100de8b649b7e54679cec63bc025fd948bbf3ce3c1a853cb8630dbf78f2b00cd

Adjustments for Non-Cash Items

Stock-Based Compensation

Changes in Working Capital

Capital Expenditures (CapEx)

Proceeds from / Repayments of Debt

Share Repurchases

Dividend Payments

Net Change in Cash

91ff8b99b328a3e70284920ee02cdb7f9aa5cccc5e92452c5bac87234d89d9a0

Total Revenue [USD, Millions]

Cost of Goods Sold (COGS) [USD, Millions]

SG&A [USD, Millions]

R&D [USD, Millions]

D&A [USD, Millions]

Interest Expense [USD, Millions]

Operating Income (EBIT) [USD, Millions]

Net Income [USD, Millions]

EPS - Basic [USD, Per Share]

EPS - Diluted [USD, Per Share]

1f99cd7374012d82f8bd12bc63ec4a62cf7df3fc38c93bec649ada89cafedcf2

Industrial Gases

- Americas

- EMEA

- APAC

Engineering

Other

Merchant

On-Site

Packaged Gas

Total Revenue

161bf2e99c137ee3a6f8fe58cc0a96baf66742e86f0f3365e33461797771b814

Volume percentage change – Consolidated (percentage)

Price/Mix percentage change – Consolidated (percentage)

Cost pass-through percentage change – Consolidated (percentage)

Currency percentage change – Consolidated (percentage)

Acquisitions/Divestitures percentage change – Consolidated (percentage)

Volume percentage change – Americas (percentage)

Price/Mix percentage change – Americas (percentage)

Cost pass-through percentage change – Americas (percentage)

Currency percentage change – Americas (percentage)

Acquisitions/Divestitures percentage change – Americas (percentage)

Volume percentage change – EMEA (percentage)

Price/Mix percentage change – EMEA (percentage)

Cost pass-through percentage change – EMEA (percentage)

Currency percentage change – EMEA (percentage)

Acquisitions/Divestitures percentage change – EMEA (percentage)

Volume percentage change – APAC (percentage)

Price/Mix percentage change – APAC (percentage)

Cost pass-through percentage change – APAC (percentage)

Currency percentage change – APAC (percentage)

Acquisitions/Divestitures percentage change – APAC (percentage)

Volume/price percentage change – Other (percentage)

Cost pass-through percentage change – Other (percentage)

Currency percentage change – Other (percentage)

Acquisitions/Divestitures percentage change – Other (percentage)

Number of employees (count)

a5b4adaf939daf841e3aead8bf6e1f501c6b962c12dbd6d2b3a8cff374b22cc1

Americas

- United States

- Brazil

EMEA

- Germany

- United Kingdom

APAC

- China

- Australia

Other – International

068b66c1e5756105a86ea5fdf4c4b616d63d143462569d5314e4de92c2aa265a

55fcea85470643cb609bde8401fbbca57459525aff7f6d922651f7085142ed11

The higher capital expenditures in Q2 2024 were driven by **investments in new plants and production equipment** to support backlog growth requirements, as well as a **large project backlog**—with a sale of gas backlog of large projects under construction estimated at approximately **$4.7 billion**—which necessitated the increased spending.  **[0001628280-24-034299_lin-20240630.htm:33]** 

What drove the higher capital expenditures in Q2 2024?

In **Q2 2024**, the decline in operating cash flow was primarily due to **unfavorable timing of engineering project prepayments**, which led to over **$300 million** in volatility in contract assets and liabilities, and **seasonal effects on interest and tax payments**, including higher euro bond cash payments and increased cash tax payments in the first half of the year.  **[LIN_3396180_3]** **[0001654954-24-009830_linde_ex991.htm:0]** 

Why did operating cash flow decline in Q2 2024?

In Q1 2024, the **increased capital expenditures** were driven by several key factors. The company significantly invested in **new plant and production equipment** to support backlog growth requirements, leading to a **$219 million increase** compared to Q1 2023.  **[0001707925-24-000090_lin-20240331.htm:28]**  Additionally, the higher **capital intensity** is attributed to the commencement of **energy transformation projects**, notably the **OCI project**—one of the largest projects won by the company—with equipment orders in the early stages.  **[0001707925-24-000090_lin-20240331.htm:28]**  Furthermore, the final construction phase of several **electronic projects** also contributed to the elevated capex during this period.  **[LIN_3371987_11]** 

What factors contributed to the increased capex in Q1 2024?

02a3aa9b5137082d9456e9965f54666ac00479b463a85b8a574084e574bac5c0

Other income swung so high in Q1 2024 primarily due to a **benefit of $58 million**, compared to an expense of **$5 million** in the previous year. This change was mainly driven by **$43 million in insurance recoveries** within the Other segment.  **[0001707925-24-000090_lin-20240331.htm:24]** 

Why did Other income swing so high in Q1 2024?

In Q2 2024, Linde's operating profit increase was primarily driven by **higher pricing** and **productivity initiatives**, which more than offset the adverse impacts from **cost inflation** and **currency translation**.  **[0001628280-24-034299_lin-20240630.htm:26]**  Additionally, segment-level improvements, such as an **8% increase** in the Americas and a **12% increase** in the EMEA region, further contributed to the overall operating profit growth.  **[0001628280-24-034299_lin-20240630.htm:30]** 

What drove the operating profit increase in Q2 2024?

The spike in **interest expense** in **Q4 2023** was primarily due to **higher interest rates on the company's debt** and the **hyperinflationary impacts** from the **devaluation of the Argentinian peso**, which added approximately **$20 million** to the expense.  **[0001628280-24-007424_lin-20231231.htm:30]** **[LIN_3371987_3]** 

Why did the interest expense spike in Q4 2023?

The significant increase in FY 2023 was driven by **higher operating profit**—with a reported increase of **$2,655 million (49%)** fueled by higher pricing, productivity initiatives, and reduced depreciation and amortization expenses—along with **lower other charges** that dropped from **$1,029 million in 2022 to $40 million in 2023** due to the absence of Russia-Ukraine conflict related costs. Additionally, an **improved effective tax rate** (decreasing from **25.9% to 22.7%**) and further reductions in **depreciation and amortization** helped bolster profitability, collectively contributing to the marked net income increase in FY 2023.  **[0001628280-24-007424_lin-20231231.htm:63]** **[0001628280-24-007424_lin-20231231.htm:62]** **[0001628280-24-007424_lin-20231231.htm:30]** 

What contributed to the significant net income increase in FY 2023?

The surge in **annual EPS** for FY 2023 was driven by a combination of factors. **Higher net income** played a key role, with operating profit rising by **49%** and contributing to a significant increase in net income, while improvements in **operating margins** further supported profitability. Additionally, **share repurchases** reduced the weighted average basic shares outstanding by **2.3%**, which further amplified the EPS increase. Finally, the reduction of **other charges**—notably the decrease from **$1,029 million** to **$40 million** due to adjustments related to Russian subsidiaries—also contributed to the overall improvement in the EPS figures.  **[0001628280-24-007424_lin-20231231.htm:81]** **[0001628280-24-007424_lin-20231231.htm:28]** **[0001628280-24-007424_lin-20231231.htm:62]** 

What factors drove the surge in annual EPS in FY 2023?

51656f00f9564a081b03eb85c6aad651b6ef9967a16fd8c65c11ba2f5317ef57

In **FY 2023**, Linde’s cash and cash equivalents declined by **$772 million**. This decrease was driven by a combination of factors: significant cash used in **investing activities**—notably **$3,787 million** in capital expenditures and **$953 million** in net acquisitions (offset partially by **$70 million** from divestitures)—and heavy outflows in **financing activities**, including **$3,958 million** in net share purchases and **$2,482 million** in cash dividends, which along with other financing uses summed to **$5,400 million**. Additionally, there was a **$7 million** negative impact from exchange rate changes, despite operating activities generating **$9,305 million** in cash.  **[0001628280-24-007424_lin-20231231.htm:65]** **[0001628280-24-007424_lin-20231231.htm:40]** 

What drove the decline in cash and cash equivalents in FY 2023?

The **increase in long-term debt** in Q3 2024 was primarily driven by two factors: the **issuance of new Euro-denominated notes** and the **repayment of existing notes**. Linde issued several new notes across various terms and rates, which added to its debt balance, while simultaneously repaying some of its existing notes. These combined actions led to the jump in debt from **$13,397 million** in Q4 2023 to **$17,475 million** in Q3 2024.  **[0001628280-24-044457_lin-20240930.htm:8]** 

What factors led to the jump in long-term debt in Q3 2024?

The sharp drop in **retained earnings** in FY 2023 was primarily due to the **cancellation of treasury shares and retained earnings** during Linde plc’s intercompany reorganization and relisting, which led to an approximate **$15 billion decrease**. This significant reduction was partially offset by a net income contribution of **$6,199 million** for the year.  **[0001628280-24-007424_lin-20231231.htm:93]** **[0001628280-24-007424_lin-20231231.htm:62]** 

Why did retained earnings drop sharply in FY 2023?

5c94ce6818bc0bf6d1b2ef677e52041a1a04d6c3535f8c671eab79dd08edfef4

Net cash provided by (used for) operating activities [USD, millions]

Capital expenditures [USD, millions]

c1c75cce8b0223bbac4f35b4a96827d8643acb65443fa735746029423bb983e0

Sales (USD, millions)

Operating Profit (USD, millions)

Net Income – Linde plc (USD, millions)

Diluted earnings per share (USD)

00be70d15d1ba0cb06489669637a7e0edb0bf988b5a1ac23a2375e7dc919367e

Linde PLC (LIN)

Financials