Analysis of Solvency Ratios
Quarterly Data
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 (quarterly data)
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
An analysis of the solvency metrics indicates a consistent and sustained increase in leverage across all measured ratios from the first quarter of 2022 through the second quarter of 2026. The company exhibits a clear trend of increasing debt utilization relative to its equity, assets, and total capital structure.
- Debt to Equity
- A significant upward trend is observed, with the ratio rising from 0.38 in March 2022 to 0.72 by June 2026. This represents the most pronounced increase among the solvency metrics, indicating a substantial shift toward debt financing relative to shareholder equity.
- Debt to Capital
- The ratio demonstrates a steady progression from 0.28 to 0.42 over the analyzed period. While the increase is more gradual than the debt-to-equity metric, it confirms a persistent rise in the proportion of debt within the total capital mix.
- Debt to Assets
- A consistent increase is noted, moving from 0.20 in March 2022 to 0.32 in June 2026. This pattern suggests that a larger percentage of the total asset base is being financed through debt obligations over time.
- Financial Leverage
- The financial leverage ratio climbed from 1.93 to 2.26. This trajectory mirrors the other solvency indicators, reflecting a general increase in the use of borrowed funds to acquire assets and expand the balance sheet.
Overall, the data reveals a systematic increase in financial gearing. While minor fluctuations occurred—specifically during the second quarter of 2023—the long-term trajectory across all four indicators is positive, signaling a strategic or operational move toward a more leveraged capital structure.
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Debt Ratios
Debt to Equity
Linde plc, debt to equity calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Short-term debt | 4,861) | 4,822) | 4,510) | 4,962) | 4,879) | 4,465) | 4,223) | 3,509) | 3,326) | 4,046) | 4,713) | 3,849) | 3,018) | 5,337) | 4,117) | 3,179) | 3,215) | 2,549) | ||||||
| Current portion of long-term debt | 2,474) | 1,636) | 1,796) | 2,371) | 1,340) | 1,824) | 2,057) | 1,278) | 1,261) | 1,046) | 1,263) | 922) | 944) | 1,696) | 1,599) | 1,551) | 1,651) | 1,074) | ||||||
| Long-term debt, excluding current portion | 20,678) | 19,859) | 20,683) | 18,592) | 19,701) | 17,608) | 15,343) | 17,475) | 16,931) | 15,227) | 13,397) | 13,232) | 13,528) | 11,744) | 12,198) | 10,608) | 11,177) | 12,833) | ||||||
| Total debt | 28,013) | 26,317) | 26,989) | 25,925) | 25,920) | 23,897) | 21,623) | 22,262) | 21,518) | 20,319) | 19,373) | 18,003) | 17,490) | 18,777) | 17,914) | 15,338) | 16,043) | 16,456) | ||||||
| Total Linde plc shareholders’ equity | 39,081) | 38,566) | 38,245) | 38,616) | 38,515) | 38,032) | 38,092) | 39,173) | 38,179) | 38,829) | 39,720) | 38,898) | 39,911) | 39,970) | 40,028) | 37,628) | 39,674) | 42,963) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Debt to equity1 | 0.72 | 0.68 | 0.71 | 0.67 | 0.67 | 0.63 | 0.57 | 0.57 | 0.56 | 0.52 | 0.49 | 0.46 | 0.44 | 0.47 | 0.45 | 0.41 | 0.40 | 0.38 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Debt to Equity, Competitors2 | ||||||||||||||||||||||||
| Sherwin-Williams Co. | 3.13 | 2.64 | 2.36 | 2.60 | 2.43 | 2.61 | 2.44 | 2.44 | 2.76 | 3.06 | 2.65 | 2.63 | 2.86 | 3.50 | 3.41 | 4.06 | 4.77 | 4.74 | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Debt to equity = Total debt ÷ Total Linde plc shareholders’ equity
= 28,013 ÷ 39,081 = 0.72
2 Click competitor name to see calculations.
An analysis of the solvency position from March 31, 2022, through June 30, 2026, reveals a consistent upward trend in financial leverage. The company experienced a steady increase in its reliance on borrowed capital relative to its equity base, leading to a significant rise in the debt-to-equity ratio over the observed period.
- Total Debt Progression
- Total debt exhibited a strong growth trajectory, rising from 16,456 million US$ in March 2022 to 28,013 million US$ by June 2026. While there were minor fluctuations, such as a dip to 15,338 million US$ in September 2022, the overarching trend is one of substantial expansion in total liabilities.
- Shareholders' Equity Stability
- Total shareholders' equity remained relatively stagnant, fluctuating within a narrow range between 37,628 million US$ and 42,963 million US$. The equity base did not grow proportionally with the debt, which contributed directly to the increasing leverage ratios.
- Debt to Equity Ratio Dynamics
- The debt-to-equity ratio nearly doubled over the analyzed timeframe, starting at 0.38 in March 2022 and reaching 0.72 by June 2026. A notable acceleration in this ratio is observed starting in March 2024 (0.52), moving steadily upward to 0.72, indicating a more aggressive capital structure and a higher proportion of debt financing relative to owner's equity.
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Debt to Capital
Linde plc, debt to capital calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Short-term debt | 4,861) | 4,822) | 4,510) | 4,962) | 4,879) | 4,465) | 4,223) | 3,509) | 3,326) | 4,046) | 4,713) | 3,849) | 3,018) | 5,337) | 4,117) | 3,179) | 3,215) | 2,549) | ||||||
| Current portion of long-term debt | 2,474) | 1,636) | 1,796) | 2,371) | 1,340) | 1,824) | 2,057) | 1,278) | 1,261) | 1,046) | 1,263) | 922) | 944) | 1,696) | 1,599) | 1,551) | 1,651) | 1,074) | ||||||
| Long-term debt, excluding current portion | 20,678) | 19,859) | 20,683) | 18,592) | 19,701) | 17,608) | 15,343) | 17,475) | 16,931) | 15,227) | 13,397) | 13,232) | 13,528) | 11,744) | 12,198) | 10,608) | 11,177) | 12,833) | ||||||
| Total debt | 28,013) | 26,317) | 26,989) | 25,925) | 25,920) | 23,897) | 21,623) | 22,262) | 21,518) | 20,319) | 19,373) | 18,003) | 17,490) | 18,777) | 17,914) | 15,338) | 16,043) | 16,456) | ||||||
| Total Linde plc shareholders’ equity | 39,081) | 38,566) | 38,245) | 38,616) | 38,515) | 38,032) | 38,092) | 39,173) | 38,179) | 38,829) | 39,720) | 38,898) | 39,911) | 39,970) | 40,028) | 37,628) | 39,674) | 42,963) | ||||||
| Total capital | 67,094) | 64,883) | 65,234) | 64,541) | 64,435) | 61,929) | 59,715) | 61,435) | 59,697) | 59,148) | 59,093) | 56,901) | 57,401) | 58,747) | 57,942) | 52,966) | 55,717) | 59,419) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Debt to capital1 | 0.42 | 0.41 | 0.41 | 0.40 | 0.40 | 0.39 | 0.36 | 0.36 | 0.36 | 0.34 | 0.33 | 0.32 | 0.30 | 0.32 | 0.31 | 0.29 | 0.29 | 0.28 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Debt to Capital, Competitors2 | ||||||||||||||||||||||||
| Sherwin-Williams Co. | 0.76 | 0.73 | 0.70 | 0.72 | 0.71 | 0.72 | 0.71 | 0.71 | 0.73 | 0.75 | 0.73 | 0.72 | 0.74 | 0.78 | 0.77 | 0.80 | 0.83 | 0.83 | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Debt to capital = Total debt ÷ Total capital
= 28,013 ÷ 67,094 = 0.42
2 Click competitor name to see calculations.
An analysis of solvency indicates a consistent increase in financial leverage over the period from March 2022 through June 2026. The trajectory is characterized by a steady rise in total debt that has significantly outpaced the growth of total capital, resulting in a higher proportion of debt within the overall capital structure.
- Total Debt Evolution
- Total debt experienced a substantial upward trend, rising from 16,456 million USD in March 2022 to 28,013 million USD by June 2026. While there were minor fluctuations in 2022, the growth became more pronounced from 2024 onwards, with a notable acceleration observed between March 2025 and June 2025.
- Total Capital Dynamics
- Total capital demonstrated a more moderate growth pattern. After an initial decline from 59,419 million USD in March 2022 to a low of 52,966 million USD in September 2022, the figure recovered and grew to 67,094 million USD by June 2026. The slower growth rate of total capital relative to debt contributed directly to the increasing leverage ratio.
- Debt to Capital Ratio Analysis
- The debt to capital ratio climbed from 0.28 in March 2022 to 0.42 by June 2026. The ratio remained relatively stable, fluctuating between 0.28 and 0.33 during the 2022 and 2023 fiscal years. However, starting in 2024, a consistent quarterly increase is observed, moving from 0.34 to 0.42. This trend indicates a systematic shift toward a more leveraged financial position over the observed timeframe.
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Debt to Assets
Linde plc, debt to assets calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Short-term debt | 4,861) | 4,822) | 4,510) | 4,962) | 4,879) | 4,465) | 4,223) | 3,509) | 3,326) | 4,046) | 4,713) | 3,849) | 3,018) | 5,337) | 4,117) | 3,179) | 3,215) | 2,549) | ||||||
| Current portion of long-term debt | 2,474) | 1,636) | 1,796) | 2,371) | 1,340) | 1,824) | 2,057) | 1,278) | 1,261) | 1,046) | 1,263) | 922) | 944) | 1,696) | 1,599) | 1,551) | 1,651) | 1,074) | ||||||
| Long-term debt, excluding current portion | 20,678) | 19,859) | 20,683) | 18,592) | 19,701) | 17,608) | 15,343) | 17,475) | 16,931) | 15,227) | 13,397) | 13,232) | 13,528) | 11,744) | 12,198) | 10,608) | 11,177) | 12,833) | ||||||
| Total debt | 28,013) | 26,317) | 26,989) | 25,925) | 25,920) | 23,897) | 21,623) | 22,262) | 21,518) | 20,319) | 19,373) | 18,003) | 17,490) | 18,777) | 17,914) | 15,338) | 16,043) | 16,456) | ||||||
| Total assets | 88,349) | 86,315) | 86,817) | 85,993) | 86,078) | 82,704) | 80,147) | 82,546) | 80,215) | 80,347) | 80,811) | 77,827) | 78,718) | 80,308) | 79,658) | 74,323) | 77,885) | 82,767) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Debt to assets1 | 0.32 | 0.30 | 0.31 | 0.30 | 0.30 | 0.29 | 0.27 | 0.27 | 0.27 | 0.25 | 0.24 | 0.23 | 0.22 | 0.23 | 0.22 | 0.21 | 0.21 | 0.20 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Debt to Assets, Competitors2 | ||||||||||||||||||||||||
| Sherwin-Williams Co. | 0.45 | 0.44 | 0.42 | 0.44 | 0.42 | 0.44 | 0.42 | 0.42 | 0.44 | 0.46 | 0.43 | 0.43 | 0.45 | 0.48 | 0.47 | 0.47 | 0.48 | 0.49 | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Debt to assets = Total debt ÷ Total assets
= 28,013 ÷ 88,349 = 0.32
2 Click competitor name to see calculations.
A consistent upward trend in the solvency ratio is observed between March 2022 and June 2026. The proportion of total assets financed by debt has steadily increased, indicating a shift toward a more leveraged capital structure over the analyzed period.
- Total Debt Evolution
- Total debt exhibited a significant growth trajectory, rising from 16,456 million US dollars in March 2022 to 28,013 million US dollars by June 2026. While minor fluctuations occurred, such as a slight decline between June and September 2022, the overarching movement was aggressively upward, particularly accelerating after December 2023.
- Asset Base Performance
- Total assets demonstrated greater relative stability compared to debt obligations. The asset base started at 82,767 million US dollars in March 2022, experienced a contraction to a low of 74,323 million US dollars in September 2022, and subsequently recovered to reach 88,349 million US dollars by June 2026. This indicates a slower rate of asset expansion relative to the accumulation of debt.
- Debt to Assets Ratio Analysis
- The Debt to Assets ratio increased monotonically from 0.20 in March 2022 to 0.32 in June 2026. This gradual climb reflects a steady increase in financial leverage, as debt grew at a significantly faster pace than total assets. The ratio remained relatively stable around 0.20 to 0.23 during 2022 and early 2023, before entering a period of more pronounced growth that led to the 0.32 peak in mid-2026.
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Financial Leverage
Linde plc, financial leverage calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Total assets | 88,349) | 86,315) | 86,817) | 85,993) | 86,078) | 82,704) | 80,147) | 82,546) | 80,215) | 80,347) | 80,811) | 77,827) | 78,718) | 80,308) | 79,658) | 74,323) | 77,885) | 82,767) | ||||||
| Total Linde plc shareholders’ equity | 39,081) | 38,566) | 38,245) | 38,616) | 38,515) | 38,032) | 38,092) | 39,173) | 38,179) | 38,829) | 39,720) | 38,898) | 39,911) | 39,970) | 40,028) | 37,628) | 39,674) | 42,963) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Financial leverage1 | 2.26 | 2.24 | 2.27 | 2.23 | 2.23 | 2.17 | 2.10 | 2.11 | 2.10 | 2.07 | 2.03 | 2.00 | 1.97 | 2.01 | 1.99 | 1.98 | 1.96 | 1.93 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Financial Leverage, Competitors2 | ||||||||||||||||||||||||
| Sherwin-Williams Co. | 6.99 | 5.95 | 5.63 | 5.92 | 5.76 | 5.97 | 5.83 | 5.77 | 6.33 | 6.69 | 6.18 | 6.09 | 6.38 | 7.30 | 7.28 | 8.56 | 9.91 | 9.73 | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Financial leverage = Total assets ÷ Total Linde plc shareholders’ equity
= 88,349 ÷ 39,081 = 2.26
2 Click competitor name to see calculations.
An analysis of the solvency indicators reveals a steady increase in financial leverage over the observed period from March 2022 to June 2026. The capital structure has shifted toward a higher proportion of liabilities relative to equity, indicating an increasing reliance on external financing to support the balance sheet.
- Total Asset Evolution
- Total assets experienced an initial contraction throughout 2022, reaching a minimum of US$ 74,323 million in September 2022. This was followed by a period of relative stability through 2023 and 2024. A sustained growth trajectory emerged in 2025, with assets increasing from US$ 82,704 million in December 2024 to US$ 88,349 million by June 2026.
- Shareholders' Equity Trends
- Equity levels declined from US$ 42,963 million in March 2022 to a low of US$ 37,628 million in September 2022. Following this decline, shareholders' equity remained largely stagnant, fluctuating within a narrow range between US$ 38,000 million and US$ 40,000 million for the remainder of the period, ending at US$ 39,081 million in June 2026.
- Financial Leverage Analysis
- The financial leverage ratio demonstrated a consistent upward trend, rising from 1.93 in March 2022 to 2.26 by June 2026. The ratio surpassed the 2.00 threshold in early 2023 and continued to climb as the growth in total assets outpaced the growth in equity. This divergence is most pronounced between March 2025 and June 2026, where the ratio increased from 2.17 to 2.26, confirming that asset expansion during this phase was funded primarily through debt rather than equity contributions.
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