Seeing strong growth in order inflow across core and fast-moving segments: ABB India’s Sanjeev Sharma

"We see good revenue visibility for the next three to four quarters," he added.

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26 Aug, 2025 12:21

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ABB India is seeing strong growth in its order inflow across core and fast-moving segments, management noted in a concall on November 5 to discuss the company’s Q3 earnings. ABB India follows a January to December financial year.

“If you go back to our commentary over the last four to six quarters, we have been saying that there has been very good inflow from base orders and also what we call fast-moving industrial goods, which get distributed through our channel partners and integrators, and it's a matter of time before large contracts from our core sectors start picking up. So, we started seeing the uptick in some of the market segments which are very important for us,” MD & CEO Sanjeev Sharma said.

He further added that they are set for growth, given their well-balanced order mix and strong execution capabilities. “Our continued focus on key sectors and on expanding our high-margin services ensures we’re on track for sustained success,” he further added.

Also read: ABB India sees demand from data centres, order visibility for next 3-4 quarters

Total orders for the reporting quarter were up 11 percent YoY to Rs 3,342 crore, while the order backlog saw a 25 percent YoY increase to Rs 9,995 crore.

Revenue is up by 5 percent, supported by steady execution of base orders across various segments. However, Sharma added that given their books now include large orders with a longer gestation period, "the conversion rate that we may have witnessed in the past may not be at the same velocity because large orders take some time to digest and execute.”

The company said it maintains an average order inflow of around Rs 6,000 crores over the last six quarters, largely driven by base orders. "We see good revenue visibility for the next three to four quarters," he added.

Commenting further on their orders, Sharma noted that there have been consistent large orders in recent quarters from sectors such as metals and mining, oil and gas, transportation, and data centers. He added that Government capex, especially in transportation, has been a big driver.

According to the management, as of now, the company’s backlog is nearly Rs 10,000 crores, with 25 percent in large orders and 75 percent in base orders. "The base orders have a cycle of three to twelve months, so they will support steady revenue over the next four quarters," TK Sridhar, CFO, ABB India said.

The company also saw growth in electrification, with an order book of Rs 1,766 crores in Q3, backed by data center projects and regulated exports. For the Motion segment, the management noted that although quarter-to-quarter figures appeared lower, this was due to the absence of a one-time railway order that significantly boosted figures the previous year.

"Base orders are growing, so revenue growth is strong,” Sharma added.

While process automation saw minor delays, they noted that robotics had shown promising results, particularly in sectors such as electronics, automotive, and pharmaceuticals. "Robotics orders follow a cyclical pattern in these sectors, but we are well-positioned with steady performance over the last two quarters. Despite some customer-driven delays in Q3, we expect this division to contribute positively in the next quarter," Sharma explained.

ABB India reported a 21.4 percent year-on-year (YoY) jump in net profit at Rs 440.5 crore for the third quarter that ended on September 30, 2024. In the previous fiscal, the company posted a net profit of Rs 363 crore. Revenue from operations increased by 5.2 percent to Rs 2,912.2 crore against Rs 2,769.1 crore in the previous fiscal.

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