Sees low to mid single digit rise in Q4 rev vs 11 in Q3
Q3 EBITA 1.39 billion, broadly in line with forecasts
Shares down 5
ZURICH, Oct 18 Reuters ABB flagged a slowdown in revenue growth in the fourth quarter and reported a continued decline in orders in China, sending its shares lower even as the Swiss engineering group posted thirdquarter earnings broadly in line with forecasts.
The maker of industrial drives and motors noted some signs of stabilisation in China, its secondlargest market and said higher quarterly revenues and earnings were boosted by price increases outstripping cost inflation, and higher volumes.
But the group also said it anticipated a low to midsingle digit percentage rise in comparable revenue in the fourth quarter after reporting an 11 increase in the third quarter.
ABB shares were down 5.1 at 0913 GMT, on track for their worst day since March 2022 and among the worst performers on the pan European STOXX 600 index.
One analyst, who declined to be named, said he did not expect such a negative market reaction but that the weaker nearterm outlook appeared to have prompted investors to sell shares after their near 10 rise so far this year.
Deutsche Bank analyst Gael deBray also highlighted the fourthquarter outlook as disappointing but noted the positive rise in cash flow from operations to 1.4 billion.
ABB reported a 13 increase in its operational earnings before interest, tax and amortisation EBITA to 1.392 billion during the three months…