ABB: third-quarter profit down 15% on 'weaker' economy

(CercleFinance.com) - Swiss industrial group ABB posted a 15% drop in net profit for the third quarter, as clients suffered from weaker macroeconomic conditions, particularly in robotics and automation.


The supplier of automation, electrification and instrumentation products said net income attributable to ABB fell to 515 million dollars in the past quarter, down from 603 million dollars a year ago.

Revenues decreased by 3% at 6.9 billion dollars, while orders also fell 3% to 6.8 billion dollars. The group's operating margin came in at 11.7%, up 20 basis points.

ABB cited "solid" results in electrification and motion, but noted "strong headwinds" in robotics and automation.

"Macroeconomic indicators are mixed in Europe and China, while they weaken in the US. global markets overall remain affected by geopolitical uncertainties," the engineering group said.

For the full-year, ABB still expects slight revenue growth and an improvement in its operating margin.

The Zurich-listed shares were up 2.8% after these results.

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