Swedish power and automation technology group, ABB (ABB 21.04, +0.07, +0.34%) (SE:ABB 144.20, -0.70, -0.48%) on Friday lifted expectations for third-quarter sales and adjusted earnings at the company's annual capital markets day in Zurich, Switzerland.
In an address, Chief Financial Officer Michel Demare said ABB's third-quarter 2010 sales in local currencies and earnings before interest and taxation margin adjusted for derivative transactions and restructuring-related costs will be higher than in the same quarter of 2009. He said this comes despite the fact third-quarter EBIT margin is normally weaker than the second quarter due to a different business mix.
"Our short-cycle businesses continue their robust recovery, but the long-cycle infrastructure business still faces headwinds," said Demare. He added that ABB's cost savings program remains on track to reduce costs by $3 billion by end 2010.