Company: LIN
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0001628280-25-047710
Chunk: 33

Company: LINDE PLC
Filing Date: 2025-10-31
Form: 10-Q
Item: Item 1
Chunk 33
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 $228 million and $57 million within other long-term assets in the condensed consolidated balance sheet). Total contract assets were $263 million at December 31, 2024, all classified as current contract assets in the condensed consolidated balance sheet. Total contract liabilities are $2,533 million at September 30, 2025 (current contract liabilities of $1,279 million and $1,254 million within other long-term liabilities in the condensed consolidated balance sheet). Total contract liabilities were $2,292 million at December 31, 2024 (current contract liabilities of $1,194 million and $1,098 million within other long-term liabilities in the condensed consolidated balance sheet). Revenue recognized for the nine months ended September 30, 2025 that was included in the contract liability at December 31, 2024 was $641 million. Contract assets and liabilities primarily relate to the Engineering business and customer prepayments for certain on-site supply agreements.Payment Terms and OtherLinde generally receives payment after performance obligations are satisfied, and customer prepayments are not typical for the industrial gases business. Payment terms vary based on the country where sales originate and local customary payment practices.  Linde does not offer extended financing outside of customary payment terms. Amounts billed for sales and use taxes, value-added taxes, and certain excise and other specific transactional taxes imposed on revenue producing transactions are presented on a net basis and are not included in sales within the consolidated statement of income. Additionally, sales returns and allowances are not a normal practice in the industry and are not significant.

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Disaggregated Revenue InformationAs described above and in Note 19 to Linde plc's 2024 Annual Report on Form 10-K, the company manages its industrial gases business on a geographic basis, while the Engineering and Other businesses are generally managed on a global basis. Furthermore, the company believes that reporting sales by distribution method by reportable geographic segment best illustrates the nature, timing, type of customer, and contract terms for its revenues, including terms and pricing.The following tables show sales by distribution method at the consolidated level and for each reportable segment and Other for the quarter and nine months ended September 30, 2025.(Millions of dollars)Quarter Ended September 30,SalesAmericasEMEAAPACEngineeringOtherTotal%2025Merchant$1,242 $736 $591 $— $50 $2,619 30 %On-Site893 424 717 —