Linde AG, a German gas and engineering company, said on Wednesday that the company expects higher revenue and profit in FY 2010. Linde said the cost cuts made by the company would help it to increase profit in the year.

The company also expects its gases business to reach new heights this year despite the slow recovery in global economy. Linde said that the steel and chemical sectors would improve this year, according to the industrial production data.

“The measures we have adopted to achieve sustainable efficiency improvements will continue to have an effect,” said Wolfgang Reitzle, chief executive of Linde.

Linde, the No. 2 industrial gases group in the world, said that the company is expecting to exceed the operating profit of 2008 this year. In the year 2008, Linde reported the operating profit of €2.42 billion on revenue of €9.5 billion while in 2009 the company reported operating profit of €2.38 billion on revenue of €8.93 billion.

Linde also expects stable business performance for the next two years on its engineering division's order backlog. Though, the company expects some orders to be cancelled because of the uncertain economic conditions worldwide.

The company expects that there would be good demand for its engineering projects like hydrogen and natural gas plants in 2010.