ABB India rises 5% as Q4 revenue hits 5-year high, profit zooms 56% YoY

ABB India share price: ABB India shares were buzzing in trade on Tuesday morning, as the scrip raced up to 4.82 per cent to hit an intraday high of Rs 5,494.05 per share. 

 

The rise in ABB India share came after the company announced a strong set of results in the fourth quarter of calendar year 2024 (Q4CY24). 

 

ABB India’s net profit zoomed 56 per cent year-on-year (Y-o-Y) to Rs 528.4 crore in the December quarter of CY24, from Rs 338.7 crore in the December quarter of calendar year 2023 (Q4CY23)

 

The company’s revenue soared 22 per cent Y-o-Y to Rs 3,364.9 crore in Q4CY24, from Rs 2,757.5 crore in Q4CY23. The company also claimed that this was the highest ever Q4 revenue in the last 5 years. 

 

 

At the operating front, earnings before interest, tax, depreciation and amortisation (Ebitda) climbers 57.6 per cent Y-o-Y to Rs 657.3 crore in the December quarter of CY24, from Rs 417.2 crore in the December quarter of CY23, 

 

Subsequently, Ebitda margin expanded 440 basis points (bps) to 19.5 per cent in Q4CY24, from 15.1 per cent in Q4CY23. 

 

Sanjeev Sharma, managing director, ABB India said, “2024 has been another year of record high orders, revenue, and margins.” 

 

The company also recommended a final dividend of Rs 33.50 per share, subject to shareholders' approval at the ensuing Annual General Meeting.

 

The total orders for the Q4CY24 was at Rs 2,695 crore and for CY2024 at Rs 13,079 crore. Meanwhile, the Base orders for the quarter grew 4 per cent while total orders were down due to the impact of a large order in both the Motion and Process Automation business areas in Q4CY23.

 

“I am proud of the ABB India team who have consistently delivered between 16% and 20% CAGR of top and bottom-line growth for the last five years through multiple capex cycles and geopolitical shifts. Our relentless customer centricity enables us to grow alongside our partners. We follow a “local for local” strategy with a diversified portfolio deployed in multiple, diversified customer segments. We stay prepared to navigate pockets of opportunities as they arise in India’s vibrant and broadening market base. Our growth areas are well balanced between core segments that follow capex cycles, emerging segments growing rapidly on a smaller base and steady growth segments to deliver consistent performance,” Sharma said.

 

According to Motilal Oswal, ABB India reported a good set of numbers in Q4CY24, with a beat across all parametres. 

 

“Revenue at Rs 3,365 crore grew 22 per cent Y-o-Y, beating our expectation of Rs 3,140 crore by 7 per cent, led by Electrification (up 33 per cent Y-o-Y) with seamless execution of data centre orders, from EPC customers, and export markets from Distribution Solution division.” 

 

The brokerage further noted that the robotics vertical was able to convert opportunities from electronics and automotive segments. Meanwhile, the motion segment revenue growth was driven by traction drives and converters. The process automation was stable for the quarter, it added.  

 

“All business areas posted healthy double-digit growth, driven by better price realization, leverage of higher volumes, and operational efficiencies supported by a favorable mix of revenue and market segments,” the brokerage said.

 

On the outlook, Sharma said, “We have always taken a longer-term view on our operations and how we serve our customers in India, and our commitment to innovation, resilience, and strategic partnerships remains unwavering. We will continue to navigate opportunities and challenges with agility and foresight led by a good leadership team across divisions, ensuring sustainable growth and value creation for all our stakeholders." 

 

At 9:51 AM, ABB India share was trading 4.21 per cent higher at Rs 5,462.10. In comparison, BSE Sensex was trading flat at 75,995.14 levels.