ABB showed a net profit of $ 204 million, equivalent to approximately 1.8 billion for the fourth quarter of 2015. This corresponds to a 70-proc objects fall compared with last year’s net profit of $ 680 million.
however, it was better than analysts’ expectations of $ 192 million, according to Reuters.
Power and automation company ABB reported operating income, operating EBITA of $ 1.081 billion for the fourth quarter of 2015. that was 8.3 percent better than expected $ 998 million, according to SME Direkt survey.
revenue also beat analyst expectations and landed at $ 9.242 billion, compared with the expected $ 9.109 billion.
Order intake landed at $ 8.262 billion. SME forecast at this point were at $ 8.205 billion.
A dividend of 0:74 Swiss francs per share proposed (0.72). According to SME Direkt was expected to average 0.75 francs.
“With our strong financial position and a more flexible and market-oriented organization, we are well positioned to deal with global uncertainties we continued to face in 2016, “writes CEO Spiesshofer in a statement.
ABB announced in the financial statements that they will achieve gross savings of around $ 400 million in 2016 through” streamlined processes “. In 2015, savings totaled approximately $ 1.2 billion. The company intends to achieve cost savings of $ 1 billion per year to the end of 2017.
ABB basorderingång (orders worth less than $ 15 million, which accounts for 80-90 percent ABB’s order intake) decreased by 6 percent in the fourth quarter, after a decline of 3 percent in the next quarter.
Base orders in Power Products increased but decreased in other divisions, writes ABB. In dollar terms decreased base orders by 15 percent.
The Group’s total order intake fell 2 percent.
“Orders in Europe rose by about 7 percent, reflecting stable demand in Germany and the substantial growth in demand in Sweden and Turkey, “writes ABB.
also clear that order bookings in North and South America remained stable during the period, while it decreased in Asia, Middle East and Africa (AMEA), mainly due to a double-digit decline in China.
ABB’s international outlook is mixed , with continued uncertainty. Some macroeconomic signs in the United States remain positive and growth in China is expected to continue, albeit at a slower pace than in 2015. It writes ABB in Wednesday’s Financial Report.
The market remains under pressure from moderate growth in Europe and geopolitical tensions in different parts of the world, called it forth, as well as to oil prices and currency effects are expected to continue to affect the company’s results.
in 2016, expected to be challenging market conditions with strong headwinds in certain segments, and ABB needs a different approach than earlier to how the company is run.
It says Spiesshofer, CEO, ABB’s internally produced CEO interview about the financial report.
“the prospect of oil and gas are subdued, while other segments is more encouraging, “he said.
the main positive surprise for analysts was that ABB’s Power Systems division’s operating margin rose 7.4 percent against the anticipated 5.2 percent (1 , 3), which was within the target range of 7-11 percent. It was a result of the ongoing “step change” measures, improved project margins and continued cost cutting measures, which is said to go according to plan.
While the strategic review of ABB’s new kraftnätsdivision Power Grid, which at the turn replaced the Power Systems with some elements from elsewhere in the group, said to go according to plan and will be finalized during in 2016.
Four new members , Frederico Fleury Curado, Robyn Denholm, David Meline and Satish Pai proposed to the company’s board. With ABB’s nominations increase the number of members from the current eight to eleven. The purpose of the board of the changes is to strengthen the capacity because of “the shift of emphasis in the company’s activities.”
Meanwhile, board member Roger Agnelli, who served on the board since 2002, decided not to seek re-election, the company said after the report.
It is not clear whether the proposed members have any connections to the owners or Investor Cevian, both bought shares in ABB in 2015.
No comments:
Post a Comment