ABB: Turnover down due to price drop in oil
The 3rd quarter 2015 went anything but well for the ABB Group, with practically all parameters in the negative zone;........
turnover fell by 13% from USD 9,823 m (EUR 8,974 m) last year to USD 8,519 m (EUR 7,783 m), corporate profits slumped by 21% to USD 577 m (EUR 527 m) and new orders went down from USD 11,225 m (EUR 10,255 m) by 22% to USD 8,767 m (EUR 8,010 m).
President Ulrich Spiesshofer commented on the result as follows: "Our results in the third quarter reflect the challenging market environment in which we move. The contracts in the oil and gas sector, in China and the USA which have had a short-term effect on turnover were trending downwards,” the chairman explained. “Market conditions are likely to remain challenging until deep into the year 2016.”
Rigorous austerity measures and capacity adjustments are to help counteract this trend.
In addition, the implementation of the Next Level Strategy is to be further pushed ahead in order to speed up the transformation of ABB.