ABB India slides as order intake drops in Q2

ABB India was off 1.3% at Rs 1,387 at 14:03 IST on BSE as the company's order intake fell 6.14% to Rs 1895 crore in Q2 June 2015 over Q2 June 2014.

ABB India's net profit rose 20.46% to Rs 57.45 crore on 6.03% increase in total income to Rs 1932.64 crore in Q2 June 2015 over Q2 June 2014. ABB India announced its Q2 June 2015 results during trading hours today, 24 July 2015.

ABB India's order intake dropped 6.24% to Rs 3751 crore during six months ended 30 June 2015 over the corresponding period in the previous year. ABB India said that emerging segments, exports and a push for technology upgrade and grid stability solutions helped keep the momentum in orders. There was selective capital expenditure by utilities while demand from industry continued to remain dispersed, ABB India said. The company's service portfolio recorded double digit growth in a market witnessing selective investment in new projects. Base orders remained steady during the first six months ended 30 June 2015. ABB India's order backlog stood at 7956 crore as on 30 June 2015.

ABB India's revenue rose 6.03% to Rs 1932 crore in Q2 June 2015. The company said the growth in revenue was on account of efficient execution and conversion of order backlog across divisions. ABB India said that over the years, the company's initiatives towards operational excellence have been yielding results, fortifying profit margins.

ABB's operational EBITDA jumped 17.29% to Rs 156 crore in Q2 June 2015 over Q2 June 2014. Operational EBITDA margins were reported at 8.1% in Q2 June 2015, higher than 7.3% in Q2 June 2014. ABB India said that operational EBITDA is the earnings before interest and taxes (EBIT) excluding depreciation and amortization, adjusted for unrealized gains and losses on derivatives (FX, commodities, embedded derivatives), realized gains and losses on derivatives where the underlying hedged transaction has not yet been realized, unrealized foreign exchange movements on receivables/payables (and related assets/liabilities), restructuring and restructuring-related expenses and acquisition-related expenses and certain non-operational items.

Bazmi Husain, Managing Director, ABB India said that the company delivered a steady performance in a market where investments are still to gather momentum.

ABB India is a subsidiary of Zurich, Switzerland based ABB. ABB is a multinational corporation, operating mainly in robotics and the power and automation technology areas.

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