By Nina Kienle
Shares in ABB rose after the Swiss industrial company wrapped up 2025 with quarterly revenue that surpassed both prior performance and market expectations.
In European morning trade on Thursday, share rose 9.15% to 66.78 Swiss francs. Shares trade 12.80% higher year to date.
The Zurich-based company logged fourth-quarter net profit of $1.27 billion, up from $987 million in the prior year on revenue that grew 9% on a comparable basis to $9.05 billion.
The results beat analysts' expectations of net profit at $1.13 billion and revenue of $8.73 billion, according to a company-compiled consensus.
Orders for the three-month period rose 32% on comparable basis to $10.32 billion. The strong orders were broad-based, with double-digit percentage growth across all three business areas, ABB said.
Operational earnings before interest, taxes and amortization rose 14% on a comparable basis to $1.59 billion. The figure also beat $1.54 billion expected by the same consensus.
ABB is still benefiting from strong demand for electrical products used by data centers needed for artificial intelligence. The electrification business--which provides a range of electrical components and systems to deliver power in homes, businesses and industries--saw demand increase in all customer segments, especially data centers, it said.
The company said it would propose a dividend of 0.94 Swiss francs a share for the year, up from 0.90 francs a share a year prior.
"Wherever we look, we only see strength," RBC Capital Markets analysts said in a note to clients.
For 2026, the company is aiming for comparable revenue growth in the range of 6% to 9% and expects its operational Ebita margin to slightly improve.
Write to Nina Kienle at nina.kienle@wsj.com
(END) Dow Jones Newswires
01-29-26 0511ET
