural disasters or pandemics could disrupt operations and significantly affect financial results[62]. - Macroeconomic factors may increase the cost of obtaining financing, adversely impacting financial results[60]. Shareholder Returns - Linde's share repurchase program approved on October 23, 2023, allows for the repurchase of up to $15 billion of ordinary shares, with $3.1 billion already repurchased by December 31, 2024[107]. - As of December 31, 2024, Linde has $11.9 billion remaining authorized for share repurchases under the 2023 program[108]. - Linde's ordinary shares have shown a cumulative return of 211% from December 31, 2019, to December 31, 2024, compared to 197% for the S&P 500 Index and 152% for the S5 Materials Index[109]. - Cash dividends increased to $2,655 million in 2024, reflecting a 9% increase in dividends per share to $5.56 from $5.10[208]. - Net purchases of ordinary shares were $4,451 million in 2024, up from $3,925 million in 2023[207].

Core Viewpoint - Linde plc reported strong fourth-quarter earnings, with adjusted earnings per share surpassing estimates, although total revenues slightly missed expectations and declined year-over-year [1][2]. Financial Performance - Adjusted earnings were $3.97 per share, exceeding the Zacks Consensus Estimate of $3.93, and improved from $3.59 in the same quarter last year [2]. - Total quarterly revenues were $8.28 billion, missing the Zacks Consensus Estimate of $8.36 billion and declining from $8.30 billion in the previous year [2]. Segment Analysis - The strong quarterly earnings were primarily driven by higher pricing and volumes from the Americas segment [3]. - The Americas business unit, which includes operations in 20 countries such as the United States, Canada, Mexico, and Brazil, generated 46.4% of the total operating profit [4]. - Operating profit in the Americas segment increased nearly 7% year-over-year to $1.15 billion, while revenues from the segment were $3.6 billion, reflecting a modest increase of 0.7% [4][5].

Core Viewpoint - Linde plc reported fourth-quarter 2024 adjusted EPS of $3.97, exceeding estimates, while total revenues of $8.28 billion fell short of expectations and decreased year-over-year [1][2]. Financial Performance - Adjusted EPS of $3.97 surpassed the Zacks Consensus Estimate of $3.93 and improved from $3.59 in the prior year [1]. - Total quarterly revenues were $8.28 billion, missing the Zacks Consensus Estimate of $8.36 billion and down from $8.30 billion a year ago [1]. Segmental Highlights - The Americas segment's operating profit rose 6.98% to $1,150 million, slightly below the consensus estimate of $1,153 million, driven by higher pricing and increased volumes in manufacturing, electronics, and food & beverage [3]. - EMEA segment profit increased almost 11.5% year-over-year to $686 million but missed the consensus estimate of $699 million due to lower volumes [4]. - The APAC segment's profit grew from $452 million to $500 million, exceeding the consensus estimate of $482 million, supported by higher project start-up volumes in the electronics market [4]. - Operating profit in the Engineering segment decreased to $106 million from $119 million, aligning with the consensus estimate [5]. Backlogs - Linde's project backlog at the end of the fourth quarter was $10.4 billion, including a sale-of-gas backlog of $7.1 billion [6]. Capital Investment & Balance Sheet - Capital expenditures for the December quarter were $1.25 billion, with cash and cash equivalents of $4.85 billion and long-term debt of $15.3 billion [7]. Guidance - For Q1 2025, Linde projects adjusted EPS between $3.85 and $3.95, and for the full year 2025, adjusted EPS is expected to be in the range of $16.15 to $16.55 [8]. - Full-year capital expenditures are projected to be between $5 billion and $5.5 billion [8].