ABB posts large profit on power equipment boom

The Swiss-Swedish heavy engineering group ABB said Thursday its net profit rose 86 percent in the third quarter to $738 million dollars (€517 million) on a sharp rise in sales of power equipment.

Revenue increased 26 percent to 7.2 billion dollars owing to investments to expand power infrastructure in emerging markets and replace and modernize equipment in mature markets.

Investments by businesses to lower energy consumption and boost productivity were also strong, it said.

“A combination of strong market growth and operational discipline has once again paid off,” said Fred Kindle, ABB president and chief executive.

“Our market and technology leadership together with performance improvements are helping us to reap the full benefits from continuing global growth and heightened concerns about climate change and energy efficiency.”

The company’s order book stood at more than 22 billion dollars at the end of September.