Linde plc LIN reported fourth-quarter 2024 adjusted earnings per share (EPS) of $3.97, which surpassed the Zacks Consensus Estimate of $3.93. The bottom line also improved from the year-ago quarter’s figure of $3.59.

Total quarterly revenues of $8.28 billion missed the Zacks Consensus Estimate of $8.36 billion. The top line also decreased from the year-ago quarter’s $8.30 billion.

Find the latest EPS estimates and surprises on Zacks Earnings Calendar.

Better-than-expected earnings were primarily driven by higher pricing and increased volumes from the Americas segment. The positives were partially offset by lower contributions from the Engineering business unit.

Linde PLC Price, Consensus and EPS Surprise

Linde PLC price-consensus-eps-surprise-chart | Linde PLC Quote

Segmental Highlights

The operating profit of Linde’s Americas segment increased 6.98% from $1,075 million in the prior-year quarter to $1,150 million. The Zacks Consensus Estimate for the same was pinned at $1,153 million. The segment was aided by higher pricing and an increase in volumes, particularly in the manufacturing, electronics and food & beverage end markets.

Linde’s profit in the EMEA segment rose almost 11.5% year over year to $686 million but missed the Zacks Consensus Estimate of $699 million. While the growth was aided by higher pricing, a decline in volumes partially offset the positives. 

The APAC segment's profit increased from $452 million a year ago to $500 million, which beat the Zacks Consensus Estimate of $482 million. The business segment was supported by higher project start-up volumes, notably in electronics end market.

Operating profit in the Engineering segment decreased to $106 million from the prior-year quarter’s $119 million. The reported figure was in line with the Zacks Consensus Estimate.

Backlogs

At the end of the fourth quarter, the company’s high-quality project backlog amounted to $10.4 billion, comprising a sale-of-gas backlog of $7.1 billion.

Capital Investment & Balance Sheet

Linde reported capital expenditures of $1.25 billion for the December quarter. It ended the quarter with cash and cash equivalents of $4.85 billion and long-term debt of $15.3 billion.

Guidance

For the first quarter of 2025, Linde projects adjusted EPS to be between $3.85 and $3.95. For 2025, it expects adjusted EPS to be in the range of $16.15-$16.55. The company projects full-year capital expenditures to be between $5 billion and $5.5 billion.

LIN’s Zacks Rank and Key Picks

LIN currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks from the basic materials sector are Hecla Mining Company HL,Gold Fields Limited GFI and MAG Silver Corp. MAG. Hecla Mining and Gold Fields currently sport a Zacks Rank #1 (Strong Buy) each, while MAG Silver carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Hecla Mining and its subsidiaries are involved in mining for silver, gold, lead and zinc concentrates. The company offers precious and base metal properties in the United States, Canada, Japan, Korea and China. The Zacks Consensus Estimate for earnings in the fourth quarter is pegged at 4 cents per share, implying a 200% increase from the prior-year reported figure.

Gold Fields is an independent gold producer with its resources based in Chile, South Africa, Ghana, Canada, Australia and Peru. The price of gold is anticipated to rise in the upcoming months amid global uncertainties and geopolitical tensions in the Middle East, which is set to benefit the company’s earnings.

MAG Silver is involved in the exploration and development of precious metal properties in Canada. The company’s principal asset is a 44% stake in the Juanicipio property located in the Fresnillo District, Mexico. The Zacks Consensus Estimate for its earnings in the fourth quarter is pegged at 23 cents per share, indicating a 64.29% increase from the prior-year reported figure.

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