But orders are fewer: ABB significantly increased sales and profits in the third quarter

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Incoming orders totaled $8.05 billion, up 2 percent from the same quarter last year, the maker of industrial robots, charging stations and automation solutions for electric cars announced Wednesday. On a comparable basis, that is, when adjusted for portfolio and exchange rate effects, there was a 2 percent increase.

Thanks to good order backlog, sales increased significantly again. It rose 8 percent to 7.97 billion, and after corrections there was even a double-digit increase of 11 percent.

Operating profit (EBITDA) increased by 13 percent compared to the previous year, reaching 1.39 billion dollars, while the corresponding profit margin increased by 0.8 points to 17.4 percent.

Net profit increases significantly

Net income more than doubled to $882 million. Special effects played a role here: on the one hand, book profits were made from the completed sale of the Power Transformation episode. On the other hand, a burden brought on by last year regarding the Kusile project in South Africa will also be eliminated.

ABB narrowly missed analysts’ expectations in terms of sales and net profit, but order intake and operating margin more or less met expectations.

ABB expects comparable sales growth in the low to mid-single digit range for the fourth quarter. EBITA margin is likely to be slightly lower than in the third quarter.

The full-year 2023 outlook has been slightly upgraded again. ABB currently expects an EBITA margin of between 16.5 percent and 17.0 percent and comparable sales growth in the low teens. (SDA/kae)

Source :Blick