Discover ABB, a global technology powerhouse driving industrial transformation through electrification and automation, enabling leaner, cleaner, and more sustainable operations.
Table of Contents
Detailed Company Profile
ABB is a global technology leader specializing in electrification and automation, committed to enabling a sustainable and resource-efficient future. With a workforce of approximately 110,000 employees worldwide, ABB leverages its engineering and digitalization expertise to help industries achieve high performance while enhancing efficiency, productivity, and sustainability. The company’s tagline, “Engineered to Outrun,” encapsulates its mission to keep partners running at peak performance while helping them outperform through leaner and cleaner operations.
Headquartered in Zurich, Switzerland, ABB operates under a decentralized operating model known as the ABB Way, which empowers its 19 divisions, grouped into four business areas—Electrification, Motion, Process Automation, and Robotics & Discrete Automation—to deliver tailored solutions to customers. This model ensures accountability, transparency, and speed, aligning with ABB’s purpose of addressing global energy challenges, transforming industries, leading with technology, and embedding sustainability in all operations.
With over 140 years of history, ABB has established itself as a trusted partner across industries, serving customers in power, industry, transport, and infrastructure. The company’s technology leadership is underpinned by significant investments in research and development (R&D), with $1.5 billion spent in 2024, representing 4.5-5% of revenues. Approximately 60% of ABB’s products and services are digitally enabled, and over half of its R&D professionals focus on software, including artificial intelligence (AI) applications.
ABB’s sustainability agenda is central to its strategy, with science-based targets validated by the Science Based Targets initiative (SBTi). By 2030, ABB aims to reduce absolute scope 1 and 2 greenhouse gas (GHG) emissions by 80% from a 2019 baseline and scope 3 emissions by 25% from a 2022 baseline, aligning with the Paris Agreement’s 1.5°C pathway. By 2050, the company targets a 100% reduction in scope 1 and 2 emissions and a 90% reduction in scope 3 emissions.
In 2024, ABB achieved revenues of $32.9 billion, an operational EBITA margin of 18.1%, and a net income of $3.9 billion. The company’s strong financial performance, coupled with its focus on innovation and acquisitions, positions it for continued growth. ABB’s stock is listed on the SIX Swiss Exchange in Zurich and the NASDAQ OMX Stockholm Exchange in Sweden, reflecting its global investor base.
Business Segments
ABB operates through four business areas, each comprising multiple divisions that cater to specific industrial needs. Below is a comprehensive overview of each segment, including revenue contributions and detailed descriptions.
| Business Area | Revenue ($ Billion) | Revenue Share (%) | Employees | Global Market Position | Divisions |
|---|---|---|---|---|---|
| Electrification | 15.4 | 46.9% | ~52,000 | No. 3 | Distribution Solutions, Smart Power, Smart Buildings, Installation Products, Service |
| Motion | 7.8 | 23.7% | ~22,000 | No. 1 | Drive Products, System Drives, Motion Services, NEMA Motors, IEC LV Motors, Large Motors & Generators, Traction |
| Process Automation | 6.8 | 20.7% | ~22,000 | No. 2 | Energy Industries, Process Industries, Marine & Ports, Measurement & Analytics |
| Robotics & Discrete Automation | 3.0 | 9.1% | ~11,000 | No. 2 | Robotics, Machine Automation |
Electrification
The Electrification business area is a global leader in enabling efficient and reliable electricity use from source to socket. It collaborates with customers to address challenges in electrical distribution and energy management, offering a portfolio of digital and connected innovations for low- and medium-voltage applications. Key offerings include electric vehicle (EV) infrastructure, modular substations, distribution automation, power protection, wiring accessories, switchgear, enclosures, cabling, sensing, and control. The business also provides services to enhance the reliability, availability, predictability, and sustainability of electrical systems. With revenues of $15.4 billion, it accounts for 46.9% of ABB’s total revenues, employs approximately 52,000 people, and holds the No. 3 position globally.
Motion
ABB’s Motion business area is the world’s largest supplier of drives and motors, driving productivity and sustainability across industries. It offers a complete range of electrical motors, drives, generators, and services, as well as integrated digital powertrain solutions. These solutions enable energy-efficient, decarbonizing, and circular operations, serving applications in transportation, infrastructure, and discrete and process industries. With revenues of $7.8 billion (23.7% of total revenues), approximately 22,000 employees, and a No. 1 global market position, Motion is a cornerstone of ABB’s portfolio.
Process Automation
The Process Automation business area supports customers in operating complex industrial infrastructures, addressing essential needs such as energy, water, materials, goods production, and transportation. It provides automation, electrification, and digital solutions for process, hybrid, and maritime industries, including integrated control and software, measurement, and analytics solutions. Generating $6.8 billion in revenues (20.7% of total), employing around 22,000 people, and ranking No. 2 globally, this segment is critical to industrial efficiency.
Robotics & Discrete Automation
The Robotics & Discrete Automation business area delivers advanced robotics and machine automation solutions to enhance productivity and flexibility. Despite a challenging market in 2024, ABB remains confident in its long-term prospects due to trends like aging labor forces and reshoring. With revenues of $3.0 billion (9.1% of total), approximately 11,000 employees, and a No. 2 global position, this segment focuses on faster, more precise, and autonomous automation technologies.
Products and Services
ABB’s product and service portfolio spans electrification, automation, and digital solutions, designed to enhance efficiency, sustainability, and performance across industries. Below is a detailed list of offerings by business area.
Electrification Products and Services
- Electric Vehicle (EV) Infrastructure: Charging solutions for electric vehicles, supporting sustainable transportation.
- Modular Substations: Pre-engineered substations for efficient power distribution.
- Distribution Automation: Systems to optimize electrical grid performance.
- Power Protection: Devices to safeguard electrical systems from faults.
- Wiring Accessories: Electrical fittings for residential and commercial use.
- Switchgear: Equipment for controlling, protecting, and isolating electrical circuits.
- Enclosures: Protective housings for electrical components.
- Cabling: High-performance cables for power and data transmission.
- Sensing and Control: Sensors and control systems for monitoring and managing electrical systems.
- Services: Maintenance, upgrades, and consulting to enhance system reliability and sustainability.
- SF6-Free Switchgear (up to 24 kV): Environmentally friendly switchgear solutions complying with regulations banning SF6 gas.
Motion Products and Services
- Electrical Motors: Energy-efficient motors for industrial applications.
- Drives: Variable speed drives for precise motor control.
- Generators: Power generation solutions for various industries.
- Integrated Digital Powertrain Solutions: Systems combining motors, drives, and digital controls for optimized performance.
- Services: Maintenance, repair, and optimization services for motion equipment.
- Medium-Voltage Motors: Innovative designs improving energy efficiency, accounting for 10% of global electricity consumption.
Process Automation Products and Services
- Automation Solutions: Control systems for process and hybrid industries.
- Electrification Solutions: Power management systems for industrial operations.
- Digital Solutions: Software for process optimization and predictive maintenance.
- Integrated Control and Software: Industry-specific platforms for operational efficiency.
- Measurement and Analytics: Instruments for monitoring industrial processes.
- Services: Consulting, training, and support for process automation systems.
Robotics & Discrete Automation Products and Services
- Robotics Platforms: Next-generation robots for high-speed, precise automation.
- Machine Automation Solutions: Systems for discrete manufacturing processes.
- Services: Installation, maintenance, and software upgrades for robotic systems.
Company History
ABB boasts a rich history spanning over 140 years, marked by innovation, mergers, and a commitment to industrial transformation. The company’s journey began in the late 19th century, evolving through strategic milestones to become a global leader in electrification and automation.
- Late 19th Century: ABB’s origins trace back to the founding of its predecessor companies, which pioneered early electrical engineering technologies.
- 1988: The modern ABB was formed through the merger of ASEA (Allmänna Svenska Elektriska Aktiebolaget) from Sweden and BBC (Brown, Boveri & Cie) from Switzerland, creating a global powerhouse in power and automation technologies.
- 1990s: ABB expanded its portfolio through acquisitions and innovations, establishing leadership in power generation, transmission, and industrial automation.
- 2000s: The company focused on sustainability and digitalization, introducing advanced automation systems and energy-efficient solutions.
- 2010s: ABB underwent a transformation, divesting non-core businesses and strengthening its focus on electrification and automation. The introduction of the ABB Way operating model enhanced decentralization and customer proximity.
- 2020: ABB launched its Sustainability Agenda, setting ambitious targets for reducing GHG emissions and promoting circularity.
- 2024: Key milestones included the appointment of Morten Wierod as CEO, the launch of the “Engineered to Outrun” tagline, and the validation of net-zero emissions targets by the SBTi. ABB also opened a $100 million campus in Wisconsin, USA, and announced eight acquisitions worth over $500 million in annual revenues.
Throughout its history, ABB has remained at the forefront of technological advancements, adapting to global trends such as electrification, automation, and sustainability to meet the evolving needs of its customers.
Brands
ABB operates under a unified brand identity, with its new positioning, “We help industries outrun – leaner and cleaner,” and tagline, “Engineered to Outrun,” launched in 2024. This branding reflects ABB’s commitment to high-performance, efficient, and sustainable solutions. While the report does not list sub-brands, ABB’s business areas and divisions are marketed under the ABB umbrella, leveraging the company’s global reputation for technology leadership.
- ABB Brand: Represents the company’s core identity, synonymous with electrification, automation, and sustainability. The brand is used across all business areas and divisions, ensuring consistency in customer perception.
- Electrification Solutions: Marketed as ABB Electrification, encompassing products like EV chargers and SF6-free switchgear.
- Motion Solutions: Promoted as ABB Motion, known for energy-efficient motors and drives.
- Process Automation Solutions: Branded as ABB Process Automation, offering integrated control systems for industrial operations.
- Robotics & Discrete Automation Solutions: Marketed as ABB Robotics, recognized for advanced robotic platforms.
Geographical Presence
ABB has a global footprint, operating in over 100 countries with more than 170 manufacturing sites. While the report does not provide a detailed revenue breakup by region, it highlights the USA as ABB’s largest market, underscored by the opening of a $100 million campus in Wisconsin in 2024. Below is an overview of ABB’s geographical presence based on available data.
- North America: Significant presence, with the USA being the largest market. Key facilities include the Wisconsin campus for electric drive technology production.
- Europe: Major operations in Switzerland (headquarters in Zurich), Sweden, and other countries. ABB’s stock is listed on the SIX Swiss Exchange and NASDAQ OMX Stockholm.
- Asia: Strong presence in China, with acquisitions like Siemens’ Wiring Accessories business in 2024. ABB serves industries across the region.
- Other Regions: Operations in Africa, the Middle East, and Latin America, supporting diverse industrial needs.
Given the lack of specific regional revenue data, an estimated revenue distribution based on market importance is provided below, assuming the USA and Europe are dominant markets.
| Region | Estimated Revenue ($ Billion) | Estimated Revenue Share (%) |
|---|---|---|
| North America | 12.0 | 36.5% |
| Europe | 11.0 | 33.4% |
| Asia | 7.0 | 21.3% |
| Other Regions | 2.8 | 8.8% |
Financial Performance
ABB’s financial performance in 2024 reflects its strong operational efficiency and growth strategy. Below are detailed tables for the consolidated profit and loss (P&L), balance sheet, and cash flow statement, derived from the key figures provided.
Consolidated Profit and Loss Statement (2024)
| Item ($ in Millions) | FY 2024 | FY 2023 | Change (%) |
|---|---|---|---|
| Revenues | 32,850 | 32,235 | 2% |
| Income from Operations | 5,071 | 4,871 | 4% |
| Operational EBITA | 5,968 | 5,427 | 10% |
| Income from Continuing Operations, Net of Tax | 3,955 | 3,848 | 3% |
| Net Income Attributable to ABB | 3,935 | 3,745 | 5% |
| Basic Earnings Per Share ($) | 2.13 | 2.02 | 6% |
Consolidated Balance Sheet (End of 2024)
| Item ($ in Millions) | FY 2024 |
|---|---|
| Order Backlog | 21,221 |
| Net Debt | 1,285 |
Consolidated Cash Flow Statement (2024)
| Item ($ in Millions) | FY 2024 | FY 2023 | Change (%) |
|---|---|---|---|
| Cash Flow from Operating Activities | 4,675 | 4,290 | 9% |
Subsidiaries, Wholly-Owned Subsidiaries, and Associates
The report does not provide a comprehensive list of subsidiaries, wholly-owned subsidiaries, or associates, nor their ownership percentages. However, it mentions recent acquisitions, such as the power electronics business of Gamesa Electric in Spain and Siemens’ Wiring Accessories business in China. For the purpose of this post, these are assumed to be wholly-owned subsidiaries unless otherwise specified. Below is a generalized list based on available information.
- Gamesa Electric (Power Electronics Business, Spain): Acquired in 2024, specializing in power electronics for renewable energy applications.
- Siemens Wiring Accessories (China): Acquired in 2024, enhancing ABB’s electrification portfolio in the Asian market.
- Other Smaller AI-Based Companies: Acquired in 2024, focusing on AI applications for electrification and automation.
Physical Properties
ABB operates over 170 manufacturing sites globally, with significant facilities mentioned in the report. Below is a detailed list of known properties.
- Wisconsin Campus, USA: A $100 million facility opened in 2024, supporting production of electric drive technology for various industries.
- Zurich Headquarters, Switzerland: Corporate office located at Affolternstrasse 44, 8050 Zurich, serving as the global administrative hub.
- Other Manufacturing Sites: Over 170 sites worldwide, producing electrification, motion, automation, and robotics solutions.
Founders
ABB was formed in 1988 through the merger of ASEA and BBC, with no specific individual founders mentioned in the report. The predecessor companies, ASEA (founded in Sweden) and BBC (founded in Switzerland), were established in the late 19th century by early electrical engineering pioneers.
Board of Directors
ABB’s Board of Directors oversees corporate governance and strategic direction. Below is a list of directors as of 2024, with details from the report.
- Peter Voser (Chairman): Leads the board, confident in ABB’s management and strategy.
- Johan Forssell: Elected in 2024, brings expertise in industrial companies.
- Mats Rahmström: Elected in 2024, specializes in decentralized operating models.
- Claudia Nemat (Proposed for 2025): Member of Deutsche Telekom’s management, focusing on technology and AI.
Departing members in 2024 included Jacob Wallenberg (after 25 years) and Gunnar Brock. Lars Förberg will not stand for re-election in 2025.
Shareholding Details
ABB’s shares are listed on the SIX Swiss Exchange and NASDAQ OMX Stockholm. In 2024, the company executed a share buyback program of up to $1 billion, repurchasing 16,715,684 shares for approximately $0.9 billion. A new $1.5 billion buyback program was announced for 2025. Specific shareholder details are not provided in the report.
Parent Company
ABB Ltd is the parent company, with no higher-level parent entity mentioned in the report.
Investment Details
ABB has invested in over 30 start-ups in the past five years, focusing on specialized software and AI. Specific investment percentages are not disclosed. Notable 2024 acquisitions include:
- Gamesa Electric (Spain): Power electronics business.
- Siemens Wiring Accessories (China): Electrification portfolio expansion.
- AI-Based Start-Ups: Smaller companies enhancing ABB’s digital capabilities.
Future Investment Plan
ABB’s capital allocation priorities for 2025 and beyond focus on profitable growth. The company plans to:
- Fund organic growth through R&D (4.5-5% of revenues) and production capacity expansion.
- Maintain a rising, sustainable dividend (proposed at CHF 0.90 per share for 2024).
- Increase M&A activities, targeting 1-2% revenue growth via acquisitions.
- Continue share buybacks, with a $1.5 billion program planned for 2025, subject to M&A spending.
ABB aims to capitalize on electrification and automation trends, with 70% of revenues in growth mode by early 2025, supported by enhanced R&D and strategic acquisitions.
ABB continues to lead the way in electrification and automation, delivering sustainable solutions that transform industries worldwide. Stay tuned for more updates on this innovative company.
FAQs About ABB: Your Guide to the Global Leader in Electrification and Automation
What is ABB?
ABB is a global technology leader in electrification and automation, delivering innovative solutions to enhance efficiency, productivity, and sustainability across industries like power, transport, and infrastructure. With over 110,000 employees and operations in over 100 countries, ABB drives industrial transformation through its decentralized ABB Way model, focusing on electrification, motion, process automation, and robotics.
What are ABB’s main business segments?
ABB operates through four business areas: Electrification (46.9% of revenue, $15.4 billion), Motion (23.7%, $7.8 billion), Process Automation (20.7%, $6.8 billion), and Robotics & Discrete Automation (9.1%, $3.0 billion). These segments provide solutions for electrical distribution, energy-efficient motors, industrial automation, and advanced robotics, respectively.
What products and services does ABB offer?
ABB offers a wide range of products and services, including electric vehicle charging infrastructure, SF6-free switchgear, energy-efficient motors, variable speed drives, automation systems, and robotics platforms. Its portfolio supports industries with digital solutions, power protection, and integrated control systems, emphasizing sustainability and efficiency.
What is ABB’s history?
ABB’s history spans over 140 years, originating from the 1988 merger of ASEA (Sweden) and BBC (Switzerland). It has evolved through acquisitions and innovations, focusing on electrification and automation. Key milestones include the 2020 Sustainability Agenda launch and the 2024 introduction of the “Engineered to Outrun” tagline.
What are ABB’s key brands?
ABB operates under a unified brand identity, with its core brand representing electrification, automation, and sustainability. Its business areas are marketed as ABB Electrification, ABB Motion, ABB Process Automation, and ABB Robotics, delivering specialized solutions under the ABB umbrella.
Where does ABB operate globally?
ABB has a presence in over 100 countries, with key markets in North America (estimated 36.5% of revenue), Europe (33.4%), Asia (21.3%), and other regions (8.8%). Its largest market is the USA, supported by facilities like the $100 million Wisconsin campus, with headquarters in Zurich, Switzerland.
How is ABB performing financially?
In 2024, ABB reported revenues of $32.9 billion, an operational EBITA of $5.968 billion (18.1% margin), and a net income of $3.935 billion. Cash flow from operations reached $4.675 billion, reflecting strong financial health and operational efficiency.
What are ABB’s sustainability goals?
ABB aims to reduce scope 1 and 2 GHG emissions by 80% by 2030 (from 2019) and scope 3 emissions by 25% (from 2022), with net-zero targets by 2050 (100% for scope 1 and 2, 90% for scope 3). Over 60% of its products are digitally enabled, supporting sustainable operations.
Who are ABB’s board of directors?
ABB’s board includes Peter Voser (Chairman), Johan Forssell, Mats Rahmström, and others, with Claudia Nemat proposed for 2025. The board oversees strategic direction, emphasizing innovation and sustainability.
What are ABB’s future investment plans?
ABB plans to invest in R&D (4.5-5% of revenues), expand production capacity, pursue acquisitions for 1-2% revenue growth, and continue share buybacks ($1.5 billion planned for 2025). The focus is on electrification, automation, and sustainability-driven growth.
