By Christian Moess Laursen

ABB Ltd. said Tuesday that net profit rose 72% in the first quarter of 2023 on strong customer activity, and it raised its full-year guidance.

The Swiss industrial company said net profit grew to $1.04 billion from $604 million in the same quarter of 2022, as the company was able to convert its order backlog into customer deliveries.

Revenue increased 22% to $7.86 billion a year prior, while orders rose 9% to $9.45 billion, both on a comparable basis. ABB said in its fourth-quarter results that it anticipated double-digit revenue growth in the first quarter of 2023.

This beat the expectations of $877 million for net profit and $7.55 billion for revenue, according to analysts' consensus provided by the company.

Operational earnings before interest, taxes and amortization--a key metric for the company--grew 33% to $1.28 billion, with a margin of 16.3%, up from 14.3%.

Looking ahead, the company expects double-digit revenue growth in the second quarter of 2023, while seeing revenue growth of at least 10% for the full year and an improved operational Ebita margin. It had previously guided for revenue growth above 5% and an operational Ebita margin of at least 15%.

Write to Christian Moess Laursen at christian.moess@wsj.com

(END) Dow Jones Newswires

April 25, 2023 01:28 ET (05:28 GMT)

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