Kvartalsrapport Q2 2026

Automatiskt nyckeltalsindex

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===== SIDA 1 =====

— 
ZURICH, SWITZERLAND, JULY 16, 2026 
Q2 2026 results 
Record-high orders, strong operational execution 
and value creation through M&A 
 
 
• Orders $12,042 million, +30%; comparable1 +28%  
• Revenues $9,475 million, +14%; comparable1 +12%  
• Income from operations $1,585 million; margin 16.7%  
• Operational EBITA1 $1,925 million; margin1 20.2% 
• Basic EPS $0.68; +8%2 
• Cash flow from operating activities $1,150 million; +9% 
• Return on Capital Employed1 28.4% 
— 
“Q2 reflects the strength of ABB’s performance and position at the core of electrification 
and automation megatrends. With the acquisition of Rotork, we expect to create further 
value by expanding our automation portfolio.” 
 
Morten Wierod, CEO 
KEY FIGURES         
   CHANGE   CHANGE 
($ millions, unless otherwise indicated) Q2 2026 Q2 2025 US$ Comparable1 H1 2026 H1 2025 US$ Comparable1 
Orders 12,042 9,254 30% 28% 23,340 17,843 31% 26% 
Revenues 9,475 8,295 14% 12% 18,209 15,677 16% 12% 
Gross Profit 3,793 3,362 13%  7,233 6,484 12%  
as % of revenues 40.0% 40.5% -0.5 pts  39.7% 41.4% -1.7 pts  
Income from operations 1,585 1,466 8%  3,365 2,940 14%  
Operational EBITA1 1,925 1,598 20% 18% 3  3,974 3,093 28% 23% 3  
as % of operational revenues1 20.2% 19.3% +0.9 pts  21.8% 19.8% +2 pts  
Income from continuing operations, net of tax  1,218 1,113 9%  2,569 2,168 18%  
Net income attributable to ABB 1,231 1,151 7%  2,555 2,253 13%  
Basic earnings per share ($)  0.68 0.63 8%2  1.41 1.23 14%2  
Cash flow from operating activities 1,150 1,059 9%  2,179 1,743 25%  
Cash flow from operating activities in 
continuing operations 1,303 971 34%  2,315 1,579 47%  
Free cash flow1 881 845 4%  2,131 1,497 42%  
          
1 For a reconciliation of alternative performance measures, see “supplemental reconciliations and definitions” in the attached Q2 2026 Financial Information. 
2 EPS growth rates are computed using unrounded amounts. 
3 Constant currency (not adjusted for portfolio changes). 
 
Ad hoc Announcement pursuant to Art. 53 Listing Rules of SIX Swiss Exchange 
 
 
 
 
Q2 2026 
FIRST SIX MONTHS 
PRESS RELEASE

===== SIDA 2 =====

AB B  IN TE RIM RE P ORT  I Q2  20 26  2 
Our second quarter results reflect high demand in the 
majority of our customer segments, strong execution and 
solid cash flow. In my view, we show great overall progress 
and I want to acknowledge the commitment from the ABB 
team. 
We achieved a new record-high order intake of $12 billion. It 
was good to see the quarter developing according to plan 
with strong comparable revenue growth of 12% and an 
Operational EBITA margin increase of 90 basis points to 
20.2%. In total, we improved Operational EBITA by 20% and 
Earnings per share by 8%.  
The strong earnings increase combined with disciplined 
Trade net working capital management contributed to Free 
cash flow of $881 million. We are tracking well towards 
improved annual Free cash flow in 2026. 
The combined technology strengths of our business areas 
– the Power of ABB – were exemplified by Motion and 
Automation. They extended the partnership with VoltaGrid, 
a US-based microgrid power generation company. Under 
this agreement, Motion will supply their industry-leading 
synchronous condensers with flywheel technology that act 
like shock absorbers for the grid to keep electricity stable. 
These go alongside associated prefabricated eHouse units 
delivered by Automation, including their leading electrical 
distribution panels for low voltage and medium voltage 
distribution, variable frequency converters and PLCs for 
power control. These systems act as critical stabilization 
assets within VoltaGrid’s behind-the-meter power 
solutions, enabling the voltage stability required by next-
generation AI chips.
We are at the forefront of medium voltage technology. It is 
good to see Electrification strengthening our position 
further by introducing HiPerGuard 34.5kV, a new version of 
its market breakthrough medium voltage UPS 
(Uninterrupted Power Supply). This enables data centers to 
connect directly to the grid without voltage conversion, 
cutting conversion energy losses and reducing 
infrastructure complexity. With this latest innovation, 
HiPerGuard's microgrid-ready architecture enables flexible 
integration of battery storage, gas turbines, and 
renewables with grid support and peak shaving capabilities. 
ABB is positioned at the core of secular electrification and 
automation trends. To remain a reliable supplier and 
support long-term organic growth we will invest 
approximately $200 million in our medium-voltage 
manufacturing capabilities across Europe over the next 
three years. This will expand our production capacity, 
accelerate the transition to next-generation technologies 
for power distribution and strengthen supply for customers 
that are modernizing their power infrastructure. 
Additional capital allocation decisions include the three 
recently announced acquisitions which combined would 
add approximately 3.5% to 2025 revenues. The largest 
being the offer to acquire Rotork plc (“Rotork”), 
representing an important step to expand the ABB 
Automation portfolio. Adding actuators and building on 
ABB’s broad market reach will further strengthen our 
competitive position and enhance ability to support our 
customers through increasingly digital, connected and 
autonomous solutions across energy and process 
industries. Some of the customer benefits with electric 
actuators are the higher precision and accuracy in control 
of position, speed and force, they are energy efficient as 
they consume power only in the actual movement and they 
facilitate a higher level of digital diagnostics. In our view, 
there is a strong strategic fit between Rotork and the ABB 
purpose and our leading position in electrification and 
automation. This deal will bring together two businesses 
with highly complementary technology portfolios and 
similar customer relationships, geographic footprints and 
strong installed bases.  
The offer of 503 pence per share – representing a total cash 
deal of ∼$5.5 billion – is recommended by the Rotork Board 
of Directors. There would be an immediate positive impact 
on the ABB Operational EBITA margin and it should be EPS 
accretive in the second year after integration. From a 
funding perspective, we would redeploy the expected  
∼$4.8 billion in net cash proceeds from the divestment of 
ABB Robotics, anticipated to be completed in the second 
half of 2026. Consequently, our balance sheet remains 
strong – Net debt/EBITDA of 0.3 at end of the second 
quarter – leaving headroom for additional acquisitions and 
utilization of the share buyback program of up to $2 billion. 
Morten Wierod 
CEO 
In the third quarter of 2026, we expect a  
low- to mid-teens growth in comparable revenues, year-
on-year. The Operational EBITA margin should show 
sequential improvement from the second quarter.
In full-year 2026, we expect a positive book-to-bill, and a 
low double-digit to low-teens growth in comparable 
revenues, year-on-year. The Operational EBITA margin 
should improve year-on-year, even when excluding the 
real estate gain in the first quarter of 2026.
CEO summary 
Outlook

===== SIDA 3 =====

AB B  IN TE RIM RE P ORT  I Q2  20 26  3 
 
A strong performance in a favorable market environment 
drove order intake to a new quarterly all-time-high level of 
$12,042 million. Strong order growth of 30% (28% 
comparable) was underpinned by sustained customer 
investments across the secular megatrends of energy 
expansion, energy efficiency, and energy resilience —
areas where ABB's portfolio is well positioned to deliver. 
Both the Electrification and Motion business areas 
recorded surging order improvements of 60% (58% 
comparable) and 23% (20% comparable), respectively. In 
contrast, orders in the Automation business area declined 
by 13% (14% comparable) as the current quarter’s general 
robust order activity still did not meet last year’s very high 
level, which was supported by a large order booking of 
approximately $600 million. 
Revenues were record-high but orders even stronger, 
leaving the book-to-bill at 1.27, supported by a positive 
development in all three business areas. The order 
backlog amounted to $30,007 million, up 27% (28% 
comparable) year-on-year.  
All regions improved orders at a double-digit rate. 
Americas was up by 53% (52% comparable), led by growth 
in the United States of 62% (62% comparable). Europe 
increased by 16% (12% comparable) with strong growth in 
several large countries. Asia, Middle East and Africa was 
up 13% (12% comparable) including an increase of 17% 
(10% comparable) in China. 
Transport-linked demand continued to be strong, 
although quarterly marine orders declined against last 
year’s very high comparable. Rail continued its strong 
trend. Demand for land-based infrastructure benefited 
from upgrades of electrical equipment in airports, tunnels 
etc.  
In the industrial space, data center order growth was 
exceptional. Quarterly orders in the utilities segment 
remained stable on last year’s high comparable, with grid 
investment need remaining tangible as aging assets 
require upgrades to not only mitigate outage risks, but to 
also meet the accelerating power demands. 
The buildings segment improved, driven by commercial 
investments in the United States and Europe, offsetting 
broad weakness in the residential area. 
Orders in the machine builder segment increased sharply 
although volumes remain low at pre-covid levels.  
Sentiment in the oil & gas segment remained solid, 
although orders declined due to timing impacts. Activity 
increased among nuclear customers. Mining orders 
remained broadly stable in a generally capex-muted 
market environment.  
New all-time-high revenues amounted to $9,475 million, 
up 14% (12% comparable) year-on-year. A well-functioning 
supply chain supports deliveries from the order backlog 
as well as a strong short-cycle demand. Higher volumes 
was the key growth driver, with added support from a 
positive pricing of close to 2%. Favorable changes in 
exchange rates contributed 2%.
 
 
Growth 
  
 Q2 Q2 
Change year-on-year Orders Revenues 
Comparable 28% 12% 
FX 2% 2% 
Portfolio changes 0% 0% 
Total 30% 14% 
 
Orders by region 
($ in millions, 
unless otherwise 
indicated) 
  CHANGE 
Q2 2026 Q2 2025 US$ Comparable 
Europe 3,360 2,903 16% 12% 
The Americas 5,728 3,746 53% 52% 
Asia, Middle East 
and Africa 2,954 2,605 13% 12% 
ABB Group 12,042 9,254 30% 28% 
 
Revenues by region 
($ in millions, 
unless otherwise 
indicated) 
  CHANGE 
Q2 2026 Q2 2025 US$ Comparable 
Europe 2,994 2,793 7% 3% 
The Americas 3,788 3,146 20% 19% 
Asia, Middle East 
and Africa 2,693 2,356 14% 13% 
ABB Group 9,475 8,295 14% 12% 
 
 
     
 
Orders and revenues

===== SIDA 4 =====

AB B  IN TE RIM RE P ORT  I Q2  20 26  4 
 
Gross profit 
Gross profit increased by 13% (10% local currencies) year-on-
year to $3,793 million, reflecting a gross margin of 40.0%, 
down 50 basis points. The gross margin decline was primarily 
due to the impact from unrealized FX and commodity 
derivatives. This hampered the gross margin in two out of 
three business areas.  
Income from operations 
Income from operations amounted to $1,585 million, 
increasing 8% from last year and reflecting a margin of 16.7%, 
down 100 basis points. The increase in Income from 
operations was driven primarily by strong operational 
performance, partially offset by approximately $60 million 
increased expenses linked to mark-to-market of unrealized FX 
and commodity derivatives. Additional adverse impacts 
include certain non-operational items of approximately $100 
million in provisions for unasserted legacy claims and 
remediations, as well as an expense of approximately $30 
million related to fair value adjustment of an equity 
investment. 
Operational EBITA  
Operational EBITA increased by 20% (18% in local currencies) 
to $1,925 million, representing a margin of 20.2%. The margin 
improved by 90 basis points year-on-year, driven by 
improvements in two out of three business areas as well as 
by lower losses in the E-mobility business.  
The higher business result was primarily due to operational 
leverage on higher volumes, which combined with positive 
pricing more than offset the higher expenses related to 
commodities and tariffs, Research and Development (R&D) 
and Selling, general & administrative (SG&A). SG&A declined in 
relation to revenues to 18.2% from last year’s 20.1%.  
Operational EBITA in Corporate and other amounted to  
-$127 million, consistent with last year’s loss of $130 million. 
This is the total of underlying Corporate costs of $109 million 
which includes Stranded costs of $25 million, and a loss of 
$18 million in the E-mobility business. 
Finance net 
Net finance income contributed $32 million to results, slightly 
less compared with last year’s $35 million.  
Income tax 
Income tax expense was $416 million and effective tax rate 
25.5%. 
Net income and earnings per share 
Net income attributable to ABB was $1,231 million, up 7% year-
on-year, with the key driver being contribution from improved 
business performance which more than compensated for 
certain higher non-operational items. Basic earnings per share 
increased by 8% to $0.68, up from $0.63 last year. 
 
 
Earnings 
 
 
 
 
 
 
Corporate and Other 
Operational EBITA 
   
($ in millions) Q2 2026 Q2 2025 
Corporate and Other   
E-mobility (18) (42) 
Stranded corporate costs (25) (33) 
Corporate costs, intersegment 
eliminations and other1 (84) (55) 
Total (127) (130) 
1 Majority of which relates to underlying corporate

===== SIDA 5 =====

AB B  IN TE RIM RE P ORT  I Q2  20 26  5  
 
Trade net working capital1 
Trade net working capital amounted to $4,327 million and 
declined year-on-year from $4,646 million. The increase in 
inventories and receivables was more than compensated 
for by higher increases in payables and customer 
advances. The average trade net working capital as a 
percentage of revenues1 was 11.9%, a reduction from 
13.8% one year ago. 
 
Capital expenditures 
Purchases of property, plant and equipment and 
intangible assets for continuing operations during the 
second quarter amounted to $236 million, representing a 
somewhat higher spend in buildout to meet demand, 
compared with last year’s $202 million. For ABB Group, 
the total cash outflow on a combined basis amounted to 
$294 million, higher than last year’s $224 million.  
Net debt 
Net debt1 amounted to $2,320 million at the end of the 
quarter. This represents a decline from last year’s level of 
$3,694 million and a slight sequential increase from 
$2,268 million in the first quarter. 
Cash flows 
Cash flow from operating activities during the second 
quarter was $1,150 million, an increase of 9% from last 
year’s $1,059 million. Contribution to the strong cash flow 
derived from an improvement in Continuing operations, 
supported by stronger earnings, year-on-year. Free cash 
flow amounted to $881 million, just above last year’s 
$845 million. 
Share buyback program 
A share buyback program of up to $2 billion was launched 
on February 9, 2026. During the second quarter, ABB 
repurchased a total of 1,528,217 shares for a total amount 
of approximately $147 million. At the end of the second 
quarter, ABB’s total number of issued shares including 
shares held in treasury, amounted to 1,823,154,373. 
 
 
Balance sheet & Cash flow 
 
  
($ in millions,  
unless otherwise indicated) 
Jun. 30 
2026 
Jun. 30 
2025 
Dec. 31 
2025 
Short-term debt and current 
maturities of long-term debt 1,610  557  475  
Long-term debt 6,567  8,249  7,829  
Total debt 8,177  8,806  8,304  
Cash & equivalents 3,867  3,266  4,640  
Marketable securities and  
short-term investments 1,990  1,846  1,981  
Cash and marketable securities 5,857  5,112  6,621  
Net debt (cash) 2,320  3,694  1,683  
     
Net debt (cash) to EBITDA ratio 0.3  0.6  0.3  
Net debt (cash) to Equity ratio 0.14  0.25  0.10

===== SIDA 6 =====

AB B  IN TE RIM RE P ORT  I Q2  20 26  6 
 
Orders and revenues 
Demand advanced from an already strong trajectory, and 
for the first time order intake surpassed the $7 billion 
mark. At $7,231 million, orders improved by 60% (58% 
comparable), reflecting a strong underlying market with 
no indications of pre-ordering. 
• Orders improved at a strong double-digit rate in both 
short-cycle and project businesses. Our resilient supply 
chain supports consistent delivery performance. 
• Market sentiment is strong in all major segments.  
Rapidly expanding investments in data center build-out 
remained a primary catalyst, driving exceptional triple-
digit growth in the segment. In the utility market, the 
underlying demand and long-term investment need 
remained strong, although order growth was limited 
against the high prior-year comparable. The buildings 
segment improved driven by the commercial area in the 
United States and Europe. Orders aimed at modernizing 
electrical infrastructure for land-based transport 
maintained a strong trend. 
• The Americas increased by 114% (114% comparable). 
Europe was up by 19% (16% comparable). Asia, Middle 
East and Africa improved by 21% (20% comparable) 
including 20% (14% comparable) in China. 
• Revenues increased by 20% (19% comparable) to 
$5,200 million, equally supported by strong 
improvement in both the short-cycle and project 
businesses. Majority of the growth was due to higher 
volumes, but also from a solid price contribution. 
Changes in exchange rates added 2%. 
 
Profit 
Strong increase of 26% (23% in local currencies) in 
Operational EBITA to $1,301 million, representing a 
margin improvement of 100 basis points to 24.9%.  
• Gross margin declined by 140 basis points. Almost 
half the decline was due to the impact from unrealized 
FX and commodities derivatives. As expected, there 
was also some pressure from the price/cost gap as 
pricing did not yet fully offset higher input expenses 
for raw materials. 
• Increase in Operational EBITA margin was supported 
by operational leverage on higher volumes, 
operational efficiency improvements and stringent 
management of SG&A expenses which declined in 
relation to revenues. 
— 
Electrification 
 
  
   CHANGE   CHANGE 
($ millions, unless otherwise indicated) Q2 2026 Q2 2025 US$ Comparable H1 2026 H1 2025 US$ Comparable 
Orders 7,231 4,518 60% 58% 13,878 8,912 56% 51% 
Order backlog 13,676 8,685 57% 59% 13,676 8,685 57% 59% 
Revenues 5,200 4,331 20% 19% 9,813 8,156 20% 17% 
Gross Profit 2,097 1,807 16%  3,948 3,445 15%  
as % of revenues 40.3% 41.7% -1.4 pts  40.2% 42.2% -2 pts  
Operational EBITA 1,301 1,033 26%  2,406 1,919 25%  
as % of operational revenues 24.9% 23.9% +1 pts  24.5% 23.6% +0.9 pts  
Cash flow from operating activities 1,253 956 31%  2,264 1,477 53%  
No. of employees (FTE equiv.) 55,800 52,800 6%      
 
Growth 
  
 Q2 Q2 
Change year-on-year Orders Revenues 
Comparable 58% 19% 
FX 2% 2% 
Portfolio changes 0% -1% 
Total 60% 20% 
 
 
 
Record orders 
surpassing $7 bn

===== SIDA 7 =====

AB B  IN TE RIM RE P ORT  I Q2  20 26  7 
 
Orders and revenues 
A strong development in both the short-cycle and the 
project businesses offset the usual pattern of lower 
sequential orders in the second quarter. A new record-high 
order intake of $2,592 million was achieved, representing an 
increase of 23% (20% comparable) year-on-year. 
• Motion’s synchronous condensers with flywheel 
technology constitute an industry-leading solution, with 
instant inertia acting like a shock absorber for the grid to 
keep electricity stable. In the second quarter, a large 
order of approximately $150 million was recorded. 
• Along with strong grid investments, there was persistent 
strength in rail. Positive trend in HVAC for commercial 
buildings and data center cooling. Strength was noted in 
food & beverage, marine, mining and low carbon areas 
like nuclear and wind. Oil & gas remained broadly stable 
while chemical and pulp & paper demand was soft. 
• The Americas was up 46% (44% comparable), with strong 
improvement of 52% (51% comparable) in the United 
States. Europe increased 15% (9% comparable) and Asia, 
Middle East and Africa was up 6% (5% comparable), with 
China at 9% (3% comparable). 
• Revenues increased by 7% (4% comparable) driven mainly 
by higher volumes and positive pricing. Portfolio changes 
added 1% to growth, related to the fairly recent acquisition 
of Gamesa Electric in Spain. And lastly, favorable changes in 
exchanges rates added 2%. 
Profit  
Operational EBITA remained virtually stable at $413 million, 
with a margin decline of 130 basis points to 18.5%, with just 
more than half of the impact linked to portfolio changes. 
• Gross margin drop of 120 basis points was primarily due to 
the impacts from weak performance in the Gamesa 
acquisition and unrealized FX and commodities derivatives. 
 
• Operational EBITA margin was positively impacted by 
operational leverage on comparable growth. This was more 
than offset by lower profitability in the High Power division, 
including 70 basis points linked to the Gamesa acquisition 
as well as lower profitability in the Traction division due to 
delayed production volumes.  
 
  
— 
Motion 
   CHANGE   CHANGE 
($ millions, unless otherwise indicated) Q2 2026 Q2 2025 US$ Comparable H1 2026 H1 2025 US$ Comparable 
Orders 2,592 2,112 23% 20% 5,140 4,268 20% 14% 
Order backlog 6,953 6,102 14% 14% 6,953 6,102 14% 14% 
Revenues 2,217 2,065 7% 4% 4,359 3,905 12% 5% 
Gross Profit 820 788 4%  1,591 1,521 5%  
as % of revenues 37.0% 38.2% -1.2 pts  36.5% 39.0% -2.5 pts  
Operational EBITA 413 407 1%  811 767 6%  
as % of operational revenues 18.5% 19.8% -1.3 pts  18.5% 19.7% -1.2 pts  
Cash flow from operating activities 370 354 5%  676 664 2%  
No. of employees (FTE equiv.) 23,800 22,600 5%      
 
Growth 
  
 Q2 Q2 
Change year-on-year Orders Revenues 
Comparable 20% 4% 
FX 3% 2% 
Portfolio changes 0% 1% 
Total 23% 7% 
 
 
 
Strong orders, 
but pressure on 
profitability

===== SIDA 8 =====

AB B  IN TE RIM RE P ORT  I Q2  20 26  8 
 
Orders and revenues 
Continued investments in higher efficiency and 
resilience across energy-intensive industries resulted in 
order intake of $2,454 million, one of the strongest 
quarters on record. The order backlog increased by 12% 
(13% comparable) to $10.5 billion. 
• The underlying market environment remains robust 
and order intake remained stable from the prior 
quarter. However, orders declined by 13% (14% 
comparable) from last year’s very high comparable, 
which included the extraordinarily large booking of 
$600 million. 
• Persistently high customer activity was linked to 
marine and port automation and electrification. 
Orders from machine builders increased sharply from 
last year, and the market has seemingly stabilized, 
although volumes remain low at a pre-covid level. 
Customer activity in the oil & gas segment is solid, 
with softness linked to the Middle-East conflict 
remaining contained to the local market. Customer 
activity in the nuclear segment increased. Demand 
remains softer in the process industry-related 
markets like pulp & paper and chemicals as well as 
mining where capex spend to extend existing mines 
or greenfield projects remains muted. 
• Revenues amounted to $2,193 million and improved by 
9% (7% comparable). Strong backlog execution and a 
positive trend in both the service and product 
businesses all contributed to higher revenues. 
Additional support of 2% related to favorable changes 
in exchange rates.  
 
Profit 
Operational EBITA improved by 17% (14% in local 
currencies) to $338 million, reflecting a margin 
improvement of 120 basis points to 15.4%.  
• Gross margin softened slightly by 10 basis points due to 
an adverse mix with a higher share of revenues derived 
from the project- and system integration business. 
• While R&D spend increased in relation to revenues, a 
stringent cost control reduced the SG&A ratio, 
supporting the improvement in the Operational EBITA 
margin. 
• Additional earnings support was derived from a 
project settlement triggering a provision release of 
~$15 million.  
 
— 
Automation 
   CHANGE   CHANGE 
($ millions, unless otherwise indicated) Q2 2026 Q2 2025 US$ Comparable H1 2026 H1 2025 US$ Comparable 
Orders 2,454 2,814 -13% -14% 4,918 5,011 -2% -6% 
Order backlog 10,544 9,450 12% 13% 10,544 9,450 12% 13% 
Revenues 2,193 2,010 9% 7% 4,340 3,828 13% 8% 
Gross Profit 835 767 9%  1,629 1,484 10%  
as % of revenues 38.1% 38.2% -0.1 pts  37.5% 38.8% -1.3 pts  
Operational EBITA 338 288 17%  649 543 20%  
as % of operational revenues 15.4% 14.2% +1.2 pts  15.0% 14.2% +0.8 pts  
Cash flow from operating activities 356 286 24%  649 557 17%  
No. of employees (FTE equiv.) 26,200 25,900 1%      
 
Growth 
  
 Q2 Q2 
Change year-on-year Orders Revenues 
Comparable -14% 7% 
FX 1% 2% 
Portfolio changes 0% 0% 
Total -13% 9% 
 
 
 
 
Robust market; 
book­to­bill 1.12

===== SIDA 9 =====

AB B  IN TE RIM RE P ORT  I Q2  20 26  9 
 
Events from the quarter 
 
• Rockwool was able to advance its sustainability 
agenda and reduce energy consumption and 
emissions thanks to ABB services and technology. 
Following an energy appraisal the company upgraded 
legacy motors to IE4/IE5 SynRM motors with ACS880 
drives. The project saves 738 MWh of electricity and 
avoids 142 tons of CO₂ annually while meeting the 
customer's payback target, demonstrating how 
targeted motor modernization can deliver both 
sustainability and financial value. 
 
• ABB modernized the propulsion drives of CoolCo’s 
nine LNG carriers, extending their operational lifetime 
by more than 10 years through targeted upgrades 
rather than full replacement. The project improved 
fleet reliability and availability while reducing material 
use, preserving embodied carbon, and demonstrating 
how lifecycle services can deliver both circularity and 
business value. 
 
 
 
 
 
• India’s Cochin Shipyard awarded ABB a contract to 
supply power and propulsion systems for two electric 
tugs. Due for delivery to Polestar Maritime in 2027 as 
part of India’s Green Tug Transition Programme 
(GTTP), the vessels will operate out of India’s largest 
container port, which accounts for around 50 percent 
of the total containerized cargo volume across the 
major ports of the country. The GTTP aims to 
transition India's harbor tug fleet from conventional 
diesel-powered vessels to greener alternatives in five 
phases from 2024 to 2040. 
 
• ABB has signed a Memorandum of Understanding 
with Swedish textile impact company Syre to jointly 
explore technologies to support the development of 
Syre’s first textile-to-textile recycling plant in Vietnam 
aiming to produce circular polyester at industrial 
scale. With the challenges associated with 
industrializing textile-to-textile recycling ABB will 
bring automation, electrification and digital 
technologies to the project that can contribute to 
safe, efficient and scalable operations. 
 
• ABB also continued to make progress towards its 
sustainability targets at several of its own sites. In 
Porvoo, Finland, where ABB manufactures installation 
products, the company achieved the UL Platinum 
certification for Zero Waste to Landfill. In addition, 
further sites in the US qualified for its Mission to Zero 
program, ABB’s journey to achieve net-zero emissions 
in our own operations and operate more sustainably, 
with the addition of electrification manufacturing 
plants in Florence, South Carolina, and Vega Baja, 
Puerto Rico. 
— 
Sustainability 
 
 Q2 20264 Q2 20254 CHANGE 12M ROLLING 
CO₂e own operations emissions,  
Ktons scope 1 and 21 39 44 -11% 120 
Total recordable incident frequency rate (TRIFR),  
frequency / 1,000,000 working hours 2 1.41 1.44 -2% 1.36 
Proportion of women in senior management roles 
in %3 24.6 23.0 +1.6 pts 23.1 
      
1 CO₂ equivalent emissions from site, energy use, SF₆ and fleet, previous quarter 
2 To align with CSRD reporting requirements, we have replaced our primary safety KPI, Lost Time Injury Frequency Rate (LTIFR), with Total Recordable Incident Frequency Rate (TRIFR). This new 
measure includes all incidents and injuries except first aid cases and near misses, promoting improved system learning, enhanced transparency, and greater openness in reporting. Current quarter 
Includes all incidents reported until July 7, 2026 
3 The above disclosure relates to countries where policies legally permit and to the extent that it does not conflict with any applicable local laws, where ABB operates 
4 The above disclosures represent ABB Group incl. Robotics data

===== SIDA 10 =====

AB B  IN TE RIM RE P ORT  I Q2  20 26  10  
 
During Q2 2026 
 
• On April 30, 2026, ABB announced it had cancelled 
shares during the month. As authorized under the 
company’s capital band, ABB’s Board of Directors 
resolved to cancel 20,744,831 shares of ABB Ltd 
repurchased under ABB’s 2025 share buyback 
program. The new total number of issued shares and 
votes of ABB Ltd after cancellation was 1,823,154,373, 
compared with 1,843,899,204 before cancellation. 
 
As of April 29, 2026, the company’s holding of own 
shares amounted to 7,576,598, which corresponded to 
0.42 percent of the total number of issued shares in 
the company. This included 3,445,104 shares 
purchased for capital reduction. 
 
• On May 11, 2026, ABB announced it is investing 
around $200 million in its medium-voltage 
manufacturing capabilities across Europe over the 
next three years. This is to expand production 
capacity, accelerate the transition to next-generation 
technologies for power distribution and strengthen 
supply for customers that are modernizing their 
power infrastructure. This includes utilities, industry, 
and rapidly growing data center markets. 
After Q2 2026 
• On July 16, 2026, ABB announced that it has agreed 
with Rotork, a well-established provider of mission-
critical intelligent flow control solutions and a leading 
independent manufacturer of electric actuators, the 
terms of a recommended cash offer for the entire 
issued and to be issued share capital of Rotork. The 
transaction is expected to further strengthen ABB’s 
focus on electrification and automation and expand 
its Automation business area’s offering for large and 
complex infrastructure and industries. Under the 
terms of the offer, each Rotork shareholder would be 
entitled to receive 503 pence in cash per Rotork 
share. Rotork shareholders will also be entitled to 
receive an interim dividend for the period to June 30, 
2026 of up to 3 pence per Rotork share. Rotork is 
expected to add 3% to ABB’s revenues with 
immediate accretion to Operational EBITA margin. 
The transaction is expected to close in the first half of 
2027 and is subject to shareholder vote and 
customary regulatory approvals. 
 
 
Order intake increased 31% (26% comparable) year-on-
year to $23,340 million. A positive market environment 
supported customer activity in all three business areas. 
While orders in the Electrification and Motion business 
areas increased at a double-digit rate, orders in the 
Automation business area declined against a high 
comparable. There was a positive development across 
most customer segments, led by particular strength in 
data centers, ports, utilities and land-based 
infrastructure such as tunnels and airports, which 
benefited from electrical upgrades. Marine market is 
persistently strong, although orders declined against a 
high comparable. On the muted side, there were the 
process industry-related areas such as pulp & paper, 
chemicals and mining. 
Revenues improved by 16% (12% comparable) to 
$18,209 million supported by a positive development 
across the project, service and short-cycle businesses. 
Revenues were at an all-time-high, but orders were even 
higher, resulting in a book-to-bill 1.28. The order backlog 
amounted to $30.0 billion, up by 27% (28% comparable), 
year-on-year.  
Income from operations amounted to $3,365 million, up 
14% year-on-year, resulting in a margin of 18.5%. The 
increase was mainly driven by the positive impacts from 
improved operational business performance, with 
further support from a higher contribution related to a 
real estate sale. Combined, these impacts more than 
offset adverse impacts from unrealized FX and 
commodity derivatives, from provisions for certain 
legacy claims and remediations of approximately $100 
million as well as fair value adjustments on equity 
investments. 
Operational EBITA increased by 28% to $3,974 million. 
The higher result was primarily due to the improved 
business performance. Moreover, an operational net 
gain of $377 million relating to a real estate sale in 
Corporate and Other had a positive impact.  
The Operational EBITA margin improved by 200 basis 
points to 21.8% with the main drivers being operating 
leverage on higher volumes, positive pricing, improved 
operational efficiency and the real estate sale. 
Corporate and other Operational EBITA contributed 
with $108 million. This includes the benefit of $377 
million from the real estate sale, a loss of $65 million 
attributed to the E-mobility business and Stranded 
costs of $51 million linked to the ongoing divestment of 
the Robotics business. 
Net finance contributed to results with $52 million, 
similar to last year’s income of $46 million. Income tax 
expense was $883 million reflecting a tax rate of 25.6%.  
Net income attributable to ABB was $2,555 million, up 
from $2,253 million in the prior year period. Basic 
earnings per share was $1.41, representing an increase 
of 14%. 
Significant events 
 
First six months of 2026

===== SIDA 11 =====

AB B  IN TE RIM RE P ORT  I Q2  20 26  11  
 
 
ABB Group Q1 2025 Q2 2025 Q3 2025 Q4 2025 FY 2025 Q1 2026 Q2 2026 
EBITDA, $ in million 1,660 1,668 1,806 1,726 6,860 1,990 1,805 
Return on Capital Employed, % 24.4 24.5 24.8 25.3 25.3 27.2 28.4 
Net debt/Equity 0.10 0.25 0.17 0.10 0.10 0.15 0.14 
Net debt/ EBITDA 12M rolling 0.3 0.6 0.4 0.3 0.3 0.3 0.3 
Net working capital 3,037 3,423 2,993 2,372 2,372 2,705 3,046 
Trade net working capital 4,222 4,646 4,433 4,059 4,059 4,017 4,327 
Average trade net working capital as a % of revenues  14.1% 13.8% 13.5% 13.0% 13.0% 12.5% 11.9% 
Earnings per share, basic, $ 0.60 0.63 0.66 0.70 2.59 0.73 0.68 
Earnings per share, diluted, $ 0.60 0.63 0.66 0.70 2.59 0.73 0.68 
Dividend per share, CHF n.a. n.a. n.a. n.a. 0.94 n.a. n.a. 
Share price at the end of period, CHF 45.22 47.31 57.32 59.22 59.22 63.24 87.58 
Number of employees (FTE equivalents) 110,100 110,900 110,700 111,900 111,900 112,700 114,800 
No. of shares outstanding at end of period (in 
millions) 1,833 1,826 1,822 1,818 1,818 1,814 1,815 
  
  
 
 
Additional figures 
 
Additional 2026 guidance 
1 Excludes one project estimated to a total of ~$100 million, that is ongoing in the non-core business. Exact exit timing is difficult to assess due to legal proceedings etc. 
2 Excludes Operational EBITA from E-mobility business; and includes the real estate gain of $377 million in Q1 2026 
3 Excludes the impact of acquisitions or divestments or any significant non-operational items 
4 Framework assumes stranded cost for the full year. Closing of Robotics divestment expected in the second half of the year, as earlier announced 
 
ABB based on discontinued operations structure 
($ in millions, unless otherwise stated) FY 20261 Q3 2026 
Corporate and Other  
Operational EBITA2 
~(100) ~(125) 
  
of which stranded costs4 ~(100) ~(25) 
  
Non-operating items   
  
Acquisition-related amortization ~(195) ~(50) 
  
Separation and integration ~(75) ~(25) 
from ~(60)  
Restructuring and related and 
Business transformation 
~(200) ~(50) 
  
 
($ in millions, unless otherwise stated) FY 2026 
Finance net ~150 
 
Effective tax rate ~25% 3  
 
Capital Expenditure ~(1,000) 
 
  
 
  
  
  
  
 
 
Key acquisitions and divestments, last twelve months 
Acquisitions Company/unit Closing date Revenues, $ in 
millions1 No. of employees 
2026     
Electrification Netcontrol Oy 4-May ∼24 109 
Electrification IPEC Ltd. 1-Apr ∼28 58 
Electrification Premium Power 2-Mar ∼9 40 
      
2025     
Motion Gamesa Electric power electronics (Spain) 1-Dec ∼170 400 
Motion Brightloop S.A.S. 1-Oct ∼18 80 
 
Divestments Company/unit Closing date Revenues, $ in 
millions1 No. of employees 
2025     
E-mobility ChargeDot, 60% sale 1-Dec ∼60 total Co. 320 total Co. 
      
2024     
E-mobility InCharge Energy Inc (share transfer) 30-Nov ∼100 n.a. 
Electrification Part of ELIP cable tray business to JV 1-Nov ∼65 110 
 
Note: comparable growth calculation includes acquisitions and divestments with revenues of greater than $50 million. 
1 Represents the estimated revenues for the last fiscal year prior to the announcement of the respective acquisition/divestment unless otherwise stated.

===== SIDA 12 =====

AB B  IN TE RIM RE P ORT  I Q2  20 26  12  
 
This press release includes forward-looking information 
and statements as well as other statements concerning 
the outlook for our business, including those in the 
sections of this release titled “CEO summary,” 
“Outlook,” “Sustainability” “Significant events” and 
“Additional 2026 guidance”. These statements are 
based on current expectations, estimates and 
projections about the factors that may affect our future 
performance, including global economic conditions and 
the economic conditions of the regions and industries 
that are major markets for ABB. These expectations, 
estimates and projections are generally identifiable by 
statements containing words such as “anticipates,” 
“expects,” “estimates,” “intends,” “plans,” “targets,” 
“guidance,” or similar expressions. However, there are 
many risks and uncertainties, many of which are beyond  
our control, that could cause our actual results to differ 
materially from the forward-looking information and 
statements made in this press release and which could 
affect our ability to achieve any or all of our stated 
targets. These include, among others, business risks 
associated with the volatile global economic 
environment and political conditions, market 
acceptance of new products and services, changes in 
governmental regulations and currency exchange rates. 
Although ABB Ltd believes that its expectations 
reflected in any such forward looking statement are 
based upon reasonable assumptions, it can give no 
assurance that those expectations will be achieved. 
 
The Q2 2026 results press release and presentation 
slides are available on the ABB News Center at 
www.abb.com/news and on the Investor Relations 
homepage at www.abb.com/investorrelations.  
A conference call and webcast for analysts and investors 
is scheduled to begin at 10:00 a.m. CET. To join the 
webcast, please refer to the ABB website: 
www.abb.com/investorrelations.  
The recorded session will be available after the event on 
ABB’s website. 
 
 
Important notice about forward-looking information 
For additional information please contact: 
Media Relations 
Phone: +41 43 317 71 11 
Email: media.relations@ch.abb.com 
Investor Relations 
Phone: +41 43 317 71 11 
Email: investor.relations@ch.abb.com 
 
ABB Ltd 
Affolternstrasse 44 
8050 Zurich 
Switzerland 
 
Q2 results presentation on July 16, 2026 
 
 
ABB is a global technology leader in electrification and automation, enabling a more sustainable and resource-efficient 
future. By connecting its engineering and digitalization expertise, ABB helps industries run at high performance, while 
becoming more efficient, productive and sustainable so they outperform. At ABB, we call this ‘Engineered to Outrun’. The 
company has over 140 years of history and around 110,000 employees worldwide. ABB’s shares are listed on the SIX Swiss 
Exchange (ABBN) and Nasdaq Stockholm (ABB). www.abb.com  
 
 
Financial calendar 
2026  
September 24 Webcast on ABB portfolio of Direct Current technology solutions for high-power data centers 
October 20 Q3 2026 results 
  
2027  
January 28 Q4 2026 results 
April 20 Q1 2027 results 
July 21 Q2 2027 results 
October 19 Q3 2027 results

===== SIDA 13 =====

1 Q2 2026 FINANCIAL INFORMATION  
 July 16, 2026 
Q2 2026  
Financial Information

===== SIDA 14 =====

2 Q2 2026 FINANCIAL INFORMATION  
 
 
FINANCIAL  
INFORMATION 
Contents 
 
 
 
 
 
 
 
 
 
 
 
03 ─ 07 Key Figures 
 
 
08 ─ 32 Consolidated Financial Information (unaudited) 
 
 
33 ─ 48 Supplemental Reconciliations and Definitions

===== SIDA 15 =====

3 Q2 2026 FINANCIAL INFORMATION  
 
— 
Key Figures 
     CHANGE 
 ($ in millions, unless otherwise indicated) Q2 2026 Q2 2025 US$ Comparable(1) 
 Orders 12,042 9,254 30% 28% 
 Order backlog (end June) 30,007 23,670 27% 28% 
 Revenues 9,475 8,295 14% 12% 
 Gross Profit 3,793 3,362 13%  
  as % of revenues 40.0% 40.5% -0.5 pts  
 Income from operations 1,585 1,466 8%  
 Operational EBITA(1) 1,925 1,598 20% 18%(2) 
  as % of operational revenues(1) 20.2% 19.3% +0.9 pts  
 Income from continuing operations, net of tax  1,218 1,113 9%  
 Net income attributable to ABB 1,231 1,151 7%  
 Basic earnings per share ($) 0.68 0.63 8%(3)  
 Cash flow from operating activities 1,150 1,059 9%  
 Free cash flow(1) 881 845 4%  
 
     CHANGE 
 ($ in millions, unless otherwise indicated) H1 2026 H1 2025 US$ Comparable(1) 
 Orders 23,340 17,843 31% 26% 
 Revenues 18,209 15,677 16% 12% 
 Gross Profit 7,233 6,484 12%  
  as % of revenues 39.7% 41.4% -1.7 pts  
 Income from operations 3,365 2,940 14%  
 Operational EBITA(1) 3,974 3,093 28% 23%(2) 
  as % of operational revenues(1) 21.8% 19.8% +2 pts  
 Income from continuing operations, net of tax  2,569 2,168 18%  
 Net income attributable to ABB 2,555 2,253 13%  
 Basic earnings per share ($) 1.41 1.23 14%(3)  
 Cash flow from operating activities 2,179 1,743 25%  
 Free cash flow(1) 2,131 1,497 42%  
(1) For a reconciliation of alternative performance  measures see “ Supplemental Reconciliations and Definitions ” on page 33.  
(2) Constant currency (not adjusted for portfolio changes).  
(3) EPS growth rates are computed using unrounded amounts.

===== SIDA 16 =====

4 Q2 2026 FINANCIAL INFORMATION  
    CHANGE 
 ($ in millions, unless otherwise indicated) Q2 2026 Q2 2025 US$ Local Comparable 
 Orders  ABB Group 12,042 9,254 30% 28% 28% 
  Electrification 7,231 4,518 60% 58% 58% 
  Motion 2,592 2,112 23% 20% 20% 
  Automation 2,454 2,814 -13% -14% -14% 
  Corporate and Other  79 110 
   
  Intersegment eliminations (314) (300) 
 Order backlog (end June) ABB Group 30,007 23,670 27% 28% 28% 
  Electrification 13,676 8,685 57% 59% 59% 
  Motion 6,953 6,102 14% 16% 14% 
  Automation 10,544 9,450 12% 13% 13% 
  Corporate and Other    
   
  (incl. intersegment eliminations) (1,166) (567) 
 Revenues  ABB Group 9,475 8,295 14% 12% 12% 
  Electrification 5,200 4,331 20% 18% 19% 
  Motion 2,217 2,065 7% 5% 4% 
  Automation 2,193 2,010 9% 7% 7% 
  Corporate and Other  117 107 
   
  Intersegment eliminations (252) (218) 
 Income from operations ABB Group 1,585 1,466    
  Electrification 1,172 990    
  Motion 376 393    
  Automation 327 266    
  Corporate and Other   
   
  (incl. intersegment eliminations) (290) (183) 
 Income from operations % ABB Group 16.7% 17.7%    
  Electrification 22.5% 22.9%    
  Motion 17.0% 19.0%    
  Automation 14.9% 13.2%    
 Operational EBITA ABB Group 1,925 1,598 20% 18%  
  Electrification 1,301 1,033 26% 23%  
  Motion 413 407 1% -1%  
  Automation 338 288 17% 14%  
  Corporate and Other(1)      
  (incl. intersegment eliminations) (127) (130)    
 Operational EBITA %  ABB Group 20.2% 19.3%    
  Electrification 24.9% 23.9%    
  Motion 18.5% 19.8%    
  Automation 15.4% 14.2%    
 Cash flow from operating activities ABB Group 1,150 1,059    
  Electrification 1,253 956    
  Motion 370 354    
  Automation 356 286    
  Corporate and Other       
  (incl. intersegment eliminations) (676) (625)    
  Discontinued operations (153) 88    
 (1) Corporate and Other at Q2 2026 and Q2 2025 includes Stranded corporate costs of $25 million and $33 million, respectively.

===== SIDA 17 =====

5 Q2 2026 FINANCIAL INFORMATION  
    CHANGE 
 ($ in millions, unless otherwise indicated) H1 2026 H1 2025 US$ Local Comparable 
 Orders  ABB Group 23,340 17,843 31% 27% 26% 
  Electrification 13,878 8,912 56% 51% 51% 
  Motion 5,140 4,268 20% 16% 14% 
  Automation 4,918 5,011 -2% -6% -6% 
  Corporate and Other 151 238    
  Intersegment eliminations (747) (586)    
 Order backlog (end June) ABB Group 30,007 23,670 27% 28% 28% 
  Electrification 13,676 8,685 57% 59% 59% 
  Motion 6,953 6,102 14% 16% 14% 
  Automation 10,544 9,450 12% 13% 13% 
  Corporate and Other   
   
  (incl. intersegment eliminations) (1,166) (567) 
 Revenues  ABB Group 18,209 15,677 16% 12% 12% 
  Electrification 9,813 8,156 20% 17% 17% 
  Motion 4,359 3,905 12% 8% 5% 
  Automation 4,340 3,828 13% 8% 8% 
  Corporate and Other 205 203 
   
  Intersegment eliminations (508) (415) 
 Income from operations ABB Group 3,365 2,940    
  Electrification 2,141 1,912    
  Motion 687 754    
  Automation 614 521    
  Corporate and Other   
 
  (incl. intersegment eliminations) (77) (247) 
 Income from operations % ABB Group 18.5% 18.8%    
  Electrification 21.8% 23.4%    
  Motion 15.8% 19.3%    
  Automation 14.1% 13.6%    
 Operational EBITA ABB Group 3,974 3,093 28% 23%  
  Electrification 2,406 1,919 25% 20%  
  Motion 811 767 6% 1%  
  Automation 649 543 20% 13%  
  Corporate and Other(1)    
  (incl. intersegment eliminations) 108 (136)    
 Operational EBITA %  ABB Group 21.8% 19.8%    
  Electrification 24.5% 23.6%    
  Motion 18.5% 19.7%    
  Automation 15.0% 14.2%    
 Cash flow from operating activities ABB Group 2,179 1,743    
  Electrification 2,264 1,477    
  Motion 676 664    
  Automation 649 557    
  Corporate and Other      
  (incl. intersegment eliminations) (1,274) (1,119)    
  Discontinued operations (136) 164    
 (1) Corporate and Other at H1 2026 and H1 2025 includes Stranded corporate costs of $51 million and $62 million, respectively.

===== SIDA 18 =====

6 Q2 2026 FINANCIAL INFORMATION  
Operational EBITA 
  ABB Electrification Motion Automation 
 ($ in millions, unless otherwise indicated) Q2 26 Q2 25 Q2 26 Q2 25 Q2 26 Q2 25 Q2 26 Q2 25 
 Revenues 9,475 8,295 5,200 4,331 2,217 2,065 2,193 2,010 
 Foreign exchange/commodity timing         
 differences in total revenues 45 1 23 (8) 18 (8) 8 18 
 Operational revenues 9,520 8,296 5,223 4,323 2,235 2,057 2,201 2,028 
          
 Income from operations 1,585 1,466 1,172 990 376 393 327 266 
 Acquisition-related amortization 51 48 27 29 15 9 9 9 
 Restructuring, related and          
 implementation costs(1) 16 7 4 4 3 5 6 1 
 Changes in obligations related to          
 divested businesses – (2) – – – – – – 
 Gains and losses from sale of businesses  (5) (1) (2) (2) – – (9) – 
 Acquisition- and divestment-related          
 expenses and integration costs 23 19 17 9 2 1 3 4 
 Certain other non-operational items 171 38 7 2 3 4 2 – 
 Foreign exchange/commodity timing         
 differences in income from operations  84 23 76 1 14 (5) – 8 
 Operational EBITA 1,925 1,598 1,301 1,033 413 407 338 288 
          
 Operational EBITA margin (%) 20.2% 19.3% 24.9% 23.9% 18.5% 19.8% 15.4% 14.2% 
 
 
  ABB Electrification Motion Automation 
 ($ in millions, unless otherwise indicated) H1 26 H1 25 H1 26 H1 25 H1 26 H1 25 H1 26 H1 25 
 Revenues 18,209 15,677 9,813 8,156 4,359 3,905 4,340 3,828 
 Foreign exchange/commodity timing         
 differences in total revenues 24 (24) 23 (13) 22 (11) (17) 1 
 Operational revenues 18,233 15,653 9,836 8,143 4,381 3,894 4,323 3,829 
          
 Income from operations 3,365 2,940 2,141 1,912 687 754 614 521 
 Acquisition-related amortization 98 91 54 55 26 18 18 17 
 Restructuring, related and         
 implementation costs(1) 64 20 30 10 10 7 19 5 
 Changes in obligations related to          
 divested businesses (5) (3) – – – – – – 
 Gains and losses from sale of businesses  (7) (12) (2) (13) – – (9) – 
 Acquisition- and divestment-related          
 expenses and integration costs 35 27 24 19 4 2 5 5 
 Certain other non-operational items 252 58 13 (29) 49 10 7 (2) 
 Foreign exchange/commodity timing         
 differences in income from operations  172 (28) 146 (35) 35 (24) (5) (3) 
 Operational EBITA 3,974 3,093 2,406 1,919 811 767 649 543 
          
 Operational EBITA margin (%) 21.8% 19.8% 24.5% 23.6% 18.5% 19.7% 15.0% 14.2% 
(1) Includes impairment of certain assets.

===== SIDA 19 =====

7 Q2 2026 FINANCIAL INFORMATION  
Depreciation and Amortization  
  ABB Electrification Motion Automation 
 ($ in millions) Q2 26 Q2 25 Q2 26 Q2 25 Q2 26 Q2 25 Q2 26 Q2 25 
 Depreciation 155 141 88 76 33 32 20 18 
 Amortization 65 61 35 36 18 11 11 10 
 including total acquisition-related amortization of: 51 48 27 29 15 9 9 9 
 
 
  ABB Electrification Motion Automation 
 ($ in millions) H1 26 H1 25 H1 26 H1 25 H1 26 H1 25 H1 26 H1 25 
 Depreciation 305 272 174 147 66 63 39 36 
 Amortization 125 116 68 68 32 22 22 20 
 including total acquisition-related amortization of: 98 91 54 55 26 18 18 17 
 
 
Orders received and Revenues by region 
  Orders received CHANGE Revenues CHANGE 
 
($ in millions, unless otherwise indicated) 
    Com-     Com- 
 Q2 26 Q2 25 US$ Local parable Q2 26 Q2 25 US$ Local parable 
 Europe 3,360 2,903 16% 12% 12% 2,994 2,793 7% 4% 3% 
 The Americas 5,728 3,746 53% 52% 52% 3,788 3,146 20% 19% 19% 
 of which United States 4,917 3,027 62% 62% 62% 3,047 2,444 25% 25% 24% 
 Asia, Middle East and Africa 2,954 2,605 13% 12% 12% 2,693 2,356 14% 13% 13% 
 of which China 1,133 972 17% 10% 10% 1,081 937 15% 9% 10% 
 ABB Group 12,042 9,254 30% 28% 28% 9,475 8,295 14% 12% 12% 
 
 
  Orders received CHANGE Revenues CHANGE 
 
($ in millions, unless otherwise indicated) 
    Com-     Com- 
 H1 26 H1 25 US$ Local parable H1 26 H1 25 US$ Local parable 
 Europe 7,115 5,880 21% 13% 12% 5,986 5,341 12% 5% 3% 
 The Americas 10,312 6,757 53% 51% 50% 7,179 5,956 21% 19% 19% 
 of which United States 8,770 5,293 66% 65% 64% 5,743 4,641 24% 23% 23% 
 Asia, Middle East and Africa 5,913 5,206 14% 12% 11% 5,044 4,380 15% 13% 13% 
 of which China 2,285 2,029 13% 7% 6% 2,030 1,746 16% 10% 10% 
 ABB Group 23,340 17,843 31% 27% 26% 18,209 15,677 16% 12% 12%

===== SIDA 20 =====

8 Q2 2026 FINANCIAL INFORMATION  
 
 
 
 
— 
Consolidated Financial Information 
 
 
 
 
 ABB Ltd Consolidated Income Statements (unaudited) 
      
      
  Six months ended Three months ended 
 ($ in millions, except per share data in $) Jun. 30, 2026 Jun. 30, 2025 Jun. 30, 2026 Jun. 30, 2025 
 Sales of products 15,323 13,065 7,984 6,909 
 Sales of services and other 2,886 2,612 1,491 1,386 
 Total revenues 18,209 15,677 9,475 8,295 
 Cost of sales of products (9,425) (7,773) (4,919) (4,185) 
 Cost of services and other (1,551) (1,420) (763) (748) 
 Total cost of sales (10,976) (9,193) (5,682) (4,933) 
 Gross profit 7,233 6,484 3,793 3,362 
 Selling, general and administrative expenses  (3,400) (3,205) (1,725) (1,671) 
 Non-order related research and development expenses  (704) (623) (371) (320) 
 Other income (expense), net 236 284 (112) 95 
 Income from operations 3,365 2,940 1,585 1,466 
 Interest and dividend income 90 95 41 41 
 Interest and other finance expense (38) (49) (9) (6) 
 Non-operational pension (cost) credit 35 30 17 16 
 Income from continuing operations before taxes  3,452 3,016 1,634 1,517 
 Income tax expense (883) (848) (416) (404) 
 Income from continuing operations, net of tax  2,569 2,168 1,218 1,113 
 Income from discontinued operations, net of tax  20 131 38 68 
 Net income 2,589 2,299 1,256 1,181 
 Net income attributable to noncontrolling interests  (34) (46) (25) (30) 
 Net income attributable to ABB 2,555 2,253 1,231 1,151 
      
 Amounts attributable to ABB shareholders:      
 Income from continuing operations, net of tax  2,529 2,122 1,192 1,083 
 Income from discontinued operations, net of tax  26 131 39 68 
 Net income 2,555 2,253 1,231 1,151 
      
 Basic earnings per share attributable to ABB shareholders:      
 Income from continuing operations, net of tax  1.39 1.16 0.66 0.59 
 Income from discontinued operations, net of tax  0.01 0.07 0.02 0.04 
 Net income 1.41 1.23 0.68 0.63 
      
 Diluted earnings per share attributable to ABB shareholders:      
 Income from continuing operations, net of tax  1.39 1.16 0.66 0.59 
 Income from discontinued operations, net of tax  0.01 0.07 0.02 0.04 
 Net income 1.40 1.23 0.68 0.63 
      
 Weighted-average number of shares outstanding (in millions) used to compute:      
 Basic earnings per share attributable to ABB shareholders  1,816 1,833 1,815 1,830 
 Diluted earnings per share attributable to ABB shareholders  1,819 1,836 1,818 1,832 
 Due to rounding, numbers presented may not add to the totals provided.     
      
 See Notes to the Consolidated Financial Information

===== SIDA 21 =====

9 Q2 2026 FINANCIAL INFORMATION  
      
      
      
      
      
      
      
 —     
 ABB Ltd Condensed Consolidated Statements of Comprehensive 
 Income (unaudited) 
      
      
  Six months ended Three months ended 
 ($ in millions) Jun. 30, 2026 Jun. 30, 2025 Jun. 30, 2026 Jun. 30, 2025 
 Total comprehensive income, net of tax 2,440 2,333 1,283 1,040 
 Total comprehensive income attributable to noncontrolling interests,      
 net of tax (26) (65) (28) (43) 
 Total comprehensive income attributable to ABB shareholders, net of tax  2,414 2,268 1,255 997 
 Due to rounding, numbers presented may not add to the totals provided.     
       See Notes to the Consolidated Financial Information

===== SIDA 22 =====

10 Q2 2026 FINANCIAL INFORMATION  
 —   
 ABB Ltd Consolidated Balance Sheets (unaudited)   
    
    
 ($ in millions) Jun. 30, 2026 Dec. 31, 2025 
 Cash and equivalents 3,867 4,640 
 Marketable securities and short-term investments 1,990 1,981 
 Receivables, net 8,033 7,535 
 Contract assets 1,189 1,090 
 Inventories, net 6,471 5,862 
 Prepaid expenses 358 281 
 Other current assets 512 627 
 Current assets held for sale and in discontinued operations  3,931 3,562 
 Total current assets 26,351 25,578 
    
 Property, plant and equipment, net 4,700 4,692 
 Operating lease right-of-use assets 783 765 
 Investments in equity-accounted companies 340 349 
 Prepaid pension and other employee benefits  982 937 
 Intangible assets, net 1,075 1,119 
 Goodwill 9,636 9,637 
 Deferred taxes 1,344 1,248 
 Other non-current assets 490 560 
 Non-current assets held for sale and in discontinued operations  35 – 
 Total assets 45,736 44,885 
    
 Accounts payable, trade 5,868 5,210 
 Contract liabilities 3,545 3,221 
 Short-term debt and current maturities of long -term debt 1,610 475 
 Current operating leases 252 253 
 Provisions 1,492 1,477 
 Other current liabilities 4,518 4,677 
 Current liabilities held for sale and in discontinued operations  1,155 1,108 
 Total current liabilities 18,440 16,421 
    
 Long-term debt 6,567 7,829 
 Non-current operating leases 553 533 
 Pension and other employee benefits 552 550 
 Deferred taxes 827 792 
 Other non-current liabilities 2,309 2,101 
 Non-current liabilities held for sale and in discontinued operations  83 13 
 Total liabilities 29,331 28,239 
    
 Commitments and contingencies   
    
 Stockholders’ equity:   
 Common stock, CHF 0.12 par value   
 (1,823 million and 1,844 million shares issued at June  30, 2026, and December 31, 2025, respectively) 158 160 
 Additional paid-in capital 23 64 
 Retained earnings 21,630 22,606 
 Accumulated other comprehensive loss (5,394) (5,253) 
 Treasury stock, at cost   
 (8 million and 26 million shares at June 30, 2026, and December 31, 2025, respectively) (518) (1,490) 
 Total ABB stockholders’ equity 15,899 16,087 
 Noncontrolling interests 506 559 
 Total stockholders’ equity 16,405 16,646 
 Total liabilities and stockholders’ equity 45,736 44,885 
 Due to rounding, numbers presented may not add to the totals provided.   
    
 See Notes to the Consolidated Financial Information

===== SIDA 23 =====

11 Q2 2026 FINANCIAL INFORMATION  
 —     
 ABB Ltd Consolidated Statements of Cash Flows (unaudited) 
      
  Six months ended Three months ended 
 ($ in millions) Jun. 30, 2026 Jun. 30, 2025 Jun. 30, 2026 Jun. 30, 2025 
 Operating activities:     
 Net income 2,589 2,299 1,256 1,181 
 Income from discontinued operations, net of tax  (20) (131) (38) (68) 
 Adjustments to reconcile net income to     
 net cash provided by operating activities:     
 Depreciation and amortization 430 388 220 202 
 Changes in fair values of investments 64 (40) 34 (28) 
 Pension and other employee benefits (12) (40) 4 (19) 
 Deferred taxes (53) 102 (67) 73 
 Net loss (gain) from derivatives and foreign exchange  117 (86) 75 (29) 
 Net gain from sale of property, plant and equipment  (409) (184) (17) (51) 
 Net gain from sale of businesses (7) (12) (5) (1) 
 Other 62 15 18 24 
 Changes in operating assets and liabilities:      
 Trade receivables, net (538) (250) (433) (194) 
 Contract assets and liabilities 250 74 33 (58) 
 Inventories, net (725) (52) (457) 33 
 Accounts payable, trade 709 (88) 462 15 
 Accrued liabilities (329) (346) 202 139 
 Provisions, net 174 (52) 138 (6) 
 Income taxes payable and receivable 162 183 70 (29) 
 Other assets and liabilities, net (149) (201) (192) (213) 
 Net cash provided by operating activities – continuing operations 2,315 1,579 1,303 971 
 Net cash provided by (used in) operating activities – discontinued operations (136) 164 (153) 88 
 Net cash provided by operating activities 2,179 1,743 1,150 1,059 
      
 Investing activities:     
 Purchases of investments (843) (996) (10) (150) 
 Purchases of property, plant and equipment and intangible assets  (417) (385) (236) (202) 
 Acquisition of businesses (net of cash acquired)      
 and increases in cost- and equity-accounted companies (149) (570) (122) (18) 
 Proceeds from sales of investments 826 517 634 188 
 Proceeds from sales of property, plant and equipment  462 173 25 10 
 Proceeds from sales of businesses (net of transaction costs      
 and cash disposed) and cost- and equity-accounted companies 28 73 27 23 
 Net cash from settlement of foreign currency derivatives  69 (3) 63 (113) 
 Other investing activities 10 1 11 (1) 
 Net cash provided by (used in) investing activities – continuing operations (14) (1,190) 392 (263) 
 Net cash used in investing activities – discontinued operations (95) (42) (61) (23) 
 Net cash provided by (used in) investing activities  (109) (1,232) 331 (286) 
      
 Financing activities:     
 Net changes in debt with original maturities of 90 days or less  (5) 139 (32) (261) 
 Increase in debt 36 1,090 13 795 
 Repayment of debt (49) (131) (19) (124) 
 Delivery of shares – 19 – 19 
 Purchase of treasury stock (473) (783) (225) (494) 
 Dividends paid (2,161) (1,907) (547) (1,907) 
 Dividends paid to noncontrolling shareholders  (123) (105) (123) (105) 
 Other financing activities (20) 8 (5) 7 
 Net cash used in financing activities – continuing operations (2,795) (1,670) (938) (2,070) 
 Net cash used in financing activities – discontinued operations (2) – (5) – 
 Net cash used in financing activities (2,797) (1,670) (943) (2,070) 
      
 Effects of exchange rate changes on cash and equivalents  (46) 99 4 69 
 Net change in cash and equivalents (773) (1,060) 542 (1,228) 
      
 Cash and equivalents, beginning of period  4,640 4,326 3,325 4,494 
 Cash and equivalents, end of period 3,867 3,266 3,867 3,266 
      
 Supplementary disclosure of cash flow information:      
 Interest paid 167 184 57 66 
 Income taxes paid 898 637 498 379 
 Due to rounding, numbers presented may not add to the totals provided.     
 
 
     See Notes to the Consolidated Financial Information

===== SIDA 24 =====

12 Q2 2026 FINANCIAL INFORMATION  
 —         
 ABB Ltd Consolidated Statements of Changes in Stockholders’ Equity (unaudited) 
  
 
 
 
 
 
 
 
 
 ($ in millions) 
Common 
stock 
Additional 
paid-in 
capital 
Retained 
earnings 
Accumulated 
other 
comprehensive 
loss 
Treasury 
stock 
Total ABB  
stockholders’ 
equity 
Non- 
controlling 
interests 
Total 
stockholders’ 
equity 
          
 Balance at January 1, 2025 162 50 20,648 (5,350) (1,091) 14,419 572 14,991 
 Net income   2,253   2,253 46 2,299 
 Foreign currency translation         
 adjustments, net of tax of $(3)    91  91 19 110 
 Effect of change in fair value of         
 available-for-sale securities,         
 net of tax of $0    3  3  3 
 Unrecognized income (expense)         
 related to pensions and other         
 postretirement plans,         
 net of tax of $(27)    (82)  (82)  (82) 
 Change in derivative instruments         
 and hedges, net of tax of $0    3  3  3 
 Changes in noncontrolling interests      – (8) (8) 
 Dividends to         
 noncontrolling shareholders      – (105) (105) 
 Dividends to shareholders   (1,867)   (1,867)  (1,867) 
 Cancellation of treasury shares (2) (61) (831)  894 –  – 
 Share-based payment arrangements  37    37 2 39 
 Purchase of treasury stock     (802) (802)  (802) 
 Delivery of shares  (13) (77)  109 19  19 
 Balance at June 30, 2025 160 15 20,125 (5,335) (890) 14,075 525 14,600 
          
          
 Balance at January 1, 2026 160 64 22,606 (5,253) (1,490) 16,087 559 16,646 
 Net income   2,555   2,555 34 2,589 
 Foreign currency translation         
 adjustments, net of tax of $0    (180)  (180) (8) (188) 
 Effect of change in fair value of         
 available-for-sale securities,         
 net of tax of $0    –  –  – 
 Unrecognized income (expense)         
 related to pensions and other         
 postretirement plans,         
 net of tax of $12    38  38  38 
 Change in derivative instruments         
 and hedges, net of tax of $0    1  1  1 
 Changes in noncontrolling interests  (40)    (40) 41 1 
 Dividends to         
 noncontrolling shareholders      – (123) (123) 
 Dividends to shareholders   (2,146)   (2,146)  (2,146) 
 Cancellation of treasury shares (2) (41) (1,283)  1,326 –  – 
 Share-based payment arrangements  48    48 1 49 
 Purchase of treasury stock     (462) (462)  (462) 
 Delivery of shares  (6) (102)  108 –  – 
 Balance at June 30, 2026 158 23 21,630 (5,394) (518) 15,899 506 16,405 
 Due to rounding, numbers presented may not add to the totals provided. 
           
 See Notes to the Consolidated Financial Information

===== SIDA 25 =====

13 Q2 2026 FINANCIAL INFORMATION  
— 
Notes to the Consolidated Financial Information (unaudited) 
 
 
─ 
Note 1 
The Company and basis of presentation 
ABB Ltd and its subsidiaries (collectively, the Company) together form a global technology leader in electrification and automation, enabling a more 
sustainable and resource-efficient future. By connecting its engineering and digitalization expertise, ABB helps industries run at high performance, while 
becoming more efficient, productive and sustainable so they outperform . 
The Company’s Consolidated Financial Information is prepared in accordance with United States of America generally accepted a ccounting principles 
(U.S. GAAP) for interim financial reporting. As such, the Consolidated Financial Information does not include all the information and notes required under 
U.S. GAAP for annual consolidated financial statements. Therefore, such financial information should be read in conjunction w ith the audited 
consolidated financial statements in the Company’s Financial Report for the year ended December 31, 2025. 
The preparation of financial information in conformity with U.S. GAAP requires management to make assumptions and estimates t hat directly affect the 
amounts reported in the Consolidated Financial Information. These accounting assumptions and estimates incl ude: 
• estimates to determine valuation allowances for deferred tax assets and amounts recorded for unrecognized tax benefits,  
• estimates of loss contingencies associated with litigation or threatened litigation and other claims and inquiries, environme ntal damages, 
product warranties, self-insurance reserves, regulatory and other proceedings,  
• estimates related to credit losses expected to occur over the remaining life of financial assets such as trade and other rece ivables, loans and 
other instruments, 
• assumptions and projections, principally related to future material, labor and project -related overhead costs, used in determining the 
percentage-of-completion on projects where revenue is recognized over time, as well as the amount of variable consideration the Company 
expects to be entitled to, 
• assumptions used in the calculation of pension and postretirement benefits and the fair value of pension plan assets,  
• estimates used to record expected costs for employee severance in connection with restructuring programs,  
• assumptions used in determining inventory obsolescence and net realizable value,  
• growth rates, discount rates and other assumptions used to determine impairment of long -lived assets and in testing goodwill for 
impairment, and 
• estimates and assumptions used in determining the fair values of assets and liabilities assumed in business combinations . 
The actual results and outcomes may differ from the Company’s estimates and assumptions.  
For classification of certain current assets and liabilities, the Company has elected to use the duration of individual contr acts as its operating cycle. 
Accordingly, there are contract assets and liabilities, accounts receivable, inventories and provision s related to these contracts which will not be realized 
within one year that have been classified as current. Long -term system integration activities comprise the majority of the Company’s activities which 
have an operating cycle in excess of one year that  have been classified as current. 
Basis of presentation 
In the opinion of management, the unaudited Consolidated Financial Information contains all necessary adjustments to present fairly the financial 
position, results of operations and cash flows for the reported periods. Management considers all such adjustm ents to be of a normal recurring nature. 
The Consolidated Financial Information is presented in United States dollars ($) unless otherwise stated. Due to rounding, nu mbers presented in the 
Consolidated Financial Information may not add to the totals provid ed. 
Certain amounts reported in the Consolidated Financial Information for prior periods have been reclassified to conform to the  current year’s 
presentation. 
Adjustments related to prior periods 
In the three months ended June 30, 2026, the Company identified certain errors in its previously issued financial statements that were corrected through 
cumulative out-of-period adjustments. The errors were identified by management and related to provisions for unasserted asbestos claims, as wel l as 
environmental remediation matters (see Note 11), resulting in additional expenses of $65 million and $31 million, respectively, in Other income (expense) 
in the Consolidated Income Statement for the three months ended June 30, 2026. The Company evaluated the impact of the corrections on both a 
quantitative and qualitative basis under the guidance of ASC 250, Accounting Changes and Error Corrections, and determined th ere were no material 
impacts to the consolidated financial statemen ts for the six and three months ended June 30, 2026, as well as previously issued annual financial 
statements.

===== SIDA 26 =====

14 Q2 2026 FINANCIAL INFORMATION  
─ 
Note 2 
Recent accounting pronouncements 
Applicable for future periods 
Disaggregation of Income Statement expenses 
In November 2024, an accounting standard update was issued which requires the Company to disclose additional information for certain types of 
expenses, including purchases of inventory, employee compensation, depreciation, and amortization, presented in ea ch relevant income statement 
expense caption (such as cost of sales, selling, general and administrative expenses). This update is effective for the Compa ny prospectively, with 
retrospective adoption permitted, for annual periods beginning January  1, 2027, and interim periods beginning January 1, 2028. The Company is currently 
evaluating the impact of adopting this update on its consolidated financial statements. 
Targeted Improvements to the Accounting for Internal -Use Software 
In September 2025, an accounting standard update was issued related to accounting for internal -use software costs. This update modernizes the 
guidance for accounting for software costs , aligning the accounting model with how software is developed today , by removing all references to project 
stages and clarifying the threshold entities apply to begin capitalizing  costs. This update is effective for the Company for annual and interim periods 
beginning January 1, 2028, and may be applied (i) prospectively, (ii) retrospectively, or (iii) utilizing a modified transition approach . Early adoption is 
permitted as of the beginning of an annual reporting period. The Company is currently evaluating the impact of adopting this update on its consolidated 
financial statements.  
 
 
─ 
Note 3 
Discontinued operations 
In October 2025, the Company entered into an agreement to divest its Robotics division to SoftBank Group Corp., valuing the b usiness at approximately 
$5.4 billion. The business also includes certain investments and real estate properties which were previously reported within Corp orate and Other. The 
divestment is expected to be completed in the second half of 2026, subject to regulatory approvals and customary closing conditions , as well as the 
completion of certain legal entity reorganizations expected  to be finalized before the sale. 
As this planned divestment represents a strategic shift that will have a major effect on the Company’s operations and financi al results, the results of 
operations for this business have been presented as discontinued operations and the assets and liabiliti es, along with the related investments and real 
estate assets previously included in Corporate and Other,  are reflected as held-for-sale for all periods presented.  
In addition, amounts relating to stranded corporate costs have been separately disclosed as a component of Corporate and Othe r (see Note 16). 
Stranded costs represent allocated overhead and other management costs which were previously included in the measure of segment profit 
(Operational EBITA) for the Robotics division within the former Robotics & Discrete Automation operating segment but are not directly attributable to 
the discontinued operation and thus do not qualify to be recorded as part of income from discontinued operations.  
Operating results of the discontinued operations are summarized as follows:  
  Six months ended Three months ended 
 ($ in millions) Jun. 30, 2026 Jun. 30, 2025 Jun. 30, 2026 Jun. 30, 2025 
 Total revenues 1,113 1,158 576 605 
 Total cost of sales (727) (765) (386) (398) 
 Gross profit 386 393 190 207 
 Expenses (303) (201) (143) (105) 
 Income from operations 83 192 47 102 
 Net interest and other finance expense (10) (14) (1) (10) 
 Non-operational pension credit 1 – – – 
 Income from discontinued operations before taxes  74 178 46 92 
 Income tax expense (54) (47) (8) (24) 
 Income from discontinued operations, net of tax  20 131 38 68 
 
Of the total Income from discontinued operations before taxes in the table above, $73 million and $178 million in the six months ended June 30, 2026 and 
2025, respectively, and $46 million and $92 million in the three months ended June 30, 2026 and 2025, respectively, are attributable to the Company, 
while the remainder is attributable to noncontrolling interests.  
Income from discontinued operations before taxes exclude s stranded costs which were previously allocated to the Robotics division. As a result,  for the 
six months ended June 30, 2026 and 2025, $51 million and $62 million, respectively, and for the three months ended June 30, 2026 and 2025, $25 million 
and $33 million, respectively, of allocated overhead and other management costs which were previously included in the measure of segment profit for 
the Robotics division are now reported as part of Corporate and Other. In addition, as required by U.S. GAAP , the Company has not recorded 
depreciation or amortization on the property, plant and equipment and intangible assets reported as discontinued operations  in the six and three 
months ended June 30, 2026. 
The Company also has retained obligations (primarily for environmental and taxes) related to other businesses disposed or otherwise exited tha t 
qualified as discontinued operations. Changes to these retained obligations are also included in Income from discontinued ope rations, net of tax.

===== SIDA 27 =====

15 Q2 2026 FINANCIAL INFORMATION  
The major components of assets and liabilities held for sale and in discontinued operations in the Company’s Consolidated Balance Sheets are 
summarized as follows: 
 ($ in millions) Jun. 30, 2026(1) Dec. 31, 2025(1) 
 Receivables, net 598 489 
 Contract assets 204 217 
 Inventories, net 425 372 
 Property, plant and equipment, net 363 290 
 Operating lease right-of-use assets 133 84 
 Goodwill 1,823 1,847 
 Deferred taxes 254 123 
 Other assets 131 140 
 Current assets held for sale and in discontinued operations  3,931 3,562 
    
 Other non-current assets 35 – 
 Non-current assets held for sale and in discontinued operations  35 – 
    
 Accounts payable, trade 373 317 
 Contract liabilities 216 250 
 Operating leases 125 87 
 Other liabilities 441 454 
 Current liabilities held for sale and in discontinued operations  1,155 1,108 
    
 Other non-current liabilities 83 13 
 Non-current liabilities held for sale and in discontinued operations  83 13 
(1) At June 30, 2026, and December 31, 2025, the balances reported as held for sale and in discontinued operations also include amounts pertaining to previously divested 
businesses and other obligations which will remain with the Company until such time as the obligations are settled or the activities are fully wound down. 
 
 
─ 
Note 4 
Acquisitions and divestments 
Acquisition of controlling interests 
Acquisitions of controlling interests were as follows: 
  Six months ended June 30, Three months ended June 30, 
 ($ in millions, except number of acquired businesses) (1) 2026 2025 2026 2025 
 Purchase price for acquisitions (net of cash acquired) (2) 124 551 108 10 
 Aggregate excess of purchase price over     
 fair value of net assets acquired(3) 64 436 58 10 
 Number of acquired businesses  5 4 3 1 
(1) Amounts include adjustments arising during the measurement period of acquisitions . 
(2) Excluding changes in cost - and equity -accounted companies.  
(3)  Recorded as goodwill.  
In the table above, the “Purchase price for acquisitions” and “Aggregate excess of purchase price over fair value of net assets acquired ” in the six months 
ended June 30, 2026, were not significant, while in the six months ended June 30, 2025, relate primarily to the acquisitions of Sensorfact BV and the 
Siemens wiring accessories business in China. 
Acquisitions of controlling interests have been accounted for under the acquisition method and have been included in the Comp any’s consolidated 
financial statements since the date of acquisition.  
On February 3, 2025, the Company acquired all of the shares of Sensorfact BV. Sensorfact BV , headquartered in Utrecht, Netherlands, offers a scalable 
software as a service (SaaS) solution that helps small and medium sized enterprises use AI in their operations and energy man agement to lower costs 
and increase efficiency. The cash outflows to complete the transaction amounted to $1 48 million (net of cash acquired). This acquisition expands the 
Company’s portfolio of energy management solutions that use big data and AI within its Electrification segment. 
On March 3, 2025, the Company acquired, through numerous share and asset purchases, all of the assets, liabilities and business activities of the 
Siemens wiring accessories business in China. The Siemens wiring accessories business offering, which distributes throughout China, includes wiring 
accessories, smart home systems, smart door locks and further peripheral home automation products . The cash outflows to complete the transaction 
amounted to $386 million (net of cash acquired). This acquisition  broadens the market reach of the Company’s Electrification segment and 
complements the segment’s regional customer offering within smart buildings . 
While the Company uses its best estimates and assumptions as part of the purchase price allocation process to value assets ac quired and liabilities 
assumed at the acquisition date, the purchase price allocation for acquisitions is preliminary for up to 12  months after the acquisition date and is 
subject to refinement as more detailed analyses are completed and additional information about the fair values of the assets and liabilities becomes 
available.

===== SIDA 28 =====

16 Q2 2026 FINANCIAL INFORMATION  
Subsequent events 
Completed acquisition 
On July 1, 2026, the Company acquired the shares of Specialtrasfo S.p.A. Specialtrasfo is an Italian manufacturer of specialized medium voltage 
transformers, including converter and rectifier transformers, with a  worldwide installed base. To complete the transaction, the Company’s cash outflows 
amounted to $183 million. This acquisition closes a gap in the Company’s industrial automation portfolio. The initial accounting and disclosures for th is 
acquisition are incomplete as Specialtrasfo was only recently acquired. 
Planned acquisition 
On July 16, 2026, the Company announced that it had reached an agreement on the terms of a recommended cash offer for the entire issu ed and to be 
issued share capital of Rotork plc (Rotork) for 503  pence per share (approximately $5.5 billion based on issued share capital at June 30, 2026). Rotork, 
headquartered in the United Kingdom, is a provider of intelligent flow control solutions and a manufacturer of electric actua tors. The acquisition is 
expected to expand the Company’s offering for large and complex  infrastructure and industries within its Automation business area. The Company 
expects to complete the acquisition in the first half of 2027 subject to approval by Rotork’s shareholders and customary clos ing conditions, including 
regulatory clearances. 
 
 
─ 
Note 5 
Cash and equivalents, marketable securities and short-term investments 
Cash and equivalents, marketable securities and short -term investments consisted of the following:  
   June 30, 2026 
        Marketable 
    Gross Gross   securities 
    unrealized unrealized  Cash and and short-term 
 ($ in millions) Cost basis gains losses Fair value equivalents investments 
 Changes in fair value        
 recorded in net income       
 Cash 1,659   1,659 1,659  
 Time deposits 2,826   2,826 2,208 618 
 Equity securities 1,315 57  1,372  1,372 
 Total 5,800 57 – 5,857 3,867 1,990 
         
 
   December 31, 2025 
        Marketable 
    Gross Gross   securities 
    unrealized unrealized  Cash and and short-term 
 ($ in millions) Cost basis gains losses Fair value equivalents investments 
 Changes in fair value       
 recorded in net income       
 Cash 1,398   1,398 1,398  
 Time deposits 3,804   3,804 3,242 562 
 Equity securities 1,348 57  1,405  1,405 
  6,550 57 – 6,607 4,640 1,967 
 Changes in fair value recorded       
 in other comprehensive income       
 Debt securities available-for-sale:       
  Other government obligations 14   14  14 
  14 – – 14 – 14 
 Total 6,564 57 – 6,621 4,640 1,981

===== SIDA 29 =====

17 Q2 2026 FINANCIAL INFORMATION  
─ 
Note 6 
Derivative financial instruments 
The Company is exposed to certain currency, commodity  and interest rate risks arising from its global operating, financing and investing activities. The 
Company uses derivative instruments to reduce and manage the economic impact of these exposures.  
Currency risk  
Due to the global nature of the Company’s operations, many of its subsidiaries are exposed to currency risk in their operatin g activities from entering 
into transactions in currencies other than their functional currency. To manage such currency risks, the  Company operates programs to hedge the 
foreign currency exposures from forecasted cash flows, committed orders and project -related exposures. Forward foreign exchange contracts are the 
main instrument used to protect the Company against the volatility of future cash flows (caused by changes in exchange rates) of contracted and 
forecasted sales and purchases denominated in foreign currencies. In addition, within its treasury operations, the Company pr imarily uses foreign 
exchange swaps and forward foreign exchange contracts to manage the currency and timing mismatches arising in its liquidity management activities.  
The Company also has numerous investments in its foreign subsidiaries, the net assets of which are exposed to volatility in f oreign currency exchange 
rates. Forward foreign exchange contracts are used to reduce the foreign currency exchange risk related to  the Company’s investment in certain foreign 
subsidiaries. These derivatives are designated as net investment hedges.  
Commodity risk 
Various commodity products are used in the Company’s manufacturing activities. Consequently, it is exposed to volatility in f uture cash flows arising 
from changes in commodity prices. To manage the price risk of commodities, the Company operates programs t o hedge the forecasted commodity 
exposure and project-related exposures. Swap contracts are primarily used to manage the associated price risks of commodities.  
Interest rate risk  
The Company has issued bonds at fixed rates. Interest rate swaps  and cross-currency interest rate swaps are used to manage the interest rate and 
foreign currency risk associated with certain debt and generally such swaps are designated as fair value hedges. In addition, from time to tim e, the 
Company uses instruments such as interest rate swaps, interest rate futures, bond futures or forward rate agreements to mana ge interest rate risk 
arising from the Company’s balance sheet structure but does not designate such instruments as hedges.  
Volume of derivative activity 
In general, while the Company’s primary objective in its use of derivatives is to minimize exposures arising from its busines s, certain derivatives are 
designated and qualify for hedge accounting treatment while others either are not designated or do not q ualify for hedge accounting. 
Foreign exchange and interest rate derivatives  
The gross notional amounts of outstanding foreign exchange and interest rate derivatives (whether designated as hedges or not ) were as follows: 
 Type of derivative Total notional amounts at 
 ($ in millions) June 30, 2026 December 31, 2025 June 30, 2025 
 Foreign exchange contracts 17,877 14,743 16,810 
 Embedded foreign exchange derivatives  1,874 1,640 1,524 
 Cross-currency interest rate swaps 912 940 938 
 Interest rate contracts 570 1,644 1,762 
 
Derivative commodity contracts 
The Company uses derivatives to hedge its direct or indirect exposure to the movement in the prices of commodities which are primarily copper, silver, 
steel and aluminum. The following table shows the notional amounts of outstanding derivatives (whether designated as hedges or not), on a net bas is, 
to reflect the Company’s requirements for these commodities: 
   Total notional amounts at 
 Type of derivative Unit June 30, 2026 December 31, 2025 June 30, 2025 
 Copper swaps metric tonnes 45,945 33,912 35,997 
 Silver swaps ounces 4,761,561 2,059,055 2,430,081 
 Steel swaps metric tonnes 15,604 14,198 18,144 
 Aluminum swaps metric tonnes 5,275 3,850 4,700 
 
Cash flow hedges 
As noted above, the Company mainly uses forward foreign exchange contracts to manage the foreign exchange risk of its operati ons and commodity 
swaps to manage its commodity risks. The Company applies cash flow hedge accounting in only limited cases. In these cases, th e effective portion of 
the changes in their fair value is recorded in Accumulated other comprehensive loss and subsequen tly reclassified into earnings in the same line item 
and in the same period as the underlying hedged transaction affects earnings. For the six and three months ended June  30, 2026 and 2025, there were no 
significant amounts recorded for cash flow hedge accounting activities.  
Net investment hedges  
The Company designates forward foreign exchange contracts used to reduce the foreign currency exchange risk related to its ne t investment in certain 
foreign subsidiaries as net investment hedges. Accordingly, the gains and losses on the derivatives are rec orded in Accumulated other comprehensive 
loss as part of Foreign currency translation adjustments. The accumulated gains and losses associated with these instruments will remain in 
Accumulated other comprehensive loss until the foreign subsidiaries are sol d or substantially liquidated, at which point they will be reclassified into 
earnings. The cash flows associated with derivatives designated as net investment hedges are recorded within investing activi ties in the Consolidated 
Statements of Cash Flows. For the six and three months ended June 30, 2026 and 2025, there were no significant amounts recognized in or reclassified 
out of Accumulated other comprehensive loss related to net investment hedges. In addition, in  the six and three months ended June 30, 2026 and 2025, 
the Company did not have any ineffectiveness related to net investment hedges . 
Fair value hedges 
To reduce its interest rate exposure arising primarily from its debt issuance activities, the Company uses interest rate swap s and cross-currency interest 
rate swaps. Where such instruments are designated as fair value hedges, the changes in the fair value of these instruments, as well as the changes in the 
fair value of the risk component of the underlying debt being hedged, are recorded as offsetting gains and losse s in Interest and other finance expense.

===== SIDA 30 =====

18 Q2 2026 FINANCIAL INFORMATION  
The effect of derivative instruments, designated and qualifying as fair value hedges, on the Consolidated Income Statements w as as follows: 
   Six months ended June 30, Three months ended June 30, 
 ($ in millions)  2026 2025 2026 2025 
 Gains (losses) recognized in Interest and other finance expense:      
 Interest rate contracts Designated as fair value hedges (2) (1) 6 4 
  Hedged item 2 1 (6) (4) 
 Cross-currency interest rate swaps Designated as fair value hedges 9 2 13 3 
  Hedged item (9) – (13) (2) 
 
Derivatives not designated in hedge relationships  
Derivative instruments that are not designated as hedges or do not qualify as either cash flow or fair value hedges are econo mic hedges used for risk 
management purposes. Gains and losses from changes in the fair values of such derivatives are recognized i n the same line in the income statement as 
the economically hedged transaction. 
Furthermore, under certain circumstances, the Company is required to split and account separately for foreign currency deriva tives that are embedded 
within certain binding sales or purchase contracts denominated in a currency other than the functional curr ency of the subsidiary and the counterparty.  
The gains (losses) recognized in the Consolidated Income Statements on derivatives not designated in hedging relationships we re as follows: 
 Type of derivative not Gains (losses) recognized in income 
 designated as a hedge  Six months ended June 30, Three months ended June 30, 
 ($ in millions) Location 2026 2025 2026 2025 
 Foreign exchange contracts Total revenues (18) 140 (10) 66 
  Total cost of sales (18) (22) (14) (8) 
  SG&A expenses(1) 10 (51) 6 (33) 
  Interest and other finance expense 85 (238) 62 (288) 
 Embedded foreign exchange Total revenues (11) (8) (14) (5) 
 contracts Total cost of sales (3) 9 (1) 6 
  SG&A expenses(1) (1) – (1) – 
 Commodity contracts Total cost of sales (17) 36 (4) (5) 
 Other Interest and other finance expense 2 (1) 1 (1) 
 Total  29 (135) 25 (268) 
(1) SG&A expenses represent “Selling, general and  administrative expenses”.  
The fair values of derivatives included in the Consolidated Balance Sheets were as follows:  
  June 30, 2026 
  Derivative assets  Derivative liabilities 
  Current in Non-current in  Current in Non-current in 
  “Other current “Other non-current  “Other current “Other non-current 
 ($ in millions) assets” assets”  liabilities” liabilities” 
 Derivatives designated as hedging instruments:       
 Foreign exchange contracts 1 –  16 – 
 Interest rate contracts – –  – 4 
 Cross-currency interest rate swaps – –  – 160 
 Total 1 –  16 164 
       
 Derivatives not designated as hedging instruments:       
 Foreign exchange contracts 140 27  73 17 
 Commodity contracts 51 –  73 – 
 Embedded foreign exchange derivatives  19 8  35 8 
 Total 210 35  181 25 
 Total fair value 211 35  197 189

===== SIDA 31 =====

19 Q2 2026 FINANCIAL INFORMATION  
  December 31, 2025 
  Derivative assets  Derivative liabilities 
  Current in Non-current in  Current in Non-current in 
  “Other current “Other non-current  “Other current “Other non-current 
 ($ in millions) assets” assets”  liabilities” liabilities” 
 Derivatives designated as hedging instruments:       
 Foreign exchange contracts – –  6 – 
 Interest rate contracts – 2  – 4 
 Cross-currency interest rate swaps – –  – 142 
 Total – 2  6 146 
       
 Derivatives not designated as hedging instruments:       
 Foreign exchange contracts 101 23  50 5 
 Commodity contracts 129 –  5 – 
 Embedded foreign exchange derivatives  20 14  29 4 
 Total 250 37  84 9 
 Total fair value 250 39  90 155 
 
Close-out netting agreements provide for the termination, valuation and net settlement of some or all outstanding transactions betw een two 
counterparties on the occurrence of one or more pre -defined trigger events. 
Although the Company is party to close-out netting agreements with most derivative counterparties, the fair values in the tables above and in the 
Consolidated Balance Sheets at June 30, 2026, and December 31, 2025, have been presented on a gross basis.  
The Company’s netting agreements and other similar arrangements allow net settlements under certain conditions. At June  30, 2026, and December 31, 
2025, information related to these offsetting arrangements was as follows:  
 ($ in millions) June 30, 2026 
  Gross amount Derivative liabilities Cash Non-cash  
 Type of agreement or of recognized eligible for set-off collateral collateral Net asset 
 similar arrangement assets in case of default received received exposure 
 Derivatives 219 (107) – – 112 
 Total 219 (107) – – 112 
       
 
 ($ in millions) June 30, 2026 
  Gross amount Derivative liabilities Cash Non-cash  
 Type of agreement or   of recognized eligible for set-off collateral collateral Net liability 
 similar arrangement liabilities in case of default pledged pledged exposure 
 Derivatives 343 (107) – – 236 
 Total 343 (107) – – 236 
 
 ($ in millions) December 31, 2025 
  Gross amount Derivative liabilities Cash Non-cash  
 Type of agreement or   of recognized eligible for set-off collateral collateral Net asset 
 similar arrangement  assets in case of default received received exposure 
 Derivatives 255 (56) – – 199 
 Total 255 (56) – – 199 
       
  
 ($ in millions) December 31, 2025 
  Gross amount Derivative liabilities Cash Non-cash  
 Type of agreement or  of recognized eligible for set-off collateral  collateral Net liability 
 similar arrangement liabilities  in case of default pledged pledged exposure 
 Derivatives 212 (56) – – 156 
 Total 212 (56) – – 156

===== SIDA 32 =====

20 Q2 2026 FINANCIAL INFORMATION  
─ 
Note 7 
Fair values 
The Company uses fair value measurement principles to record certain financial assets and liabilities on a recurring basis an d, when necessary, to record 
certain non-financial assets at fair value on a non-recurring basis, as well as to determine fair value disclosures for certain financial instruments carried 
at amortized cost in the financial statements. Financial assets and liabilities recorded at fair value on a recurring basis i nclude foreign currency, 
commodity and interest rate derivatives, as well as available -for-sale securities. Non-financial assets recorded at fair value on a non -recurring basis 
include long-lived assets that are reduced to their estimated fair value due to impairments.  
Fair value is the price that would be received when selling an asset or paid to transfer a liability in an orderly transactio n between market participants at 
the measurement date. In determining fair value, the Company uses various valuation techniques inc luding the market approach (using observable 
market data for identical or similar assets and liabilities), the income approach (discounted cash flow models) and the cost approach (using costs a 
market participant would incur to develop a comparable asset).  Inputs used to determine the fair value of assets and liabilities are defined by a 
three-level hierarchy, depending on the nature of those inputs. The Company has categorized its financial assets and liabilities and non -financial assets 
measured at fair value within this hierarchy based on whether the inputs to the valuation technique are observable or unobser vable. An observable input 
is based on market data obtained from independent sources, while an unobservable input reflects the Company’s assumptions about market data.  
The levels of the fair value hierarchy are as follows:  
Level 1:  Valuation inputs consist of quoted prices in an active market for identical assets or liabilities (observable quoted prices).  Assets and liabilities 
valued using Level 1 inputs include exchange‑traded equity securities, listed derivatives which are actively traded such as commodity futures, 
interest rate futures and certain actively traded debt securities . 
Level 2:  Valuation inputs consist of observable inputs (other than Level 1 inputs) such as actively quoted prices for similar assets, quoted prices in 
inactive markets and inputs other than quoted prices such as interest rate yield curves, credit spreads, or inputs  derived from other observable 
data by interpolation, correlation, regression or other means. The adjustments applied to quoted prices or the inputs used in  valuation models 
may be both observable and unobservable. In these cases, the fair value measuremen t is classified as Level 2 unless the unobservable portion of 
the adjustment or the unobservable input to the valuation model is significant, in which case the fair value measurement woul d be classified as 
Level 3. Assets and liabilities valued or disclose d using Level 2 inputs include investments in certain funds, certain debt securities that are not 
actively traded, interest rate swaps, cross-currency interest rate swaps, commodity swaps, forward foreign exchange contracts, foreign 
exchange swaps and forward rate agreements, time deposits, as well as financing receivables and debt.  
Level 3:  Valuation inputs are based on the Company’s assumptions which require significant judgement or estimation (unobservable input).  
Whenever quoted prices involve bid-ask spreads, the Company ordinarily determines fair values based on mid -market quotes. When determining fair 
values based on quoted prices in an active market, the Company considers if the level of transaction activity for the financi al instrument has significantly 
decreased or would not be considered orderly. In such cases, the resulting ch anges in valuation techniques would be disclosed. If the market is 
considered disorderly or if quoted prices are not available, the Company is required to use another valuation technique, such  as an income approach. 
Recurring fair value measures 
The fair values of financial assets and liabilities measured at fair value on a recurring basis were as follows:  
  June 30, 2026 
 ($ in millions) Level 1 Level 2 Level 3 Total fair value 
 Assets     
 Securities in “Marketable securities and short-term investments”:     
 Equity securities  1,372  1,372 
 Derivative assets—current in “Other current assets”  211  211 
 Derivative assets—non-current in “Other non-current assets”  35  35 
 Total – 1,618 – 1,618 
      
 Liabilities     
 Derivative liabilities—current in “Other current liabilities”  197  197 
 Derivative liabilities—non-current in “Other non-current liabilities”  189  189 
 Total – 386 – 386 
 
 
  December 31, 2025 
 ($ in millions) Level 1 Level 2 Level 3 Total fair value 
 Assets     
 Securities in “Marketable securities and short-term investments”:     
 Equity securities  1,405  1,405 
 Debt securities—Other government obligations 14   14 
 Derivative assets—current in “Other current assets”  250  250 
 Derivative assets—non-current in “Other non-current assets”  39  39 
 Total 14 1,694 – 1,708 
      
 Liabilities     
 Derivative liabilities—current in “Other current liabilities”  90  90 
 Derivative liabilities—non-current in “Other non-current liabilities”  155  155 
 Total – 245 – 245

===== SIDA 33 =====

21 Q2 2026 FINANCIAL INFORMATION  
The Company uses the following methods and assumptions in estimating fair values of financial assets and liabilities measured  at fair value on a 
recurring basis: 
• Securities in “Marketable securities and short-term investments”: If quoted market prices in active markets for identical assets are available, 
these are considered Level 1 inputs; however, when markets are not active, these inputs are considered Level  2. If such quoted market prices 
are not available, fair value is determined using market prices for similar assets or present value techniques, applying an a ppropriate risk-free 
interest rate adjusted for non-performance risk. The inputs used in present value techniques are observable and fall into the Level  2 category.  
 
• Derivatives: The fair values of derivative instruments are determined using quoted prices of identical instruments from an active market, if 
available (Level 1 inputs). If quoted prices are not available, price quotes for similar instruments, appropriately adjusted, or present value  
techniques, based on available market data, or option pricing models are used. The fair values obtained using price quotes fo r similar 
instruments or valuation techniques represent a Level  2 input unless significant unobservable inputs are used.  
Non-recurring fair value measures  
There were no significant non-recurring fair value measurements during the six and three months ended June 30, 2026 and 2025. 
Disclosure about financial instruments carried on a cost basis  
The fair values of financial instruments carried  on a cost basis were as follows: 
  June 30, 2026 
 ($ in millions) Carrying value  Level 1 Level 2 Level 3 Total fair value 
 Assets       
 Cash and equivalents (excluding securities with original        
 maturities up to 3 months):       
 Cash 1,659  1,659   1,659 
 Time deposits 2,208   2,208  2,208 
 Marketable securities and short-term investments       
 (excluding securities):       
 Time deposits 618   618  618 
        
 Liabilities       
 Short-term debt and current maturities of long -term debt       
 (excluding finance lease obligations) 1,560  1,512 48  1,560 
 Long-term debt (excluding finance lease obligations)  6,429  6,310 726  7,036 
 
 
  December 31, 2025 
 ($ in millions) Carrying value  Level 1 Level 2 Level 3 Total fair value 
 Assets       
 Cash and equivalents (excluding securities with original        
 maturities up to 3 months):       
 Cash 1,398  1,398   1,398 
 Time deposits 3,242   3,242  3,242 
 Marketable securities and short-term investments       
 (excluding securities):       
 Time deposits 562   562  562 
        
 Liabilities       
 Short-term debt and current maturities of long -term debt       
 (excluding finance lease obligations) 448  416 32  448 
 Long-term debt (excluding finance lease obligations)  7,681  7,013 733  7,746 
 
The Company uses the following methods and assumptions in estimating fair values of financial instruments carried on a cost b asis: 
• Cash and equivalents (excluding securities with original maturities up to 3  months) and Marketable securities and short-term investments 
(excluding securities): The carrying amounts approximate the fair values as the items are short -term in nature or, for cash held in banks, are 
equal to the deposit amount. 
• Short-term debt and current maturities of long -term debt (excluding finance lease obligations): Short-term debt includes commercial paper, 
bank borrowings and overdrafts. The carrying amounts of short -term debt and current maturities of long-term debt, excluding finance lease 
obligations, approximate their fair values. 
• Long-term debt (excluding finance lease obligations): Fair values of bonds are determined using quoted market prices (Level  1 inputs), if 
available. For bonds without available quoted market prices and other long -term debt, the fair values are determined using a discounted cash 
flow methodology based upon borrowing rates of similar debt instruments and reflecting appropriate ad justments for non-performance risk 
(Level 2 inputs).

===== SIDA 34 =====

22 Q2 2026 FINANCIAL INFORMATION  
─ 
Note 8 
Contract assets and liabilities 
The following table provides information about Contract assets and Contract liabilities:  
 ($ in millions) June 30, 2026 December 31, 2025 June 30, 2025 
 Contract assets 1,189 1,090 1,083 
 Contract liabilities 3,545 3,221 3,109 
 
Contract assets primarily relate to the Company’s right to receive consideration for work completed but for which no invoice has been issued at the 
reporting date. Contract assets are transferred to receivables when rights to receive payment become unconditional. Management expects that the 
majority of the amounts will be collected within one year of the respective balance sheet date.  
Contract liabilities primarily relate to up-front advances received on orders from customers as well as amounts invoiced to  customers in excess of 
revenues recognized predominantly on long-term projects. Contract liabilities are reduced as work is performed and as revenues are recognized . 
The significant changes in the Contract assets and Contract liabilities balances were as follows:  
  Six months ended June 30, 
  2026  2025 
  Contract  Contract  Contract  Contract 
 ($ in millions) assets  liabilities  assets  liabilities 
 Revenue recognized, which was included in the Contract liabilities balance at Jan 1, 2026/2025    (1,296)    (1,127) 
 Additions to Contract liabilities - excluding amounts recognized as revenue during the period    1,654    1,332 
 Receivables recognized that were included in the Contract assets balance at Jan 1, 2026/2025  (521)    (443)   
 
The Company considers its order backlog to represent its unsatisfied performance obligations. At June 30, 2026, the Company had unsatisfied 
performance obligations totaling $30,007 million and, of this amount, the Company expects to fulfill approximately 47 percent of the obligations in 
2026, approximately 33 percent of the obligations in 2027 and the balance thereafter. 
 
 
─ 
Note 9 
Supplier finance programs 
The Company has several supplier finance programs, all with similar characteristics, with various financial institutions acti ng as paying agent. These 
programs allow qualifying suppliers access to bank facilities which permit earlier payment at a cost to the supplier. The Company’s payment terms 
related to suppliers’ finance programs are not impacted by the suppliers’ decisions to sell amounts under the arrangements an d are typically consistent 
with local market practices. Outstanding supplier finance obligations are included in Accounts payable, trade in the Consolidated Balance Sheets and are 
reported as operating or investing (if capitalized) activities in the Consolidated Statement s of Cash Flows when paid. At June 30, 2026, and December 31, 
2025, the total obligation outstanding under supplier finance programs amounted to $627 million and $482 million, respectively.

===== SIDA 35 =====

23 Q2 2026 FINANCIAL INFORMATION  
─ 
Note 10 
Debt 
The Company’s total debt at June 30, 2026, and December 31, 2025, amounted to $8,177 million and $8,304 million, respectively. 
Short-term debt and current maturities of long-term debt  
The Company’s Short-term debt and current maturities of long -term debt consisted of the following: 
 ($ in millions) June 30, 2026 December 31, 2025 
 Short-term debt 56 26 
 Current maturities of long-term debt 1,554 449 
 Total 1,610 475 
 
Short-term debt primarily represented short-term bank borrowings from various banks. 
Long-term debt 
The Company’s Long-term debt at June 30, 2026, and December 31, 2025, amounted to $6,567 million and $7,829 million, respectively.  
Significant long-term borrowings (including maturities within the next 12 months) were as follows:   
  June 30, 2026 December 31, 2025 
 (in millions) Nominal outstanding  Carrying value(1) Nominal outstanding  Carrying value(1) 
 1.965% CHF Bonds, due 2026 CHF 325 $ 402 CHF 325 $ 410 
 3.25% EUR Instruments, due 2027 EUR 500 $ 569 EUR 500 $ 586 
 0.75% CHF Bonds, due 2027 CHF 425 $ 525 CHF 425 $ 535 
 3.8% USD Notes, due 2028 USD 383 $ 382 USD 383 $ 382 
 1.9775% CHF Bonds, due 2028 CHF 150 $ 185 CHF 150 $ 189 
 3.125% EUR Instruments, due 2029 EUR 500 $ 569 EUR 500 $ 588 
 1.0% CHF Bonds, due 2029 CHF 170 $ 210 CHF 170 $ 214 
 0% EUR Instruments, due 2030 EUR 800 $ 819 EUR 800 $ 838 
 2.375% CHF Bonds, due 2030 CHF 150 $ 185 CHF 150 $ 189 
 3.375% EUR Instruments, due 2031 EUR 750 $ 846 EUR 750 $ 871 
 Floating rate EIB R&D Loan, due 2031  USD  539 $ 539  USD  539 $ 539 
 0.8725% CHF Bonds, due 2032 CHF 350 $ 431 CHF 350 $ 440 
 2.1125% CHF Bonds, due 2033 CHF 275 $ 339 CHF 275 $ 346 
 3.375% EUR Instruments, due 2034 EUR 750 $ 847 EUR 750 $ 872 
 1.2762% CHF Bonds, due 2036 CHF 250 $ 308 CHF 250 $ 314 
 4.375% USD Notes, due 2042 USD 609 $ 593 USD 609 $ 592 
 Total    $ 7,749   $ 7,905 
(1)  USD carrying values include unamortized debt issuance costs, bond discounts or premiums, as well as adjustments for fair value hedge accounting, where appropriate. 
 
 
─ 
Note 11 
Commitments and contingencies 
Contingencies—Environmental  
The Company has been notified by the United States Environmental Protection Agency (EPA) that the Company, along with others,  has been identified 
as a potentially responsible party at a location on the EPA’s National Priorities List of Superfund sites. Thi s site is associated with a business acquired by 
the Company in 2012 and the claim relates to operations of the acquired business prior to the acquisition. The Company determ ined that a loss related 
to this matter is probable. The reasonably estimable rang e of loss based upon currently available information is between $31 million and $204 million. As 
no amount within the range is a better estimate than any other, the Company has recorded a provision of $31  million during the three months ended 
June 30, 2026. The estimated range reflects potential exposure associated with currently identified remediation activities while a  subsequent phase of 
remediation could result in additional losses that are not presently estimable as the related remediation stra tegy is yet to be defined. Although the 
Company believes its estimated range of potential loss is reasonable, the outcome of these matters is inherently uncertain an d actual losses could 
exceed the amounts accrued or disclosed.  
Contingencies—Regulatory, Compliance and Legal  
General 
The Company is subject to proceedings, litigation or threatened litigation and other claims and inquiries related to various regulatory, commercial and 
other matters. The Company assesses the likelihood of any adverse judgments or outcomes to these matters , as well as potential ranges of probable 
losses. A determination of the provision required, if any, for these contingencies is made after analysis of each individual issue, with assistance, when 
necessary, from internal and external legal counsel and tech nical experts.  
As it is not possible to make an informed judgment on, or reasonably predict, the outcome of certain matters and as it is not  possible, based on 
information currently available to management, to estimate the maximum potential liability on other matters, th ere could be adverse outcomes beyond 
the amounts accrued; however, the Company does not expect the resolution of current matters to have a material adverse effect on its financial 
statements.

===== SIDA 36 =====

24 Q2 2026 FINANCIAL INFORMATION  
Guarantees  
General 
The following table provides quantitative data regarding the Company’s third -party guarantees. The maximum potential payments represent a 
“worst-case scenario”, and do not reflect management’s expected outcomes.  
 Maximum potential payments ($ in millions) June 30, 2026 December 31, 2025 
 Performance guarantees 1,594 1,926 
 Financial guarantees 17 18 
 Total(1) 1,611 1,944 
(1) Maximum potential payments include amounts in both continuing and discontinued operations. 
The carrying amount of liabilities recorded in the Consolidated Balance Sheets reflects the Company’s best estimate of future  payments, which it may 
incur as part of fulfilling its guarantee obligations. In respect of the above guarantees, the carrying amo unts of liabilities at June 30, 2026, and 
December 31, 2025, were not significant. 
The Company is party to various guarantees providing financial or performance assurances to certain third parties. These guar antees, which have 
various maturities up to 2032, mainly consist of performance guarantees whereby (i)  the Company guarantees the performance of a third party’s 
product or service according to the terms of a contract and (ii) as member of a consortium/joint-venture that includes third parties, the Company 
guarantees not only its own performance but also the work of third parties. Such guarantees may include guarantees that a  project will be completed 
within a specified time. If the third party does not fulfill the obligation, the Company will compensate the guaranteed party  in cash or in kind. The 
original maturity dates for the majority of these performance guarantees range from one to ten years. 
In conjunction with the divestment of the high -voltage cable and cables accessories businesses  in 2017, the Company has entered into various 
performance guarantees with other parties with respect to certain liabilities of the divested business. At June  30, 2026, and December 31, 2025, the 
maximum potential payable under these guarantees amounted to $657 million and $681 million, respectively, and these guarantees have various original 
maturities up to ten years. 
The Company retained obligations for financial and performance guarantees related to its former Power Grids business (reporte d as discontinued 
operations prior to its sale to Hitachi Ltd in 2020), which at both June 30, 2026, and December 31, 2025, have been fully indemnified by Hitachi Ltd. These 
guarantees, having various maturities up to 2032, primarily consist of bank guarantees, standby letters of credit, business performance guarantees and 
other trade-related guarantees, the majority of which have original maturity dates ranging from one to ten years. The maximum amount paya ble under 
these guarantees at both June 30, 2026, and December 31, 2025, amounted to approximately $0.9 billion. 
Commercial commitments 
In addition, in the normal course of bidding for and executing certain projects, the Company has entered into standby letters  of credit, bid/performance 
bonds and surety bonds (collectively “performance bonds”) with various financial institutions. Customer s can draw on such performance bonds in the 
event that the Company does not fulfill its contractual obligations. The Company would then have an obligation to reimburse t he financial institution for 
amounts paid under the performance bonds. At  both June 30, 2026, and December 31, 2025, the total outstanding performance bonds aggregated to  
$3.6 billion, of which $0.1 billion relate to discontinued operations. There have been no significant amounts reimbursed to financial institutions under 
these types of arrangements in the six and three months ended  June 30, 2026 and 2025. 
Product and order-related contingencies 
The Company calculates its provision for product warranties based on historical claims experience and specific review of cert ain contracts. The 
reconciliation of the Provisions for warranties, including guarantees of product performance, was as follows:  
 ($ in millions) 2026 2025 
 Balance at January 1, 1,386 1,202 
 Net change in warranties due to acquisitions and divestments  2 – 
 Claims paid in cash or in kind (77) (78) 
 Net increase in provision for changes in estimates, warranties issued and warranties expired  125 106 
 Exchange rate differences (14) 93 
 Balance at June 30, 1,422 1,323 
 Included in:   
 ”Provisions” 685 698 
 ”Other non-current liabilities”  737 625 
 Provisions for warranties - Total 1,422 1,323 
 
 
 
─ 
Note 12 
Income taxes 
In calculating income tax expense, the Company uses an estimate of the annual effective tax rate based upon the facts and cir cumstances known at each 
interim period. On a quarterly basis, the actual effective tax rate is adjusted, as appropriate, based upon changed facts and  circumstances, if any, as 
compared to those forecasted at the beginning of the year and each interim period thereafter.  
The effective tax rate of 25.6 percent in the six months ended June 30, 2026, was lower than the effective tax rate of 28.1 percent in the six months ended 
June 30, 2025, primarily due to the tax impact of the gain on sale of real estate in the six months ended June 30, 2026, which is taxed at a rate lower than 
the Company’s weighted‑average tax rate.

===== SIDA 37 =====

25 Q2 2026 FINANCIAL INFORMATION  
─ 
Note 13 
Employee benefits 
The Company operates defined benefit pension plans, defined contribution pension plans, and termination indemnity plans, in a ccordance with local 
regulations and practices. At June 30, 2026, the Company’s most significant defined benefit pension plans are in Switzerland as well as in Germany, the 
United Kingdom, and the United States. These plans cover a large portion of the Company’s employees and provide benefits to employees in the event 
of death, disability, retirement, or termination of employment. Certain of these plans are multi -employer plans. The Company also operates other 
postretirement benefit plans including postretirement health care benefits and other employee -related benefits for active employees including 
long-service award plans. The postretirement benefit plans are not significant. The measurement date used for the Company’s employ ee benefit plans is 
December 31. The funding policies of the Company’s plans are consistent with the local government and tax requi rements. 
The following tables include amounts relating to defined benefit pension plans for both continuing and  discontinued operations. 
Net periodic benefit cost of the Company’s defined benefit pension plans consist s of the following: 
 ($ in millions) Defined pension benefits 
  Switzerland International 
 Six months ended June 30, 2026 2025 2026 2025 
 Operational pension cost:     
 Service cost 28 28 13 12 
 Operational pension cost 28 28 13 12 
 Non-operational pension cost (credit):     
 Interest cost 13 11 74 78 
 Expected return on plan assets (62) (59) (84) (83) 
 Amortization of prior service cost (credit) 1 – (1) (2) 
 Amortization of net actuarial loss – – 21 25 
 Curtailments, settlements and special termination benefits  – – 1 – 
 Non-operational pension cost (credit) (48) (48) 11  18  
 Net periodic benefit cost (credit) (20) (20) 24 30 
 
 ($ in millions) Defined pension benefits 
  Switzerland International 
 Three months ended June 30, 2026 2025 2026 2025 
 Operational pension cost:     
 Service cost 14 15 6 6 
 Operational pension cost 14 15 6 6 
 Non-operational pension cost (credit):     
 Interest cost 6 6 38 40 
 Expected return on plan assets (30) (32) (42) (42) 
 Amortization of prior service cost (credit) – – – (1) 
 Amortization of net actuarial loss – – 9 13 
 Curtailments, settlements and special termination benefits  – – 1 – 
 Non-operational pension cost (credit) (24) (26) 6  10 
 Net periodic benefit cost (credit) (10) (11) 12 16 
 
The components of net periodic benefit cost other than the service cost component are included in the line Non -operational pension cost (credit) in the 
Consolidated Income Statements. Net periodic benefit cost (credit) related to discontinued operations for the six and three months ended June 30, 2026 
and 2025, is not significant.   
 
 
─ 
Note 14 
Stockholders' equity  
At the Annual General Meeting of Shareholders on March 19, 2026, shareholders approved the proposal of the Board of Directors to distribute 0. 94 Swiss 
francs per share to shareholders. The declared dividend  amounted to $2,146 million. 
In January 2026, the Company announced the completion of its share buyback program of up to $1.5 billion that was launched in February 2025. This 
program was executed on a second trading line on the SIX  Swiss Exchange. In February 2026, the Company launched a new share buyback program of up 
to $2.0 billion, as announced in January 2026. This program, which is being executed on a second trading line on the SIX Swiss Exchange , is planned to 
run until January 2027. Under these buyback programs, the Company purchased approximately 5 million shares in the six months ended June 30, 2026, 
resulting in an increase in Treasury stock of $415 million. 
In the second quarter of 2026, the Company cancelled 21 million shares which had been purchased under its share buyback program. This resulted in a 
decrease in Treasury stock of $1,326 million and a corresponding total decrease in Common stock, Additional paid-in capital and Retained earnings.

===== SIDA 38 =====

26 Q2 2026 FINANCIAL INFORMATION  
─ 
Note 15 
Reclassifications out of accumulated other comprehensive loss 
The following table shows changes in Accumulated other comprehensive loss (OCI) attributable to ABB, by component, net of tax : 
   Unrealized gains Pension and   
  Foreign currency (losses) on other Derivative  
  translation available-for-sale postretirement instruments  
 ($ in millions) adjustments securities plan adjustments and hedges Total OCI 
 Balance at January 1, 2025 (4,248) (3) (1,091) (8) (5,350) 
 Other comprehensive (loss) income:      
 Other comprehensive (loss) income      
 before reclassifications 110 3 (98) – 15 
 Amounts reclassified from OCI – – 16 3 19 
 Total other comprehensive (loss) income  110 3 (82) 3 34 
       
 Less:      
 Amounts attributable to      
 noncontrolling interests 19 – – – 19 
 Balance at June 30, 2025 (4,157) – (1,173) (5) (5,335) 
 
 
   Unrealized gains Pension and   
  Foreign currency (losses) on other Derivative  
  translation available-for-sale postretirement instruments  
 ($ in millions) adjustments securities plan adjustments and hedges Total OCI 
 Balance at January 1, 2026 (4,176) – (1,073) (4) (5,253) 
 Other comprehensive (loss) income:      
 Other comprehensive (loss) income      
 before reclassifications (188) – 22 1 (165) 
 Amounts reclassified from OCI – – 16 – 16 
 Total other comprehensive (loss) income  (188) – 38 1 (149) 
       
 Less:      
 Amounts attributable to      
 noncontrolling interests (8) – – – (8) 
 Balance at June 30, 2026 (4,356) – (1,035) (3) (5,394) 
 
The amounts reclassified out of OCI for the six and three months ended June 30, 2026 and 2025, were not significant.

===== SIDA 39 =====

27 Q2 2026 FINANCIAL INFORMATION  
─ 
Note 16 
Operating segment data 
The Chief Operating Decision Maker (CODM) is the Chief Executive Officer. The CODM allocates resources to and assesses the pe rformance of each 
operating segment using the information outlined below. The Company is organized into the following segments, based on products and services: 
Electrification, Motion and Automation. The remaining operations of the Company are included in Corporate and Other.  
A description of the types of products and services provided by each reportable segment is as follows:  
• Electrification: manufactures and sells electrical products and solutions which are designed to provide the efficient and reliable distribution 
of electricity from source to socket. The portfolio of increasingly digital and connected solutions includes renewable power solutions, 
modular substation packages, distribution automation products, switchboards and panelboards, switchgear, UPS solutions, circuit breakers, 
measuring and sensing devices, control products, wiring accessories, enclosures and cabling systems, and intelligent home and building 
solutions, designed to integrate and automate lighting, heating, ventilation, security and data communication networks. The products and 
services are delivered through five operating divisions: Distribution Solutions, Smart Power, Smart Buildings, Installation Products, and 
Service. 
 
• Motion: designs, manufactures and sells drives, motors, generators and traction converters that are driving the low -carbon future for 
industries, cities, infrastructure and transportation. These products, digital technology and related services enable industr ial customers to 
increase energy efficiency, improve safety and reliability, and achieve precise control of their processes. Building on over 140 years of 
cumulative experience in electric powertrains, Motion combines domain expertise and technology to deliver the optimum solution for a wide 
range of applications in all industrial segments. In addition, Motion, along with its partners, has a leading global service presence. These 
products and services are delivered through six operating divisions: Motion High Power, Drive Products, Motion Services, Traction, IEC LV 
Motors and NEMA Motors. 
 
• Automation: offers a broad range of industry-specific, integrated automation, electrification and digital solutions, as well as lifecycle services 
for the process, hybrid and marine industries. The product portfolio includes control technologies; process, machine and factory automation; 
industrial software; advanced analytics; sensing and measurement technology; and marine propulsion systems. In addition, Automation 
offers a comprehensive range of services, from repair to advanced digital capabilities such as remote monitoring, preventive maintenance, 
asset performance management, emission monitoring and cybersecurity. The products and services are currently delivered through five 
operating divisions: Energy Industries, Process Industries, Marine & Ports, Measurement & Analytics and Machine Automation. 
 
Corporate and Other: Corporate includes headquarter costs, the Company’s corporate real estate activities and Corporate Treasury while Other inclu des 
the E-mobility operating segment and other non-core operating activities as well as the operating activities of certain divested businesses  and stranded 
corporate costs related to the planned divestment of the Robotics division.  
The primary measure of profitability on which the operating segments are evaluated is Operational EBITA, which represents inc ome from operations 
excluding: 
• amortization expense on intangibles arising upon acquisition ( acquisition-related amortization),  
• restructuring, related and implementation costs, 
• changes in the amount recorded for obligations related to divested businesses occurring after the divestment date (changes in  obligations 
related to divested businesses), 
• gains and losses from sale of businesses (including fair value adjustment on assets and liabilities held for sale , if any),  
• acquisition- and divestment-related expenses and integration costs, 
• certain other non-operational items, as well as  
• foreign exchange/commodity timing differences in income from operations consisting of:  (a) unrealized gains and losses on derivatives 
(foreign exchange, commodities, embedded derivatives), (b)  realized gains and losses on derivatives where the underlying hedged transaction 
has not yet been realized, and (c) unrealized foreign exchange movements on receivables/payables (and related assets/liabilities).  
Certain other non-operational items generally includes certain regulatory, compliance and legal costs, certain asset write downs/impairments  and 
certain other fair value changes, and certain environmental and related costs (net of insurance recoveries), as well as other items which are determined 
by management on a case-by-case basis. 
For all operating segments, the primary performance measure the CODM uses to allocate resources (including capital expenditur e and financial 
resources) and assess performance as part of the monthly business review process is Operational EBITA. As part of t his review process, current 
year-to-date budget-to-actual variances are provided (inclusive of key deviations) along with forecasted annual expectations and plans to address an y 
negative variances. Operational EBITA is also used to assess segment performance against targets set in the annual incentive plans as part of the 
compensation of the Company’s employees. 
The CODM primarily reviews the results of each segment on a basis that is before the elimination of profits made on inventory  sales between segments. 
Segment results below are presented before these eliminations, with a total deduction for intersegment pro fits to arrive at the Company’s consolidated 
Operational EBITA. Intersegment sales and transfers are accounted for as if the sales and transfers were to third parties, at  current market prices. 
For a category of expense to be classified as a significant segment expense, it must be significant to the segment, regularly  provided to or easily 
computed from information regularly provided to the CODM and included in the primary measure of profitabilit y. Significant segment expenses include 
Operational cost of sales, Operational selling, general and administrative expenses, and Operational non -order related research and development costs, 
which respectively are comprised of Cost of sales, Selling, gener al and administrative expenses (excluding bad debt expense), and Non -order related 
research and development costs, with each of these expense categories being adjusted to exclude any costs incurred on behalf of other segments and 
any relevant non-operational items (as defined above). 
Other segment items represent Other income (expense) excluding its respective components of non -operational items (as defined above), bad debt 
expense, and foreign exchange/commodity timing differences in total revenues.

===== SIDA 40 =====

28 Q2 2026 FINANCIAL INFORMATION  
The following tables present disaggregated segment revenues from contracts with customers , significant segment expenses, and Operational EBITA for 
the six and three months ended June 30, 2026 and 2025. 
  Six months ended June 30, 2026 
     Corporate  
 ($ in millions) Electrification Motion Automation and Other Total 
 Geographical markets       
 Europe  2,700 1,316 1,885 85 5,986 
 The Americas  4,545 1,489 1,055 90 7,179 
 of which: United States 3,749 1,231 697 66 5,743 
 Asia, Middle East and Africa  2,415 1,234 1,381 14 5,044 
 of which: China 999 617 414 – 2,030 
  9,660 4,039 4,321 189 18,209 
 Product type       
 Products 9,034 3,434 2,707 148 15,323 
 Services and other 626 605 1,614 41 2,886 
  9,660 4,039 4,321 189 18,209 
       
 Third-party revenues 9,660 4,039 4,321 189 18,209 
 Intersegment revenues 153 320 19 (492) – 
 Total revenues 9,813 4,359 4,340 (303) 18,209 
       
 Operational cost of sales (5,687) (2,726) (2,676)   
 Operational selling, general and      
 administrative expenses (1,506) (677) (784)   
 Operational non-order related research       
 and development expenses (264) (177) (218)   
 Other segment items 50 32 (13)   
 Operational EBITA 2,406 811 649   
 
  Six months ended June 30, 2025 
     Corporate  
 ($ in millions) Electrification Motion Automation and Other Total 
 Geographical markets       
 Europe  2,451 1,159 1,648 83 5,341 
 The Americas  3,585 1,314 984 73 5,956 
 of which: United States 2,874 1,087 637 43 4,641 
 Asia, Middle East and Africa  2,009 1,169 1,176 26 4,380 
 of which: China 866 534 339 7 1,746 
  8,045 3,642 3,808 182 15,677 
 Product type       
 Products 7,481 3,095 2,348 141 13,065 
 Services and other 564 547 1,460 41 2,612 
  8,045 3,642 3,808 182 15,677 
       
 Third-party revenues 8,045 3,642 3,808 182 15,677 
 Intersegment revenues 111 263 20 (394) – 
 Total revenues 8,156 3,905 3,828 (212) 15,677 
       
 Operational cost of sales (4,670) (2,376) (2,328)   
 Operational selling, general and      
 administrative expenses (1,358) (603) (757)   
 Operational non-order related research      
 and development expenses (223) (151) (197)   
 Other segment items 14 (8) (3)   
 Operational EBITA 1,919 767 543

===== SIDA 41 =====

29 Q2 2026 FINANCIAL INFORMATION  
  Three months ended June 30, 2026 
     Corporate  
 ($ in millions) Electrification Motion Automation and Other Total 
 Geographical markets       
 Europe  1,377 653 918 46 2,994 
 The Americas  2,418 770 541 59 3,788 
 of which: United States 2,003 639 362 43 3,047 
 Asia, Middle East and Africa  1,316 642 727 8 2,693 
 of which: China 529 333 219 – 1,081 
  5,111 2,065 2,186 113 9,475 
 Product type       
 Products 4,774 1,749 1,368 93 7,984 
 Services and other 337 316 818 20 1,491 
  5,111 2,065 2,186 113 9,475 
       
 Third-party revenues 5,111 2,065 2,186 113 9,475 
 Intersegment revenues 89 152 7 (248) – 
 Total revenues 5,200 2,217 2,193 (135) 9,475 
       
 Operational cost of sales (3,025) (1,388) (1,354)   
 Operational selling, general and      
 administrative expenses (765) (343) (404)   
 Operational non-order related research       
 and development expenses (142) (93) (115)   
 Other segment items 33 20 18   
 Operational EBITA 1,301 413 338   
 
  Three months ended June 30, 2025 
     Corporate  
 ($ in millions) Electrification Motion Automation and Other Total 
 Geographical markets       
 Europe  1,297 619 833 44 2,793 
 The Americas  1,893 679 531 43 3,146 
 of which: United States 1,517 563 341 23 2,444 
 Asia, Middle East and Africa  1,074 633 635 14 2,356 
 of which: China 458 291 185 3 937 
  4,264 1,931 1,999 101 8,295 
 Product type       
 Products 3,959 1,639 1,240 71 6,909 
 Services and other 305 292 759 30 1,386 
  4,264 1,931 1,999 101 8,295 
       
 Third-party revenues 4,264 1,931 1,999 101 8,295 
 Intersegment revenues 67 134 11 (212) – 
 Total revenues 4,331 2,065 2,010 (111) 8,295 
       
 Operational cost of sales (2,481) (1,263) (1,240)   
 Operational selling, general and      
 administrative expenses (708) (314) (396)   
 Operational non-order related research      
 and development expenses (118) (78) (100)   
 Other segment items 9 (3) 14   
 Operational EBITA 1,033 407 288

===== SIDA 42 =====

30 Q2 2026 FINANCIAL INFORMATION  
The following tables present Operational EBITA, the reconciliations of consolidated Operational EBITA to Income from continui ng operations before 
taxes, as well as Depreciation and amortization, and Capital expenditures  for the six and three months ended June 30, 2026 and 2025, and Total assets 
at June 30, 2026, and December 31, 2025: 
  Six months ended  Three months ended 
  June 30, June 30, 
 ($ in millions) 2026 2025 2026 2025 
 Operational EBITA:     
 Electrification 2,406 1,919 1,301 1,033 
 Motion 811 767 413 407 
 Automation 649 543 338 288 
 Corporate and Other     
 ‒ E-mobility (65) (89) (18) (42) 
 ‒ Stranded corporate costs (51) (62) (25) (33) 
 ‒ Corporate costs, Intersegment elimination and other  224 15 (84) (55) 
 Total 3,974 3,093 1,925 1,598 
 Acquisition-related amortization (98) (91) (51) (48) 
 Restructuring, related and implementation costs (1) (64) (20) (16) (7) 
 Changes in obligations related to divested businesses  5 3 – 2 
 Gains and losses from sale of businesses  7 12 5 1 
 Acquisition- and divestment-related expenses and integration costs  (35) (27) (23) (19) 
 Foreign exchange/commodity timing differences in income from operations:      
 Unrealized gains and losses on derivatives (foreign exchange,      
 commodities, embedded derivatives) (209) 72 (95) (4) 
 Realized gains and losses on derivatives where the underlying hedged      
 transaction has not yet been realized 5 1 4 1 
 Unrealized foreign exchange movements on receivables/payables (and      
 related assets/liabilities) 32 (45) 7 (20) 
 Certain other non-operational items:     
 Business transformation costs(2) (48) (92) (20) (48) 
 Environmental and related costs (94) (1) (94) (1) 
 Certain other fair value changes, including asset impairments  (106) 26 (53) 10 
 Other non-operational items (4) 9 (4) 1 
 Income from operations 3,365 2,940 1,585 1,466 
 Interest and dividend income 90 95 41 41 
 Interest and other finance expense (38) (49) (9) (6) 
 Non-operational pension (cost) credit 35 30 17 16 
 Income from continuing operations before taxes  3,452 3,016 1,634 1,517 
(1) Includes impairment of certain assets. 
(2) Amount includes ABB Way process transformation costs of $86 million and $43 million for the six and three months ended June 30, 2025, respectively. 
 
 Depreciation and amortization     
  Six months ended Three months ended 
  June 30, June 30, 
 ($ in millions) 2026 2025 2026 2025 
 Electrification 242 215 123 112 
 Motion 98 85 51 43 
 Automation 61 56 31 28 
 Corporate and Other 29 32 15 19 
 Consolidated 430 388 220 202 
 
 
 Capital expenditures     
  Six months ended Three months ended  
  June 30, June 30, 
 ($ in millions) 2026 2025 2026 2025 
 Electrification 283 198 164 119 
 Motion 69 90 40 44 
 Automation 39 45 19 23 
 Corporate and Other 26 52 13 16 
 Consolidated(1) 417 385 236 202 
(1) Capital expenditures  are after intersegment eliminations and therefore reflect third -party assets only.

===== SIDA 43 =====

31 Q2 2026 FINANCIAL INFORMATION  
  Total assets(1) 
 ($ in millions) June 30, 2026 December 31, 2025 
 Electrification 16,401 15,088 
 Motion 7,909 7,648 
 Automation 6,957 7,070 
 Corporate and Other(2) 14,469 15,079 
 Consolidated 45,736 44,885 
(1) Total assets are after intersegment eliminations and therefore reflect third-party assets only. 
(2) At June 30, 2026, and December 31, 2025, Corporate and Other includes $3,966 million and $3,562 million, respectively, of assets reported in discontinued operations (see 
Note 3).

===== SIDA 44 =====

32 Q2 2026 FINANCIAL INFORMATION

===== SIDA 45 =====

33 Q2 2026 FINANCIAL INFORMATION  
 
 
 
 
— 
Supplemental Reconciliations and Definitions 
 
 
 
The following reconciliations and definitions include alternative performance measures which ABB uses to supplement its Consolidated Financial 
Information (unaudited) which is prepared in accordance with United States generally accepted accounting principles (U.S.  GAAP). Certain of 
these financial measures are  not defined under U.S. GAAP.  
 
While ABB’s management believes that the measures herein are useful in evaluating ABB’s operating results, this information s hould be 
considered as supplemental in nature and not as a substitute for the related financial information prepared in accordance with U.S.  GAAP. 
Therefore these measures should not be viewed in isolation but considered together with the Consolidated Financial Informatio n (unaudited) 
prepared in accordance with U.S.  GAAP as of and for the six and three months ended June  30, 2026.  
 
Comparable growth rates  
Growth rates for certain key figures may be presented and discussed on a “comparable” basis. The comparable growth rate measu res growth on a 
constant currency basis. Since we are a global company, the comparability of our operating results reported in U.S.  dollars is affected by foreign 
currency exchange rate fluctuations. We calculate the impacts from foreign currency fluctuations by translating the current -year periods’ reported key 
figures into U.S. dollar amounts using the exchange rates in effect for t he comparable periods in the previous year.  
Comparable growth rates are also adjusted for changes in our business portfolio. Adjustments to our business portfolio occur due to acquisitions, 
divestments, or by exiting specific business activities or customer markets. The adjustment for portfolio chan ges is calculated as follows: where the 
results of any business acquired or divested have not been consolidated and reported for the entire duration of both the curr ent and comparable 
periods, the reported key figures of such business are adjusted to exclu de the relevant key figures of any corresponding quarters which are not 
comparable when computing the comparable growth rate. Certain portfolio changes which do not qualify as divestments under U.S . GAAP have been 
treated in a similar manner to divestments. Changes in our portfolio where we have exited certain business activities or customer markets are adjusted 
as if the relevant business was divested in the period when the decision to cease business activities was taken. We do not ad just for portfolio changes 
where the relevant business has annualized revenues of less than $50 million.  
The following tables provide reconciliations of reported growth rates of certain key figures to their respective comparable g rowth rate. 
 
Comparable growth rate reconciliation by Business Area 
  Q2 2026 compared to Q2 2025 
  Order growth rate  Revenue growth rate 
  US$ Foreign    US$ Foreign   
  (as exchange Portfolio   (as exchange Portfolio  
 Business Area reported) impact changes Comparable  reported) impact changes Comparable 
 Electrification  60% -2% 0% 58%  20% -2% 1% 19% 
 Motion 23% -3% 0% 20%  7% -2% -1% 4% 
 Automation -13% -1% 0% -14%  9% -2% 0% 7% 
 ABB Group 30% -2% 0% 28%  14% -2% 0% 12% 
 
 
  H1 2026 compared to H1 2025 
  Order growth rate  Revenue growth rate 
  US$ Foreign    US$ Foreign   
  (as exchange Portfolio   (as exchange Portfolio  
 Business Area reported) impact changes Comparable  reported) impact changes Comparable 
 Electrification  56% -5% 0% 51%  20% -3% 0% 17% 
 Motion 20% -4% -2% 14%  12% -4% -3% 5% 
 Automation -2% -4% 0% -6%  13% -5% 0% 8% 
 ABB Group 31% -4% -1% 26%  16% -4% 0% 12%

===== SIDA 46 =====

34 Q2 2026 FINANCIAL INFORMATION  
Regional comparable growth rate reconciliation  
Regional comparable growth rate reconciliation  for ABB Group - Quarter 
  Q2 2026 compared to Q2 2025 
  Order growth rate  Revenue growth rate 
  US$ Foreign    US$ Foreign   
  (as exchange Portfolio   (as exchange Portfolio  
 Region reported) impact changes Comparable  reported) impact changes Comparable 
 Europe 16% -4% 0% 12%  7% -3% -1% 3% 
 The Americas 53% -1% 0% 52%  20% -1% 0% 19% 
 of which: United States 62% 0% 0% 62%  25% 0% -1% 24% 
 Asia, Middle East and Africa 13% -1% 0% 12%  14% -1% 0% 13% 
 of which: China 17% -7% 0% 10%  15% -6% 1% 10% 
 ABB Group 30% -2% 0% 28%  14% -2% 0% 12% 
Regional comparable growth rate reconciliation  by business area - Quarter 
 
  Q2 2026 compared to Q2 2025 
  Order growth rate  Revenue growth rate 
  US$ Foreign    US$ Foreign   
  (as exchange Portfolio   (as exchange Portfolio  
 Region reported) impact changes Comparable  reported) impact changes Comparable 
 Europe 19% -3% 0% 16%  6% -3% 0% 3% 
 The Americas 114% 0% 0% 114%  28% -1% 0% 27% 
 of which: United States 132% 0% 0% 132%  32% 0% 0% 32% 
 Asia, Middle East and Africa 21% -2% 1% 20%  24% -2% 1% 23% 
 of which: China 20% -7% 1% 14%  15% -6% 2% 11% 
 Electrification 60% -2% 0% 58%  20% -2% 1% 19% 
  
  Q2 2026 compared to Q2 2025 
  Order growth rate  Revenue growth rate 
  US$ Foreign    US$ Foreign   
  (as exchange Portfolio   (as exchange Portfolio  
 Region reported) impact changes Comparable  reported) impact changes Comparable 
 Europe 15% -4% -2% 9%  6% -3% -3% 0% 
 The Americas 46% -1% -1% 44%  12% -1% -2% 9% 
 of which: United States 52% -1% 0% 51%  13% 0% -3% 10% 
 Asia, Middle East and Africa 6% -1% 0% 5%  3% -1% -1% 1% 
 of which: China 9% -6% 0% 3%  13% -6% 0% 7% 
 Motion 23% -3% 0% 20%  7% -2% -1% 4% 
  
  Q2 2026 compared to Q2 2025 
  Order growth rate  Revenue growth rate 
  US$ Foreign    US$ Foreign   
  (as exchange Portfolio   (as exchange Portfolio  
 Region reported) impact changes Comparable  reported) impact changes Comparable 
 Europe 11% -4% 0% 7%  10% -4% 0% 6% 
 The Americas -46% -1% 0% -47%  2% -2% 0% 0% 
 of which: United States -55% 0% 0% -55%  6% 0% 0% 6% 
 Asia, Middle East and Africa 4% 0% 0% 4%  14% -1% 0% 13% 
 of which: China 21% -7% 0% 14%  18% -5% 0% 13% 
 Automation -13% -1% 0% -14%  9% -2% 0% 7%

===== SIDA 47 =====

35 Q2 2026 FINANCIAL INFORMATION  
Regional comparable growth rate reconciliation  for ABB Group – Year to date 
  H1 2026 compared to H1 2025 
  Order growth rate  Revenue growth rate 
  US$ Foreign    US$ Foreign   
  (as exchange Portfolio   (as exchange Portfolio  
 Region reported) impact changes Comparable  reported) impact changes Comparable 
 Europe 21% -8% -1% 12%  12% -7% -2% 3% 
 The Americas 53% -2% -1% 50%  21% -2% 0% 19% 
 of which: United States 66% -1% -1% 64%  24% -1% 0% 23% 
 Asia, Middle East and Africa 14% -2% -1% 11%  15% -2% 0% 13% 
 of which: China 13% -6% -1% 6%  16% -6% 0% 10% 
 ABB Group 31% -4% -1% 26%  16% -4% 0% 12% 
Regional comparable growth rate reconciliation  by Business Area – Year to date 
 
  H1 2026 compared to H1 2025 
  Order growth rate  Revenue growth rate 
  US$ Foreign    US$ Foreign   
  (as exchange Portfolio   (as exchange Portfolio  
 Region reported) impact changes Comparable  reported) impact changes Comparable 
 Europe 27% -9% 0% 18%  10% -7% 0% 3% 
 The Americas 99% -2% 0% 97%  27% -1% 0% 26% 
 of which: United States 116% 0% 0% 116%  31% 0% 0% 31% 
 Asia, Middle East and Africa 23% -2% 0% 21%  21% -3% 1% 19% 
 of which: China 20% -7% 0% 13%  15% -6% 1% 10% 
 Electrification 56% -5% 0% 51%  20% -3% 0% 17% 
  
  H1 2026 compared to H1 2025 
  Order growth rate  Revenue growth rate 
  US$ Foreign    US$ Foreign   
  (as exchange Portfolio   (as exchange Portfolio  
 Region reported) impact changes Comparable  reported) impact changes Comparable 
 Europe 16% -8% -2% 6%  13% -7% -5% 1% 
 The Americas 34% -2% -4% 28%  13% -1% -2% 10% 
 of which: United States 39% -2% -4% 33%  14% -1% -2% 11% 
 Asia, Middle East and Africa 11% -2% 0% 9%  8% -2% -1% 5% 
 of which: China 10% -7% 0% 3%  17% -6% 0% 11% 
 Motion 20% -4% -2% 14%  12% -4% -3% 5% 
  
  H1 2026 compared to H1 2025 
  Order growth rate  Revenue growth rate 
  US$ Foreign    US$ Foreign   
  (as exchange Portfolio   (as exchange Portfolio  
 Region reported) impact changes Comparable  reported) impact changes Comparable 
 Europe 22% -9% 0% 13%  14% -8% 0% 6% 
 The Americas -30% -2% 0% -32%  8% -3% 0% 5% 
 of which: United States -36% 0% 0% -36%  10% -1% 0% 9% 
 Asia, Middle East and Africa -2% -2% 0% -4%  17% -2% 0% 15% 
 of which: China 3% -4% 0% -1%  22% -6% 0% 16% 
 Automation -2% -4% 0% -6%  13% -5% 0% 8%

===== SIDA 48 =====

36 Q2 2026 FINANCIAL INFORMATION  
Order backlog growth rate reconciliation 
  June 30, 2026 compared to June 30, 2025  
  US$ Foreign    
  (as exchange Portfolio   
 Business Area reported) impact changes Comparable  
 Electrification  57% 2% 0% 59%  
 Motion 14% 2% -2% 14%  
 Automation 12% 1% 0% 13%  
 ABB Group 27% 1% 0% 28%  
 
 
Other growth rate reconciliations 
  Q2 2026 compared to Q2 2025 
  Service orders growth rate  Services revenues growth rate 
  US$ Foreign    US$ Foreign   
  (as exchange Portfolio   (as exchange Portfolio  
 Business Area reported) impact changes Comparable  reported) impact changes Comparable 
 Electrification  31% -2% 0% 29%  10% -1% 0% 9% 
 Motion 8% -2% -1% 5%  8% -3% 0% 5% 
 Automation -36% -2% 0% -38%  8% -3% 0% 5% 
 ABB Group -18% -2% 0% -20%  8% -3% 0% 5% 
 
 
  H1 2026 compared to H1 2025 
  Service orders growth rate  Services revenues growth rate 
  US$ Foreign    US$ Foreign   
  (as exchange Portfolio   (as exchange Portfolio  
 Business Area reported) impact changes Comparable  reported) impact changes Comparable 
 Electrification  23% -4% 0% 19%  11% -3% 0% 8% 
 Motion 9% -5% -1% 3%  11% -5% -1% 5% 
 Automation -20% -3% 0% -23%  11% -5% 0% 6% 
 ABB Group -7% -4% 0% -11%  10% -4% 0% 6%

===== SIDA 49 =====

37 Q2 2026 FINANCIAL INFORMATION  
Operational EBITA as % of operational revenues (Operational EBITA margin) 
Definition 
Operational EBITA margin 
Operational EBITA margin is Operational EBITA as a percentage of operational revenues. 
Operational EBITA 
Operational earnings before interest, taxes and acquisition -related amortization (Operational EBITA) represents Income from operations excluding:  
• acquisition-related amortization (as defined below),  
• restructuring, related and implementation costs,  
• changes in the amount recorded for obligations related to divested businesses occurring after the divestment date (changes in  obligations 
related to divested businesses),  
• gains and losses from sale of businesses (including fair value adjustment on assets and liabilities held for sale , if any),  
• acquisition- and divestment-related expenses and integration costs,  
• certain other non-operational items, as well as  
• foreign exchange/commodity timing differences in income from operations consisting of: (a)  unrealized gains and losses on derivatives 
(foreign exchange, commodities, embedded derivatives), (b)  realized gains and losses on derivatives where the underlying h edged transaction 
has not yet been realized, and (c) unrealized foreign exchange movements on receivables/payables (and related assets/liabilities).  
Certain other non-operational items generally includes certain regulatory, compliance and legal costs, certain asset write downs/impairments and 
certain other fair value changes, and certain environmental and related costs (net of insurance recoveries), as well as other items which are determined 
by management on a case-by-case basis. 
Operational EBITA is our measure of segment profit but is also used by management to evaluate the profitability of the Company as a whole.  
Acquisition-related amortization 
Amortization expense on intangibles arising upon acquisition.  
Restructuring, related and implementation costs  
Restructuring, related and implementation costs consists of restructuring and other related expenses, as well as internal and  external costs relating to 
the implementation of group-wide restructuring programs. 
Operational revenues 
The Company presents operational revenues solely for the purpose of allowing the computation of Operational EBITA margin. Operational revenues are 
Total revenues adjusted for foreign exchange/commodity timing differences in total revenues of: (i)  unrealized gains and losses on derivatives, 
(ii) realized gains and losses on derivatives where the underlying hedged transaction has not yet been realized, and (iii) unrealized foreign exchange 
movements on receivables (and related assets). Operational revenues are not intended to be an alternative measure to Total revenues, which represent 
our revenues measured in accordance with U.S. GAAP.  
Reconciliation 
The following tables provide reconciliations of consolidated Operational EBITA to Net Income and Operational EBITA margin by business. 
Reconciliation of consolidated Operational EBITA to Net Income  
  Six months ended June 30, Three months ended June 30, 
 ($ in millions) 2026 2025 2026 2025 
 Operational EBITA 3,974 3,093 1,925 1,598 
 Acquisition-related amortization (98) (91) (51) (48) 
 Restructuring, related and implementation costs (1) (64) (20) (16) (7) 
 Changes in obligations related to divested businesses  5 3 – 2 
 Gains and losses from sale of businesses  7 12 5 1 
 Acquisition- and divestment-related expenses and integration costs  (35) (27) (23) (19) 
 Certain other non-operational items (252) (58) (171) (38) 
 Foreign exchange/commodity timing differences in income from operations  (172) 28 (84) (23) 
 Income from operations 3,365 2,940 1,585 1,466 
 Interest and dividend income 90 95 41 41 
 Interest and other finance expense (38) (49) (9) (6) 
 Non-operational pension (cost) credit 35 30 17 16 
 Income from continuing operations before taxes  3,452 3,016 1,634 1,517 
 Income tax expense (883) (848) (416) (404) 
 Income from continuing operations, net of tax  2,569 2,168 1,218 1,113 
 Income from discontinued operations, net of tax  20 131 38 68 
 Net income 2,589 2,299 1,256 1,181 
(1) Includes impairment of certain assets.

===== SIDA 50 =====

38 Q2 2026 FINANCIAL INFORMATION  
Reconciliation of Operational EBITA margin by business  
   Three months ended June 30, 2026 
      Corporate and  
      Other and  
      Intersegment  
 ($ in millions, unless otherwise indicated)  Electrification Motion Automation elimination Consolidated 
 Total revenues  5,200 2,217 2,193 (135) 9,475 
 Foreign exchange/commodity timing       
 differences in total revenues:       
 Unrealized gains and losses       
 on derivatives  18 9 10 (2) 35 
 Realized gains and losses on derivatives       
 where the underlying hedged       
 transaction has not yet been realized  (1) – (2) (1) (4) 
 Unrealized foreign exchange movements       
 on receivables (and related assets)  6 9 – (1) 14 
 Operational revenues  5,223 2,235 2,201 (139) 9,520 
        
 Income (loss) from operations  1,172 376 327 (290) 1,585 
 Acquisition-related amortization  27 15 9 – 51 
 Restructuring, related and       
 implementation costs(1)  4 3 6 3 16 
 Gains and losses from sale of businesses   (2) – (9) 6 (5) 
 Acquisition- and divestment-related expenses       
 and integration costs  17 2 3 1 23 
 Certain other non-operational items  7 3 2 159 171 
 Foreign exchange/commodity timing        
 differences in income from operations:        
 Unrealized gains and losses on derivatives        
 (foreign exchange, commodities,        
 embedded derivatives)  81 11 6 (3) 95 
 Realized gains and losses on derivatives       
 where the underlying hedged       
 transaction has not yet been realized  – 1 (3) (2) (4) 
 Unrealized foreign exchange movements        
 on receivables/payables       
 (and related assets/liabilities)  (5) 2 (3) (1) (7) 
 Operational EBITA  1,301 413 338 (127) 1,925 
        
 Operational EBITA margin (%)  24.9% 18.5% 15.4% n.a. 20.2% 
(1) Includes impairment of certain assets.  
 
In the three months ended June 30, 2026, Certain other non-operational items in the table above includes the following:  
   Three months ended June 30, 2026 
      Corporate  
 ($ in millions, unless otherwise indicated)  Electrification Motion Automation and Other Consolidated 
 Certain other non-operational items:       
 Business transformation costs  2 3 4 11 20 
 Environmental and related costs  – – – 94 94 
 Certain other fair values changes,       
 including asset impairments  4 – (2) 51 53 
 Other non-operational items  1 – – 3 4 
 Total  7 3 2 159 171

===== SIDA 51 =====

39 Q2 2026 FINANCIAL INFORMATION  
   Three months ended June 30, 2025 
      Corporate and  
      Other and  
      Intersegment  
 ($ in millions, unless otherwise indicated)  Electrification Motion Automation elimination Consolidated 
 Total revenues  4,331 2,065 2,010 (111) 8,295 
 Foreign exchange/commodity timing        
 differences in total revenues:       
 Unrealized gains and losses       
 on derivatives  (19) (7) 20 – (6) 
 Realized gains and losses on derivatives       
 where the underlying hedged       
 transaction has not yet been realized  – (1) (1) (1) (3) 
 Unrealized foreign exchange movements       
 on receivables (and related assets)  11 – (1) – 10 
 Operational revenues  4,323 2,057 2,028 (112) 8,296 
        
 Income (loss) from operations  990 393 266 (183) 1,466 
 Acquisition-related amortization  29 9 9 1 48 
 Restructuring, related and       
 implementation costs(1)  4 5 1 (3) 7 
 Changes in obligations related to       
 divested businesses  – – – (2) (2) 
 Gains and losses from sale of businesses   (2) – – 1 (1) 
 Acquisition- and divestment-related expenses       
 and integration costs  9 1 4 5 19 
 Certain other non-operational items  2 4 – 32 38 
 Foreign exchange/commodity timing        
 differences in income from operations:        
 Unrealized gains and losses on derivatives        
 (foreign exchange, commodities,        
 embedded derivatives)  (7) (8) 9 10 4 
 Realized gains and losses on derivatives       
 where the underlying hedged       
 transaction has not yet been realized  – – – (1) (1) 
 Unrealized foreign exchange movements        
 on receivables/payables       
 (and related assets/liabilities)  8 3 (1) 10 20 
 Operational EBITA  1,033 407 288 (130) 1,598 
        
 Operational EBITA margin (%)  23.9% 19.8% 14.2% n.a. 19.3% 
(1) Includes impairment of certain assets.  
 
In the three months ended June 30, 2025, Certain other non-operational items in the table above includes the following:  
   Three months ended June 30, 2025 
      Corporate  
 ($ in millions, unless otherwise indicated)  Electrification Motion Automation and Other Consolidated 
 Certain other non-operational items:       
 Business transformation costs  – 3 – 45 48 
 Environmental and related costs  – – – 1 1 
 Certain other fair values changes,       
 including asset impairments  – 1 – (11) (10) 
 Other non-operational items  2 – – (3) (1) 
 Total  2 4 – 32 38 
(1) Amounts include ABB Way process transformation costs of $43  million for the three months ended June  30, 2025.

===== SIDA 52 =====

40 Q2 2026 FINANCIAL INFORMATION  
   Six months ended June 30, 2026 
      Corporate and  
      Other and  
      Intersegment  
 ($ in millions, unless otherwise indicated)  Electrification Motion Automation elimination Consolidated 
 Total revenues  9,813 4,359 4,340 (303) 18,209 
 Foreign exchange/commodity timing       
 differences in total revenues:       
 Unrealized gains and losses       
 on derivatives  47 21 (1) 2 69 
 Realized gains and losses on derivatives       
 where the underlying hedged       
 transaction has not yet been realized  (1) – (6) – (7) 
 Unrealized foreign exchange movements       
 on receivables (and related assets)  (23) 1 (10) (6) (38) 
 Operational revenues  9,836 4,381 4,323 (307) 18,233 
        
 Income (loss) from operations  2,141 687 614 (77) 3,365 
 Acquisition-related amortization  54 26 18 – 98 
 Restructuring, related and       
 implementation costs(1)  30 10 19 5 64 
 Changes in obligations related to       
 divested businesses  – – – (5) (5) 
 Gains and losses from sale of businesses   (2) – (9) 4 (7) 
 Acquisition- and divestment-related expenses        
 and integration costs  24 4 5 2 35 
 Certain other non-operational items  13 49 7 183 252 
 Foreign exchange/commodity timing        
 differences in income from operations:        
 Unrealized gains and losses on derivatives        
 (foreign exchange, commodities,        
 embedded derivatives)  166 36 11 (4) 209 
 Realized gains and losses on derivatives       
 where the underlying hedged       
 transaction has not yet been realized  – 1 (7) 1 (5) 
 Unrealized foreign exchange movements        
 on receivables/payables       
 (and related assets/liabilities)  (20) (2) (9) (1) (32) 
 Operational EBITA  2,406 811 649 108 3,974 
        
 Operational EBITA margin (%)  24.5% 18.5% 15.0% n.a. 21.8% 
(1) Includes impairment of certain assets.  
 
In the six months ended June 30, 2026, Certain other non-operational items in the table above includes the following:  
   Six months ended June 30, 2026 
      Corporate  
 ($ in millions, unless otherwise indicated)  Electrification Motion Automation and Other Consolidated 
 Certain other non-operational items:       
 Business transformation costs  9 7 9 23 48 
 Environmental and related costs  – – – 94 94 
 Certain other fair values changes,       
 including asset impairments  2 41 (2) 65 106 
 Other non-operational items  2 1 – 1 4 
 Total  13 49 7 183 252

===== SIDA 53 =====

41 Q2 2026 FINANCIAL INFORMATION  
   Six months ended June 30, 2025 
      Corporate and  
      Other and  
      Intersegment  
 ($ in millions, unless otherwise indicated)  Electrification Motion Automation elimination Consolidated 
 Total revenues  8,156 3,905 3,828 (212) 15,677 
 Foreign exchange/commodity timing        
 differences in total revenues:       
 Unrealized gains and losses       
 on derivatives  (53) (16) (3) (3) (75) 
 Realized gains and losses on derivatives       
 where the underlying hedged       
 transaction has not yet been realized  (1) – (6) (1) (8) 
 Unrealized foreign exchange movements       
 on receivables (and related assets)  41 5 10 3 59 
 Operational revenues  8,143 3,894 3,829 (213) 15,653 
        
 Income (loss) from operations  1,912 754 521 (247) 2,940 
 Acquisition-related amortization  55 18 17 1 91 
 Restructuring, related and       
 implementation costs(1)  10 7 5 (2) 20 
 Changes in obligations related to       
 divested businesses  – – – (3) (3) 
 Gains and losses from sale of businesses   (13) – – 1 (12) 
 Acquisition- and divestment-related expenses       
 and integration costs  19 2 5 1 27 
 Certain other non-operational items  (29) 10 (2) 79 58 
 Foreign exchange/commodity timing        
 differences in income from operations:        
 Unrealized gains and losses on derivatives        
 (foreign exchange, commodities,        
 embedded derivatives)  (64) (31) (9) 32 (72) 
 Realized gains and losses on derivatives       
 where the underlying hedged       
 transaction has not yet been realized  1 1 (2) (1) (1) 
 Unrealized foreign exchange movements        
 on receivables/payables       
 (and related assets/liabilities)  28 6 8 3 45 
 Operational EBITA  1,919 767 543 (136) 3,093 
        
 Operational EBITA margin (%)  23.6% 19.7% 14.2% n.a. 19.8% 
 
In the six months ended June 30, 2025, certain other non-operational items in the table above includes the following:  
   Six months ended June 30, 2025 
      Corporate  
 ($ in millions, unless otherwise indicated)  Electrification Motion Automation and Other Consolidated 
 Certain other non-operational items:       
 Business transformation costs(1)  1 5 – 86 92 
 Environmental and related costs  – – – 1 1 
 Certain other fair values changes,       
 including asset impairments  (25) 4 (2) (3) (26) 
 Other non-operational items  (5) 1 – (5) (9) 
 Total  (29) 10 (2) 79 58 
(1) Amounts include ABB Way process transformation costs of $86  million for the six months ended June  30, 2025.

===== SIDA 54 =====

42 Q2 2026 FINANCIAL INFORMATION  
Net debt 
Definition  
Net debt 
Net debt is defined as Total debt less Cash and marketable securities.  
Total debt 
Total debt is the sum of Short-term debt and current maturities of long-term debt, and Long-term debt. 
Cash and marketable securities 
Cash and marketable securities is the sum of Cash and equivalents and Marketable securities and short -term investments. 
Reconciliation 
 ($ in millions)  June 30, 2026 December 31, 2025 
 Short-term debt and current maturities of long -term debt  1,610 475 
 Long-term debt  6,567 7,829 
 Total debt  8,177 8,304 
 Cash and equivalents  3,867 4,640 
 Marketable securities and short-term investments  1,990 1,981 
 Cash and marketable securities  5,857 6,621 
 Net debt  2,320 1,683 
 
 
Net debt/Equity ratio 
Definition  
Net debt/Equity ratio 
Net debt/Equity ratio is defined as Net debt divided by Equity.  
Equity 
Equity is defined as Total stockholders’ equity.  
Reconciliation 
 ($ in millions, unless otherwise indicated) June 30, 2026 December 31, 2025 
 Total stockholders' equity 16,405 16,646 
 Net debt (see above) 2,320 1,683 
 Net debt / Equity ratio 0.14 0.10 
 
 
Net debt/EBITDA ratio 
Definition  
Net debt/EBITDA ratio 
Net debt/EBITDA ratio is defined as Net debt divided by EBITDA.  
EBITDA 
EBITDA is defined as Income from operations for the trailing twelve months preceding the balance sheet date before depreciati on and amortization for 
the same trailing twelve-month period.  
Reconciliation 
 ($ in millions, unless otherwise indicated) June 30, 2026 June 30, 2025 
 Income from operations for the three months ended:    
 September 30, 2025 / 2024 1,602 1,225 
 December 31, 2025 / 2024 1,505 1,094 
 March 31, 2026 / 2025 1,780 1,474 
 June 30, 2026 / 2025 1,585 1,466 
 Depreciation and Amortization for the three months ended:    
 September 30, 2025 / 2024 204 184 
 December 31, 2025 / 2024 221 194 
 March 31, 2026 / 2025 210 186 
 June 30, 2026 / 2025 220 202 
 EBITDA  7,327 6,025 
 Net debt (as defined above) 2,320 3,694 
 Net debt / EBITDA ratio 0.32 0.61

===== SIDA 55 =====

43 Q2 2026 FINANCIAL INFORMATION  
Net working capital 
Definition  
Net working capital 
Net working capital is the sum of (i) receivables, net, (ii) contract assets, (iii) inventories, net, and (iv) prepaid expenses; less (v) accounts payable, trade, 
(vi) contract liabilities and (vii) other current liabilities (excluding primarily: (a)  income taxes payable, (b) current derivative liabilities, (c) pension and 
other employee benefits, (d) payables under the share buyback program  and (e) liabilities related to certain other restructuring -related activities); and 
including the amounts related to these accounts which have been presented as either assets or liabilities held for sale. 
Reconciliation 
 ($ in millions, unless otherwise indicated) June 30, 2026 June 30, 2025 
 Net working capital:   
 Receivables, net 8,033 7,461 
 Contract assets 1,189 1,083 
 Inventories, net 6,471 6,007 
 Prepaid expenses 358 354 
 Accounts payable, trade (5,868) (4,918) 
 Contract liabilities (3,545) (3,109) 
 Other current liabilities(1) (3,592) (3,455) 
 Net working capital 3,046 3,423 
(1) Amounts exclude $926 million and $1,027 million at June  30, 2026 and 2025, respectively, related primarily to (a) income taxes payable,  (b) current  derivative  
liabilities,  (c) pension  and other employee  benefits,  (d) payables  under the share buyback  program, (e) dividends  payable  and (f) liabilities  related to certain  
restructuring -related  activitie s.

===== SIDA 56 =====

44 Q2 2026 FINANCIAL INFORMATION  
Average trade net working capital as a percentage of revenues 
Definition  
Average trade net working capital as a percentage of revenues 
Average trade net working capital as a percentage of revenues is calculated as Average trade net working capital divided by T otal revenues for the 
trailing twelve months (being total revenues for the twelve months preceding the relevant balance sheet date).  
Average trade net working capital 
Average trade net working capital is calculated as the average of the opening and closing Trade net working capital for each of the four quarters during 
the trailing twelve-month period (4-quarter average). 
Trade net working capital 
Trade net working capital is the sum of (i)  trade receivables, net (comprised of trade accounts receivable net of related allowance, presented within 
Receivables, net, on the Consolidated Balance Sheets), (ii)  contract assets, and (iii) inventories, net; less (iv) accounts payable, trade, (v) contract 
liabilities and (vi) accrued expenses, operating (comprised of accruals related to customer rebates, unpaid interest and other general operating 
expenses; all of which are presented within Other current liabilities on the Consolidated Balance Sheets); and including the amounts related to these 
accounts which have been presented as either assets or liabilities held for sale.  
 
Reconciliation 
  June 30, March 31, December 31, September 30, June 30, 
 ($ in millions, unless otherwise indicated) 2026 2026 2025 2025 2025 
 Trade net working capital:      
 Trade receivables, net 7,400 6,959 6,884 6,838 6,837 
 Contract assets 1,189 1,152 1,090 1,062 1,083 
 Inventories, net 6,471 6,056 5,862 6,051 6,007 
 Accounts payable, trade (5,868) (5,423) (5,210) (4,936) (4,918) 
 Contract liabilities (3,545) (3,475) (3,221) (3,204) (3,109) 
 Accrued expenses, operating (1,320) (1,252) (1,346) (1,370) (1,254) 
 Trade net working capital in assets and liabilities held for sale  – – – (8) – 
 Trade net working capital 4,327 4,017 4,059 4,433 4,646 
       
 Average of opening and closing Trade net working capital  4,172 4,038 4,246 4,540  
       
 Average trade net working capital 4,249     
       
 Total revenues for the three months ended:       
 September 30, 2025 8,491     
 December 31, 2025 9,052     
 March 31, 2026 8,734     
 June 30, 2026 9,475     
 Total revenues for the trailing twelve months  35,752     
 Average trade net working capital as a percentage of revenues 
(%) 
11.9%     
 
  June 30, March 31, December 31, September 30, June 30, 
 ($ in millions, unless otherwise indicated) 2025 2025 2024 2024 2024 
 Trade net working capital:      
 Trade receivables, net 6,837 6,401 6,277 6,360 6,415 
 Contract assets 1,083 992 889 967 868 
 Inventories, net 6,007 5,680 5,420 6,100 5,809 
 Accounts payable, trade (4,918) (4,676) (4,681) (4,798) (4,759) 
 Contract liabilities (3,109) (2,986) (2,704) (2,795) (2,682) 
 Accrued expenses, operating (1,254) (1,189) (1,234) (1,327) (1,228) 
 Trade net working capital in assets and liabilities held for sale  – – – 20 – 
 Trade net working capital 4,646 4,222 3,967 4,527 4,423 
       
 Average of opening and closing Trade net working capital  4,434 4,095 4,247 4,475  
       
 Average trade net working capital 4,313     
       
 Total revenues for the three months ended:       
 September 30, 2024 7,591     
 December 31, 2024 7,996     
 March 31, 2025 7,382     
 June 30, 2025 8,295     
 Total revenues for the trailing twelve months  31,264     
 Average trade net working capital as a percentage of revenues 
(%) 
13.8%

===== SIDA 57 =====

45 Q2 2026 FINANCIAL INFORMATION  
Return on Capital employed (ROCE) 
Definition 
Return on Capital employed (ROCE) 
Return on Capital employed (ROCE) is calculated as Operational EBITA after tax for the trailing twelve months divided by the unrounded average of the 
opening and closing Capital employed for each of the four quarters during the trailing twelve -month period (4-quarter average). 
Capital employed 
Capital employed is calculated as the sum of Adjusted total fixed assets and Net working capital (as defined above). 
Adjusted total fixed assets 
Adjusted total fixed assets is the sum of (i)  property, plant and equipment, net, (ii) goodwill, (iii) intangible assets, net, (iv) investments in 
equity-accounted companies, (v) operating lease right-of-use assets, and (vi) fixed assets included in assets held for sale, less (vii)  deferred tax liabilities 
recognized in certain acquisitions. 
Notional tax on Operational EBITA 
The Notional tax on Operational EBITA is computed using a  consistent notional tax rate, approximately representative of the Company’s weighted -
average global tax rate, multiplied by Operational EBITA. The notional tax rate is subject to adjustment for significant changes in the Company’s 
weighted-average global tax rate. 
 
Reconciliation 
  June 30, March 31, December 31, September 30, June 30, 
 ($ in millions, unless otherwise indicated) 2026 2026 2025 2025 2025 
 Adjusted total fixed assets:      
 Property, plant and equipment, net 4,700 4,605 4,692 4,443 4,396 
 Goodwill 9,636 9,585 9,637 9,522 9,507 
 Intangible assets, net 1,075 1,088 1,119 1,096 1,140 
 Investments in equity-accounted companies 340 321 349 381 369 
 Operating lease right-of-use assets 783 785 765 754 761 
 Fixed assets included in assets held for sale – – – 9 – 
 Total fixed assets 16,534 16,384 16,562 16,205 16,173 
 Less: Deferred taxes recognized in certain acquisitions (1) (177) (188) (199) (210) (220) 
 Adjusted total fixed assets 16,357 16,196 16,363 15,995 15,953 
 Net working capital - (as defined above) 3,046 2,705 2,372 2,993 3,423 
 Capital employed 19,403 18,901 18,735 18,988 19,376 
       
 Average of opening and closing Capital employed  19,152 18,818 18,862 19,182  
       
 Operational EBITA for the three months ended  1,925 2,049 1,588 1,633  
       
 Operational EBITA for the trailing twelve months  7,195     
 Notional tax on Operational EBITA (1,799)     
 Operational EBITA after tax for the trailing twelve months  5,396     
       
 Average Capital employed (4 quarters) 19,003     
       
 Return on Capital Employed (ROCE) 28.4%     
(1) Amount relates to GEIS acquired in 2018, B&R acquired in 2017, Thomas & Betts acquired in 2012 and Baldor acquired in 2011.

===== SIDA 58 =====

46 Q2 2026 FINANCIAL INFORMATION  
  June 30, March 31, December 31, September 30, June 30, 
 ($ in millions, unless otherwise indicated) 2025 2025 2024 2024 2024 
 Adjusted total fixed assets:      
 Property, plant and equipment, net 4,396 4,099 3,986 4,050 3,911 
 Goodwill 9,507 9,305 8,801 8,774 8,752 
 Intangible assets, net 1,140 1,134 999 981 1,034 
 Investments in equity-accounted companies 369 361 351 172 173 
 Operating lease right-of-use assets 761 765 752 779 772 
 Fixed assets included in assets held for sale – – – 176 – 
 Total fixed assets 16,173 15,664 14,889 14,932 14,642 
 Less: Deferred taxes recognized in certain acquisitions (1) (220) (231) (242) (253) (265) 
 Adjusted total fixed assets 15,953 15,433 14,647 14,679 14,377 
 Net working capital - (as defined above) 3,423 3,037 2,403 3,231 3,213 
 Capital employed 19,376 18,470 17,050 17,910 17,590 
       
 Average of opening and closing Capital employed  18,923 17,760 17,480 17,750  
       
 Operational EBITA for the three months ended  1,598 1,495 1,330 1,457  
       
 Operational EBITA for the trailing twelve months  5,880     
 Notional tax on Operational EBITA (1,470)     
 Operational EBITA after tax for the trailing twelve months  4,410     
       
 Average Capital employed (4 quarters) 17,978     
       
 Return on Capital Employed (ROCE) 24.5%     
(1) Amount relates to GEIS acquired in 2018, B&R acquired in 2017, Thomas & Betts acquired in 2012 and Baldor acquired in 2011.

===== SIDA 59 =====

47 Q2 2026 FINANCIAL INFORMATION  
Free cash flow 
Definition 
Free cash flow 
Free cash flow is calculated as net cash provided by operating activities adjusted for: (i)  purchases of property, plant and equipment and intangible 
assets, and (ii) proceeds from sales of property, plant and equipment . 
Reconciliation 
  Six months ended June 30, Three months ended June 30, 
 ($ in millions, unless otherwise indicated) 2026 2025 2026 2025 
 Net cash provided by operating activities – continuing operations 2,315 1,579 1,303 971 
 Adjusted for the effects of continuing operations:      
 Purchases of property, plant and equipment and intangible assets  (417) (385) (236) (202) 
 Proceeds from sale of property, plant and equipment  462 173 25 10 
 Free cash flow – continuing operations 2,360 1,367 1,092 779 
 Net cash provided by (used in) operating activities – discontinued operations (136) 164 (153) 88 
 Adjusted for the effects of discontinued operations:      
 Purchases of property, plant and equipment and intangible assets  (93) (34) (58) (22) 
 Free cash flow – discontinued operations (229) 130 (211) 66 
 Free cash flow 2,131 1,497 881 845 
 
 
Free cash flow conversion to net income 
Definition  
Free cash flow conversion to net income 
Free cash flow conversion to net income is calculated as free cash flow divided by Adjusted net income.  
Adjusted net income 
Adjusted net income is calculated as Net income adjusted for  gains or losses arising on sale of certain businesses  and certain other significant items 
within net income which are also excluded /  adjusted for when calculating operating cashflows.  
Free cash flow for the trailing twelve months  
Free cash flow for the trailing twelve months is defined as Free cash flow for the twelve months preceding the relevant balan ce sheet date. 
Adjusted net income for the trailing twelve months  
Adjusted net income for the trailing twelve months is defined as Adjusted net income for the twelve months preceding the rele vant balance sheet date. 
Reconciliation 
  Trailing twelve months to 
 ($ in millions, unless otherwise indicated) June 30, 2026 December 31, 2025 
 Net cash provided by operating activities 5,887 5,469 
 Adjusted for the effects of continuing operations:    
 Purchases of property, plant and equipment and intangible assets  (1,033) (1,001) 
 Proceeds from sale of property, plant and equipment  483 194 
 Adjusted for the effects of discontinued operations:    
 Purchases of property, plant and equipment and intangible assets  (157) (98) 
 Proceeds from sale of property, plant and equipment  2 2 
 Free cash flow 5,182 4,566 
 Adjusted net income(1) 5,084 4,757 
 Free cash flow conversion to net income 102% 96% 
(1) Adjusted net income for the year ended December 31, 2025, is adjusted to exclude $53 million of gains arising on sale of certain investments and intangible assets, and 
adjustments to the gain on sale of Power Grids of $13 million.  
Reconciliation of the trailing twelve months to June  30, 2026  
    Continuing operations  Discontinued operations   
 ($ in millions)  
Net cash 
provided by 
operating 
activities 
Purchases of 
property, plant 
and equipment 
and intangible 
assets 
Proceeds  
from sale of 
property, plant 
and equipment  
Purchases of 
property, plant 
and equipment 
and intangible 
assets 
Proceeds  
from sale of 
property, plant 
and equipment  
Adjusted net 
income(1) 
 Q3 2025  1,777 (207) 3  (22) 1  1,215 
 Q4 2025  1,949 (409) 18  (42) 1  1,280 
 Q1 2026  1,011 (181) 437  (35) –  1,333 
 Q2 2026  1,150 (236) 25  (58) –  1,256 
 Total for the trailing twelve         
 months to June 30, 2026 5,887 (1,033) 483  (157) 2  5,084 
(1) Adjusted net income for  Q3 2025 is adjusted to exclude adjustments to the gain on sale of Power Grids of $13  million and $16  million of gains arising on sale of 
certain intangible assets .

===== SIDA 60 =====

48 Q2 2026 FINANCIAL INFORMATION  
Net finance income (expense) 
Definition  
Net finance income (expense) is calculated as Interest and dividend income less Interest and other finance expense.  
Reconciliation 
  Six months ended June 30, Three months ended June 30, 
 ($ in millions) 2026 2025 2026 2025 
 Interest and dividend income 90 95 41 41 
 Interest and other finance expense (38) (49) (9) (6) 
 Net finance income  52 46 32 35 
 
 
 
Book-to-bill ratio 
Definition  
Book-to-bill ratio is calculated as Orders received divided by Total revenues. 
Reconciliation 
  Six months ended June 30, 
  2026 2025 
 ($ in millions, except Book-to-bill presented as a ratio) Orders Revenues Book-to-bill Orders Revenues Book-to-bill 
 Electrification 13,878 9,813 1.41 8,912 8,156 1.09 
 Motion 5,140 4,359 1.18 4,268 3,905 1.09 
 Automation 4,918 4,340 1.13 5,011 3,828 1.31 
 Corporate and Other (incl. intersegment eliminations) (596) (303) n.a. (348) (212) n.a. 
 ABB Group 23,340 18,209 1.28 17,843 15,677 1.14 
        
 
  Three months ended June 30, 
  2026 2025 
 ($ in millions, except Book-to-bill presented as a ratio) Orders Revenues Book-to-bill Orders Revenues Book-to-bill 
 Electrification 7,231 5,200 1.39 4,518 4,331 1.04 
 Motion 2,592 2,217 1.17 2,112 2,065 1.02 
 Automation 2,454 2,193 1.12 2,814 2,010 1.40 
 Corporate and Other (incl. intersegment eliminations) (235) (135) n.a. (190) (111) n.a. 
 ABB Group 12,042 9,475 1.27 9,254 8,295 1.12

===== SIDA 61 =====

ABB Ltd 
Corporate Communications 
P.O. Box 8131 
8050 Zurich  
Switzerland  
Tel: +41 (0)43 317 71 11 
 
www.abb.com