ABB India's shares surged 7% on Wednesday, reaching a new high of Rs 6,341 on the BSE. This rally marks the seventh consecutive trading day of gains for the heavy electrical equipment company, with its stock price rising 17% during this period. The company's strong business outlook has driven this upward trend.
ABB, a leading player in electrification and automation, boasts a robust order backlog of Rs 8,404 crore as of December 31, 2023. This represents a 30% year-over-year increase, providing revenue visibility and supporting the company's growth plans. In the calendar year 2023, ABB India achieved record-breaking orders of Rs 12,319 crore and revenue of Rs 10,447 crore. Profit after tax also witnessed a significant 22% YoY jump to Rs 1,248 crore.
ABB's broad-based growth stems from its expanded engagement in diverse market segments, portfolio expansion, and localization efforts tailored to the Indian market. The company anticipates enhanced market penetration by leveraging its diverse portfolio to capitalize on increased economic activities in sectors such as power transmission, clean energy, railways, metro, public infrastructure, and automation. Government investments are expected to provide substantial support for these initiatives.
Despite external headwinds and challenges, including exchange rate volatility, climate change, and food inflation, ABB remains committed to pioneering advancements in sectors like data centers, electronics, and logistics. The company aims to achieve sustained growth while navigating these challenges.