Abb India Limited · NSE:ABB
Abb India — Investor Presentation (November 2024)
27 slides from Abb India's investor presentation, Nov 14, 2024
Slide 1: Letter to stock exchanges: Presentation to Analysts
REF:INABB:STATUT:LODR:R30:ANLST-PPT: November 14, 2024 BSE Limited P.J. Towers Dalal Street Mumbai 400 001 (Attn : DCS CRD) National Stock Exchange of India Ltd Exchange Plaza, 5th Floor Plot No. C/1, G Block Bandra-Kurla Complex, Bandra (E) Mumbai 400 051 Dear Sirs Sub: Presentation to Analysts Ref
Slide 2: ABB in India: Overview
ABB in India: Overview NOVEMBER 14, 2024 | SANJEEV SHARMA, CMD & TK SRIDHAR, CFO Partnering India’s growth trajectory
Slide 3: Footprint and presence
Footprint and presence
Slide 4: ABB in India: 100+ years
ABB in India: 100+ years 75th year of manufacturing with Global R&D and Business Services HO & Peenya Campus, Maneja Campus, Bengaluru Vadodara 5 Manufacturing locations 4 BAs 19 divisions 25 Plants 28 Sales offices Nelamangala Campus, Faridabad Campus 750+ Channel partners Bengaluru 10,800+ Employe
Slide 5: ABB WAY: All four ABB Business Areas with local presence in India
ABB WAY: All four ABB Business Areas with local presence in India BUSINESS AREA Robotics & Electrification Motion Process Automation Discrete Automation DI V ISION Distribution Solutions IEC LV Motors Energy Industries Robotics Smart Power Large Motors & Generators Process Industries Machine Automat
Slide 6: ABB in India – legal structure
ABB in India – legal structure Four entities – one listed and the others fully owned Listed Entity: ABB India Limited (INABB) Fully Owned Entities Shareholding Structure: ABB Group1 (75%) Public (25%) • ABB Global Industries and Service Pvt. Ltd. (ABB Innovation Center INCRC) ABB IN • ABB Global Bus
Slide 7: Markets and business
Markets and business
Slide 8: India expected to become 3rd largest economy by 2027
India expected to become 3rd largest economy by 2027 Strong long term demand outlook with Services & Industry being growth drivers2 Figures are Nominal GDP in TUSD US 19.5 US 25.5 US 31.4 China 12.3 China 17.9 China 22.3 3 Japan 4.9 Japan 4.2 India 5.4 Germany 3.7 Germany 4.1 Germany 5.3 5 UK 2.7 In
Slide 9: Solid growth with optimized portfolio
Solid growth with optimized portfolio Budget rate $1 = INR 80.7 2019 2023 Orders $860mn $1.5bn CAGR: 15.4% Revenue $896mn $1.3bn Op. EBITA 6.8% 13.3% Cash Balance ~$200mn ~$590mn All values are for INABB
Slide 10: Diverse businesses catering to 23 market segments
Diverse High Moderate Low businesses Datacenter Renewables Textiles catering to 23 market Railways & metro Automotive Rubber & plastics segments Electronics Water & wastewater Metals & mining Warehouse & logistics Cement Power distribution Food & beverage Buildings & Marine & ports infrastructure Oi
Slide 11: Energy Transition
Energy Transition Diverse portfolio to cater to various facets of transition from energy Thrust on large scale RE integration Green hydrogen push in India At ABB India some milestones sources to processes and • 5500 GW of installed capacity by 12-18 GT CO2e reduction by 2070 we have achieved 2030 (I
Slide 12: A broad portfolio to complement data center growth in India
A broad portfolio to complement data center growth in India ~30% of hyperscale data centers pan India use ABB solutions Indian data center market Key growth drivers India data center (DC) market • Data Centers classified as capacity Infrastructure facilities MW, 2022 - 2025 • Data Center Parks:, dat
Slide 13: Electronics and digital economy
Electronics and digital economy >60% of mobile phone manufacturing facilities deploy ABB Robotics solution Sector target to reach USD 500bn by 2030 & currently estimated at USD 150bn; govt to create a semicon workforce of 85,000 technicians, engineers and R&D workforce, part of Chips 2 Startup progr
Slide 14: Making millions move safely across the country
Making millions move safely across the country >80% of metro rail use ABB tech; >900 electric locos deploy ABB traction tech ABB’s offerings include Traction converter & motors, HVAC drives, LV components, DC circuit breaker, UPS, Digital Power Train Key drivers • Exponential rise in passenger & Fre
Slide 15: Reinforced and accelerated sustainability agenda in November 2023
Reinforced and accelerated sustainability agenda in November 2023 - ABB GROUP 2030 and 2050 emission targets approved by the Science Based Targets initiative (SBTi) We enable a We preserve We promote low-carbon society resources social progress ABB ESG recognized in ratings – Scope 1 and 2 CO2e emis
Slide 16: Sustainability Key highlights Till Q3'2024 – ABB India
Sustainability Key highlights Till Q3’2024 – ABB India Green Certified Units Reduction of own scope Water Positive Units (IGBC Green factory) 1 and 2 GHG emissions* 100% 50% ~83% Zero Waste to landfill Safety Hazard Resolution Certified Units (aiming for zero harm) 33% 98% *as compared to baseline 2
Slide 17: Performance highlights
Performance highlights
Slide 18: Consistent performance in the last 5 years
Consistent performance in the last 5 years Values are in INR Crores Orders Received Revenue CAGR 9.5% CAGR 15.4% 12,319 10,447 10,028 10,384 8,568 8,823 7,666 7,315 5,821 6,934 6,970 5,932 +13% +15% vs. 9M'23 vs. 9M'23 2019 2020 2021 2022 2023 9M 2024 2019 2020 2021 2022 2023 9M 2024 PBT before exce
Slide 19: Upward momentum for profitability
Upward momentum for profitability Values are in INR Crores Operational EBITA PAT ROCE 18% 15% 13% 12% 12% 10% 8% 8% 7% 20.8% 21.0% 5% 1,550 4% 4% 1,384 1,248 1,343 13.1% 897 +59% 1,026 +49% 10.0% 494 293 575 vs. 9M'23 302 230 532 vs. 9M'23 6.4% 2019 2020 2021 2022 2023 9M 2019 2020 2021 2022 2023 9M
Slide 20: Creating value for stakeholders
Creating value for stakeholders Values are in INR Earnings per share (INR) Dividend per share (INR) CAGR 57% CAGR 43% 59 29.3 48 25 10.66 14 10 4.8 5.0 5.2 5.5 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 9M 2024
Slide 21: Resilient and diversified business model (by revenue)
Resilient and diversified business model (by revenue) Business Areas Offerings 4% 3% 4% 2% 4% 3% 9% 8% 10% 10% 10% 14% 21% 23% 20% 18% 21% 22% 17% 16% 15% 12% 14% 12% 37% 39% RA 35% 37% 36% 35% Projects PA 74% 75% 77% 78% 76% 74% Services MO Products 40% 37% 39% 41% 39% 40% EL 2019 2020 2021 2022 20
Slide 22: Electrification
Electrification 30.0 6,000 60% 22.6 6,000 60% 36% 18.5 24% 28% 17% 21% 35% 15% 18% 35% 20.0 4,000 4,000 13.8 8% 10.5 11.1 10% 10% 9.8 -22% 2,000 10.0 2,000 -26% -15% -15% +43% +17% - vs. 9M'23 -40% - vs. 9M'23 -40% 0.0 2019 2020 2021 2022 2023 9M 2019 2020 2021 2022 2023 9M 2019 2020 2021 2022 2023
Slide 23: Motion
Motion 30.0 22.6 6,000 60% 4,000 60% 41% 30% 20.0 15.9 24% 27% 40% 4,000 16% 16% 12% 30% 12.5 12.3 9.2 10.8 20% 2,000 0% -1% 10.0 2,000 -15% 0% 0% (-5)% +10% - vs. 9M'23 -20% - vs. 9M'23 -30% 0.0 2019 2020 2021 2022 2023 9M 2019 2020 2021 2022 2023 9M 2019 2020 2021 2022 2023 9M 2024 2024 2024 Order
Slide 24: Process Automation
Process Automation 20.0 17.1 4,000 100% 4,000 42% 60% 12.8 60% 12.3 60% 40% 29% 12% 9.1 9% 20% 10.0 -1% 1% 6.1 2,000 -7% 20% 2,000 -23% -18% 0% 4.4 -20% (-11)% +22% -20% - vs. 9M'23 -60% - vs. 9M'23 -40% 0.0 2019 2020 2021 2022 2023 9M 2019 2020 2021 2022 2023 9M 2019 2020 2021 2022 2023 9M 2024 202
Slide 25: Robotics and Discrete Automation
Robotics and Discrete Automation 20.0 76% 14.9 450 100% 450 79% 105% 65% 12.6 12.7 300 24% 22% 50% 300 55% 8.8 7.8 10.0 8% -12% -9% 3.2 150 0% 150 5% -45% +15% -43% (-1)% - vs. 9M'23 -50% - vs. 9M'23 -45% 0.0 2019 2020 2021 2022 2023 9M 2019 2020 2021 2022 2023 9M 2019 2020 2021 2022 2023 9M 2024 20
Slide 26: Factors propelling growth in near term
— Factors propelling growth in near term Growth trend expected to remain healthy; fueled largely by investments in capacity and efficiency Key growth drivers Factors to watch out for Investments growth hinges on Domestic Strain due to high private sector uptick alongside inflation & higher lending r
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