Company News

To summarize the outcome in the second quarter, I would first highlight the 2% comparable order growth which was up from last year's already high level, and the positive book-to-bill. It was good to see that the customer activity remained robust throughout the period. Secondly, the high revenue growth of 13% (17% comparable) supported by backlog execution. Thirdly, the record-high achievements on both absolute Operational EBITA of $1.4 billion and Operational EBITA margin of 17.5%, up 200 basis points from last year, with all four business areas above 15%. This was supported by a strong price contribution which more than offset labor inflation as well as some limited cost inflation related to commodities, with additional support from operational leverage on increased volumes in production. And lastly, the solid cash flow from operating activities of $760 million. All the while we executed on portfolio optimization and continued to introduce leading new technology to help our customers become more sustainable and resource efficient. In my view, the quarter is an additional indication that we are establishing ABB's operational performance at a higher level.

The Northwest Passage is the sea route between the Atlantic and Pacific oceans through the Arctic Ocean, along the northern coast of North America. This 6,000-kilometer stretch of treacherous waters is considered one of the most dangerous nautical routes in the world. For centuries, explorers sought a navigable passage as a possible trade route to Asia but were blocked by North, Central, and South America; however, in 1906, a team of Norwegian sailors successfully traversed the passage. Since then, specialty vessels with crews of dozens, if not hundreds, of highly trained sailors have attempted the voyage; some emerged successfully on the other side, but just as many were forced to turn back, call for rescue – or worse.

ABB announced today it has completed its acquisition of the Siemens low voltage NEMA motor business. The transaction was originally announced August 11, 2022, and financial terms of the transaction were not disclosed. The business employs around 600 people and generated revenues of approximately $63 million in 2021.

ABB announced today at the SelectUSA Investment Summit that it is investing $1 million in the University of Arkansas - Fort Smith (UAFS) to help position the school to become one of the nation’s leading advanced manufacturing educational institutions. This announcement follows ABB’s recent commitment to invest $170 million in manufacturing and distribution operations in 2023.

"ABB had a strong start to the year, with a positive development in most measures, including cash flow. This gives us the confidence to raise our 2023 guidance."Björn Rosengren, CEO

Soler & Palau, or S&P, was founded in 1951 in Ripoll, Spain, near Barcelona, and has grown to six development centers and 25 factories worldwide. S&P is a fan manufacturer and partners with air-handling OEMs to allow customers to buy complete systems. Soler & Palau Mexico, located in Puebla, about 100km (60 miles) southeast of Mexico City, has been an ABB customer for three years. ABB’s Baldor-Reliance EC Titanium integrated motor-drive systems and inverter duty HVAC motors power many of S&P’s air-handling units. These units help address air quality and health needs by increasing filtration in indoor environments in residential and commercial buildings. OEMs demand high performance from S&P, and S&P demands high performance from its motors. ABB’s ability to meet these needs, coupled with the company’s commitment to corporate values and customer service, played a vital part in S&P choosing ABB motors.

ABB is accelerating its growth strategy in the United States by investing approximately $170 million and creating highly skilled jobs in manufacturing, innovation and distribution operations. ABB is committed to growing in the US by investing in its electrification and automation businesses that meet increased demand from industry-leading customers, while supporting the clean energy transition and the trend towards reshoring of production. This commitment is highlighted by today’s pouring of the concrete foundations for a greenfield drives and services facility in New Berlin, Wisconsin. The US is ABB’s largest market, comprising 24 percent of the company’s annual revenue.

ABB, a global leader in technology innovation, is celebrating the “floor pour” of its newest U.S. flagship campus at 18250 W. Lincoln Avenue. The Greenfield location in New Berlin will serve as the U.S. headquarters, manufacturing facility and distribution center for the Drives and Motion Services businesses. The new facility is anticipated to open in late 2024 and will accommodate 720 ABB employees. Approximately $100 million is being invested in the project and is expected to create 100 new jobs over the next three years.

Now, more than ever, it is vital that food and beverage companies choose supplier partners that understand their processes, helping to improve plant reliability, sustainability and achieve productivity goals.

Commercial marine motors in general are high-grade motors treated for corrosion resistance and designed for use on shipboard applications. These motors meet the regulatory requirements governed by three major specifications: the American Bureau of Shipping (ABS) Rules for Building and Classing Marine Vessels1, the United States Coast Guard (USCG) Electrical Engineering Regulations2 and the Institute of Electrical and Electronics Engineers (IEEE) Standard 45, Recommended Practice for Electric Installations on Shipboard3. Marine motors are also used for other-than-shipboard service in functions on offshore drilling rigs, shipyard applications and port equipment. Marine motors are usually mounted to steel structures, which are subject to vibration and shock or pitch and roll movement, and typical marine application settings are very humid and salt-laden harsh environments. Therefore, the environments in which shipboard motors operate and the functions they perform require unique design and construction considerations above those of standard industrial motors.