ABB India Ltd (ABB)

Capital Goods · Capital Goods - Electrical Equipment · NSE · Updated 1 September 2026
By StockFin Research Team AI-Assisted Analysis Source: BSE/NSE Filings
₹7,430 ↑ 48.71% (1Y)

🎯 Key Takeaways

  • ABB India is transitioning from a high-growth phase into a disciplined capital allocation cycle, leveraging strong order backlogs and infrastructure tailwinds while navigating margin pressures from macroeconomic volatility. Management is prioritizing sustainable expansion in automation and electrification, with leadership succession plans underway to ensure continuity amid global headwinds.
  • Revenue grew 11.8% QoQ to ₹3,559 in Q1FY27.
  • ⚠️ Margin pressure from sustained input cost inflation and forex volatility remains a key concern, as highlighted in the Q1 CY2026 results.
Market Cap
₹1.57 L Cr
P/E Ratio
52.7
P/B Ratio
20.09
ROE
38.1%
ROCE
26.5%
Debt/Equity
0.00
Div Yield
0.53%
Promoter
75.0%

📖 The Story

ABB India is transitioning from a high-growth phase into a disciplined capital allocation cycle, leveraging strong order backlogs and infrastructure tailwinds while navigating margin pressures from macroeconomic volatility. Management is prioritizing sustainable expansion in automation and electrification, with leadership succession plans underway to ensure continuity amid global headwinds.

📰 What's Happening

In Q1 CY2026, ABB India reported 6% YoY revenue growth to INR 3,184 crores, driven by 25% order growth to INR 4,280 crores and a record backlog of INR 11,094 crores (+17% YoY). Despite revenue growth, PAT declined 25% YoY to INR 342 crores due to input cost inflation and forex volatility. The company announced a USD 75 million investment in manufacturing and R&D expansion, alongside progress on sustainability targets (82% YTD Scope 1&2 GHG reduction toward 88% by 2026). Leadership updates include the appointment of Hemanth Kumar as Local Division Manager – Motion and the approval of TK Sridhar as Managing Director for five years starting January 2027, alongside Sanjeev Sharma’s elevation to Non-Executive Director. Shareholders also approved all resolutions at the 76th AGM, including re-appointment of Chairman Adrian Guggisberg and ratification of cost auditor remuneration.

Source: Stock Announcements

📊 Quarterly Results (₹ Cr)

MetricSep 2025Dec 2025Mar 2026Jun 2026
Revenue3,3113,4233,1843,559
Operating Profit464488366408
OPM %14.0%14.3%11.5%11.5%
Net Profit4094331,784362
EPS₹19.31₹20.43₹84.18₹17.09

Revenue has shown sequential improvement, rising to INR 3,559 crores in June 2026 from INR 3,184 crores in March 2026, though OPM remained stable at 11.5%. However, profitability trends are mixed: NP surged to INR 1,784 crores in March 2026 (likely due to one-time gains from discontinued operations) but declined sharply in prior quarters, reflecting underlying margin compression. The sharp rise in OPM to 14.3% in December 2025 suggests temporary operational leverage, now normalizing. The company’s cash balance of INR 6,042 crores (excluding Robotics) provides flexibility for planned capex, but the decline in PAT and margin pressure underscore execution risks in cost management amid inflationary headwinds.

🔮 Management Outlook & What's Next

Management highlighted strong order momentum and backlog expansion as indicators of sustained demand, with a focus on scaling operations in automation, electrification, and sustainability. Forward guidance includes a target to achieve 88% Scope 1&2 GHG emissions reduction by 2026 (82% YTD), underscoring ESG integration into core strategy. The USD 75 million investment in manufacturing and R&D signals commitment to long-term capacity building, while leadership succession planning reflects preparedness for continuity amid global uncertainties. No explicit financial targets beyond order and sustainability metrics were provided in the latest disclosures.

Extracted from official company announcements. Not StockFin.ai's opinion.

🏦 Balance Sheet (₹ Cr)

ItemMar 2023Mar 2025Mar 2026Mar 2027
Equity Capital42424242
Reserves4,1297,0337,7949,297
Borrowings30520145
Total Liabilities8,54512,39113,63815,736
Fixed Assets8051,0441,1951,228
Investments975222
Total Assets8,54512,39113,63815,736

The balance sheet shows a robust financial position with zero net debt (Borrowings: INR 145 crores vs. Equity & Reserves: INR 9,339 crores as of March 2027), enabling strategic flexibility. Total assets grew to INR 15,736 crores from INR 13,638 crores YoY, driven by capital investments. The absence of debt and strong equity base support the company’s expansion plans, including the planned manufacturing and R&D spend. However, the lack of debt financing for growth suggests a conservative capital structure, with reinvestment funded internally — consistent with a capital-intensive but de-risked growth model.

💰 Cash Flow Statement (₹ Cr)

ItemMar 2026
Operating+1,220
Investing+363
Financing-966
Net Cash Flow+617

👥 Shareholding Pattern

CategoryQ2FY26Q3FY26Q4FY26Q1FY27
Promoters75.0%75.0%75.0%75.0%
FII8.3%7.7%8.2%7.7%
DII8.3%9.2%9.3%9.9%
Public6.9%6.5%6.2%6.1%
# Shareholders2,02,4002,00,6571,81,5281,83,577

Institutional investor interest remains stable, with FII holding at 7.67% and DII at 9.9% in Q1FY27, showing minimal volatility over recent quarters. Promoter holding remains steady at 75%, with no signs of dilution or significant stake sales. The increase in retail shareholders (from 1,81,528 to 1,83,577) and stable institutional participation suggest confidence in governance and long-term prospects. No pledging activity or major shareholder exits were disclosed, indicating alignment between management and shareholder interests.

⚖️ Peer Comparison — Capital Goods - Electrical Equipment

Company MCap (₹ Cr) P/E ROCE ROE D/E
ABB 1.57 L Cr 52.7 26.5% 38.1% 0.00
BHEL 1.51 L Cr 62.1 11.6% 9.3% 0.30
POWERINDIA 1.49 L Cr 129.2 29.9% 22.2% 0.00
SIEMENS 1.44 L Cr 43.9 14.2% 23.7% 0.00
CGPOWER 1.41 L Cr 113.0 21.3% 15.6% 0.00
GVT&D 1.11 L Cr 85.1 99.4% 73.6% 0.00
WAAREEENER 75,911 19.9 54.0% 42.2% 0.10
APARINDS 71,126 60.2 33.0% 21.9% 0.16
SUZLON 64,289 20.5 44.5% 51.5% 0.05
THERMAX 46,983 74.9 12.5% 10.6% 0.41

🔗 Peer Stock Analyses

⚠️ Risk Factors

1. Margin pressure from sustained input cost inflation and forex volatility remains a key concern, as highlighted in the Q1 CY2026 results. 2. Execution risks around the planned USD 75 million capex in manufacturing and R&D could strain cash flows if returns are delayed. 3. Leadership transition from Sanjeev Sharma to TK Sridhar as MD, while planned, introduces execution continuity risk amid global headwinds. 4. Declining profitability despite revenue and order growth suggests potential headwinds in scaling efficiency, requiring close monitoring of cost discipline.

📋 Recent Filings

🧠 Analyst's Read

ABB India demonstrates resilient demand trends and strong governance, but near-term profitability remains vulnerable to macroeconomic pressures. Investors should monitor margin recovery in upcoming quarters, progress on sustainability targets, and the successful integration of leadership changes and planned investments. The company’s long-term structural tailwinds in infrastructure and automation are intact, but near-term execution will be critical to sustaining momentum.

Based on filing content and financial data. Not a recommendation.

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Data sourced from stock announcements. Analysis generated by StockFin.ai.
For informational purposes only — not investment advice. Updated 2026-09-01.

Editorial & Data Transparency Notice

This analysis was programmatically compiled using StockFin AI utilizing official regulatory disclosures from the BSE and NSE. Content is automatically synthesized and audited against public financial filings. StockFin.ai is an educational research platform and is NOT a SEBI-registered investment advisor or research analyst.

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