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News: ABB reported robust Q3CY24 results wherein revenues grew by Rs 2751 crore, up 31% YoY. From a segmental perspective, process automation, electrification and motion grew by 93%/18.4%/11.2% YoY respectively. EBITDA margins came in at 16% vs. 10 in Q3CY23 and 13.9% in Q2CY24 on account of strong execution and operating leverage. Order inflow for Q3CY23 stood at Rs 3003 crore whereas backlog stood at Rs 8008 crore. Consequently, PAT grew by 79% YoY at Rs 362 crore.
Views: ABB order inflow and backlog instill confidence of strong show going ahead coupled with ongoing manufacturing boom, we believe ABB is in a sweet spot with its diversified product basket. However valuations on the rich side can stay elevated given strong performance coming.
Impact: Positive