ABB India on Friday reported a sharp jump in quarterly profit for the first quarter of calendar year 2026, largely driven by a one-time gain from the sale of its robotics business, even as operational performance remained under pressure due to softer margins.
The company posted a net profit of Rs 1,784 crore for the quarter compared to Rs 475 crore in the year-ago period, marking nearly a four-fold increase. However, the surge in profit was primarily due to an exceptional gain arising from the restructuring and sale of its robotics business rather than core operational growth.
ABB India explained that the sharp increase in net profit was linked to the sale of its robotics business to ABB Robotics India Private Limited as part of a global restructuring initiative.
The company's board had approved the sale of its shareholding in ABB Robotics India Private Limited to ABB Robotics Schweiz AG, Switzerland, for a consideration of Rs 1 lakh. Subsequently, ABB India transferred its robotics business to ABB Robotics India through a slump sale valued at Rs 1,568.2 crore.
Following shareholder approval in February 2026, the transaction was completed on March 1, 2026.
ABB India said it recorded a profit of Rs 1,658.48 crore from discontinued operations, representing the difference between the sale consideration received and the net assets transferred as part of the robotics business sale.
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Revenue from operations rose 5.8% year-on-year to Rs 3,184 crore from Rs 3,010 crore in the corresponding quarter last year.
At the operating level, Ebitda declined 27% to Rs 408 crore against Rs 560 crore a year earlier. Ebitda margin also contracted sharply to 12.8% from 18.6% in the same period last year, reflecting margin pressure despite steady revenue growth.
The company also reported strong order inflows during the quarter. Total orders rose 25% year-on-year to Rs 4,280 crore, driven by robust demand across electrification and motion businesses.
ABB India said sectors such as data centers and renewable energy witnessed healthy growth opportunities, while orders from railways, metals, mining, energy and chemicals remained relatively muted due to a high base.
The company maintained a strong cash position of Rs 6,042 crore at the end of the quarter, excluding the robotics business.
Looking ahead, ABB India said it remains well-positioned to benefit from sustained domestic demand, government-led infrastructure spending and investments across sectors such as renewables, grid modernization, railways, data centers, automotive and pharmaceuticals.
However, the company cautioned that geopolitical tensions in West Asia could continue to impact energy prices, logistics costs and near-term margins.
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