31371716 2024-01-01 2024-12-31 31371716 2024-01-01 2024-12-31 1 31371716 2024-01-01 2024-12-31 1 31371716 2024-01-01 2024-12-31 2 31371716 2024-01-01 2024-12-31 3 31371716 2024-01-01 2024-12-31 4 31371716 2024-01-01 2024-12-31 5 31371716 2024-01-01 2024-12-31 1 31371716 2024-12-31 31371716 2023-01-01 2023-12-31 31371716 2023-12-31 31371716 2023-12-31 fsa:SharePremiumMember 31371716 2023-12-31 fsa:RetainedEarningsMember 31371716 2023-12-31 fsa:ProposedDividendRecognisedInEquityMember 31371716 2024-01-01 2024-12-31 fsa:SharePremiumMember 31371716 2024-01-01 2024-12-31 fsa:RetainedEarningsMember 31371716 2024-01-01 2024-12-31 fsa:ProposedDividendRecognisedInEquityMember 31371716 2024-12-31 fsa:SharePremiumMember 31371716 2024-12-31 fsa:RetainedEarningsMember 31371716 2024-12-31 fsa:ProposedDividendRecognisedInEquityMember xbrli:pure iso4217:DKK ABBA/S BarmstedtAlle 9, DK 5500 Middelfart 31371716 PeterLyhneHansen Today, the Board of Directors and the Executive Board have discussed and approved the annual report ofABB A/S for the financial year 1 January 2024 - 31 December 2024.The annual report has been prepared in accordance with the Danish Financial Statements Act.In our opinion, the financial statements give a true and fair view of the financial position of the Companyat 31 December 2024 and of the results of the Company's operations for the financial year 1 January2024 - 31 December 2024.Further, in our opinion, the Management's review gives a fair review of the development in the Company'soperations and financial matters and the results of the Company's operations and financial position.We recommend that the annual report be approved at the annual general meeting. Middelfart, TinaBalselvFrederiksen CEO PekkaTapioTitinen BjarneTvede OwaisAhmed PeterLyhneHansen TinaBalslevFrederisken To the shareholders of ABB A/S OpinionWe have audited the financial statements of ABB A/S for the financial year 1 January - 31 December2024, which comprise income statement, balance sheet, statement of changes in equity and notes,including a summary of significant accounting policies, for the company, as well as statement of cashflows. The financial statements are prepared in accordance with the Danish Financial Statements Act.In our opinion, the financial statements give a true and fair view of the financial position of the Company'sat 1 January - 31 December 2024, and of the results of the company operations for the financial year 1January - 31 December 2024 in accordance with the Danish Financial Statements Act. Basis of opinionWe conducted our audit in accordance with International Standards on Auditing (ISAs) and the additionalrequirements applicable in Denmark. Our responsibilities under those standards and requirements arefurther described in the "Auditor's responsibilities for the audit of the financial statements" section of ourreport. We are independent of the Company in accordance with the International Ethics Standards Boardfor Accountants' Code of Ethics for Professional Accountants (IESBA Code) and the additionalrequirements applicable in Denmark, and we have fulfilled our other ethical responsibilities in accordancewith these requirements and IESBA Code.We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis forour opinion. Management's responsibility for the financial statementsManagement is responsible for the preparation of financial statements that give a true and fair view inaccordance with the Danish Financial Statements Act and for such internal control that Managementdetermines is necessary to enable the preparation of financial statements that are free from materialmisstatement, whether due to fraud or error.In preparing the financial statements, Management is responsible for assessing the Company's ability tocontinue as a going concern, disclosing, as applicable, matters related to going concern and using thegoing concern basis of accounting in preparing the financial statements unless Management eitherintends to liquidate the Company or to cease operations, or has no realistic alternative but to do so. Auditor's responsibilities for the audit of the financial statementsOur objectives are to obtain reasonable assurance as to whether the financial statements as a whole arefree from material misstatement, whether due to fraud or error, and to issue an auditor's report thatincludes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that anaudit conducted in accordance with ISAs and the additional requirements applicable in Denmark willalways detect a material misstatement when it exists. Misstatements can arise from fraud or error and areconsidered material if, individually or in the aggregate, they could reasonably be expected to influence theeconomic decisions of users made on the basis of these financial statements.Auditor's responsibilities for the audit of the financial statements (continued)As part of an audit conducted in accordance with ISAs and the additional requirements applicable inDenmark, we exercise professional judgement and maintain professional scepticism throughout the audit.We also:• Identify and assess the risks of material misstatement of the financial statements, whether due tofraud or error, design and perform audit procedures responsive to those risks, and obtain auditevidence that is sufficient and appropriate to provide a basis for our opinion. The risk of notdetecting a material misstatement resulting from fraud is higher than for one resulting from error asfraud may involve collusion, forgery, intentional omissions, misrepresentations or the override ofinternal control.• Obtain an understanding of internal control relevant to the audit in order to design audit proceduresthat are appropriate in the circumstances, but not for the purpose of expressing an opinion on theeffectiveness of the company's internal control.• Evaluate the appropriateness of accounting policies used and the reasonableness of accountingestimates and related disclosures made by Management.• Conclude on the appropriateness of Management's use of the going concern basis of accounting inpreparing the financial statements and, based on the audit evidence obtained, whether a materialuncertainty exists related to events or conditions that may cast significant doubt on the company'sability to continue as a going concern. If we conclude that a material uncertainty exists, we arerequired to draw attention in our auditor's report to the related disclosures in the financialstatements or, if such disclosures are inadequate, to modify our opinion. Our conclusion are basedon the audit evidence obtained up to the date of our auditor's report. However, future events orconditions may cause the Company to cease to continue as a going concern.• Evaluate the overall presentation, structure and contents of the financial statements, including thedisclosures, and whether the financial statements represent the underlying transactions and eventsin a manner that gives a true and fair view.We communicate with those charged with governance regarding, among other matters, the plannedscope and timing of the audit and significant audit findings, including any significant deficiencies ininternal control that we identify during our audit. Statement on the Management's reviewManagement is responsible for the Management's review.Our opinion on the financial statements does not cover the Management's review, and we do not expressany form of assurance conclusion thereon.In connection with our audit of the financial statements, our responsibility is to read the Management'sreview and, in doing so, consider whether the Management's review is materially inconsistent with thefinancial statements or our knowledge obtained during the audit, or otherwise appears to be materiallymisstated.Moreover, it is our responsibility to consider whether the Management's review provides the informationrequired under the Danish Financial Statements Act.Based on the work we have performed, we conclude that the Management's review is in accordance withthe financial statements and has been prepared in accordance with the requirements of the DanishFinancial Statement Act. We did not identify any material misstatement of the Management's review. Fredericia StatsautoriseretRevisionspartnerselskab 25578198 NikolajMøllerHansen StateAuthorisedPublicAccountant mne33220 Financial highlightsIn DKK millions2024 2023 2022* 2021* 2020*Key figuresRevenue 2.464 2.214 1.913 1.656 1.548Gross profit 561 424 372 347 334Operating profit 148 74 64 61 43Profit from financial income andexpenses 3 1 -7 -2 -4Profit/loss for the year 116 59 44 47 28Total assets 846 722 727 580 553Total current assets 810 686 697 560 537Investments in property, plantand equipment 9 11 13 1 2Total equity 273 215 220 205 187Non-current liabilities 75 92 40 30 39Current liabilities 498 415 467 348 329Financial ratiosOperating margin 22,8% 19,2% 19,5% 21,0% 21,6%Gross profit 6,0% 3,3% 3,3% 3,7% 2,8%Current ratio 163 165 149 161 163Solvency ratio 32,3% 29,8% 30,3% 35,3% 33,8%Return on equity 47,5% 27,1% 20,7% 24,0% 12,3%Average number of full-timeemployees 454 396 370 364 372*Financial highlights for 2020-2022 reflect continuing operations only. Discontinuing operations in2020-2022 encompasses ABB’s Turbocharging division which was divested in January 2023.With reference to the accounting policies section of the annual report, the Company has made somereclassifications to individual items in the income statement with an effect of the comparative figures ofgross profit in the financial highlights. The reclassifications have been corrected in the 2023 financialhighlights.Financial ratiosThe financial ratios stated in the survey of financial highlights have been calculated as follows:Gross margin Gross profit x 100RevenueOperating margin Operating profit (EBIT) x100RevenueCurrent ratio Current assets x 100Current liabilitiesSolvency ratio Equity, year-end x 100Total equity andliabilities, year-endReturn on equity Profit for the year x 100Average equityDevelopment in activities and financial positionIn 2024, ABB again demonstrated its capacity for ground-breaking innovation with the launch of severalnew solutions that will further drive the shift to electrification and automation and contribute to alow-carbon society. There continues to be increased investments in automation, renewable energy,buildings, e-mobility and data centres. Despite global political and economic challenges, the revenue forthe year ended 2024 increased in comparison to last year, and the results indicate a strong marketposition in a growing industry. The Company’s income statement for 2024 shows a net profit of TDKK116.400 and the balance sheet by 31 December 2024 shows an equity of TDKK 273.384. The result forthe year is in line with the outlook expectations as projected in the Management's review in the annualreport for 2023, which demonstrates ABB A/S strategic alignment with its projections and priorities indifficult market conditions.Uncertainties regarding recognition and measurementThe annual report for ABB A/S for 2024 does not contain material uncertainties regarding recognition andmeasurement.Particular risksOperating risksThe company is exposed to the market and operational risks which are usual for the markets we operatein, as well as to risks associated with the company's warranty commitments. It is the opinion ofmanagement that the provisions made are sufficient to cover the company’s warranty commitments.Financial risksABB Group has centralised the management of financial risks. The overall objectives and policies for theABB Group’s financial risk management are outlined in a Treasury Policy. The ABB Group only hedgescommercial exposures and consequently does not enter derivative transactions for trading or speculativepurpose.Interest rate risksABB A/S’ interest rate risk relates to interest bearing debt and interest-bearing assets. ABB A/S’interest-bearing assets consist mainly of bank deposits and deposit with the ABB Group. ABB A/S’interest rate risk is considered immaterial and is not expected to have a significant impact on ABB A/S’results.Intellectual capitalIt is the company’s objective to possess the latest knowledge. To meet this end, it is crucial that thecompany continues to be able to recruit and retain highly qualified employees. Therefore, we continuouslyinvest in personal and professional development.Research and development activitiesABB Corporate Research serves the entire company and, consequently, its scientists and engineersclosely collaborate with R&D within the businesses. This partnership has provided the foundation formany of our pioneering technologies. ABB Corporate Research anchors and grows the corecompetencies needed to conduct research and development in power and automation products, solutionsand services.With locations in seven countries, ABB Groups corporate research centres bring together an internationalteam of highly skilled scientists.Events after the balance sheet dateNo events have occurred that could materially affect the assessment of the Company’s financial position.OutlookABB A/S expects to maintain same level of activities despite challenging market terms with broadmacroeconomic difficulties including challenging economic trade policies and tight labour markets, withthe uncertainties of among others the ongoing war in Ukraine. Revenue expectations will remainunchanged as actuals of 2024 keeping the same level of net profit as achieved during the current year. Principal activitiesABB is a technology leader in electrification and automation, enabling a more sustainable andresource-efficient future. The company’s solutions connect engineering know-how and software tooptimize how things are manufactured, moved, powered and operated. Building on more than 130 yearsof excellence, ABB’s approximately 105,000 employees are committed to driving innovations thataccelerate industrial transformation.ABB A/S develops, manufactures, and markets products and services for the manufacturing process andconsumer goods industries, supply enterprises, the oil and gas sector, pharma sector and theinfrastructure market. In 2024 ABB A/S had an average of 454 employees. Statement on Corporate SustainabilityAt ABB, we have always taken a sustainable approach to business. Sustainability is a key part of ourcompany Purpose and of the value that we create for all our stakeholders.We believe that sustainable development means progress towards a healthier and more prosperousworld today and for future generations. This means balancing the needs of society, the environment, andthe economy. To achieve this, we act and embed this approach to business across our value chain,creating superior value for all our stakeholders.Furthermore, a Code of Conduct has been implemented both in the Group and in Denmark; it shows ourcommitment to act with ethically correct behaviour and integrity in any given situation.Through our leading technologies and responsible business practices, we also contribute to the UnitedNations’ Sustainable Development Goals, of which ABB has always been a strong advocate.ABB A/S is part of and adheres to the principles and goals outlined in ABB Ltd.’s Sustainability Report2024. In accordance with 99(a) of the Danish Financial Statements Act, ABB A/S follows and refers to theABB Group's Statutory Report on Corporate Social Responsibility, which is published by the Group. Thereport is available at https://global.abb/group/en/sustainability Diversity in the managementAs of 31 December 2024, ABB A/S has a following management composition:2024 2023The Board of DirectorsTotal number of members 5 5Underrepresented gender in % 20% 20%Target figure in % 33.3% 33.3%Year target figure is fulfilled 2027 2027Other management levelsTotal number of members 64 62Underrepresented gender in % 14.1% 14.5%Target figure in % 25% 25%Year target figure is fulfilled 2027 2027ABB A/S maintained its board composition led by a female leader serving as the CEO. This aligns withour commitment to achieve the targets set for gender diversity on the board. Board members areappointed by the parent company, which determines the overall composition. Both ABB A/S and itsparent company remain dedicated to meeting established goals for board composition through theimplementation of clear guidelines to promote diversity and inclusion across ABB. Additionally, the parentcompany has adopted UN Women’s Empowerment Principles (WEPs), underscoring its commitment toimproving board governance across the ABB Group.Other management levels represent collective group of members from the company’s first and secondmanagement levels. The first management level includes the top management body and the people whoare at the same organizational level as them. The second management level includes the people withpersonnel responsibilities who report directly to the first management level. In ABB A/S, the CEO is partof the Board of Directors and the first management level in the “other management levels”.During the year, representation in the other management levels slightly decreased from 14.5% to 14.1%.This change is due to increase in overall managers in the Company. ABB A/S management iscommitment to a policy decision aimed at enhancing gender diversity in leadership roles at themanagement level. Internally, we have set targets for female managers and established guidelines fortheir recruitment and retention. During the hiring process, we strive for gender balance. Additionally, weconduct an annual talent identification process with a specific focus on female candidates. As a result ofthese initiatives, we anticipate further growth in the share of female managers across other managementlevels over the next three years, ultimately meeting our predefined target. 5 0.20 0.333 2027 Other management levelsTotal number of members 64 62Underrepresented gender in % 14.1% 14.5%Target figure in % 25% 25%Year target figure is fulfilled 2027 2027ABB A/S maintained its board composition led by a female leader serving as the CEO. This aligns withour commitment to achieve the targets set for gender diversity on the board. Board members areappointed by the parent company, which determines the overall composition. Both ABB A/S and itsparent company remain dedicated to meeting established goals for board composition through theimplementation of clear guidelines to promote diversity and inclusion across ABB. Additionally, the parentcompany has adopted UN Women’s Empowerment Principles (WEPs), underscoring its commitment toimproving board governance across the ABB Group.Other management levels represent collective group of members from the company’s first and secondmanagement levels. The first management level includes the top management body and the people whoare at the same organizational level as them. The second management level includes the people withpersonnel responsibilities who report directly to the first management level. In ABB A/S, the CEO is partof the Board of Directors and the first management level in the “other management levels”.During the year, representation in the other management levels slightly decreased from 14.5% to 14.1%.This change is due to increase in overall managers in the Company. ABB A/S management iscommitment to a policy decision aimed at enhancing gender diversity in leadership roles at themanagement level. Internally, we have set targets for female managers and established guidelines fortheir recruitment and retention. During the hiring process, we strive for gender balance. Additionally, weconduct an annual talent identification process with a specific focus on female candidates. As a result ofthese initiatives, we anticipate further growth in the share of female managers across other managementlevels over the next three years, ultimately meeting our predefined target. 64 0.141 0.25 2027 2463915000 2213742000 12863000 14599000 4036000 3544000 1626723000 1549698000 267811000 229355000 560554000 423634000 407213000 345536000 5280000 3738000 148061000 74360000 6159000 4650000 2800000 3577000 151420000 75433000 35020000 16403000 116400000 59030000 716000 0 716000 0 8556000 6793000 5970000 4426000 12140000 6329000 1777000 7058000 28443000 24606000 6533000 12030000 6533000 12030000 35692000 36636000 190000 5269000 44364000 53166000 19895000 23956000 24479000 15111000 88928000 97502000 501050000 445512000 87476000 43626000 34766000 18899000 5671000 6716000 145000 1202000 2351000 3831000 631459000 519786000 89745000 68457000 810132000 685745000 845824000 722381000 100000000 100000000 29384000 56984000 144000000 58000000 273384000 214984000 1953000 1531000 72787000 90887000 74740000 92418000 18425000 18776000 31763000 20497000 47867000 39331000 285674000 227441000 113971000 108934000 497700000 414979000 845824000 722381000 100000000 56984000 58000000 214984000 0 0 58000000 58000000 0 -27600000 144000000 116400000 100000000 29384000 144000000 273384000 1.Accounting policiesThe annual report of ABB A/S for 2024 has been prepared in accordance with the provisions in theDanish Financial Statements Act applying to large reporting class C entities.The company has made additional segment disclosures in the segment information note. Segmentinformation has been disclosed by geographical markets, product and customer types.Foreign currency translationOn initial recognition, transactions denominated in foreign currencies are translated at the exchange ratesat the transaction date. Foreign exchange differences arising between the exchange rate at thetransaction date and the rate at the date of payment are recognised in the income statement as financialincome or financial expenses.Receivables and payables and other monetary items denominated in foreign currencies are translated atclosing rates. The difference between the exchange rates at the balance sheet date and the date at whichthe receivable or payable arose or was recognised in the latest financial statements is recognised in theincome statement as financial income or financial expenses.Derivative financial instrumentsOn initial recognition, derivative financial instruments are recognised in the balance sheet at cost and aresubsequently measured at fair value. Positive and negative fair values of derivative financial instrumentsare included in other receivables and payables, respectively.Fair value adjustments of derivative financial instruments that do not qualify for hedge accounting arerecognised in the income statement on an ongoing basis.Income statementRevenueRevenue is measured at the fair value of the agreed consideration excluding VAT and taxes charged onbehalf of third parties. All discounts granted are deducted from revenue.A contract is broken down by individual transactions when the fair value of the individual salestransactions may be reliably measured, and the individual sales transactions are of separate value to thebuyer. Sales transactions are deemed to be of a separate value to the buyer when the transaction isindividually identifiable and usually sold individually. The contract price is broken down by the individualsales transactions in accordance with the relative current cost approach. The separate sales transactionsare recognised as revenue when complying with the criteria applying to the sale of goods and services.Revenue from construction contractsIncome from contract work in progress is measured by reference to the stage of completion. The value iscalculated on the basis of the stage of completion at the balance sheet date and the total expectedincome from the contract in question. The stage of completion is calculated on the basis of the costsincurred relative to the expected total costs.Write-downs for losses are made up as the total expected loss on the contract irrespective of the stage ofcompletion.Revenue(continued)Revenue from the sale of goodsIncome from the sale of goods for resale and finished goods, is recognised in revenue when the mostsignificant rewards and risks have been passed on to the buyer and provided the income can bemeasured reliably and payment is expected to be received. The date at which the most significantrewards and risks are passed on is based on standardised terms of delivery based on Incoterms.Revenue from the sale of servicesIncome from the sale of services, which include service contracts, is recognised in revenue on astraight-line basis as the services are rendered, as the services are provided in the form of an indefinitenumber of actions over a specified period of time.Changes in inventories of finished goods, work in progress and goods for resaleChanges in inventories of finished goods, work in progress and goods for resale include expensesrelating to changes in inventories of finished goods, work in progress and goods for resale as part ofgenerating the year's revenue.Other operating incomeOther operating income comprises items secondary to the Company's activities.Raw materials, consumables and goods for resaleRaw materials, consumables and goods for resale include expenses relating to raw materials,consumables and goods for resale used in generating the year's revenue.Other external expensesOther external expenses include the year's expenses relating to the company's core activities, includingexpenses relating to distribution, sale, advertising, administration, premises, bad debts, payments underoperating leases, etc.Staff costsStaff costs include wages and salaries, including compensated absence and pension to the company'semployees, as well as other social security contributions, etc. The item is net of refunds from publicauthorities.Amortisation and depreciationThe item comprises amortisation/depreciation and impairment of intangible assets and property, tools andequipment.The residual value of intangible and tangible assets is determined at the time of acquisition and arereassessed every year. Where the residual value exceeds the carrying amount of the asset, no furtherdepreciation charges are recognised. In case of changes in the residual value, the effect on thedepreciation charges is recognised prospectively as a change in accounting estimates.Financial income and expensesFinancial income and expenses comprise interest income and expenses, gains and losses on securities,payables and transactions denominated in foreign currencies, amortisation of financial assets andliabilities as well as surcharges and refunds under the on-account tax scheme, etc.Tax for the yearThe company is covered by the Danish rules on compulsory joint taxation of the Danish subsidiaries ofthe ABB Group. The Danish subsidiaries of the ABB Group form part of the joint taxation from the date onwhich they are included in the and up to the date on which they exit the consolidation.The company, ABB A/S, is the administrative company for the joint taxation and consequently settles allcorporation tax payments with the tax authorities.The current Danish corporation tax is allocated by the settlement of joint taxation contributions betweenthe jointly taxed enterprises in proportion of their taxable income. In this relation, enterprises with tax losscarry forwards receive joint taxation contributions from enterprises that have used these losses to reducetheir own taxable profits.Tax for the year comprises current tax for the year and changes in deferred tax. The tax expense relatingto the profit/loss for the year is recognised in the income statement, and the tax expense relating toamounts directly recognised in equity is recognised directly in equity.Balance sheetIntangible assetsAcquired intangible assets comprise software and are measured at cost less accumulated amortizationand impairment losses. Acquired intangible assets are amortized on a straight-line basis over theexpected useful life, however not exceeding 5 years.Gains and losses on the disposal of acquired intangible assets are determined as the difference betweenthe selling price less costs to sell and the carrying amount at the date of disposal. Gains or losses arerecognized in the income statement as other operating income or other operating expenses, respectively.Property, tools and equipmentProperty, tools and equipment is measured at cost less accumulated depreciation and impairment losses.Cost comprises the purchase price and any costs directly attributable to the acquisition until the datewhen the asset is available for use. The cost of self-constructed assets comprises direct and indirectcosts of materials, components, sub-suppliers, and wages and salaries as well as borrowing costsrelating to specific and general borrowing directly attributable to the construction of the individual asset.Interest expenses on loans to finance the production of items of property, tools and equipment, and whichrelate to the production period, are recognised in cost. All other borrowing costs are recognised in theincome statement.Where individual components of an item of property, tools and equipment have different useful lives, theyare accounted for as separate items, which are depreciated separately.Property, tools and equipment (continued)The basis of depreciation, which is calculated as cost less any residual value, is depreciated on astraight-line basis over the expected useful life. The expected useful life of the assets are as follows:Leasehold improvements 3-8 yearsTools and machinery 10-15 yearsFixtures and fittings, tools and equipment 3-10 yearsThe basis of depreciation is based on the residual value of the asset and is reduced by impairmentlosses, if any. The depreciation period and the residual value are determined at the time of acquisitionand are reassessed every year. Where the residual value exceeds the carrying amount of the asset, nofurther depreciation charges are recognised.In case of changes in the amortisation period or the residual value, the effect on the depreciation chargesis recognised prospectively as a change in accounting estimates.Gains and losses on the disposal of items of property, tools and equipment are calculated as thedifference between the selling price less costs to sell and the carrying amount at the date of disposal. Thegains or losses are recognised in the income statement.LeasesOn initial recognition, leases for fixed assets that transfer substantially all risks and rewards incident toownership to the Company (finance leases) are recognised in the balance sheet at the lower of fair valueand the net present value of future lease payments.All other leases are operating leases. Payments relating to operating leases and other leases arerecognised in the income statement over the term of the lease. The Company's total obligation relating tooperating leases and other leases is disclosed as contractual obligations and contingencies, etc.Financial assetsDeposits are recognised at amortised cost.Impairment of fixed assetsThe carrying amount of property, tools and equipment and financial assets are tested annually forevidence of impairment other than the decrease in value reflected by depreciation.Impairment tests are conducted on individual assets or groups of assets when there is evidence ofimpairment. Assets are written down to the lower of the carrying amount and the recoverable amount.The recoverable amount is the higher of the net selling price of an asset and its value in use. The value inuse is calculated as the net present value of the expected net cash flows from the use of the asset or thegroup of assets and the expected net cash flows from the disposal of the asset or the group of assetsafter the end of the useful life.Previously recognised impairment losses are reversed when the reason for recognition no longer exists.Impairment losses on goodwill are not reversed.InventoriesInventories are measured at cost in accordance with the weighted average method. Where the netrealisable value is lower than cost, inventories are written down to this lower value.Goods for resale and raw materials and consumables are measured at cost, comprising purchase priceplus delivery costs.The cost of finished goods and work in progress includes the cost of raw materials, consumables, directlabour and production overheads. Production overheads include the indirect cost of material and labour.The net realisable value of inventories is calculated as the sales amount less costs of completion andcosts necessary to make the sale and is determined taking into account marketability, obsolescence anddevelopment in expected selling price.ReceivablesReceivables are measured at amortised cost.An impairment loss is recognised if there is objective evidence that a receivable or a group of receivablesis impaired. If there is objective evidence that an individual receivable has been impaired, an impairmentloss is recognised on an individual basis.Receivables in respect of which there is no objective evidence of individual impairment are assessed forobjective evidence of impairment on a portfolio basis. The portfolios are primarily based on the country ofdomicile and credit ratings of the debtors in accordance with the Group's credit risk management policy.The objective evidence applied to portfolios is determined based on historical loss experience.Impairment losses are calculated as the difference between the carrying amount of the receivables andthe net present value of the expected cash flows, including the realisable value of any collateral received.The effective interest rate for the individual receivable or portfolio is used as discount rate.Construction contractsConstruction contracts are measured at the selling price of the work performed less progress billings andexpected losses. The selling price is measured on the basis of the stage of completion at the balancesheet date and the projected income from the individual construction contract. The stage of completion isstated as the share of costs incurred in proportion to estimated total costs relating to the individualconstruction contract.When the selling price of a construction contract cannot be estimated reliably, the selling price ismeasured at the lower of costs incurred and net realisable value.The individual construction contract is recognised in the balance sheet as receivables or payables,respectively. Net assets comprise the total of construction contracts where the selling price of the workperformed exceeds progress billings. Net liabilities comprise the total of construction contracts whereprogress billings exceed the selling price.Costs arising from sales work and contracting are recognised in the income statement as incurred.PrepaymentsPrepayments recognised under "Current assets" comprise expenses incurred concerning subsequentfinancial years.EquityDividendDividend expected to be distributed for the financial year is presented as a separate line item under"Equity".Income tax and deferred taxCurrent tax payables and receivables are recognised in the balance sheet as tax computed on thetaxable income for the year, adjusted for tax on prior-year taxable income and tax paid on account.Deferred tax is measured using the balance sheet liability method on all temporary differences betweenthe carrying amount and the tax base of assets and liabilities. However, deferred tax is not recognised ontemporary differences relating to goodwill which is not deductible for tax purposes or on office premisesand other items where temporary differences arise at the date of acquisition without affecting neither theprofit/loss for the year nor the taxable income. Where alternative tax rules can be applied to determine thetax base, deferred tax is measured based on management's intended use of the asset or settlement ofthe liability, respectively.Deferred tax is measured according to the tax rules and at the tax rates applicable in the respectivecountries at the balance sheet date when the deferred tax is expected to crystallise as current tax.ProvisionsProvisions comprise anticipated costs related to warranty commitments, restructuring, etc. Provisions arerecognised when, as a result of past events, the Company has a legal or a constructive obligation and it isprobable that there may be an outflow of resources embodying economic benefits to settle the obligation.Provisions are measured at net realisable value. If the obligation is expected to be settled far into thefuture, the obligation is measured at fair value.When it is probable that total costs will exceed total income from a construction contract, the totalprojected loss on the work is recognised as a provision.Warranty commitments include expenses for remedial action in respect of the contract work within thewarranty period of 1-5 years. Provisions for warranty commitments are measured at net realisable valueand recognised based on past experience.LiabilitiesFinancial liabilities are recognised at the date of borrowing at the net proceeds received less transactioncosts paid. On subsequent recognition, financial liabilities are measured at amortised cost, correspondingto the capitalised value, using the effective interest rate. Accordingly, the difference between theproceeds and the nominal value is recognised in the income statement over the term of the loan.Other liabilities are measured at amortised cost, which usually corresponds to nominal value.Segment informationInformation is disclosed by geographical markets, product and customer types. The segment informationis in line with the Company's accounting policies, risks and internal financial management. Omission of a cash flow statementWith reference to section 86(4) of the Danish Financial Statements Act, no cash flow statement has beenprepared. The Company's cash flows are reflected in the consolidated cash flow statement for thehigher-ranking parent company ABB Ltd., Zürich, Switzerland. 2. Segment informationDKK' 0002024 2023Geographical marketsNational 2.071.414 1.952.637International392.501 261.1062.463.915 2.213.743NewHeaderRowProduct typeProducts 877.183 1.453.413Services and other1.586.732 760.3302.463.915 2.213.743NewHeaderRowCustomer typeThird-party revenues 2.344.337 2.153.581Group company revenues119.578 60.1622.463.915 2.213.743NewHeaderRow 3. Other external expenses2024 2023DKK' 000Total fees:KPMG602 746602 746Specification of fees:Audit 562 716Non-audit services40 30602 746 4.Staff costs2024 2023DKK' 000Wages and salaries 373.661 315.022Pensions 33.166 26.380Social security costs386 4.134407.213 345.536 454 396 No fee has been paid to the Board of Directors for their roles as members of the Board of Directors. Byreference to section 98b(3), (ii) of the Danish Financial Statement Act, remuneration to Management isnot disclosed. 5. Depreciation2024 2023DKK' 000Amortisation, depreciation and impairment lossesIntangible assets 192 0Property, tools and equipment5.088 3.7385.280 3.738 6.Financial income2024 2023DKK' 000Interest income from group enterprises 4.500 4.533Other financial income1.659 1176.159 4.650 7.Financial expenses2024 2023DKK' 000Interest expenses, group enterprises 281 3.408Other financial expenses2.519 1692.800 3.577 8.Tax for the year2024 2023DKK' 000Current tax for the year 32.817 17.836Adjustment of the deferred tax charge for the year 422 56Prior-year adjustments1.781 (1.489)35.020 16.403 144000000 58000000 -27600000 1030000 116400000 59030000 10. Intangible assetsAcquiredintangibleDKK’000assetsCost at 1 January 202411.923Additions 909Disposals (11.624)Cost at 31 December 2024 1.208Amortisation and impairment losses at 1 January 2024 (11.923)Amortisation (192)Disposals 11.623Amortisation and impairment losses at 31 December 2024 (492)Carrying amount at 31 December 2024716 11.Property, tools and equipmentProperty, toolsFixtures andandLeaseholdTools andfittings, toolsequipmentTotalimprovementsmachineryandunderequipmentDKK' 000constructionCost at 1 January12.927 19.195 13.191 7.058 52.3712024Additions 0 0 93 9.259 9.352Transferred 3.483 3.077 7.980 (14.540) 0Disposals(6.351) (6.203) (4.182) 0 (16.736)Cost at 3110.059 16.069 17.082 1.777 44.987December 2024Depreciation andimpairment losses at(6.134) (14.769) (6.862) 0 (27.765)1 January 2024Depreciation (654) (1.509) (2.925) 0 (5.088)Disposals5.285 6.179 4.845 0 16.309Depreciation andimpairment losses at(1.503) (10.099) (4.942) 0 (16.544)31 December 2024Carrying amount at8.556 5.970 12.140 1.777 28.44331 December 2024 12.Financial assetsDepositsDKK' 000Cost at 1 January 2024 12.030Additions 2.084Disposals(7.581)Cost at 31 December 20246.5336.533Carrying amount at 31 December 2023 13.Construction contracts2024 2023DKK'000Selling price of work performed 408.450 386.430Advance payment and progress billings(339.399) (361.580)69.051 24.850recognised as follows:Construction contracts (assets) 87.476 43.626Construction contracts (liabilities)(18.425) (18.776)69.051 24.850 14.PrepaymentsPrepayments recognised as assets include expenses incurred concerning subsequent financial years. 15.Deferred tax2024 2023DKK' 000Deferred tax at 1 January 1.531 1.475Adjustment of the deferred tax charge422 561.953 1.531Deferred tax at 31 DecemberSpaceThe deferred tax charge relates to:Fixed assets 43 130Property, plant and equipment 11.960 318Current assets 9.046 11.782Provisions(19.096) (10.699)1.953 1.531 16.Other provisions2024 2023DKK'000Warranty provisions 18.803 17.016Provision for work due 21.016 18.982Provision for asset retirement obligation 0 7.000Provision for loss-making orders 29.518 47.872Other provisions3.450 1772.787 90.8872024 2023Other provisions at 1 January 90.887 38.882Used during the year (31.465) (10.094)Provision for the year13.365 62.09972.787 90.887Other provisions at 31 DecemberOther provisions are expected to mature within:0-1 year 66.971 85.858> 5 years5.816 5.02972.787 90.887 17.Contractual obligations and contingencies, etc.Contingent liabilities2024 2023DKK'000Operating lease liabilitiesLeasehold 79.322 92.712Cars16.679 16.99196.001 109.703Total operating lease liabilitiesOf which falls due for payment after:2024 20230-1 year 9.947 13.0201-5 years 59.374 52.213Above 5 years26.680 44.47096.001 109.703ABB A/S is party to a few pending legal actions. In Management's opinion, the outcome of these l actionswill not affect the Company's financial position apart from what has already been recognized in thefinancial statements.ABB A/S is jointly taxed with other Danish group companies. As a group company, the company hasunlimited an joint liability with other group companies for Danish corporation taxes and withholding taxeson dividends, interest an royalties within the joint taxation unit. 18.Related party disclosuresABB A/S related parties comprise the following:Parties exercising controlABB Asea Brown Boveri Ltd., Affolternstrasse 44, CH-8050 Zürich, Switzerland.ABB Asea Brown Boveri Ltd. holds 100 % of the contributed capital in the Company.ABB A/S is part of the consolidated financial statements of ABB Ltd., Affolternstrasse 44, CH-8050 Zürich,Switzerland, which is both the smallest and largest group, which prepares , in which ABB A/S is includedas a subsidiary.The of ABB Ltd. can be obtained by contacting the company at the above address.2024 2023DKK'000Sale of goods and services to sister companies 119.578 60.162Purchase of goods and services from sister companies 1.618.620 1.532.948Dividend paid out to parent entity 58.000 64.000blank rowInterest income and expenses from/to sister companies are disclosed in note 6 and 7 to the financialstatements. Payables and receivables to/from sister companies are disclosed in the balance sheet.No remuneration has been paid to the Board of Directors for their roles as members of the Board ofDirectors. By reference to section 98b(3), (ii) of the Danish Financial Statement Act, remuneration tomanagement is not disclosed.Besides distribution of dividend, no other transactions were carried out with the shareholder during theyear. Annual report Auditor's report on audited financial statements ParsePort XBRL Converter 2024-01-01 2024-12-31 2023-01-01 2023-12-31 2025-05-19 Reporting class C, large enterprise 2025-05-19 25578198 KPMG P/S Dampfærgevej 28 2100 København Ø Opinion Basis for Opinion 2025-05-19