homebusiness NewsABB global ups 2023 growth forecast and predicts strong double digit revenue growth for second quarter
ABB global ups 2023 growth forecast and predicts strong double-digit revenue growth for second quarter
The leading global capital goods company ABB has revised its 2023 guidance upwards from 5 percent to nearly 10 percent. They have projected strong growth for the next quarter, expecting double-digit comparable revenue growth, following a calendar year.
ABB India was the stock buzzing in trade today, following the release of strong financial results by its global parent. ABB, the Swiss-based technology company, had a robust start to the year, with positive development in most measures, including cash flow. This has given the company confidence to raise its guidance for 2023, and ABB India is poised to benefit from this growth trajectory.
Leading global capital goods company ABB has revised its 2023 guidance upwards from 5 percent to nearly 10 percent. They have projected strong growth for the next quarter, expecting double-digit comparable revenue growth, following a calendar year.
Additionally, they anticipate a minimum of 10 percent revenue growth. In terms of India's ordering activity, ABB Global's ordering activities reported a year-on-year increase of 46 percent.
To analyse the correlation between the declaration of results by ABB Global and ABB India's revenue growth, we looked back at the past four quarters.
In Q1 2022, ABB Global and ABB India saw revenue growths of almost 27 percent and around 26 percent, respectively, indicating a strong correlation. For Q2, it was 81 percent and 64 percent, respectively.
In Q3, it was 44 percent and 38 percent. However, in the previous quarter, Q4 2022, ABB Global saw a 24 percent growth, while ABB India's growth was only 4 percent due to poor ordering activity.
Analysts are predicting ABB India's revenue growth to be between 16 to 22 percent based on the current reported a year-on-year increase of 46 percent.
If the correlation between ABB Global's results and ABB India's revenue growth sustains, ABB can expect to beat revenue expectations for Q4.
First Published: Apr 25, 2023 5:16 PM IST
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