ABB reported improved year-over-year orders in its Robotics & Discrete Automation business in the fourth quarter, despite a low base from the previous year. The company completed a customer outreach to reconfirm its order backlog, resulting in some de-bookings that weighed on order growth for the quarter. However, ABB expects machine builders’ inventory adjustments to conclude by the end of the first or second quarter of 2025.
For the fourth quarter, ABB recorded orders of $8.1 billion, a 6% increase (7% on a comparable basis), while revenues grew 4% to $8.6 billion (5% comparable). Income from operations reached $1.17 billion, with an operational EBITA of $1.43 billion, reflecting a margin of 16.7%. Basic earnings per share rose 7% to $0.54. Full-year 2024 orders remained steady at $33.7 billion, with revenues rising 2% to $32.9 billion. Operational EBITA for the year was $5.97 billion, with a margin of 18.1%.
ABB’s CEO Morten Wierod stated that the company delivered record-high revenues, operational EBITA, and margin in 2024. He highlighted strong growth in the Electrification business, particularly in data centers and utilities, while Process Automation maintained a positive book-to-bill ratio despite challenging order comparisons. The Motion business saw growth in short-cycle orders, though lower project orders offset these gains.
Looking ahead, ABB expects mid-single-digit comparable revenue growth in Q1 2025, with an operational EBITA margin broadly stable year-over-year. For the full year, the company anticipates continued revenue growth, improved profitability, and a positive book-to-bill ratio. ABB’s board has proposed an increased dividend of CHF 0.90 per share and plans to launch a new share buyback program of up to $1.5 billion, running until January 2026.