Fourth Quarter 2023 Earnings Report slide image

Fourth Quarter 2023 Earnings Report

Non-GAAP Measures, continued Linde LINDE PLC AND SUBSIDIARIES APPENDIX NON-GAAP MEASURES AND RECONCILIATIONS (UNAUDITED) The following Non-GAAP measures are intended to supplement investors' understanding of the company's financial information by providing measures which investors, financial analysts and management use to help evaluate the company's operating performance and liquidity. Items which the company does not believe to be indicative of on-going business trends are excluded from these calculations so that investors can better evaluate and analyze historical and future business trends on a consistent basis. Definitions of these Non-GAAP measures may not be comparable to similar definitions used by other companies and are not a substitute for similar GAAP measures. (Millions of dollars, except per share data) Year to Date December 31, Q4 2022 2023 Q3 Q2 Q1 Year to Date December 31, Q4 Q3 Q2 Q1 Adjusted Operating Profit and Operating Margin Reported operating profit $ Add: Other charges (a) 8,024 $ 40 2,028 $ 2,052 $ (2) 2 2,011 $ 22 1,933 18 $ 5,369 $ 1,029 1,687 $ 25 1,613 $ 15 589 $ 993 1,480 (4) Add: Pension settlement charges Add: Purchase accounting impacts - Linde AG (c) Total adjustments Adjusted operating profit Reported percentage change Adjusted percentage change Reported sales Reported operating margin Adjusted operating margin 1,006 246 252 253 255 1,506 289 382 406 429 1,046 244 254 275 273 2,535 314 397 1,399 425 $ 9,070 $ 2,272 $ 2,306 $ 2,286 $ 2,206 $ 7,904 $ 2,001 $ 2,010 $ 1,988 $ 1,905 49 % 15% 20% 14 % 27% 15% 241 % 15% 31 % 16% 8% 10% 26% 9% 25% 11 % (48)% 22% 8% 13% $ 32,854 $ 8,302 $ 8,155 $ 8,204 $ 8,193 $ 33,364 $ 7,899 $ 8,797 $ 8,457 $ 8,211 24.4 % 24.4% 25.2 % 27.6% 27.4 % 28.3 % 24.5% 27.9% 23.6% 26.9% 16.1 % 23.7 % 21.4 % 25.3% 18.3% 22.8% 7.0% 23.5% 18.0 % 23.2% Adjusted Depreciation and amortization Reported depreciation and amortization $ 3,816 $ 949 $ 959 $ 960 $ 948 $ 4,204 $ 956 $ Less: Purchase accounting impacts - Linde AG (c) (991) (241) (249) (251) (250) (1,481) (285) 1,045 $ (377) $ 1,091 $ 1,112 (401) Adjusted depreciation and amortization $ 2,825 $ 708 $ 710 $ 709 $ 698 $ 2,723 $ 671 $ 668 $ 690 $ (418) 694 Adjusted Other Income (Expense) - net Reported Other Income (Expense) - net $ (41) $ (25) $ 16 $ (27) (5) S (62) $ (4) $ (34) $ (36) $ 12 Add: Purchase accounting impacts - Linde AG (c) (15) (5) (3) (2) (5) (25) (4) (5) (5) (11) Adjusted Other Income (Expense) - net (26) $ (20) $ 19 $ (25) $ (37) $ - S (29) $ (31) $ 23 23
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