ABB cautious amid Q2 profit slump

Swiss-Swedish engineering group ABB posted a 31 per cent drop in net income to $675 million (SFr719.5 million) in the second quarter of the year.

This content was published on July 23, 2009 - 10:34

Sales fell by 12 per cent to $7.9 billion according to a company statement on Thursday. However, analysts say ABB's continuing cost-cutting efforts helped limit a decline in profit.

"Factories within some units , such as power products, were running at full capacity to execute order backlog. This supported the earning before interest and taxes figure," a company spokesman said.

The group remains cautious for the rest of the year as customers have hesitated over new spending on equipment.

ABB is expected to benefit from government stimulus packages designed to counter the economic slowdown, but the group said it was unable to forecast when these programmes would start to help ABB or when the availability of funding would improve. with agencies

In compliance with the JTI standards

In compliance with the JTI standards

More: SWI certified by the Journalism Trust Initiative

You can find an overview of ongoing debates with our journalists here. Please join us!

If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at

Sort by

Change your password

Do you really want to delete your profile?

Your subscription could not be saved. Please try again.
Almost finished... We need to confirm your email address. To complete the subscription process, please click the link in the email we just sent you.

Discover our weekly must-reads for free!

Sign up to get our top stories straight into your mailbox.

The SBC Privacy Policy provides additional information on how your data is processed.