Slide 1: Investor Teleconference Presentation Third Quarter 2024
Linde plc Investor Teleconference Presentation Third Quarter 2024 October 31, 2024
Slide 2: Forward-Looking Statement
Forward-Looking Statement 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, cou
Slide 3: Global End Market Trends
Global End Market Trends 3Q 2024 End Market % of Sales(1) & YoY Trend YoY Sales(2) Growth Seq. Sales(2) Growth Consumer Related End Markets (More Resilient) Healthcare 17% +1% -- Food & Beverage 10% +7% +3% Electronics 9% +9% -1% Industrial Related End Markets (More Cyclical) Manufacturing 22% +2% -
Slide 4: Low-carbon (blue) H2 for Dow Fort Saskatchewan
Low-carbon (blue) H2 for Dow Fort Saskatchewan ▪ Dow’s Path2Zero seeks to decarbonize and grow Crude H2 H2 Offgas operations using low-carbon Offgas PSA (blue) hydrogen Tailgas ▪ Linde supplying Dow O2 CO2 CO2 for industrial gases under sequestration traditional long-term supply ASU1 ATR2 CO2 Captur
Slide 5: Third-Quarter Adjusted Results
(1) Third-Quarter Adjusted Results ($MM) 3Q 2024 2Q 2024 Var 3Q 2023 Var YOY SEQ Sales $8,356 $8,267 1% $8,155 2% Sales Growth + 2% + 1% Operating Profit $2,477 $2,422 2% $2,306 7% Volume -- -- % of Sales 29.6% 29.3% 28.3% Price / Mix + 2% -- Income $1,896 $1,859 2% $1,783 6% Cost pass-thru - 1% --
Slide 6: 3Q Capital Management
3Q Capital Management Operating Cash Flow (OCF) Trend ($B) YTD Capital Allocation 2023 2024 Business Return to Investments Shareholders $3.4B Base $5.1B capex(1) $2.5 $2.7 $2.7 $1.8B Net share buybacks $2.0 $3.1B $1.9 Secured growth(2) $1.6B Dividends 3Q 4Q 1Q 2Q 3Q $2.0B OCF $2.5 $2.7 $2.0 $1.9 $2.
Slide 7: 2024 Guidance
2024 Guidance 4th Quarter 2024 Full-Year 2024 ▪ Adjusted EPS in the range of $3.86 to $3.96 ▪ Adjusted EPS in the range of $15.40 to $15.50 (1) (1) • +8% to +10% vs. 2023 • +8% to +9% vs. 2023 • Estimated YoY currency flat • Estimated YoY currency headwind -1% • Mid-point assumes economic contractio
Slide 8: Appendix
Appendix 8
Slide 9: Americas
Americas ($MM) 3Q 2024 2Q 2024 Var 3Q 2023 Var YOY SEQ. Sales Growth -- - 1% Sales $3,618 $3,655 -1% $3,629 -- Volume + 1% -- Operating Profit $1,153 $1,159 -1% $1,074 7% Price / Mix + 2% -- Cost pass-thru - 1% -- % of Sales 31.9% 31.7% 29.6% Currency - 3% - 1% Acq / Div + 1% -- Sales by End Market
Slide 10: APAC
APAC ($MM) 3Q 2024 2Q 2024 Var 3Q 2023 Var YOY SEQ. Sales Growth + 5% + 4% Sales $1,716 $1,657 4% $1,639 5% Volume + 3% + 3% Operating Profit $497 $474 5% $459 8% Price / Mix -- -- Cost pass-thru + 1% -- % of Sales 29.0% 28.6% 28.0% Currency + 1% + 1% Acq / Div -- -- Sales by End Market ▪ YoY margin
Slide 11: EMEA
EMEA ($MM) 3Q 2024 2Q 2024 Var 3Q 2023 Var YOY SEQ. Sales Growth -- + 1% Sales $2,111 $2,091 1% $2,105 -- Volume - 1% - 3% Operating Profit $703 $704 0% $634 11% Price / Mix + 4% + 1% Cost pass-thru - 3% + 1% % of Sales 33.3% 33.7% 30.1% Currency -- + 2% Acq / Div -- -- Sales by End Market ▪ Ex. cos
Slide 12: Engineering
Engineering ($MM) 3Q 2024 2Q 2024 Var 3Q 2023 Var ▪ Stable margins led by good execution and benefits from productivity and cost actions Sales $611 $544 12% $467 31% Operating Profit $108 $96 13% $116 -7% ▪ Order intake of projects, $0.5B % of Sales 17.7% 17.6% 24.8% ▪ SOP (sale of plant) backlog $3
Slide 13: Global Other
Global Other ($MM) 3Q 2024 2Q 2024 Var 3Q 2023 Var ▪ Sequential margin improvement led by productivity initiatives Sales $300 $320 -6% $315 -5% Operating Profit $16 ($11) 245% $23 -30% ▪ YoY impacted by Global Helium business % of Sales 5.3% -3.4% 7.3% 13
Slide 14: High-Quality Project Backlog $10.1B
High-Quality Project Backlog $10.1B Geography SOG Backlog (2) SOP Backlog(1) $7.0B $3.1B End Market ✓ Contractual growth ✓ Contractual growth ✓ Secure cash flow ✓ Secure cash flow ✓ Double-digit IRR ✓ Double-digit IRR ✓ High-quality customers ✓ High-quality customers Clean Energy ✓ Increases network
Slide 15: Sustainable Development Highlights
Sustainable Development Highlights Best-in-class Enabled the 350,000 people safety performance avoidance of >2x GHG benefited from global Lost Workday Case Rate more than emissions employee community 4x better than U.S. Occupational than were emitted in all the Health and Safety Administration engag
Slide 16: ESG Performance vs. 2028 Goals
ESG Performance vs. 2028 Goals (1) Target: 35% Reduction in GHG Emissions Intensity 2018-2028 Decarbonizing our Future ▪ Linde Signs Long-Term Agreement to Supply Clean Hydrogen to Dow’s Path2Zero Project in Canada GHG Emissions Intensity(1) (Target: reduce 35% by 2028) ‒ Sequential improvement led
Slide 17: Strategy
Strategy ✓ Network density ✓ Capex efficiency Optimize the Base ✓ Productivity/digitalization ✓ Portfolio optimization ✓ Price management ✓ Price and volume Leverage the Recovery ✓ Cost management >10% EPS ✓ Operations optimization Growth ✓ Electronics ✓ Backlog start-up Capitalize on Growth ✓ Healt
Slide 18: Appendix
Appendix 18
Slide 19: Non-GAAP Measures
Non-GAAP Measures LINDE PLC AND SUBSIDIARIES SUMMARY NON-GAAP RECONCILIATIONS (UNAUDITED) The following adjusted amounts are Non-GAAP measures and are intended to supplement investors’ understanding of the company’s financial statements by providing measures which investors, financial analysts and m
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Slide 32: Investor Relations
Investor Relations For further information, please contact: Phone: +1-203-837-2210 Email: investor.relations@linde.com Internet: www.linde.com/en/investors 32