By Ed Frankl 
 

ABB Ltd. cut its full-year guidance as a tight supply chain bit into its revenue, despite orders climbing, the company said at its third-quarter results.

The Swiss engineering company said Thursday that it anticipates comparable revenue growth in 2021 of 6%-8%, down from "just below" 10% previously, as supply chains continued to impact customer deliveries.

ABB posted net profit of $652 million in the three months to the end of September, from $4.53 billion in the same period of the 2020. Last year's figure included the book gain related to the divestment of its power-grids unit to Hitachi.

The Zurich-based company's closely watched operational earnings before interest, taxes, and amortization climbed, however, to $1.06 billion, from $787 million the previous year.

Revenue also ticked up, to $7.03 billion from $6.58 billion, though the company said sales were hampered by logistics constraints primarily related to semiconductors and imbalances in the overall supply chain.

Orders also rose 29% to $7.87 billion.

"3Q painted a mixed picture, containing on one hand a high level of demand driving strong order growth, while on the other hand the tight supply chain impacted our revenues more than anticipated," Chief Executive Bjorn Rosengren said.

 

Write to Ed Frankl at edward.frankl@dowjones.com

 

(END) Dow Jones Newswires

October 21, 2021 01:35 ET (05:35 GMT)

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