ABB Q3 net soars 78% to Rs 38 cr, order inflow up 5%
Total income declined marginally to Rs 1,786 crore in three-month period ended September 2013 from Rs 1,808.6 crore in corresponding quarter of last fiscal.
November 07, 2013 / 10:07 IST
Moneycontrol Bureau
ABB India's third quarter (July-September) net profit grew 78 percent year-on-year to Rs 38 crore despite higher finance cost and tax expenses. The above profit figure was after giving impact of scheme of amalgamation related to previous year. ABB merged its wholly owned subsidiary Baldor Electric India with self."Focussed initiatives in streamlining operations, optimising costs and increasing localisation are yielding sustainable improvements. Savings from these initiatives have helped balance the adverse impact of continuing price erosion and weak market condition," the company said in its release.Total income declined marginally to Rs 1,786 crore in three-month period ended September 2013 from Rs 1,808.6 crore in corresponding quarter of last fiscal.According to a CNBC-TV18 poll, analysts on an average had expected power and automation technology provider to report net profit of Rs 41.5 crore on revenues of Rs 1,725 crore for the quarter.Revenues from power systems segment and power automation declined 10 percent and 4 percent, respectively while power products and discrete automation & motion divisions registered 1 percent and 9 percent growth in second quarter, Y-o-Y.Earnings before interest, tax, depreciation and amortisation (EBITDA) jumped 59 percent Y-o-Y to Rs 105 crore and operating profit margin surged 220 basis points on yearly basis to 5.9 percent in the quarter gone by."Economic environment in India remains muted and capex investments continue to be deferred, Bazmi Husain, MD said.Order inflow rose 5 percent year-on-year to Rs 1,762 crore during September quarter as the company said its emerging sectors like renewables, exports and rail continued to grow faster than the conventional market segments.Order backlog stood at Rs 8,252 crore as on September 30, down 9 percent compared to a year ago quarter.Finance cost during the quarter increased 131 percent Y-o-Y to Rs 27 crore and tax expenses rose 76 percent to Rs 18 crore during the same period.At 12:48 hours IST, the stock was trading at Rs 662, up 5.18 percent amid large volumes on the BSE. Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
