ABB +18.59% A great result from our largest holding in the Emerging Companies Portfolio, with a beat in 1H and upgraded guidance. Revenue for the half of $445.9m was up 17% and ahead of the $451m consensus with connections up 20.6% to 765,800, with strong growth across all segments. They also upgraded FY24 EBITDA guidance, and this is what drove the share price today, they now see $116-121m up from $100-110m. Consensus for the FY was already at the top end ($109.7m) so it was about a ~10% upgrade thanks largely to lower capex guidance, down from $47-52m to $40-45m, not a trend we see often!
There were also some changes at the top, with Phil Britt moving to a strategy role as Group MD, and handing over the CEO roll to current CFO Brian Maher. Phil will head up strategy along with M&A, a sign of more deals perhaps.
- A beat and bump for ABB + a shakeup at the top. Nothing not to like in today’s results.
MM remains long and bullish ABB
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