The maker of electrification systems and motors has been benefiting from the artificial intelligence boom, teaming up with companies including chipmaker Nvidia to develop power systems for next-generation AI data centres.
ABB said it was also seeing strong demand from rail customers as well as the marine and port sector, recently signing a deal to build a system to power 32 container ships at once while they load and unload in Rotterdam.
ABB shares were indicated 3.9% higher in premarket activity in Zurich.
Chief Executive Morten Wierod said he was feeling upbeat after a fourth quarter in which ABB won more than $10 billion in new orders for the first time.
During that quarter, ABB said its operational EBITA rose 19% to $1.58 billion, ahead of forecasts for $1.54 billion in a company-compiled consensus.
Revenue rose 13% to $9.05 billion, beating forecasts for $8.73 billion. The figures did not include the contribution from ABB’s robotics business, which the company is selling. “Q4 was a strong finish to a record year for ABB,” said Wierod in a statement.
“We lead in markets with strong secular trends … which gives me confidence in our updated financial targets and that 2026 will be yet another all-time-high result.”
ABB’s full-year orders of $36.77 billion, revenue of $33.22 billion and operating earnings before interest, taxes and amortisation margin of 19% were all record annual results for the company.
It proposed a dividend of 0.94 Swiss francs per share, up from 0.90 francs a year earlier, and a new share buyback of up to $2 billion.
The latest buyback would replace the $1.3 billion scheme, which was launched in February last year and has now been completed after repurchasing roughly 1.11% of ABB’s shares.
For 2026, ABB said it was aiming for comparable revenue growth of 6-9% and a further improvement in its operating EBITA margin.
Also on Thursday, ABB said it would be investing 80 million Swiss francs ($104.51 million) in a new headquarters building in Zurich, due to open in 2031. ($1 = 0.7655 Swiss francs).