Germany: Linde Group Q1 Revenues Up 5.4 Pct

The technology company The Linde Group continued to see profitable growth in the first quarter of 2012, with increases in Group revenue and Group operating profit.

Highlights:

• Group revenue up 5.4 percent to EUR 3.505 bn
• Group operating profit increases by 6.2 percent to EUR 808 m
• Group operating margin rises to 23.1 percent (2011: 22.9 percent)

Short-term and medium-term Group outlook confirmed:

•    2012: Increase in revenue and operating profit expected
•    2014: Targets for operating profit1 of at least EUR 4 bn and ROCE2 of at least 14 percent

“We have made a good start to the new financial year and are confident of meeting our targets,” said Professor Dr Wolfgang Reitzle, Chief Executive Officer of Linde AG. “Even if global economic trends are not as dynamic in 2012 as in 2011, we continue to assume that we will achieve increases in Group revenue and Group operating profit when compared with the prior year.”

Linde believes that it is also on track for the coming years. “We stand for continuity and reliability and are pleased to confirm our medium-term targets,” declared CEO Reitzle. “In the 2014 financial year, we will be aiming to generate Group operating profit of at least EUR 4 bn and ROCE (return on capital employed) of at least 14 percent.”

In the first quarter of 2012, Group revenue rose by 5.4 percent to EUR 3.505 bn, compared with EUR 3.325 bn for the first three months of 2011. After adjusting for exchange rate effects, the increase in revenue was 3.1 percent. Linde increased Group operating profit by 6.2 percent to EUR 808 m (2011: EUR 761 m), partly as a result of the rigorous implementation of its HPO (High Performance Organisation) programme, a holistic concept for sustainable process optimisation and productivity gains. The Group operating margin rose by 20 basis points as a result, to 23.1 percent (2011: 22.9 percent).

Profit for the period increased slightly in the first quarter of 2012, by 1.7 percent to EUR 308 m (2011: EUR 303 m). It should be noted here that positive one-off items contributed to the high figure for the first quarter of 2011. Profit attributable to Linde AG shareholders was EUR 287 m (2011: EUR 284 m). This gives earnings per share of EUR 1.68 (2011: EUR 1.67). On an adjusted basis, i.e. after adjusting for the effects of the purchase price allocation from the BOC acquisition, earnings per share stood at EUR 1.89 (2011: EUR 1.88).

[mappress]
LNG World News Staff, May 4, 2012