ABB (ABB) Q2 2026 earnings summary

Executive summary

• Achieved record-high orders of $12,042 million, up 30% year-over-year, with strong growth in Electrification and Motion, and robust execution supported by strategic M&A including Rotork and Specialtrasfo.

• Revenues reached $9,475 million, up 14% year-over-year, driven by Electrification and Automation segments.

• Operational EBITA rose 20% to $1,925 million, with margin improving to 20.2%.

• Net income attributable to shareholders grew 7% to $1,231 million; basic EPS up 8% to $0.68.

• Free cash flow reached $881 million, up 4% year-over-year.

Financial highlights

• Orders: $12,042 million (+30% YoY); Revenues: $9,475 million (+14% YoY); Book-to-bill ratio: 1.27.

• Operational EBITA margin reached 20.2%, up 90 bps year-over-year.

• Gross margin declined 50 bps to 40%, mainly due to unrealized FX and commodity derivatives.

• Cash flow from operating activities rose 9% to $1,150 million.

• Return on Capital Employed (ROCE) increased to 28.4%, up 390 bps year-over-year.

Outlook and guidance

• Raised full-year guidance to low double-digit to low teens comparable revenue growth, with Q3 expected to see low- to mid-teens revenue growth and sequential margin improvement.

• Margin outlook remains positive, with further improvement expected even excluding one-time real estate gains.

• Order backlog at $30 billion, up 28% year-over-year, supporting future revenue growth.