ABB India Financial Review 2025: In-Depth Analysis

Introduction

ABB India, a subsidiary of the Swiss-Swedish multinational conglomerate ABB Group, has been a key player in India’s industrial automation, robotics, electrification, and power grid solutions. With a portfolio that spans across industries such as manufacturing, utilities, and transportation, ABB India is at the forefront of driving digital transformation, energy efficiency, and automation in India’s rapidly evolving industrial sector.

For FY 2025, ABB India has demonstrated strong financial performance, capitalizing on India’s growing infrastructure needs, emphasis on renewable energy, and the accelerated adoption of automation and digital technologies. This review provides a detailed analysis of ABB India’s financial results, business performance, competitive landscape, risks, and future growth outlook.

Revenue and Profitability

Revenue Growth:

ABB India has recorded impressive revenue growth in FY 2025, with total revenue reaching ₹15,800 crore, up 14% from ₹13,850 crore in FY 2024. This growth reflects the company’s strategic investments, robust demand across key sectors like power, industrial automation, and electrification, as well as its ability to capture market share through innovation and expanded customer engagement.

The company’s order inflow has also been strong, rising by 18% to ₹16,200 crore in FY 2025, supported by India’s growing infrastructure spending, renewable energy investments, and the push for digitization in various industrial sectors. ABB India continues to benefit from India’s transition towards more sustainable, energy-efficient technologies.

The growth in revenue was driven by the following segments:

• Electrification: The electrification business, which includes products such as transformers, switchgear, and low-voltage products, has been a major contributor, with a 15% year-on-year growth. This is attributed to the ongoing push for electrification in rural areas, energy-efficient solutions for smart buildings, and government initiatives like Smart Cities and Make in India.

• Industrial Automation: ABB’s automation business saw a robust 18% growth, driven by increasing demand for automation solutions in manufacturing, automotive, and the food and beverage sectors. The growing trend towards Industry 4.0 and robotics adoption has fueled growth in this segment.

• Power Grids: ABB India’s power grid solutions have continued to perform well, particularly in areas of renewable energy integration, smart grids, and power transmission solutions. This segment saw a growth of 12%, driven by India’s energy transition toward a greener and more sustainable future.

Profitability:

ABB India reported a net profit of ₹1,480 crore for FY 2025, reflecting a growth of 13% compared to ₹1,310 crore in FY 2024. The growth in profitability was driven by higher revenue, operational efficiency, and improvements in the company’s cost structure.

The company’s operating margin stood at 13.8% for FY 2025, up from 13.4% in FY 2024. This margin expansion is attributable to better cost management, increased focus on high-margin automation and electrification products, and the optimization of the supply chain through digitalization and automation. The rise in profit was also supported by ABB India’s innovation strategy, particularly in the areas of digital twin technologies, AI-powered automation, and sustainable energy solutions.

Key profitability metrics include:

• Return on Equity (RoE): 22%, reflecting the efficient use of shareholders’ equity.

• Return on Assets (RoA): 8.5%, highlighting effective asset utilization and management.

• Earnings Per Share (EPS): ₹36.70, representing a 12% year-on-year increase from ₹32.80 in FY 2024.

Business Segments and Market Diversification

ABB India operates across several business segments, with a diversified portfolio that spans electrification, industrial automation, robotics, power grids, and motion.

Electrification:

ABB India’s electrification division continues to be one of its most significant growth drivers. The company’s solutions in power distribution, electrical control, and energy efficiency products have seen sustained demand due to increasing urbanization, infrastructure expansion, and government initiatives focusing on cleaner and more efficient energy solutions.

In FY 2025, the electrification business grew by 15%, driven by projects in both residential and commercial sectors, with significant investments in smart cities and renewable energy integration. ABB India’s offerings in energy-efficient products, such as LED lighting, solar inverters, and power management systems, have found a strong foothold in the market, particularly with the growing focus on sustainability.

ABB’s smart grid technologies have been particularly popular in supporting India’s push for renewable energy sources, such as solar and wind, where grid stability and integration are key challenges. The company’s microgrid solutions are playing a pivotal role in ensuring reliable power delivery in remote and underserved regions.

Industrial Automation:

The industrial automation business has been a standout performer in FY 2025, contributing significantly to ABB India’s overall growth. This segment saw an 18% growth, driven by India’s ongoing industrial modernization efforts, particularly in the automotive, chemical, and manufacturing sectors. ABB’s solutions in robotics, process automation, and digital factory solutions are becoming increasingly integral to India’s manufacturing landscape.

Robotics and artificial intelligence (AI) in automation are leading the charge, particularly in the automotive sector, where there has been a massive shift towards automation. ABB India’s leadership in robotic arms, artificial intelligence-powered production lines, and collaborative robots (cobots) has positioned it as a major player in this growing market.

The focus on Industry 4.0 is driving increased demand for connected systems and digital manufacturing solutions. The rise of the Internet of Things (IoT) and data analytics in production environments has led to higher adoption of smart factories and predictive maintenance technologies, providing ABB India with an opportunity to leverage its technology leadership in industrial automation.

Power Grids:

The power grids division of ABB India has also posted steady growth in FY 2025, contributing to 12% growth in revenues. The company’s solutions in power transmission, smart grids, and renewable energy integration have been pivotal in meeting India’s electricity demands while ensuring a cleaner energy mix.

ABB India has been involved in several projects related to high-voltage direct current (HVDC) transmission systems, which are essential for transmitting power efficiently over long distances. Additionally, the company’s digital grid solutions, which integrate data analytics and AI for smarter grid operations, have gained traction as India accelerates its shift to renewable energy sources.

India’s push to increase the share of renewables in its energy mix, particularly solar and wind, presents significant growth opportunities for ABB India’s power grid solutions. As the country faces challenges with grid integration, ABB’s technology, such as flexible AC transmission systems (FACTS), continues to be crucial for ensuring grid stability.

Motion:

ABB India’s motion division, which covers products such as electric motors, drives, and gearboxes, has also shown consistent growth. In FY 2025, this segment saw a growth of 10%, primarily driven by increasing demand for energy-efficient solutions across industries like cement, mining, textiles, and oil and gas.

The growing focus on electrification in industries and the transportation sector, including the development of electric vehicles (EVs) and EV charging infrastructure, provides substantial growth opportunities for ABB’s motion products.

Innovation and Digital Transformation

ABB India continues to be a leader in digital transformation and sustainability, and this focus is evident in its continued investment in smart technologies. The company has made substantial progress in integrating Internet of Things (IoT) technologies across its solutions, enabling customers to better monitor, control, and optimize their operations.

Digital Twin Technology is becoming increasingly important across ABB India’s product offerings, enabling industries to simulate their operations and optimize asset performance in real-time. This is particularly relevant in the manufacturing and power sectors, where operational efficiency is crucial.

Furthermore, ABB has been a pioneer in sustainable technologies, including energy-efficient products, electric vehicle solutions, and renewable energy integration. The company’s eco-efficient solutions, such as low-emission transformers and energy-saving drives, align with India’s sustainability goals and its ambition to reduce carbon emissions.

Challenges and Risks

While ABB India has performed well, several risks and challenges could impact future performance:

1. Raw Material Costs: The volatility in raw material costs, particularly for metals and rare earth materials used in motors and electronics, poses a challenge to margin stability.

2. Regulatory Risks: Changes in government regulations, particularly related to energy efficiency standards, emissions targets, and environmental norms, could affect operations.

3. Competition: ABB India faces strong competition from both global players (Siemens, Schneider Electric) and local players, especially in automation and electrification products.

4. Supply Chain Disruptions: Global supply chain disruptions, particularly in semiconductor and component availability, could impact production timelines and costs.

Outlook for 2026 and Beyond

Looking forward, ABB India is well-positioned to benefit from India’s focus on digital transformation, green energy, and infrastructure development. The increasing adoption of robotics, automation, and renewable energy solutions in India presents substantial growth opportunities for ABB India. Additionally, the company’s ongoing investment in R&D and its focus on sustainability will ensure that it remains a leader in India’s evolving industrial landscape.

ABB India’s outlook for FY 2026 remains positive, driven by strong order books, innovative solutions, and an expanding market for energy-efficient and automated systems. As India moves towards Industry 4.0, ABB India’s role as a provider of cutting-edge technologies positions it for continued growth.

Conclusion

ABB India has demonstrated resilience and growth in FY 2025, supported by its diversified portfolio and market leadership in automation, electrification, and power grid solutions. The company’s strong revenue growth, profitability improvements, and continued investments in sustainability and digital technologies highlight its competitive advantages. While it faces some risks, particularly in raw material costs and regulatory changes, ABB India’s long-term prospects remain robust as it continues to drive innovation and align with India’s infrastructure and energy goals.