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Linde PLC shareholders approve executive pay and auditor

Published 02/08/2024, 22:18
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Linde PLC (NYSE:LIN), a leading industrial gas company, announced the results of its Annual General Meeting (AGM), which took place on Monday. Shareholders voted on several key issues, including the election of directors, ratification of the company's independent auditor, executive compensation, and the re-allotment price range for treasury shares.

The AGM saw all ten director nominees elected to serve until the 2025 annual general meeting, with the majority receiving over 95% approval from the votes cast. Among them, Sanjiv Lamba and Paula Rosput Reynolds had the highest approval rates, with 99.81% and 99.78%, respectively.

In addition, shareholders ratified the appointment of PricewaterhouseCoopers (PWC) as the independent auditor with 93.06% of votes in favor. The board, acting through the Audit Committee, was also authorized to determine PWC’s remuneration, with a 98.17% approval rate.

The compensation of Linde's Named Executive Officers was approved on an advisory and non-binding basis, with 92.53% of votes in favor.

Lastly, a proposal to determine the price range at which Linde can re-allot shares that it acquires as treasury shares under Irish law was overwhelmingly approved, with 99.63% of votes in favor.

The total number of shares present or represented by proxy at the AGM was 404,887,136, constituting an 84.22% quorum.

Linde's focus on governance issues reflects its commitment to transparency and shareholder engagement. The results of these votes are based on the information provided in a recent SEC filing.

In other recent news, Linde PLC reported record second-quarter earnings per share (EPS) of $3.85, reflecting a robust operating margin of 29.3% and a return on capital at 25.7%. Despite a stagnant year-on-year volume trend, the company experienced a 3% sequential volume growth. The company's diverse portfolio, including sectors such as food and beverage, electronics, chemicals, energy, and manufacturing, played a significant role in this performance. However, slight declines were noted in healthcare and metals and mining sectors.

The company's executives have projected a full-year EPS guidance between $15.40 and $15.60, assuming no change in the economic climate. Linde's backlog stands at $7.9 billion, with projects worth between $1.5 billion to $2 billion expected in the first half of the year, indicating potential growth.

These recent developments indicate Linde's financial discipline and strategic positioning in navigating the current economic environment. The company's focus on growth sectors and prudent capital management, including share repurchases, are expected to maintain its industry-leading performance, as per the company's executives and analyst notes.

InvestingPro Insights

Linde PLC (NYSE:LIN) continues to demonstrate solid financial performance and shareholder commitment, as reflected in recent data and insights from InvestingPro. With a Price/Earnings (P/E) ratio of 34.65, Linde trades at a high earnings multiple, indicating investor confidence in its future earnings potential. The company's Price/Book (P/B) ratio stands at 5.62, suggesting a premium valuation compared to book value, which is often the case for industry leaders with robust growth prospects.

InvestingPro Tips highlight Linde's exceptional track record of maintaining and increasing dividend payments, with 33 consecutive years of dividend stability. This is a testament to the company's consistent cash flow generation, which is robust enough to cover interest payments comfortably. Moreover, analysts remain optimistic about Linde's profitability, expecting the company to remain profitable in the upcoming year. This aligns with the company's latest gross profit margin of 47.26%, showcasing its ability to maintain high profitability levels.

For investors seeking more detailed analysis and additional insights, there are over 11 further InvestingPro Tips available for Linde, which can be explored for a comprehensive investment perspective.

These insights, combined with the strong approval ratings from the recent AGM, underline Linde's position as a prominent player in the Chemicals industry. The company's commitment to governance and shareholder value is clear, and the financial metrics suggest a stable and potentially rewarding investment profile.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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