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ABBN Abb News Story

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Brief: ABB ROCE Target Is Being Upgraded To >20 Percent (>18 Percent Previously)

Nov 18 (Reuters) - ABB LTD ABBN.S:

INCREASING TARGET RANGE FOR ITS ANNUAL OPERATIONAL EBITA MARGIN TO 18-22 PERCENT (FROM 16-19 PERCENT)

ROCE TARGET IS BEING UPGRADED TO >20 PERCENT (>18 PERCENT PREVIOUSLY)

OBJECTIVE FOR BASIC EPS GROWTH THROUGH ECONOMIC CYCLE OF AT LEAST HIGH SINGLE-DIGIT REMAINS UNCHANGED

NOW AIMING FOR ABOVE 95 PERCENT FREE CASH FLOW CONVERSION TO NET INCOME (AROUND 100 PERCENT PREVIOUSLY)

REITERATES ITS CAPITAL ALLOCATION PRINCIPLES

AIMS AT PAYING A RISING SUSTAINABLE DIVIDEND PER SHARE OVER TIME

BOLT-ON ACQUISITIONS WILL BE EMBEDDED WITH A FOCUS ON SMALL TO MID-SIZE DEALS ON A CONTINUOUS BASIS, LARGER DEALS WOULD COME ON TOP OF NORMAL DEAL FLOW

REVENUE GROWTH TARGET OF 5-7 PERCENT AND AMBITION TO ADD 1-2 PERCENT OF REVENUES IN ACQUIRED GROWTH ARE CONFIRMED

Source text: ID:nEQZdyJDa

Further company coverage: ABBN.S

 (Gdansk Newsroom)

 ((gdansk.newsroom@thomsonreuters.com; +48 58 7696600;))

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