Analysis of Solvency Ratios
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Solvency Ratios (Summary)
Linde plc, solvency ratios
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Linde plc debt to equity ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Linde plc debt to equity ratio (including operating lease liability) deteriorated from 2022 to 2023 and from 2023 to 2024. |
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Linde plc debt to capital ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Linde plc debt to capital ratio (including operating lease liability) deteriorated from 2022 to 2023 and from 2023 to 2024. |
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Linde plc debt to assets ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Linde plc debt to assets ratio (including operating lease liability) deteriorated from 2022 to 2023 and from 2023 to 2024. |
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Linde plc financial leverage ratio increased from 2022 to 2023 and from 2023 to 2024. |
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Linde plc interest coverage ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Linde plc fixed charge coverage ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |
Debt to Equity
Linde plc, debt to equity calculation, comparison to benchmarks
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Short-term debt | 4,223) | 4,713) | 4,117) | 1,163) | 3,251) | |
| Current portion of long-term debt | 2,057) | 1,263) | 1,599) | 1,709) | 751) | |
| Current finance lease liabilities | 54) | 50) | 42) | 47) | 38) | |
| Long-term debt, excluding current portion | 15,343) | 13,397) | 12,198) | 11,335) | 12,152) | |
| Long-term finance lease liabilities | 150) | 143) | 114) | 129) | 125) | |
| Total debt | 21,827) | 19,566) | 18,070) | 14,383) | 16,317) | |
| Total Linde plc shareholders’ equity | 38,092) | 39,720) | 40,028) | 44,035) | 47,317) | |
| Solvency Ratio | ||||||
| Debt to equity1 | 0.57 | 0.49 | 0.45 | 0.33 | 0.34 | |
| Benchmarks | ||||||
| Debt to Equity, Competitors2 | ||||||
| Sherwin-Williams Co. | 2.49 | 2.65 | 3.41 | 3.95 | 2.30 | |
| Debt to Equity, Sector | ||||||
| Chemicals | 0.76 | 0.68 | 0.66 | 0.52 | 0.48 | |
| Debt to Equity, Industry | ||||||
| Materials | 0.68 | 0.65 | 0.67 | 0.55 | 0.56 | |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
Debt to equity = Total debt ÷ Total Linde plc shareholders’ equity
= 21,827 ÷ 38,092 = 0.57
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Linde plc debt to equity ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |
Debt to Equity (including Operating Lease Liability)
Linde plc, debt to equity (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Short-term debt | 4,223) | 4,713) | 4,117) | 1,163) | 3,251) | |
| Current portion of long-term debt | 2,057) | 1,263) | 1,599) | 1,709) | 751) | |
| Current finance lease liabilities | 54) | 50) | 42) | 47) | 38) | |
| Long-term debt, excluding current portion | 15,343) | 13,397) | 12,198) | 11,335) | 12,152) | |
| Long-term finance lease liabilities | 150) | 143) | 114) | 129) | 125) | |
| Total debt | 21,827) | 19,566) | 18,070) | 14,383) | 16,317) | |
| Current operating lease liabilities | 176) | 177) | 181) | 215) | 237) | |
| Long-term operating lease liabilities | 606) | 572) | 540) | 618) | 669) | |
| Total debt (including operating lease liability) | 22,609) | 20,315) | 18,791) | 15,216) | 17,223) | |
| Total Linde plc shareholders’ equity | 38,092) | 39,720) | 40,028) | 44,035) | 47,317) | |
| Solvency Ratio | ||||||
| Debt to equity (including operating lease liability)1 | 0.59 | 0.51 | 0.47 | 0.35 | 0.36 | |
| Benchmarks | ||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | ||||||
| Sherwin-Williams Co. | 2.99 | 3.18 | 4.03 | 4.72 | 2.80 | |
| Debt to Equity (including Operating Lease Liability), Sector | ||||||
| Chemicals | 0.82 | 0.74 | 0.73 | 0.57 | 0.54 | |
| Debt to Equity (including Operating Lease Liability), Industry | ||||||
| Materials | 0.74 | 0.70 | 0.72 | 0.60 | 0.61 | |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Total Linde plc shareholders’ equity
= 22,609 ÷ 38,092 = 0.59
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Linde plc debt to equity ratio (including operating lease liability) deteriorated from 2022 to 2023 and from 2023 to 2024. |
Debt to Capital
Linde plc, debt to capital calculation, comparison to benchmarks
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Short-term debt | 4,223) | 4,713) | 4,117) | 1,163) | 3,251) | |
| Current portion of long-term debt | 2,057) | 1,263) | 1,599) | 1,709) | 751) | |
| Current finance lease liabilities | 54) | 50) | 42) | 47) | 38) | |
| Long-term debt, excluding current portion | 15,343) | 13,397) | 12,198) | 11,335) | 12,152) | |
| Long-term finance lease liabilities | 150) | 143) | 114) | 129) | 125) | |
| Total debt | 21,827) | 19,566) | 18,070) | 14,383) | 16,317) | |
| Total Linde plc shareholders’ equity | 38,092) | 39,720) | 40,028) | 44,035) | 47,317) | |
| Total capital | 59,919) | 59,286) | 58,098) | 58,418) | 63,634) | |
| Solvency Ratio | ||||||
| Debt to capital1 | 0.36 | 0.33 | 0.31 | 0.25 | 0.26 | |
| Benchmarks | ||||||
| Debt to Capital, Competitors2 | ||||||
| Sherwin-Williams Co. | 0.71 | 0.73 | 0.77 | 0.80 | 0.70 | |
| Debt to Capital, Sector | ||||||
| Chemicals | 0.43 | 0.40 | 0.40 | 0.34 | 0.33 | |
| Debt to Capital, Industry | ||||||
| Materials | 0.41 | 0.39 | 0.40 | 0.36 | 0.36 | |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
Debt to capital = Total debt ÷ Total capital
= 21,827 ÷ 59,919 = 0.36
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Linde plc debt to capital ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |
Debt to Capital (including Operating Lease Liability)
Linde plc, debt to capital (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Short-term debt | 4,223) | 4,713) | 4,117) | 1,163) | 3,251) | |
| Current portion of long-term debt | 2,057) | 1,263) | 1,599) | 1,709) | 751) | |
| Current finance lease liabilities | 54) | 50) | 42) | 47) | 38) | |
| Long-term debt, excluding current portion | 15,343) | 13,397) | 12,198) | 11,335) | 12,152) | |
| Long-term finance lease liabilities | 150) | 143) | 114) | 129) | 125) | |
| Total debt | 21,827) | 19,566) | 18,070) | 14,383) | 16,317) | |
| Current operating lease liabilities | 176) | 177) | 181) | 215) | 237) | |
| Long-term operating lease liabilities | 606) | 572) | 540) | 618) | 669) | |
| Total debt (including operating lease liability) | 22,609) | 20,315) | 18,791) | 15,216) | 17,223) | |
| Total Linde plc shareholders’ equity | 38,092) | 39,720) | 40,028) | 44,035) | 47,317) | |
| Total capital (including operating lease liability) | 60,701) | 60,035) | 58,819) | 59,251) | 64,540) | |
| Solvency Ratio | ||||||
| Debt to capital (including operating lease liability)1 | 0.37 | 0.34 | 0.32 | 0.26 | 0.27 | |
| Benchmarks | ||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | ||||||
| Sherwin-Williams Co. | 0.75 | 0.76 | 0.80 | 0.83 | 0.74 | |
| Debt to Capital (including Operating Lease Liability), Sector | ||||||
| Chemicals | 0.45 | 0.43 | 0.42 | 0.36 | 0.35 | |
| Debt to Capital (including Operating Lease Liability), Industry | ||||||
| Materials | 0.43 | 0.41 | 0.42 | 0.38 | 0.38 | |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 22,609 ÷ 60,701 = 0.37
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Linde plc debt to capital ratio (including operating lease liability) deteriorated from 2022 to 2023 and from 2023 to 2024. |
Debt to Assets
Linde plc, debt to assets calculation, comparison to benchmarks
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Short-term debt | 4,223) | 4,713) | 4,117) | 1,163) | 3,251) | |
| Current portion of long-term debt | 2,057) | 1,263) | 1,599) | 1,709) | 751) | |
| Current finance lease liabilities | 54) | 50) | 42) | 47) | 38) | |
| Long-term debt, excluding current portion | 15,343) | 13,397) | 12,198) | 11,335) | 12,152) | |
| Long-term finance lease liabilities | 150) | 143) | 114) | 129) | 125) | |
| Total debt | 21,827) | 19,566) | 18,070) | 14,383) | 16,317) | |
| Total assets | 80,147) | 80,811) | 79,658) | 81,605) | 88,229) | |
| Solvency Ratio | ||||||
| Debt to assets1 | 0.27 | 0.24 | 0.23 | 0.18 | 0.18 | |
| Benchmarks | ||||||
| Debt to Assets, Competitors2 | ||||||
| Sherwin-Williams Co. | 0.43 | 0.43 | 0.47 | 0.47 | 0.41 | |
| Debt to Assets, Sector | ||||||
| Chemicals | 0.31 | 0.28 | 0.28 | 0.23 | 0.23 | |
| Debt to Assets, Industry | ||||||
| Materials | 0.26 | 0.25 | 0.26 | 0.22 | 0.23 | |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
Debt to assets = Total debt ÷ Total assets
= 21,827 ÷ 80,147 = 0.27
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Linde plc debt to assets ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |
Debt to Assets (including Operating Lease Liability)
Linde plc, debt to assets (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Short-term debt | 4,223) | 4,713) | 4,117) | 1,163) | 3,251) | |
| Current portion of long-term debt | 2,057) | 1,263) | 1,599) | 1,709) | 751) | |
| Current finance lease liabilities | 54) | 50) | 42) | 47) | 38) | |
| Long-term debt, excluding current portion | 15,343) | 13,397) | 12,198) | 11,335) | 12,152) | |
| Long-term finance lease liabilities | 150) | 143) | 114) | 129) | 125) | |
| Total debt | 21,827) | 19,566) | 18,070) | 14,383) | 16,317) | |
| Current operating lease liabilities | 176) | 177) | 181) | 215) | 237) | |
| Long-term operating lease liabilities | 606) | 572) | 540) | 618) | 669) | |
| Total debt (including operating lease liability) | 22,609) | 20,315) | 18,791) | 15,216) | 17,223) | |
| Total assets | 80,147) | 80,811) | 79,658) | 81,605) | 88,229) | |
| Solvency Ratio | ||||||
| Debt to assets (including operating lease liability)1 | 0.28 | 0.25 | 0.24 | 0.19 | 0.20 | |
| Benchmarks | ||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | ||||||
| Sherwin-Williams Co. | 0.51 | 0.51 | 0.55 | 0.56 | 0.50 | |
| Debt to Assets (including Operating Lease Liability), Sector | ||||||
| Chemicals | 0.33 | 0.31 | 0.31 | 0.26 | 0.25 | |
| Debt to Assets (including Operating Lease Liability), Industry | ||||||
| Materials | 0.28 | 0.27 | 0.28 | 0.24 | 0.25 | |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 22,609 ÷ 80,147 = 0.28
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Linde plc debt to assets ratio (including operating lease liability) deteriorated from 2022 to 2023 and from 2023 to 2024. |
Financial Leverage
Linde plc, financial leverage calculation, comparison to benchmarks
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Total assets | 80,147) | 80,811) | 79,658) | 81,605) | 88,229) | |
| Total Linde plc shareholders’ equity | 38,092) | 39,720) | 40,028) | 44,035) | 47,317) | |
| Solvency Ratio | ||||||
| Financial leverage1 | 2.10 | 2.03 | 1.99 | 1.85 | 1.86 | |
| Benchmarks | ||||||
| Financial Leverage, Competitors2 | ||||||
| Sherwin-Williams Co. | 5.83 | 6.18 | 7.28 | 8.48 | 5.65 | |
| Financial Leverage, Sector | ||||||
| Chemicals | 2.46 | 2.39 | 2.37 | 2.20 | 2.13 | |
| Financial Leverage, Industry | ||||||
| Materials | 2.66 | 2.60 | 2.61 | 2.49 | 2.47 | |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
Financial leverage = Total assets ÷ Total Linde plc shareholders’ equity
= 80,147 ÷ 38,092 = 2.10
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Linde plc financial leverage ratio increased from 2022 to 2023 and from 2023 to 2024. |
Interest Coverage
Linde plc, interest coverage calculation, comparison to benchmarks
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income, Linde plc | 6,565) | 6,199) | 4,147) | 3,826) | 2,501) | |
| Add: Net income attributable to noncontrolling interest | 172) | 142) | 134) | 135) | 125) | |
| Less: Income from discontinued operations, net of tax | —) | —) | —) | 5) | 4) | |
| Add: Income tax expense | 2,002) | 1,814) | 1,434) | 1,262) | 847) | |
| Add: Interest expense | 484) | 397) | 180) | 117) | 170) | |
| Earnings before interest and tax (EBIT) | 9,223) | 8,552) | 5,895) | 5,335) | 3,639) | |
| Solvency Ratio | ||||||
| Interest coverage1 | 19.06 | 21.54 | 32.75 | 45.60 | 21.41 | |
| Benchmarks | ||||||
| Interest Coverage, Competitors2 | ||||||
| Sherwin-Williams Co. | 9.30 | 8.45 | 7.58 | 7.72 | 8.40 | |
| Interest Coverage, Sector | ||||||
| Chemicals | 14.55 | 14.83 | 15.52 | 17.53 | 12.73 | |
| Interest Coverage, Industry | ||||||
| Materials | 16.68 | 14.00 | 14.30 | 15.36 | 8.03 | |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
Interest coverage = EBIT ÷ Interest expense
= 9,223 ÷ 484 = 19.06
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Linde plc interest coverage ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |
Fixed Charge Coverage
Linde plc, fixed charge coverage calculation, comparison to benchmarks
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income, Linde plc | 6,565) | 6,199) | 4,147) | 3,826) | 2,501) | |
| Add: Net income attributable to noncontrolling interest | 172) | 142) | 134) | 135) | 125) | |
| Less: Income from discontinued operations, net of tax | —) | —) | —) | 5) | 4) | |
| Add: Income tax expense | 2,002) | 1,814) | 1,434) | 1,262) | 847) | |
| Add: Interest expense | 484) | 397) | 180) | 117) | 170) | |
| Earnings before interest and tax (EBIT) | 9,223) | 8,552) | 5,895) | 5,335) | 3,639) | |
| Add: Lease and rental expenses related to operating lease right of use assets | 303) | 284) | 284) | 317) | 341) | |
| Earnings before fixed charges and tax | 9,526) | 8,836) | 6,179) | 5,652) | 3,980) | |
| Interest expense | 484) | 397) | 180) | 117) | 170) | |
| Lease and rental expenses related to operating lease right of use assets | 303) | 284) | 284) | 317) | 341) | |
| Fixed charges | 787) | 681) | 464) | 434) | 511) | |
| Solvency Ratio | ||||||
| Fixed charge coverage1 | 12.10 | 12.98 | 13.32 | 13.02 | 7.79 | |
| Benchmarks | ||||||
| Fixed Charge Coverage, Competitors2 | ||||||
| Sherwin-Williams Co. | 4.53 | 4.29 | 3.90 | 3.77 | 4.13 | |
| Fixed Charge Coverage, Sector | ||||||
| Chemicals | 7.91 | 7.92 | 7.13 | 6.99 | 5.55 | |
| Fixed Charge Coverage, Industry | ||||||
| Materials | 9.98 | 8.89 | 8.68 | 8.75 | 4.84 | |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 9,526 ÷ 787 = 12.10
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Linde plc fixed charge coverage ratio deteriorated from 2022 to 2023 and from 2023 to 2024. |