ABB announced two major transformations: i) the divestiture of a large part of its Power and Grids (PG) unit, and ii) the reshaping of its current business structure. On the one hand, the PG sale seems to be a positive move as the unit was a drag on the company with less than an 8% EBIT margin compared to 11.5-13% in the other divisions. On the other, the business structure’s transformation should have a positive impact, though not before 2021. We keep our positive view.
Sign up to access
Get access to our full offering from over 30 providers
Get access to our full offering from over 30 providers
Focusing on digital industries, at its own pace!
- Published:
18 Dec 2018 -
Author:
Luis Pereira -
Pages:
3
ABB announced two major transformations: i) the divestiture of a large part of its Power and Grids (PG) unit, and ii) the reshaping of its current business structure. On the one hand, the PG sale seems to be a positive move as the unit was a drag on the company with less than an 8% EBIT margin compared to 11.5-13% in the other divisions. On the other, the business structure’s transformation should have a positive impact, though not before 2021. We keep our positive view.