Overview

Overview

Included in the group management report of the Annual Report 2016
 (XLS:) Download

Financials, Compliance and Innovation1

Financial indicatorsLagebericht 2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2016

 

2015

 

2014

 

2013

 

2012

Share

 

 

 

 

 

 

 

 

 

 

 

Closing price

 

156.10

 

133.90

 

154.20

 

152.05

 

132.00

Year high

 

163.55

 

193.85

 

157.30

 

153.90

 

136.15

Year low

 

115.85

 

128.05

 

139.15

 

128.60

 

114.20

Market capitalisation (at year-end closing price)

€ million

 

28,978

 

24,857

 

28,625

 

28,219

 

24,445

No. of shares (at 31 December)

000s

 

185,638

 

185,638

 

185,638

 

185,588

 

185,189

Cash dividend per share

 

3.70

 

3.45

 

3.15

 

3.00

 

2.70

 

 

 

 

 

 

 

 

 

 

 

 

Group

 

 

 

 

 

 

 

 

 

 

 

Revenue

€ million

 

16,948

 

17,345

 

17,047

 

16,655

 

15,833

In Germany

%

 

7.2

 

7.5

 

7.4

 

7.9

 

8.2

Outside Germany

%

 

92.8

 

92.5

 

92.6

 

92.1

 

91.8

Operating profit2

€ million

 

4,098

 

4,087

 

3,920

 

3,966

 

3,686

Operating margin

%

 

24.2

 

23.6

 

23.0

 

23.8

 

23.3

EBIT

€ million

 

2,075

 

2,029

 

1,885

 

2,171

 

2,055

Profit for the year

€ million

 

1,206

 

1,133

 

1,162

 

1,430

 

1,341

 

 

 

 

 

 

 

 

 

 

 

 

Capital expenditure (excluding financial assets)

€ million

 

2,004

 

2,036

 

1,954

 

2,268

 

2,038

Equity ratio

%

 

44.0

 

43.7

 

41.4

 

41.5

 

39.8

Return on capital employed (ROCE)

%

 

9.4

 

9.5

 

9.5

 

9.7

 

10.2

 

 

 

 

 

 

 

 

 

 

 

 

Personnel expenses

€ bn

 

3.724

 

3.829

 

3.536

 

3.423

 

3.117

Personnel expenses (per employee)

1,000 €

 

62.4

 

64.1

 

53.9

 

53.9

 

49.7

Pension costs

€ million

 

248

 

278

 

293

 

281

 

241

Donations

€ million

 

2.7

 

2.4

 

2.8

 

2.7

 

2.8

 

 

 

 

 

 

 

 

 

 

 

 

Gases Division

 

 

 

 

 

 

 

 

 

 

 

Revenue

€ million

 

14,892

 

15,168

 

13,982

 

13,971

 

13,214

Operating profit2

€ million

 

4,210

 

4,151

 

3,835

 

3,846

 

3,566

Operating margin

%

 

28.3

 

27.4

 

27.4

 

27.5

 

27.0

 

 

 

 

 

 

 

 

 

 

 

 

Engineering Division

 

 

 

 

 

 

 

 

 

 

 

Revenue

€ million

 

2,351

 

2,594

 

3,074

 

2,879

 

2,561

Operating profit2

€ million

 

196

 

216

 

300

 

319

 

312

Operating margin

%

 

8.3

 

8.3

 

9.8

 

11.1

 

12.2

 (XLS:) Download

Compliance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2016

 

2015

 

2014

 

2013

 

2012

Contacts Integrity Line

 

 

348

 

300

 

734

 

393

 

309

Investigations as a result of reports to the Integrity Line

 

 

106

 

140

 

127

 

88

 

77

of which referring to personnel topics

%

 

30.1

 

25.7

 

26.8

 

36.4

 

42.9

of which referring to potential offences against property

%

 

30.7

 

26.4

 

32.3

 

33.0

 

24.7

of which referring to potential discrimination

%

 

1.3

 

2.8

 

1.6

 

2.3

 

2.6

of which referring to potential conflicts of interest

%

 

15.0

 

13.6

 

9.4

 

12.5

 

15.6

 (XLS:) Download

InnovationLagebericht 2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2016

 

2015

 

2014

 

2013

 

2012

Expenditure for research and development

€ million

 

121

 

131

 

106

 

92

 

101

Employees in the research and development field

 

 

345

 

348

 

390

 

367

 

385

New patents filed

 

 

360

 

287

 

260

 

263

 

269

 (XLS:) Download

Safety1

Production sites with occupational health and safety management system

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2016

 

2015

 

2014

 

2013

 

2012

Production sites where occupational health and safety audits have been conductedLagebericht 2014

%

 

48.9

 

51.7

 

57.4

 

58.1

 

62.4

Number of conducted occupational health and safety audits

 

 

706

 

687

 

749

 

790

 

769

Production sites certified to OHSAS 18001

%

 

Lagebericht 2014Geprüft von KPMG17.1

 

Lagebericht 2014Geprüft von KPMG16.5

 

Lagebericht 2014Geprüft von KPMG15.7

 

Lagebericht 2014Geprüft von KPMG17.8

 

Lagebericht 201417.7

 (XLS:) Download

Occupational health and safety

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2016

 

2015

 

2014

 

2013

 

2012

Workplace accidents of employees with at least one day of absenceLagebericht 2014Geprüft von KPMG

 

 

269

 

358

 

318

 

304

 

324

Workplace accidents of contractors with at least one day of absenceGeprüft von KPMG

 

 

131

 

151

 

140

 

150

 

155

Workplace accidents with at least one day of absence (employees)Lagebericht 2014Geprüft von KPMG

per million hours worked

 

2.2

 

2.9

 

2.4

 

2.3

 

2.5

Workplace accidents with at least one day of absence (contractors)Lagebericht 2014

per million hours worked

 

2.2

 

2.2

 

1.8

 

1.7

 

1.3

Fatal workplace accidents involving employeesLagebericht 2014Geprüft von KPMG

 

 

1

 

2

 

2

 

4

 

4

Fatal workplace accidents involving contractorsLagebericht 2014Geprüft von KPMG

 

 

1

 

1

 

3

 

6

 

4

Sick days

per employee

 

5.4

 

5.6

 

5.3

 

4.7

 

4.7

 (XLS:) Download

Transport

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2016

 

2015

 

2014

 

2013

 

2012

Distance driven by Linde’s transport fleet and its contractorsLagebericht 2014Geprüft von KPMG

million km

 

878

 

857

 

975

 

963

 

969

Serious transport incidents involving trucks3 Lagebericht 2014Geprüft von KPMG

per 1 million km

 

0.105

 

0.115

 

0.104

 

0.139

 

0.121

 (XLS:) Download

Environmental protection1

Production sites with environmental and quality management system

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2016

 

2015

 

2014

 

2013

 

2012

Production sites certified to ISO 9001

%

 

Lagebericht 2014Geprüft von KPMG63.0

 

Lagebericht 2014Geprüft von KPMG67.1

 

Lagebericht 2014Geprüft von KPMG72.1

 

Lagebericht 2014Geprüft von KPMG77.9

 

Lagebericht 201479.6

Production sites certified to ISO 14001

%

 

Lagebericht 2014Geprüft von KPMG31.7

 

Lagebericht 2014Geprüft von KPMG31.7

 

Lagebericht 2014Geprüft von KPMG30.5

 

Lagebericht 2014Geprüft von KPMG31.8

 

Lagebericht 201431.8

Production sites where environmental audits have been conductedLagebericht 2014

%

 

46.0

 

42.6

 

50.0

 

51.8

 

54.5

Number of conducted environmental audits

 

 

629

 

586

 

639

 

657

 

661

 (XLS:) Download

Resources consumed

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2016

 

2015

 

2014

 

2013

 

2012

Energy

 

 

 

 

 

 

 

 

 

 

 

Electricity consumptionLagebericht 2014Geprüft von KPMG

million MWh

 

27.5

 

26.8

 

26.2

 

23.4

 

23.5

of which by air separation plantsLagebericht 2014Geprüft von KPMG

million MWh

 

24.8

 

23.9

 

23.5

 

20.7

 

20.8

Natural gas consumptionLagebericht 2014Geprüft von KPMG

million MWh

 

39.4

 

39.5

 

39.5

 

36.4

 

35.9

of which by HyCO plantsLagebericht 2014Geprüft von KPMG

million MWh

 

29.3

 

25.4

 

24.9

 

23.0

 

22.8

Consumption of other energy sources4 Lagebericht 2014Geprüft von KPMG

million MWh

 

12.8

 

12.1

 

12.2

 

14.8

 

13.4

 

 

 

 

 

 

 

 

 

 

 

 

Water

 

 

 

 

 

 

 

 

 

 

 

Water use Lagebericht 2014Geprüft von KPMG

million m3

 

716

 

681

 

682

 

681

 

632

of which ground and surface waterGeprüft von KPMG

%

 

98.7

 

98.6

 

98.5

 

98.6

 

98.5

of which drinking waterGeprüft von KPMG

%

 

1.3

 

1.4

 

1.5

 

1.4

 

1.5

Total water consumption5 Lagebericht 2014Geprüft von KPMG

million m3

 

54.8

 

52.6

 

50.7

 

44.5

 

47.4

of which industrial and process waterGeprüft von KPMG

million m3

 

45.3

 

42.8

 

40.8

 

34.8

 

38.1

of which drinking waterGeprüft von KPMG

million m3

 

9.5

 

9.8

 

9.9

 

9.7

 

9.3

Waste waterLagebericht 2014Geprüft von KPMG

million m3

 

13.1

 

13.8

 

13.2

 

13.8

 

12.5

 

 

 

 

 

 

 

 

 

 

 

 

Resources and materials

 

 

 

 

 

 

 

 

 

 

 

Raw materials and suppliesGeprüft von KPMG

t

 

55,590

 

54,170

 

52,770

 

57,750

 

57,170

Packaging materialsGeprüft von KPMG

t

 

3,510

 

3,160

 

5,580

 

3,990

 

4,765

 (XLS:) Download

Emissions

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2016

 

2015

 

2014

 

2013

 

2012

Direct greenhouse gas emissions (Scope 1)

 

 

 

 

 

 

 

 

 

 

CO2 emissionsLagebericht 2014Geprüft von KPMG

million t

 

7.0

 

7.1

 

7.3

 

7.2

 

7.6

of which by HyCO plantsLagebericht 2014Geprüft von KPMG

million t

 

4.7

 

4.0

 

4.0

 

4.2

 

4.3

Linde transport fleet6 Lagebericht 2014Geprüft von KPMG

million t CO2e

 

0.80

 

0.78

 

0.88

 

0.49

 

0.50

Other greenhouse gases7 Lagebericht 2014Geprüft von KPMG

million t CO2e

 

1.8

 

1.7

 

1.5

 

1.5

 

0.4

TotalLagebericht 2014Geprüft von KPMG

million t CO2e

 

9.6

 

9.6

 

9.7

 

9.2

 

8.5

 

 

 

 

 

 

 

 

 

 

 

 

Indirect greenhouse gas emissions (Scope 2)

 

 

 

 

 

 

 

 

 

 

CO2 emissionsLagebericht 2014Geprüft von KPMG

million t

 

16.2

 

15.4

 

15.0

 

13.0

 

12.8

of which by air separation plantsLagebericht 2014Geprüft von KPMG

million t

 

14.7

 

13.7

 

13.5

 

11.8

 

11.6

Total Scope 1 and 2 emissionsLagebericht 2014Geprüft von KPMG

million t CO2e

 

25.8

 

25.0

 

24.7

 

22.2

 

21.3

Emissions per million EUR sales

t CO2e

 

1,522

 

1,440

 

1,449

 

1,333

 

1,345

Emissions per Linde employee

t CO2e

 

432

 

418

 

377

 

350

 

339

 

 

 

 

 

 

 

 

 

 

 

 

Other indirect greenhouse gas emissions (Scope 3)

 

 

 

 

 

 

 

 

 

 

Business travel8 Geprüft von KPMG

thousand t CO2e

 

58.7

 

68.5

 

72.9

 

81.0

 

34.1

 

 

 

 

 

 

 

 

 

 

 

 

Emissions to air9

 

 

 

 

 

 

 

 

 

 

 

VOC (volatile organic compounds)Geprüft von KPMG

t

 

531

 

598

 

657

 

92

 

109

NH3 (ammonia)10 Geprüft von KPMG

t

 

45

 

73

 

165

 

12

 

11

CO (carbon monoxide)Geprüft von KPMG

t

 

2,634

 

3,213

 

3,325

 

2,177

 

2,895

NOx (nitrogen oxides)Geprüft von KPMG

t

 

4,879

 

6,443

 

6,762

 

6,273

 

5,556

SOx (sulphur oxides)11 Geprüft von KPMG

t

 

685

 

708

 

447

 

122

 

391

 

 

 

 

 

 

 

 

 

 

 

 

Emissions to water12

 

 

 

 

 

 

 

 

 

 

 

Chemical oxygen demand (COD)Geprüft von KPMG

t

 

1,561

 

1,425

 

1,585

 

2,157

 

201

Biochemical oxygen demand (BOD)Geprüft von KPMG

t

 

511

 

496

 

544

 

163

 

97

NitratesGeprüft von KPMG

t

 

339

 

335

 

295

 

89

 

52

PhosphatesGeprüft von KPMG

t

 

45

 

47

 

39

 

3

 

4

 (XLS:) Download

Waste and recycling

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2016

 

2015

 

2014

 

2013

 

2012

Total wasteLagebericht 2014Geprüft von KPMG

thousand t

 

63.6

 

66.1

 

94.1

 

124.9

 

81.5

Non-hazardous wasteLagebericht 2014Geprüft von KPMG

%

 

63

 

66

 

76

 

76

 

70

Hazardous wasteLagebericht 2014Geprüft von KPMG

%

 

37

 

34

 

24

 

24

 

30

Recycled wasteLagebericht 2014Geprüft von KPMG

%

 

33

 

39

 

56

 

65

 

41

Incineration waste13 Geprüft von KPMG

%

 

27

 

21

 

15

 

14

 

18

Landfill wasteGeprüft von KPMG

%

 

21

 

22

 

19

 

10

 

26

Other disposal methodsGeprüft von KPMG

%

 

19

 

18

 

10

 

11

 

15

 (XLS:) Download

Environmental incidents

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2016

 

2015

 

2014

 

2013

 

2012

Environmental complaints

 

 

22

 

14

 

25

 

24

 

14

Reportable environmental incidents

 

 

19

 

13

 

21

 

25

 

29

 (XLS:) Download

Employees1

Employment structure

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2016

 

2015

 

2014

 

2013

 

2012

GroupLagebericht 2014

as of Dec. 31

 

59,715

 

59,774

 

65,591

 

63,487

 

62,765

Gases DivisionLagebericht 2014

 

 

52,907

 

52,395

 

53,436

 

51,536

 

51,405

EMEALagebericht 2014

 

 

20,309

 

21,067

 

21,779

 

21,544

 

21,636

Asia/PacificLagebericht 2014

 

 

11,343

 

11,533

 

12,175

 

12,122

 

11,809

AmericasLagebericht 2014

 

 

21,255

 

19,795

 

19,482

 

17,870

 

17,960

Engineering DivisionLagebericht 2014

 

 

6,432

 

7,038

 

7,330

 

6,997

 

6,564

Other activitiesLagebericht 2014

 

 

376

 

341

 

4,825

 

4,954

 

4,796

Employees in production

 

 

20,466

 

21,194

 

21,684

 

20,200

 

19,829

Employees in sales, marketing and distribution

 

 

27,293

 

27,021

 

31,851

 

31,778

 

31,249

Employees in research and developmentLagebericht 2014

 

 

345

 

348

 

390

 

367

 

385

Employees in administration

 

 

11,611

 

11,211

 

11,666

 

11,141

 

11,302

Part-time employeesLagebericht 2014

%

 

2.5

 

1.7

 

2.1

 

1.9

 

1.7

Temporary staffLagebericht 2014

%

 

8.4

 

8.8

 

8.6

 

6.2

 

6.4

Employees on parental leave (Germany)Lagebericht 2014

 

 

454

 

434

 

369

 

344

 

328

Staff covered by collective wage agreementsLagebericht 2014

%

 

42.3

 

41.2

 

46.5

 

45.6

 

45.1

 

 

 

 

 

 

 

 

 

 

 

 

Employee retention and benefits

 

 

 

 

 

 

 

 

 

 

Number of new hiresLagebericht 2014

 

 

9,513

 

10,290

 

12,049

 

8,955

 

thereof womenLagebericht 2014

%

 

50.5

 

49.2

 

46.2

 

41.6

 

Staff turnover rate14 Lagebericht 2014

%

 

12.1

 

10.7

 

10.0

 

9.4

 

10.1

Average length of serviceLagebericht 2014

years

 

9.1

 

9.1

 

8.4

 

8.9

 

9.3

Retired employees receiving pensions from LindeLagebericht 2014

 

 

28,722

 

29,116

 

30,941

 

31,006

 

31,118

 (XLS:) Download

Diversity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2016

 

2015

 

2014

 

2013

 

2012

Staff up to 30 years oldLagebericht 2014

%

 

17.1

 

17.5

 

18.4

 

18.2

 

17.6

Staff between 31 and 50 years oldLagebericht 2014

%

 

57.9

 

58.3

 

57.5

 

58.0

 

58.4

Staff over 50 years oldLagebericht 2014

%

 

25.0

 

24.2

 

24.1

 

23.8

 

24.0

Nationalities of employees in GermanyLagebericht 2014

 

 

67

 

64

 

65

 

65

 

67

Non-German nationalities among senior managers in GermanyLagebericht 2014

%

 

67.5

 

67.3

 

71.0

 

72.9

 

69.7

Proportion of female employeesLagebericht 2014

 

 

 

 

 

 

 

 

 

 

 

in total workforceLagebericht 2014

%

 

32.5

 

30.7

 

28.7

 

27.3

 

26.9

in GermanyLagebericht 2014

%

 

23.8

 

25.4

 

25.4

 

25.9

 

25.4

in senior management positionsLagebericht 2014

%

 

16.2

 

14.5

 

13.9

 

13.2

 

12.3

in the Executive Board

%

 

0

 

0

 

0

 

0

 

0

in the Supervisory Board

%

 

25.0

 

25.0

 

16.6

 

16.6

 

8.3

Severely disabled employees (Germany)Lagebericht 2014

%

 

3.4

 

3.6

 

3.4

 

3.5

 

3.1

 (XLS:) Download

Employee training

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2016

 

2015

 

2014

 

2013

 

2012

1

In line with the information in the Financial Report 2016, the figures provided for the years 2015 and 2016 exclude the business of the logistics service provider Gist, as it has been reported as a discontinued operation. As a result of the first-time application of the revised accounting standards, the sites in the scope of our reporting changed in the 2013 financial year. Accordingly, the key financial, environmental and employee KPIs for 2012 were adjusted retrospectively in the year 2013. In addition, the KPIs for employees, occupational health and safety and environmental protection for the year 2012 were retrospectively adjusted to account for the effects of the acquisition of the US homecare company Lincare.

2

EBIT (before non-recurring items) adjusted for amortisation of intangible assets and depreciation of tangible assets.

3

Severe traffic incidents, e.g. with serious effects on the health of the employees involved or with reportable emissions to the environment, as well as transport incidents leading to material costs above a defined threshold. The performance indicator was redefined in 2015. The new definition includes not only preventable transport incidents but also incidents previously classified as non-preventable. The figure has been recalculated for previous years.

4

Examples of other energy sources are heating oil, biofuel energy, propane, butane, thermal energy and diesel fuel. From 2015, this figure also includes diesel consumption by Linde’s transport contractors. The 2014 figure has been recalculated.

5

Water consumption relates to drinking water and industrial water used. Once-through water is drawn from a natural or other sources, solely warmed and ultimately piped back to the original source at a temperature not posing any risk to the surrounding ecosystem.

6

From 2015, this figure also includes greenhouse gas emissions generated by Linde’s transport contractors. The 2014 figure has been recalculated.

7

This includes greenhouse gases specified in the Kyoto Protocol: methane (CH4), nitrous oxide (laughing gas, N2O), perfluorocarbons (PFCs), hydrofluorocarbons (HFCs), sulphur hexafluoride (SF6) and nitrogen trifluoride (NF3). In 2014, Linde has refined the determination method of the indicator for these GHGs to include additional emitters and emission sources. The reported figure for 2013 was recalculated based on this new method.

8

Since 2014, we also include the Radiative Forcing Index (RFI) to calculate emissions from business travel. Thereby, we take into account the higher impact of air travel on the greenhouse effect. Emissions for the year 2013 have been re-calculated accordingly.

9

In 2014, Linde has refined the determination method for emissions to the air. Where available, measurements were used for the new methodology. For production sites for which no measurements were available, we estimated the figures. Where possible, the reported figures for 2013 were recalculated based on these new methods. The determination method for VOC emissions could not be applied retroactively. Therefore, the values for this indicator are not comparable for the years 2013 and 2014.

10

The determination method for ammonia was revised during 2015. Reported ammonia emissions include uncontrolled releases to the atmosphere and since 2015 have been extended to include controlled releases to abatement systems at certain sites. The figure for 2014 has been restated accordingly.

11

The figure for SOX emissions disclosed in the Corporate Responsibility Report 2015 was too low and has been restated retrospectively.

12

In 2015, we have further improved the determination method for emissions to water (COD, BOD, nitrates, phosphates) applying measurement and extrapolation models. Although there are inherent limitations by applying this methodology, full measurement of these emissions by all Linde sites is considered economically not viable. The reported figures of the water emission indicators of the Linde Group therefore serve as an approximation. The figures for 2014 have been restated accordingly.

13

Incineration waste is partly used for heat recovery.

14

Staff turnover rate relates to employees who left the Group voluntarily during the period under review.

Employees who attended training opportunities Lagebericht 2014

%

 

38.2

 

61.0

 

66.2

 

60.3

 

61.0

Average training days per employeeLagebericht 2014

 

 

3.7

 

2.9

 

3.1

 

3.0

 

2.6

Average expenditure on training programmes per employeeLagebericht 2014

 

372

 

369

 

350

 

341

 

386

Apprentices and trainees in total workforceLagebericht 2014

%

 

0.8

 

0.9

 

0.9

 

0.9

 

0.9

Apprentices and trainees in GermanyLagebericht 2014

%

 

3.4

 

3.0

 

3.2

 

3.1

 

3.2