Stock Analysis on Net

Linde plc (NASDAQ:LIN)

$24.99

Debt to Equity
since 2005

Microsoft Excel

Calculation

Linde plc, debt to equity, long-term trends, calculation

Microsoft Excel

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), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).

1 US$ in millions


The financial data over the analyzed period shows significant fluctuations and notable trends in debt levels, equity, and the debt-to-equity ratio.

Total Debt and Finance Lease Liabilities
The total debt steadily increased from US$ 3,447 million in 2005 to a peak of US$ 16,154 million in 2020. Notable increments occurred during 2013-2014 and 2017-2020, with the amount nearly doubling from 9,258 million in 2014 to over 15,296 million in 2018. After 2020, debt levels continued to rise, reaching US$ 21,623 million by 2024, indicating a growing reliance on borrowed funds over the period.
Total Shareholders' Equity
Shareholders’ equity demonstrated moderate growth initially, rising from US$ 3,902 million in 2005 to US$ 6,609 million in 2013, despite some volatility. However, from 2013 onwards, there was a dramatic upward shift reaching an extraordinary peak of US$ 51,596 million in 2018, followed by a gradual decline to around US$ 38,092 million by 2024. This abrupt increase and subsequent fall suggest material transactions or revaluations affecting equity during this period.
Debt to Equity Ratio
The debt-to-equity ratio showed substantial variability. It started below 1.0 at 0.88 in 2005, reflecting balanced leverage. The ratio increased to a high of 2.1 in 2015, highlighting greater indebtedness relative to equity. Following this peak, a significant drop occurred to 0.3 in 2017, aligned with the sharp rise in equity. Subsequently, from 2018 to 2024, the ratio gradually increased from 0.3 to 0.57, indicating a moderate rise in leverage but still maintained at more conservative levels compared to prior highs.

Overall, the data reflects periods of increased borrowing especially in the early 2010s, matched with elevated debt-to-equity ratios signifying higher financial risk. The extraordinary surge in equity around 2017-2018 substantially lowered leverage ratios, likely due to extraordinary capital events. Post-2018, the company’s leverage has increased moderately but remains below previous peak levels, suggesting a more balanced capital structure in recent years.


Comparison to Competitors


Comparison to Sector (Chemicals)


Comparison to Industry (Materials)