ABB India (500002) Q2 24/25 earnings summary

Executive summary

• Q2 revenue grew 12% year-over-year to INR 3,175 crore, marking a five-year high, with a record order backlog above INR 10,000 crore and an interim dividend of INR 9.77 per share declared.

• Profitability was impacted by forex volatility, one-off costs, and a customer claim, with PBT and PAT margins declining year-over-year.

• Celebrated 30 years of listing with a total shareholder return of 8,500% and consistent annual dividends.

• Sustainability initiatives achieved an 87.5% reduction in Scope 1 & 2 GHG emissions since 2019, and ESG performance rated "strong" by CRISIL.

• Board approved the process for spinning off the Robotics & Discrete Automation segment.

Financial highlights

• Q2 revenue: INR 3,175 crore (+12% YoY); H1 revenue: INR 6,335 crore (+7% YoY).

• Q2 EBITDA margin at 13%, impacted by higher import content, forex losses, and one-off costs; Q2 PAT margin at 11.1%.

• Cash balance at quarter end was INR 5,154 crore, with net cash from operating activities for H1 at INR 383.39 crore.

• One-off cost of INR 39.5 crore in electrification and forex impact of INR 56.5 crore affected profitability.

• Basic EPS for Q2 2025 was INR 16.60, compared to INR 20.93 in Q2 2024.

Outlook and guidance

• Management remains cautiously optimistic, expecting market momentum to recover in the medium term, with government capex, energy transition, digitalization, and data centers as key growth drivers.

• QCO compliance and import content to continue impacting margins in the near term; margin band of 12%-15% targeted.

• Board approved advisors for a potential Robotics & Discrete Automation segment spin-off.