Electrification and automation major ABB India reported a 82 percent year-on-year rise in its net profit at Rs 467 crore in the March quarter on higher revenue, beating estimates.
The engineering company's total income rose to Rs 3,080 crore, up 29 percent year-on-year in the first quarter from Rs 2,396 crore in the year-ago period, the company, which follows a January-December financial year, said on May 10.
Two brokerages pegged the revenue at Rs 2,845.2 crore, up 15-18 percent on-year.
Anand Rathi estimated net profit at Rs 327.2 crore, up 33 percent, while JM Financial expected it at Rs 299.5 crore, a 22 percent rise.
"Higher capex in infrastructure, railways, renewables, power distribution, water, energy, commercial buildings, and metals are likely to provide necessary opportunities for growth," ABB India said in a statement.
The company's cash position continued to remain robust at Rs 5,036 crore in March quarter compared to Rs 3,942 crore in the same period a year ago.
Total orders were at Rs 3,607 crore, up 15.4 percent from the year-ago period.
ABB India continues to have a strong order book at Rs 8,935 crore, an increase of 24.6 percent YoY, providing good revenue visibility and is well- aligned to support growth plans in the coming quarters, it said.
Policy driven public sector capex, with investments in energy transition, FDI in steel, cement, and incentivising local production (PLI) in areas like specialty steel and battery manufacturing will also augment the opportunity landscape, the company said.
Motion's robust growth was led by good order intake in the railway segment, it said.
Process automation saw some delays in the realisation of a few large orders, the company said. Robotics and discrete automation posted a significant growth, led by paints and electronics segments.
The ABB India stock ended the day at Rs 7,205, up 3.2 percent, ahead of the earnings announcement.
The stock has gained around 480 percent in the past five years and around 86.6 percent in the past one year.
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