ABB India Ltd Q3 FY26 Earnings Results Out: Revenue Beats Estimates, Margins Under Pressure

ABB India reported revenue growth above street expectations for the quarter ended December 2025, but profitability declined as rising material and labour costs weighed on margins. The results were announced after market hours on Thursday.

While order momentum remained strong, margin contraction and lower net profit compared to last year kept earnings below estimates.

ABB India Revenue Beats Estimates in Q3FY26, But Profit Declines

ABB India’s total sales for Q3 FY26 rose 5.7% year-on-year to ₹3,557 crore. However, net profit declined 18% to ₹433 crore from ₹528 crore in the same quarter last year.

ABB IndiaQ3 FY26 Earnings Results Comparison with Q3 FY25

*Approximate based on reported growth.

Margins Declined 17% YoY Due to Cost Inflation

EBITDA declined 17% year-on-year to ₹545.6 crore, while operating margin contracted sharply to 15.3%, below the 16% estimate.

The company said profitability was impacted by material cost inflation, higher labour expenses, and additional costs linked to new labour codes. Despite these pressures, management highlighted disciplined execution amid volatile input costs.

ABB India Order Book Surges to 5-Year High

In a positive development, fourth-quarter orders surged 52%, marking the highest Q4 order intake in five years. The growth was supported by broad-based demand and the timing of certain large orders.

For the full calendar year 2025:

ABB India Dividend 

The board recommended a final dividend of ₹29.59 per share for the year ended December 31, 2025, subject to shareholder approval.

Read more: Corporate Action Today: IRCTC, PFC, SJVN, Alkem and others Trading Record Date Today, Feb 20.

Conclusion

ABB India delivered stronger-than-expected revenue growth in Q3 FY26, supported by steady demand and robust order inflows. However, margin compression due to inflationary pressures weighed on profitability.

For investors, the key monitorables ahead will be margin recovery, execution of the growing order book, and cost normalisation. While near-term earnings faced pressure, strong order momentum and healthy return ratios suggest underlying business resilience.

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