ABB India shares drop 5% post Q3 earnings; check key metrics, management commentary, order updates, and outlook

The stock slipped as much as 4.8% to ₹4,976 on the NSE in the opening deals.

The electrification and automation major ABB on Thursday reported a 7% decline in net profit to ₹409 crore for the September quarter (Q3 FY26), mainly due to rising material costs.

The company follows a January-to-December fiscal year.

It had posted a net profit of ₹440 crore in the quarter ended September 30, 2024, a company statement said.

According to the statement, the company reported a profit before tax (before exceptional items and one-offs) of ₹542 crore for the quarter.

Profitability reflected rising material costs, mainly due to revenue mix and reliance on imports to support delivery commitments in the wake of QCO compliance, it explained.

Profit after tax (net profit) stood at ₹409 crore for the quarter, it stated.

The company's revenue grew 14% to ₹3,311 crore for the September quarter from ₹2,912 crore a year ago.

All business areas posted a growth in revenue during the quarter, led by robotics and discrete automation, it stated.

It was evenly balanced in electrification, with all divisions posting growth. The revenue growth in Motion was led by the execution of traction motor orders.

Process automation was a mixed bag, with energy industries offsetting the growth in process industries and measurement and analytics due to readjusted schedules by customers driven by market requirements, it stated.

Sanjeev Sharma, Managing Director, ABB India, said in the statement, "...Base order growth and revenue expansion led the way in driving momentum during the quarter... While remaining optimistic, we will continue to leverage growth opportunities, which the domestic market and the regulatory easing offer amidst global volatility."

Management statement

Commenting on the company’s performance, Sanjeev Sharma, Managing Director, ABB India, said, “We have had another quarter where we continue to build our overall performance. Base order growth and revenue expansion led the way in driving momentum during the quarter. I am proud of the team that continues to nurture our wide portfolio to serve customers in 23 market segments and continues to weather all cyclical swings in a year that has been cautious on the customers’ side."

Sharma added, "While remaining optimistic, we will continue to leverage growth opportunities which the domestic market and the regulatory easings offer amidst global volatility. Our sustainability journey remains consistent with non-financial parameters on track.”

Order details

Total orders for the third quarter were ₹3,233 crore. Motion and Robotics and Discrete Automation led the way with robust order growth. Electrification had a large data centre order in the same quarter last year, while Process Automation also followed the overall order plateau trend for the quarter.

Order wins spanned across wind converters for renewables, robotics for EV mobility (automotive) and mobile phone assembly (electronics), process automation and drive solutions for metals, insulated case circuit breakers and fault current limiters for a power distribution equipment company, and electricals and instrumentation for a global leader in food, beverage, and pharma systems. Opportunities also included gas chromatographs and oxygen analysers for a leading integrated energy major.

ABB India continues to have a strong order backlog as of September 30, 2025, at ₹9,895 crore, which provides good revenue visibility and is well aligned to support growth plans in the coming quarters.

"The company’s cash position continues to remain robust at ₹4,991 crore at the end of Q3 CY2025, buoyed by consistent efforts incollection, and, also includes significantly higher dividend payouts as compared to YTD last year and inventory accumulation for quality control order adjustments," the press release added.

Outlook

ABB India said the company is well-positioned to capitalise on a resilient macroeconomic environment and strong government-led industrial momentum. Easing inflation, GST rationalisation, and sustained public capex—particularly in infrastructure, railways, and green energy—are driving consumption and demand recovery. While private and industrial capex remains selective, growth is evident in high-potential sectors such as renewables, data centres, electronics, process industries, oil & gas, food & beverage, and water.