Good report from ABB

Energy and automation company ABB reported an operating profit (“operating profit”) for the second quarter of 2021 of $1,113 million.

Analysts estimated an average of $1,048 million, according to an InFront compilation that involved 16 analysts.

Revenue was $7,449 million, compared to average analyst revenue of $7,235 million.

The order reached 7.989 million dollars. The average estimate at this point was $7.473 million.

“I am very encouraged that we delivered a clearly improved performance. The strong rise in ebita operating margin reflects the recovery in demand as well as increased internal efficiency and the strength of ABB’s electrical and automation offerings,” says ABB CEO Bjorn Rosengren.

Core customer activity saw a slight increase during the second quarter on a sequential basis, i.e. compared to immediately prior quarter.

However, order intake and revenue have increased significantly compared to last year’s low levels when the negative impact on business from the covid-19 pandemic was greater. Double-digit order growth was reported across all business areas driven by broad improvement in most short-cycle customer segments and positive development in several operations-related processes,” says the ABB director, who also stated that growth was supported to some extent by building clients.

He further stated that the industrial group will continue to actively manage its portfolio.

“Going forward, I expect to see more additional small and medium-sized acquisitions as divisions fill their pipelines with things to target. We’ve also made good progress on announced changes to the portfolio, and I expect to announce a divestment agreement during the third quarter,” as Bjorn Rosengren says: