ABB: fourth-quarter profit down on restructuring expenses

(CercleFinance.com) - ABB's results fell at every level in the fourth quarter, as the Swiss industrial group's performance was dampened by its ongoing transformation and restructuring-related costs.


Fourth-quarter net profit fell 8% to 393 million dollars, impacted by the loss from the recent divestment of the oil and gas EPC business, as well as changes in foreign currency and commodity prices.

However, revenues were 3% higher in US dollars as the solid growth in robotics and motion offset the weakness in power grids.

After a "transition year" in 2017, ABB said it is now "streamlined and strengthened."

"With our targeted actions to shift our center of gravity, we have improved competitiveness, addressed higher-growth segments and de-risked ABB," said CEO Ulrich Spiesshofer.

ABB said it plans to increase its ordinary dividend to 0.78 Swiss francs per share for 2017, representing an increase of 0.02 Swiss francs compared with the dividend paid for the year 2016.

After these results, ABB shares were down 2.2% at 24.2 Swiss francs on Switzerland's SIX market.

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