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ABB India jumps after strong earnings

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Capital Market
Last Updated : Feb 11 2015 | 12:01 AM IST

ABB India rose 5.59% to Rs 1,338.50 at 13:22 IST on BSE after net profit rose 43.64% to Rs 84.16 crore on 2.20% increase in total income to Rs 2253.10 crore in Q4 December 2014 over Q4 December 2013.

The result was announced during trading hours today, 10 February 2015.

Meanwhile, the BSE Sensex was up 147.16 points, or 0.52%, to 28,374.55.

On BSE, so far 45,000 shares were traded in the counter, compared with an average volume of 15,659 shares in the past one quarter.

The stock hit a high of Rs 1,348.90 and a low of Rs 1,250 so far during the day. The stock hit a 52-week high of Rs 1,396.70 on 4 December 2014. The stock hit a 52-week low of Rs 570.40 on 14 February 2014.

The stock had underperformed the market over the past one month till 9 February 2015, falling 0.02% compared with 2.80% rise in the Sensex. The scrip had, however, outperformed the market in past one quarter, rising 16.83% as against Sensex's 1.29% rise.

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The large-cap company has an equity capital of Rs 42.38 crore. Face value per share is Rs 2.

The company reported double digit growth in earnings for Q4 December 2014, riding on the benefits of strong execution, enhanced productivity and cost take out programs, ABB India said in a statement.

ABB India's net profit rose 27.44% to Rs 228.51 crore on 0.28% increase in total income to Rs 7750.55 crore in the year ended December 2014 over the year ended December 2013.

Orders rose 49.28% to Rs 2487 crore in Q4 December 2014 over Q4 December 2013.

Orders rose 17.73% to Rs 7908 crore in the year ended December 2014 over the year ended December 2013.

A consistent order backlog of Rs 7926 crore as on 31 December 2014, provides visibility for future revenues, the company said.

Operational EBITDA* (earnings before interest, taxes, depreciation and amortization) rose 12.21% to Rs 193 crore in Q4 December 2014 over Q4 December 2013. Operational EBITDA margins were reported at 8.6% in Q4 December 2014 compared with 7.9% in Q4 December 2013.

Operational EBITDA rose 13.74% to Rs 596 crore in the year ended December 2014 over the year ended December 2013.

Operational EBITDA margins were reported at 7.7% in the year ended December 2014 compared with 6.9% in the year ended December 2013.

* Operational EBITDA: Earnings before interest and taxes (EBIT) excluding depreciation and amortization, adjusted for i) unrealized gains and losses on derivatives (FX, commodities, embedded derivatives), ii) realized gains and losses on derivatives where the underlying hedged transaction has not yet been realized, iii) unrealized foreign exchange movements on receivables/payables (and related assets/liabilities), iv) restructuring and restructuring-related expenses, and v) acquisition-related expenses and certain non-operational items.

"A year marked by strong execution and our resilient portfolio helped deliver a consistently improved performance in a demanding macro and industrial environment. We will continue to push our profitable growth initiatives, introduce new products to the market and offer state of the art technology solutions catering to the evolving customer needs," said Bazmi Husain, Managing Director, ABB India. "Our continued investment in optimization initiatives, facility expansion and technology leadership, positions us well for a market revival."

ABB is a leader in power and automation technologies that enable utility and industry customers to improve their performance while lowering environmental impact. The ABB Group of companies operates in around 100 countries and employs about 145,000 people.

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First Published: Feb 10 2015 | 1:20 PM IST

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