Abb India Limited · NSE:ABB
Abb India — Q1 CY2022 Earnings Presentation
23 slides from Abb India's earnings presentation, May 5, 2022
Slide 1: Cover letter to stock exchanges: presentation to analysts
A II II f4IMP REF:INABB:STATUT:LODR:R30:ANLST-PPT: May 5, 2022 BSE Limited P.J. Towers Dalal Street Mumbai 400 001 (Attn : DCS CRD) National Stock Exchange of India Ltd Exchange Plaza, 5fh Floor Plot No. C/1 , G Block Bandra-Kurla Complex, Bandra (E) Mumbai 400 051 Dear Sirs Sub: Presentation to Ana
Slide 2: Solid performance in an uncertain environment
— — MAY 5, 2022 Solid performance in an uncertain environment ABB India Analyst Call Q1 CY2022
Slide 3: Important notices
— Important notices This presentation includes forward-looking information and statements including statements concerning the outlook for our businesses. These statements are based on current expectations, estimates and projections about the factors that may affect our future performance, including
Slide 4: ABB at a glance
— — ABB at a glance ABB is a leading global technology company that energizes the transformation of society and industry to achieve a more productive, sustainable future. By connecting software to its electrification, robotics, automation and motion portfolio, ABB pushes the boundaries of technology
Slide 5: Business highlights
— — Business highlights
Slide 6: Q1 2022 highlights
— Q1 2022 highlights • Strongest base order growth in the qtr Orders +26% 1, Revenues +21% 1 • Improved value offerings and operational efficiencies led to double digit PBT% (before exceptional items) • Published the first Business Responsibility and Sustainability Report (BRSR) 2021 as early adopte
Slide 7: Strong business momentum
— Strong business momentum Orders +26%1 INR crores 2243 2291 1955 1909 Short-cycle 1825 1689 Growth driven across most businesses 1470 1308 1200 Market segments Focus on channels & segments aid price realization Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21 Q3/21 Q4/21 Q1/22 Exports Orders +33% 1 Services Rev
Slide 8: Key milestones in Q1 2022 to accelerate ABB India's growth
— Key milestones in Q1 2022 to accelerate ABB India’s growth System drives and motor packages for Rectifiers for natural resources major Robotics order for electronics major tyre industry Electrification panels for IT campuses New, expanded facility for digital LV motors for explosive atmospheres in
Slide 9: Growing exports and service portfolio
— Growing exports and service portfolio Optimizing growth in times of uncertainty Exports: Strong performance amidst global volatility Services: A steady growth driver with transforming potential INR crores INR crores Exports Services 251.0 361.1 228.0 235.3 303.4 274.0 284.0 189.5 Orders Revenue Or
Slide 10: ABB India's 10-point ESG Framework
— ABB India’s 10-point ESG Framework Aligned with Local & global sustainability commitment Evolution of the ESG framework 10 points ESG focus area 1. Green Infrastructure & site efficiency 2. Renewable Energy & Energy ABB Global Efficiency Improvement 2030 Targets based on 3. GHG Emission Reduction
Slide 11: Green initiatives in our locations
— Green initiatives in our locations Nelamangala Faridabad Peenya Nashik Disha Maneja Green Applied for Gold Certification 100% Renewable Electricity (RE 100) 100% Achieved 100% Achieved 100% Achieved 100% Achieved 100% Achieved 100% Achieved 100% Energy Productivity 2026 2026 2027 2026 2027 2027 (E
Slide 12: Focus on infrastructure upgrade, education & skilling and healthcare for communities
— Focus on infrastructure upgrade, education & skilling and healthcare for communities aligned to UN SDGs Peenya infrastructure Continued operations across Launch and award of ABB - LPF Technology, need based Infrastructure upgradation – upgradation –Handed over to locations with the Mobile health W
Slide 13: Focused growth segments contribute 85% of our business
— Focused growth segments contribute 85% of our business High Moderate Moderate - low Renewables Food & Beverage Marine & Ports Water & Pharmaceuticals Cement Wastewater Data Centers Oil, Gas & Warehouse & Railways & Metro Chemicals Metals & Logistics Power Distribution Mining Pulp & Electronics Aut
Slide 14: Financial highlights
— — Financial highlights
Slide 15: Financial Performance
— Financial Performance Resilient performance in a challenging period INR crores Q4 2021 Performance Indicator Q1 2022 Q1 2021 Change CY 2021 1,936 Base Orders 2,291 1,825 +26% 7,359 2,243 Total Orders Received 2,291 1,825 +26% 7,666 4,912 Order Backlog (end of period) 5,229 4,328 4,912 2,101 Revenu
Slide 16: Financial summary
— Financial summary • Uptick in exports and service business along with strong backlog execution, led to the positive movement in revenue • Commodity prices remain on rise due to steady demand and disruptions to global supply • Increase in personnel expense on account of salary revision • Other expe
Slide 17: Electrification
— Electrification Improving on a solid track record 22% 23% 20% 23% 8% 7% 4% 925 -2% 849 707 760 684 -9% 693 861 575 633 -16% 577 Q1/21 Q2/21 Q3/21 Q4/21 Q1/22 Q1/21 Q2/21 Q3/21 Q4/21 Q1/22 Orders received Order Growth Revenue Revenue Growth Orders Rs 925 crore Revenues Rs 861 crores PBIT Rs 118 cro
Slide 18: Motion
— Motion Significant step up in exports 40 28% % 19% 15% 10% 9% 885 -4% -3% 806 760 731 703 638 716 631 700 -13% -21% 500 Q1/21 Q2/21 Q3/21 Q4/21 Q1/22 Q1/21 Q2/21 Q3/21 Q4/21 Q1/22 Orders received Order Growth Revenue Revenue Growth Orders Rs 885 crore Revenues Rs 716 crore PBIT Rs 95 crore Order B
Slide 19: Process Automation
— Process Automation Navigating headwinds with increased focus on service revenue and profitability 113% 39% 27% 57% 770 471 440 0% 460 -16% -18% -18% 340 -27% 326 -40% 362 267 361 342 Q1/21 Q2/21 Q3/21 Q4/21 Q1/22 Q1/21 Q2/21 Q3/21 Q4/21 Q1/22 Orders received Order Growth Revenue Revenue Growth Ord
Slide 20: Robotics and Discrete Automation
— Robotics and Discrete Automation Strong orders, closely monitoring supply chain stresses 100 105% 85% % 20% 12% -16% 80 94 -6% 89 -31% -28% -36% 48 65 65 39 64 54 61 Q1/21 Q2/21 Q3/21 Q4/21 Q1/22 Q1/21 Q2/21 Q3/21 Q4/21 Q1/22 Orders received Order Growth Revenue Revenue Growth Orders Rs 80 crore R
Slide 21: Well diversified business model
— Well diversified business model Channels Geography Offerings 3% 3% 6% 7% 12% 11% 9% 14% 15% 12% 14% 17% 12% 12% 30% 34% 86% 88% 72% 77% 34% 32% Q1/21 Q1/22 Q1/21 Q1/22 Q1/21 Q1/22 System Integrators Panel Builders Domestic Export Products Services Projects OEMs EPCs Distributors Direct Sales Slide
Slide 22: Outlook and priorities
— — Outlook and priorities • Flawless execution of strong Order book • Mitigation of sensitivities on demand/supply imbalances, elevated commodity prices, forex volatility and geo-political uncertainties • Leverage positive market momentum • Consolidate cash position • Enhance stakeholder and custom
Slide 23: Writing the future: together
— Writing the future: together May 5, 2022 Slide 22