ABB India's second-quarter profit rises on higher order wins

ABB India

11/08/2023 12:50

BENGALURU, Aug 10 (Reuters) - ABB India  ABB.NS 
reported a more than two-fold rise in quarterly profit on
Friday, aided by higher order wins in the electrification and
process automation businesses.
    The Indian arm of Swedish-Swiss ABB Ltd  ABBN.S , reported a
profit of 2.96 billion rupees ($35.74 million) for the second
quarter, compared with 1.40 billion rupees, a year earlier.
    The transformer manufacturer posted a 10% increase in total
orders to 30.44 billion rupees.
    However, parent ABB Ltd  earlier reported a 9% drop in new
orders from its second biggest market China for the quarter
through June 30.  
    The maker of factory robots and automation systems said it
was seeing some customers shifting investments to India and
other Asian countries from China due to geopolitical tensions.
This has led India to become ABB's fifth biggest market. 
    ABB India's total second-quarter revenue from operations
rose more than 22% to 25.09 billion rupees.
    Revenue from electrification business, which accounts for
nearly 40% of ABB India's sales, rose 20%, while that from
process automation increased 38% when compared with a year-ago
quarter. 
    The company also declared a special dividend of 5.50 rupees
per share.
    Rival KEC International  KECL.NS  posted a
bigger-than-expected rise in first-quarter profit on strong
infrastructure demand, while Thermax  THMX.NS  missed estimates
with a 1.7% increase in earnings. 
    ABB India's shares closed nearly 1% higher ahead of the
results. The stock rose 31.4% in the April-June quarter.


($1 = 82.8110 Indian rupees)

 (Reporting by Navamya Ganesh Acharya in Bengaluru; Editing by
Shweta Agarwal)
 ((Navamya.GaneshAcharya@thomsonreuters.com; +91 8805175330 ;))