ABB rises after company bags order to set up digital substation for Technopark

Last Updated: Thu, Feb 16, 2017 14:40 hrs
People look at a screen displaying India's Finance Minister Jaitley presenting the budget, on a facade of the Bombay Stock Exchange building in Mumbai

ABB Limited shares zoomed to Rs 1235 this afternoon, gaining nearly 5%, after the company said that it has bagged a contract from Technopark to deliver a 110 kv digital substation.

ABB is currently trading at Rs 1217, up 3.75% from previous closing price.

Technopark is the largest Information Technology park in India, based on built-up area, located in the southern state of Kerala and spanning an area of 930,000 square meters. The campus is highly dependent on reliable, round the clock power to serve the 350 companies employing more than 50,000 people.

With the IT park in an expansion mode and likely to become a self-contained township with potential to employ a hundred thousand people working in the fields of IT, biotechnology and nanotechnology, the need for reliable power supplies for commercial and residential consumers has increased substantially.

ABB Group's power grids division president Claudio Facchin said that the digital substation that is coming up will be the first in the country and that it supports the vision smarter grids and cities.

ABB India reported standalone net profit of Rs 146.79 crore for the quarter ended December 31, 2016 as compared to Rs 129.40 crore in the quarter ended December 31, 2015. Total income increased from Rs 2435.89 crore for the quarter ended December 31, 2015 to Rs 2501.07 crore for the quarter ended December 31, 2016.

For the year ended December 31, 2017, ABB's net profit stood at Rs 376.15 crore as compared to Rs 299.88 crore for the year ended December 31, 2015.

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