Driven by comparable order growth in its electrification business, order intake reached a record high of $11.30 billion.
Despite risks from geopolitical uncertainty, the Swiss industrial technology company raised its sales guidance, supported by a high order backlog and improved operational performance, which pushed its stock price higher.
The stock rose more than 5% after Wednesday's market open and is currently up 3.2%, trading at 76.62 Swiss francs.
ABB now anticipates comparable revenue growth in the high-single-digit to low-double-digit percentage range, compared to a previous target of 6% to 9%.
The company reported continued improvement in its operational EBITA margin.
CEO Morten Wierod stated, "The conflict in the Middle East has added uncertainty to the global trade environment, but so far, demand for our electrification and automation products has remained resilient overall, supporting our decision to raise our 2026 performance targets."
In the first quarter, ABB posted increases in net profit, revenue, and operational EBITA, with the corresponding margin rising from 20.3% to 23.5%.
The company indicated that demand remains strong, with order intake hitting a historic high of $11.30 billion, driven by comparable order growth in the electrification segment.
Analysts from RBC Capital Markets noted in a report that ABB's first-quarter results confirm that its core operational momentum is likely to strengthen further, supported by record new order levels.
ABB expects global data center demand to accelerate further, benefiting its electrification business. During a conference call, Wierod mentioned that the trend toward diversified energy supply would be favorable for the group.
He pointed out that "there is market demand for greater energy resilience," describing it as a significant opportunity for ABB.
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