ABB India, a key player in the industrial technology sector, has experienced a significant downturn in its stock performance over the past year, raising concerns among investors and analysts alike.

Sharp Decline in Share Price

ABB India's shares have witnessed a substantial decline, dropping over 24% year-to-date and more than 35% over the past 12 months. This performance has notably lagged behind its industry peers, including Siemens and Cummins India, both of which have shown more resilience in the market.

Valuation Correction

The stock's current valuation reflects the market's reassessment of ABB India's prospects:

This valuation adjustment stands in contrast to ABB India's competitors, which are currently trading at premiums to their historical averages.

Operational Challenges

The sharp decline in ABB India's stock price can be attributed to several operational challenges:

1. Sluggish Decision-Making: Customers are taking longer to make decisions, leading to delays in order conversions.
2. Soft Large-Ticket Business: JPMorgan anticipates a subdued performance in the large-ticket business segment for the second half of the year.
3. Margin Pressures: Analysts believe that the company has likely passed its peak margins.
4. Revenue Shortfall: Macro factors have contributed to lower-than-anticipated revenues.

Analyst Perspectives

Despite the current challenges, some analysts maintain a cautiously optimistic outlook:

• JPMorgan and Ambit Capital: Expect faster order conversion and a stronger project pipeline in the future.
• Medium-Term Growth: Potential recovery in process industries' capital expenditure could support growth.
• Brokerage Outlook:
  • 7% upside potential from current levels
  • 50% of analysts recommend a 'Buy' rating

Market Sentiment

While there's some optimism for recovery, the overall sentiment suggests that ABB India's growth momentum is expected to remain range-bound in the near term.

The company's ability to navigate these operational challenges and capitalize on potential improvements in order conversion and project pipelines will be crucial for its stock performance in the coming months. Investors and analysts will be closely monitoring ABB India's strategies to address these issues and return to a growth trajectory.

Abbott India Limited has initiated a postal ballot process to seek shareholder approval for the appointment of Mr. Darshan Gada as a Non-Executive Director. This move comes following Gada's initial appointment as an Additional Director on August 18, 2025, based on the recommendation of the company's Nomination and Remuneration Committee.

About Darshan Gada

Mr. Gada, a 43-year-old Chartered Accountant, brings over 21 years of extensive finance experience to the table. He currently serves as the Regional Finance Director at Abbott Healthcare Private Limited, heading the Financial Planning and Analysis function for Abbott's Established Pharmaceuticals business in India.

Professional Background

Throughout his career, Gada has held several key leadership roles, showcasing expertise in:

• Commercial Operations
• Taxation
• Supply Chain Finance
• Mergers & Acquisitions
• Strategy Development

His experience includes steering finance for large commercial units, leading supply chain finance initiatives, and shaping long-term business strategies. Gada's contributions also extend to business integration and core accounting.

Voting Process

The company has outlined the following key dates for the voting process:

Abbott India has engaged KFin Technologies Limited to provide the e-voting facility to its shareholders.

Appointment Details

The resolution for Mr. Gada's appointment is proposed as an Ordinary Resolution. If approved, he will serve as a Non-Executive Director of the company, liable to retire by rotation.

Shareholder Information

The Postal Ballot Notice, dated August 12, 2025, has been sent to shareholders whose email addresses are registered with the company or its Registrar and Transfer Agent. Shareholders can access the notice on the company's website ( www.abbott.co.in ) and on KFin Technologies' e-voting website ( https://evoting.kfintech.com ).

Abbott India Limited continues to strengthen its leadership team with this proposed appointment, leveraging Mr. Gada's extensive financial expertise to support the company's growth and strategic initiatives.