Zurich, Switzerland (GenevaLunch) – ABB has announced a $1 billion profit in the third quarter, confirming the news it anticipated 10 days ago. Profits are up 12 percent over last year thanks to unforseen improvements that allowed it to release $380 million in provisions. But the outlook is uncertain, the company says. The need for energy-efficient power infrastructure world-wide remains, but the current economic climate means many customers – governments, mainly – are deferring infrastructure investments.
The company says it is successfully cutting costs in order to confront the economic crisis, and is on track to reduce costs by $2b by 2010, but its order book has plunged 21 percent to $7.1b, and revenues are down 5 percent to $7.9b, in local currency terms.
Links to other sites: Le Temps, NZZ (Ger), Romandie News
Background: “ABB anticipates record profits in third quarter 2009“, 19 October 2009, GenevaLunch
This work by genevalunch.com is licensed under a Creative Commons Attribution-NonCommercial-NoDerivs 3.0 Unported.
News story, GenevaLunch, 29 October 2009.
Filed under: Business
Tags: ABB, order book, power infrastructure, profits, provisions, third quarter results
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