ABB, Ltd. (NYSE: ABB – $20.72) reported an 8% decrease in net profit in the second quarter as the power and automation giant faced a slowdown in several major markets such as China and the U.S. Zurich-based ABB said net profit for the three months ended June 30 slipped to $588 million, equal to $0.31 per share, from $636 million in the same period a year earlier, or $0.28 on a lower share count. The figure beat analyst expectations, however, of $0.26. Revenue fell to $9.17 billion from $10.19 billion, better than the Street estimate of $9.04 billion. ABB, the world’s largest maker of power grids, said it faced a “mixed” economic picture with the U.S remaining positive and China still growing, although at a slower pace than in 2014. The countries are ABB’s two largest markets. There was also weaker demand from the oil and gas sector. Despite recent activist proposals, CEO Ulrich Spiesshofer said the company will press ahead with pruning its portfolio but won’t be separating its power and automation businesses. Separately, ABB announced it won a $28 million order from PowerGrid Corp. of India for the extension of three substations in India’s eastern and northern regions. The shares of ABB have been a disappointment since entering the conservative list back in June, 2011 at a price of $26.55. However, I feel optimistic about the company’s future. With ABB’s reasonable P/E ratio and a dividend yield considerably in excess of the market median, double-digit returns over the next 3 to 5 years is possible and positions can be retained in a conservative account for investors willing to be patient.