Company: LIN
Filing Date: 2025-08-01
Form Type: 10-Q
Source: 0001628280-25-037164
Chunk: 88

Company: LINDE PLC
Filing Date: 2025-08-01
Form: 10-Q
Item: Item 2
Chunk 88
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5. Cost of sales, exclusive of depreciation and amortization was 50.7% and 51.0% of sales for the second quarter and six months ended June 30, 2025, respectively, versus 51.4% and 51.7% for the respective 2024 periods. The decrease as a percentage of sales in the quarter and year to date was primarily due to higher pricing and productivity gains.

Selling, general and administrative expenses

Selling, general and administrative expense ("SG&A") increased $30 million, or 4%, for the second quarter of 2025 and decreased $44 million, or 3%, for the six months ended June 30, 2025. SG&A was 10.2% of second quarter sales and 10.0% of sales for the six months ended June 30, 2025 versus 10.2% and 10.4% of sales for the respective 2024 periods. Currency impacts decreased SG&A approximately $15 million for the six months ended June 30, 2025. SG&A increased during the 

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second quarter of 2025 due to higher costs and decreased for the six months ended June 30, 2025, excluding foreign currency impacts, due to lower costs, savings from cost reduction programs, and productivity initiatives. 

Depreciation and amortization

Reported depreciation and amortization expense decreased $16 million, or 2%, for the second quarter of 2025 and decreased $55 million, or 3%, in the six months ended June 30, 2025, primarily due to lower depreciation and amortization of assets acquired in the merger, partially offset by the net impact of new project start-ups.

On an adjusted basis, depreciation and amortization increased $23 million, or 3%, for the second quarter of 2025 and increased $33 million, or 2%, for the six months ended June 30, 2025. Currency impacts decreased depreciation and amortization by $12 million for the six months ended June 30, 2025. Excluding currency, for the quarter and year-to-date periods, the underlying depreciation and amortization increase was driven largely by new project start-ups.

Cost reduction program and other charges

There were no cost reduction program and other charges for the second quarter of 2025. For the six months ended June 30, 2025, cost reduction program and other charges of $55 million primarily related to sever