ABB Stock Gains On Higher Q2 Profit & Orders, Positive Outlook

RTTNews | 13 days ago
ABB Stock Gains On Higher Q2 Profit & Orders, Positive Outlook

(RTTNews) - Shares of ABB Ltd. were gaining around 8 percent in the morning trading in Switzerland after the Swiss technology company on Thursday issued positive third-quarter comparable revenue outlook and maintained fiscal 2025 growth view, after reporting strong second-quarter results and order growth.

CEO Morten Wierod said, "ABB delivered an all-time-high order intake and improved operational performance. We are on a good path towards a new record year, amidst geopolitical uncertainties."

Looking ahead to the third quarter, the company projects comparable revenue growth to be at least in the mid-single digit range, and the Operational EBITA margin to remain broadly stable year-on-year, amid the uncertainty for the global business environment.

For fiscal 2025, ABB continues to expect a positive book-to-bill, comparable revenue growth in the mid-single digit range and the Operational EBITA margin to improve year-on-year.

In its second quarter, net income attributable to ABB was $1.15 billion, up 5 percent from last year's $1.10 billion. Basic earnings per share grew 6 percent to $0.63 from $0.59 last year.

Operational EBITA was up by 9 percent from the prior year to $1.71 billion, and the margin improved 20 basis points to 19.2 percent, a bit better than originally expected.

The company noted that margins increased in both the Electrification and Process Automation business areas, and Motion remained virtually stable.

Revenues grew 8 percent to $8.90 billion from last year's $8.24 billion, supported by three out of four business areas. Comparable revenue growth was 6 percent.

In the Robotics & Discrete Automation segment, revenues were hit by weakness in the Machine Automation division where last year's comparable was supported by a stronger order backlog.

The company added that higher volumes was the main driver of the revenue growth, supported by slightly positive pricing.

Orders were $9.79 billion in the quarter, up 16 percent from prior year's $8.44 billion. Orders grew 14 percent on a comparable basis.

Order growth was especially strong in the Process Automation business area where a large order of approximately $600 million net was booked.

In the Americas orders were up by 27%, and orders in Europe grew 12%. Asia, Middle East and Africa improved by 7% including a positive development of 4% in China.

In Switzerland, ABB shares were trading at 51.08 Swiss francs, up 7.74 percent.

For more earnings news, earnings calendar, and earnings for stocks, visit rttnews.com.

read more
Australia Building Approvals Jump 11.9% In June

Australia Building Approvals Jump 11.9% In June

The total number of building approvals issued in Australia was up a seasonally adjusted 11.9 percent on month in June, the Australian Bureau of Statistics said on Thursday - standing at 17,076.
RTTNews | 4 minutes ago
China Manufacturing PMI Slips In July

China Manufacturing PMI Slips In July

The manufacturing sector in China continued to contract in July, and at a faster rate, the latest survey from the National Bureau of Statistics showed on Thursday with a manufacturing PMI score of 49.3.
RTTNews | 10 minutes ago
Lower Open Called For Indonesia Stock Market

Lower Open Called For Indonesia Stock Market

The Indonesia stock market on Wednesday halted the five-day winning streak in which it had jumped more than 260 points or 2.8 percent. The Jakarta Composite Index now sits just beneath the 7,550-point plateau and it may tick lower again on Thursday.
RTTNews | 16 minutes ago
Australian Market Modestly Lower

Australian Market Modestly Lower

The Australian market is trading modestly lower on Thursday, reversing some of the gains in the previous three sessions, following the mixed cues from Wall Street overnight. The benchmark S&P/ASX 200 is falling below the 8,750 level, with weakness cross most sectors led by mining and energy stocks.
RTTNews | 23 minutes ago
Hong Kong Stock Market May Halt Its Slide

Hong Kong Stock Market May Halt Its Slide

The Hong Kong stock market has moved lower in two straight sessions, sinking almost 390 points or 1.4 percent in that span. The Hang Seng Index now sits just above the 25,175-point plateau although it may stop the bleeding on Thursday.
RTTNews | 31 minutes ago
Rally May Stall For China Stock Market

Rally May Stall For China Stock Market

The China stock market has moved higher in three straight sessions, gathering more than 20 points or 0.6 percent along the way. The Shanghai Composite Index now sits just above the 3,615-point plateau although it may spin its wheels on Thursday.
RTTNews | 46 minutes ago
Mild Upside Seen For Taiwan Stock Market

Mild Upside Seen For Taiwan Stock Market

The Taiwan stock market has alternated between positive and negative finishes through the last four trading days since the end of the two-day winning streak in which it had gained almost 400 points or 1.8 percent. The Taiwan Stock Exchange now sits just above the 23,460-point plateau and it's looking at a steady start on Thursday.
RTTNews | 1h 16min ago
Japan Retail Sales Jump 2.0% In June

Japan Retail Sales Jump 2.0% In June

The value of retail sales in Japan was up 2.0 percent on year in June, the Ministry of Economy, Trade and Industry said on Thursday - coming in at 12.966 trillion yen.
RTTNews | 1h 41min ago