Improved order execution helped ABB India Limited to post 2.44 per cent higher profits at ₹85.49 crore for third quarter of calendar year 2020, as against ₹78.81 crore profit recorded in the same period last year.
The company’s revenues were lower by 7.36 per cent to ₹1,632.27 crore as against ₹1,762.03 crore in the same period last year. EPS for the quarter stood at ₹4.03 compared with ₹3.72 posted last year.
Sanjeev Sharma, Managing Director, ABB India, said: “ABB’s agile and resilient customer engagement has led to an improved sequential order inflow, supported by good recovery in a few market segments. We have seen consistent improvements over the past couple of months with improved order execution across some key segments and industries, which are ramping up production post the lockdown.”
Overall orders remain impacted given uncertainty in the economic environment and extended decision-making cycles. Export orders continued to experience limited momentum.
Service and maintenance orders witnessed a decline with customers postponing decisions to future quarters, keeping in mind the logistical challenges being faced during the pandemic. The quarter was marked by orders from the transportation, pharma, energy and water segments. Total orders for the quarter were at ₹1,308 crore.
Outlook
The impact of Covid-19 continues to weigh on the short-term outlook across many end-markets, particularly in conventional power generation, automotive, marine and buildings. Some end-markets such as electrical distribution, transport, data centers, consumer electronics, pharmaceuticals, and food and beverage continue to show relative resilience.
The government has also unveiled various proposals to make manufacturing in India more self-reliant, which should drive end-to-end manufacturing in the country. ABB India will continue to engage closely with customers through various virtual modes and leverage select pockets of growth with its sustainable, digital and wide-ranging technology.