Swiss industrial giant ABB has announced plans to spin off its entire robotics division, marking the company's largest restructuring since selling its power grids business to Japan's Hitachi in 2018. ABB's robotics unit is the world's second-largest industrial robot manufacturer, trailing only Japan's FANUC, and competes with Yaskawa and Germany's Kuka. The division employs approximately 7,000 people and generated $2.3 billion in sales in 2024, accounting for 7% of ABB's total sales. However, it has faced challenges in recent quarters due to weak demand from the automotive industry, a major buyer of robotics.
In its latest financial report, ABB disclosed that its net profit for the first quarter increased from $905 million to $1.1 billion year-over-year, with revenue rising by 1% to $7.935 billion. The company noted that all its business sectors exceeded initial expectations.
