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Linde plc (LIN - Free Report) reported second-quarter 2024 adjusted earnings of $3.85 per share, which surpassed the Zacks Consensus Estimate of $3.79. The bottom line improved from the year-ago quarter’s figure of $3.57.
Total quarterly revenues of $8.27 billion missed the Zacks Consensus Estimate of $8.33 billion. However, the top line increased from the year-ago quarter’s $8.20 billion.
The solid quarterly earnings were driven by higher pricing from the Americas segment, offset partially by lower contributions from the Engineering business unit.
The operating profit of Linde’s Americas segment increased 8.3% from $1.07 billion in the prior-year quarter to $1.16 billion. An uptick in pricing aided the segment.
Linde’s profit in the EMEA segment soared 11.7% year over year to $704 million on the back of increased pricing, partially offset by lower volumes.
Profit in the APAC segment increased from $472 million a year ago to $474 million. While underlying sales and operating profit margins improved slightly from the previous year, the segment faced negative currency effects.
Operating profit in the Engineering segment decreased to $96 million from the prior-year quarter’s $107 million.
Backlogs
At the end of the second quarter, the company’s high-quality backlog was $7.9 billion, comprising a sale-of-gas backlog of $4.7 billion.
Capital Investment & Balance Sheet
Linde reported capital expenditure of $1.13 billion for the June quarter. The company ended the quarter with cash and cash equivalents of $4.6 billion. Its long-term debt was $16.9 billion.
Guidance
For the third quarter, Linde projects adjusted earnings per share (EPS) between $3.82 and $3.92. For 2024, it expects adjusted EPS to be in the band of $15.40-$15.60. Full-year capital expenditures are projected to be in the range of $4.0-$4.5 billion.
Sunoco is a leading wholesale motor fuel distributor in the United States, boasting a vast distribution network spanning 40 states. With long-term contracts servicing more than 10,000 convenience stores, it distributes over 10 fuel brands, ensuring a stable revenue stream. SUN currently has a Value Score of A.
The Zacks Consensus Estimate for 2024 and 2025 earnings per unit is pegged at $7.29 and $7.26, respectively. The partnership has witnessed upward earnings estimate revisions for 2025 in the past 30 days.
SM Energy is set to expand its oil-centered operations in the coming years, with an increasing focus on crude oil, especially in the Permian Basin and Eagle Ford regions. The company’s attractive oil and gas investments should create long-term value for shareholders.
The Zacks Consensus Estimate for SM’s 2024 EPS is pegged at $7.09. The company has a Zacks Style Score of A for Value. It has witnessed upward earnings estimate revisions for 2024 in the past 30 days.
Baker Hughes, a leading player in the oilfield service sector, is known for its advanced technologies and equipment catering to the needs of upstream companies. The company expects substantial growth from LNG contracts globally due to the strong demand outlook.
The Zacks Consensus Estimate for BKR’s 2024 EPS is pegged at $2.15. The company has a Zacks Style Score of B for Value. It has witnessed upward earnings estimate revisions for 2024 and 2025 in the past seven days.
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Linde's (LIN) Q2 Earnings Beat Estimates, Revenues Rise Y/Y
Linde plc (LIN - Free Report) reported second-quarter 2024 adjusted earnings of $3.85 per share, which surpassed the Zacks Consensus Estimate of $3.79. The bottom line improved from the year-ago quarter’s figure of $3.57.
Total quarterly revenues of $8.27 billion missed the Zacks Consensus Estimate of $8.33 billion. However, the top line increased from the year-ago quarter’s $8.20 billion.
The solid quarterly earnings were driven by higher pricing from the Americas segment, offset partially 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 8.3% from $1.07 billion in the prior-year quarter to $1.16 billion. An uptick in pricing aided the segment.
Linde’s profit in the EMEA segment soared 11.7% year over year to $704 million on the back of increased pricing, partially offset by lower volumes.
Profit in the APAC segment increased from $472 million a year ago to $474 million. While underlying sales and operating profit margins improved slightly from the previous year, the segment faced negative currency effects.
Operating profit in the Engineering segment decreased to $96 million from the prior-year quarter’s $107 million.
Backlogs
At the end of the second quarter, the company’s high-quality backlog was $7.9 billion, comprising a sale-of-gas backlog of $4.7 billion.
Capital Investment & Balance Sheet
Linde reported capital expenditure of $1.13 billion for the June quarter. The company ended the quarter with cash and cash equivalents of $4.6 billion. Its long-term debt was $16.9 billion.
Guidance
For the third quarter, Linde projects adjusted earnings per share (EPS) between $3.82 and $3.92. For 2024, it expects adjusted EPS to be in the band of $15.40-$15.60. Full-year capital expenditures are projected to be in the range of $4.0-$4.5 billion.
Zacks Rank & Key Picks
Currently, Linde carries a Zacks Rank #4 (Sell).
Investors interested in the energy sector may look at some better-ranked stocks like Sunoco LP (SUN - Free Report) , SM Energy Company (SM - Free Report) and Baker Hughes Company (BKR - Free Report) . While Sunoco and SM Energy currently sport a Zacks Rank #1 (Strong Buy) each, Baker Hughes carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Sunoco is a leading wholesale motor fuel distributor in the United States, boasting a vast distribution network spanning 40 states. With long-term contracts servicing more than 10,000 convenience stores, it distributes over 10 fuel brands, ensuring a stable revenue stream. SUN currently has a Value Score of A.
The Zacks Consensus Estimate for 2024 and 2025 earnings per unit is pegged at $7.29 and $7.26, respectively. The partnership has witnessed upward earnings estimate revisions for 2025 in the past 30 days.
SM Energy is set to expand its oil-centered operations in the coming years, with an increasing focus on crude oil, especially in the Permian Basin and Eagle Ford regions. The company’s attractive oil and gas investments should create long-term value for shareholders.
The Zacks Consensus Estimate for SM’s 2024 EPS is pegged at $7.09. The company has a Zacks Style Score of A for Value. It has witnessed upward earnings estimate revisions for 2024 in the past 30 days.
Baker Hughes, a leading player in the oilfield service sector, is known for its advanced technologies and equipment catering to the needs of upstream companies. The company expects substantial growth from LNG contracts globally due to the strong demand outlook.
The Zacks Consensus Estimate for BKR’s 2024 EPS is pegged at $2.15. The company has a Zacks Style Score of B for Value. It has witnessed upward earnings estimate revisions for 2024 and 2025 in the past seven days.