Engineering firm ABB confirmed it hopes to post a full-year profit and pay a dividend for the first time since 2000, a top executive told a Swiss Sunday newspaper.
"The growth rates in 2005 are so far almost in the double-digits," Chief Executive Fred Kindle told the SonntagsZeitung newspaper in an interview. "If we can hold this rate in the next five years, then we can be satisfied."
Kindle did not rule out acquisitions of up to $100 million in the next 12-18 months to support to the firm's organic growth.
In September the engineering giant set itself the ambitious target of doubling its operating profit margin by 2009 and unveiled its first detailed strategy since its financial turnaround last year.
The maker of industrial robots and electrical motors underwent a major revamp when asbestos claims and crippling debts pushed it to the brink of collapse four years ago. It managed to turn around its fortunes last year and became profitable in the first half of 2005.
This week, a Pittsburgh court concluded the hearing on ABB's asbestos settlement plans and asked the group to submit a proposed confirmation order relating to the bankruptcy of its US Combustion Engineering (CE) unit within the next two weeks.
CE made boilers lined with asbestos, a lethal substance that can cause cancer.
After ABB hands in the confirmation order, the case will move to the US district court for approval.
"We have just achieved a further victory in court," Kindle told the newspaper. "I hope we can have this cleared up in this year."
Kindle said September's Hurricanes Katrina and Rita promise to deliver more business for ABB, but did not quantify what the contracts could be worth.
"In addition to the human suffering the hurricanes brought, they also demolished much of the energy supply infrastructure, and that has to be built up again," Kindle said.
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