Linde Bangladesh sees 5.49% profit drop in H1

Linde Bangladesh, a multinational producer of industrial and medical gases, reported a 5.49% year-on-year decline in profit for the first half of 2025, citing lower sales and higher costs from gas shortages and power disruptions at its Rupganj plant, according to company sources.

According to its unaudited financial statement for the January-June period filed on the Dhaka Stock Exchange (DSE) today, its profit declined to Tk18.75 crore. Earnings per share (EPS) also fell to Tk12.33 — down from Tk19.84 crore and an EPS of Tk13.04 in the same period of the previous year.

Its revenue year-on-year declined by 5% to Tk108.75 crore in H1, compared to the previous year at the same time.

Moreover, its net asset value per share decreased by 12% to Tk201.66, and net operating cash flow per share declined by 70% to Tk4.08.

Following the disclosure, its share price dropped by 2.95% to settle at Tk963.10.

Meanwhile, in the second quarter, Linde Bangladesh managed to post profit growth despite the revenue declined. During the April-June quarter, its revenue dropped by 3% to Tk53.71 crore, but the profit rose by 6% to Tk10.70 crore, compared to the previous year in the same quarter.

The company said in its statement, net asset value decreased due to higher dividend paid partially offset by profit earned during the period.

Earlier, Linde Bangladesh had paid a record-high 4,500% cash dividend for its shareholders in 2024. This includes a 400% final cash dividend and a 4,100% interim cash dividend, which was declared during the first seven months of the year.

Basically, Linde Bangladesh had paid the highest interim dividend for its shareholders for the period from January to September of last year. This was driven by significant capital gains from the divestment of its subsidiary, according to its disclosures published on the stock exchanges' websites earlier.

Earlier, the multinational firm sold its major revenue-generating segment, the welding electrodes business, to the ESAB Group.

Linde Bangladesh earned around Tk600 crore from the divestment of its subsidiary, which was engaged in the welding electrodes business, according to sources.

In 2023, Linde Bangladesh generated revenue of Tk270 crore from its welding electrodes business, compared to Tk142 crore from its gas business.

According to the DSE, sponsor-directors held a 60% stake in the company and 40% by the general shareholders, including the institutional and the foreign investors.