Linde (LIN) Q4 2024 earnings summary

Executive summary

• Achieved industry-leading results in 2024, with flat sales at $33.0 billion, strong profit and margin growth, and a resilient business model driven by disciplined capital allocation and management actions.

• Delivered record EPS of $15.51 (up 9%, 10% ex FX), record after-tax ROC of 25.9%, and returned $7.1 billion to shareholders via dividends and buybacks.

• Maintained a project backlog exceeding $10 billion, including a $2B+ low-carbon hydrogen project in Canada and 18 bolt-on acquisitions adding $200 million in annualized revenue.

• Recognized for sustainability leadership, with a 19% increase in low-carbon and renewable energy consumption and 22 consecutive years in the Dow Jones Sustainability World Index.

• Advanced ESG initiatives, including 800+ community projects and gender diversity at 29% with a 2030 goal of 30%+.

Financial highlights

• Full-year 2024 sales were $33,005M, flat year-over-year; Q4 sales were $8.3 billion, flat year-over-year, with a 2% FX headwind.

• Operating profit grew 7% to $9.7 billion; Q4 operating profit up 9% to $2.5 billion; adjusted EPS up 9% to $15.51 (11% to $3.97 in Q4).

• Operating cash flow for 2024 was $9.4 billion, with free cash flow for Q4 at $1.56 billion; capex increased to $4.5 billion.

• EBIT margin for 2024 was 29.5%, up 190 bps; after-tax ROC reached 25.9%, up 50 bps.

• Returned $7.1 billion to shareholders in 2024 via dividends and share buybacks.

Outlook and guidance

• 2025 adjusted EPS guidance is $16.15–$16.55, up 4–7% vs. 2024, or 8–11% excluding a 4% FX headwind; Q1 2025 adjusted EPS guidance is $3.85–$3.95.

• 2025 capex expected at $5.0–$5.5 billion to support growth and project backlog.

• Margin expansion of 20–50 basis points expected in 2025 across all segments.

• EPS growth algorithm targets 10%+ annual growth ex-economy, with resilience to macro headwinds.