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Dow Jones Newswires: Volvo posts record truck deliveries as chain-supply woes ease

On Thursday, Volvo reported a net profit of SEK12.91 billion from SEK7.03 billion a year earlier. Read More...

By Dominic Chopping

STOCKHOLM–Volvo AB said Thursday that it posted a first-quarter record for truck deliveries as European supply-chain disruptions eased, while demand for new trucks rose sharply.

Truck deliveries rose 11% in the quarter, while order intake rose 32%.

The Swedish truck maker pre-released preliminary first-quarter numbers last week, saying sales rose 25% on the year to 131.4 billion Swedish kronor ($12.69 billion), with adjusted operating income of SEK18.4 billion and the adjusted operating margin rising to 14.0% from 12.0%.

On Thursday, it reported a net profit of SEK12.91 billion from SEK7.03 billion a year earlier.

Volvo said that despite a deteriorating economic outlook with high inflation and rising interest rates, transport volumes and infrastructure activity have continued to be solid in most markets.

In combination with customers’ need to renew aging fleets, this has contributed to good demand for its products, it added.

“The disturbances in the European supply chains have not been as extensive as in the autumn and have contributed to increased productivity,” Chief Executive Martin Lundstedt said.

“The North American supply chain, on the other hand, remains unstable, which leads to production disturbances.”

Volvo raised its 2023 truck market forecasts for Europe and North America, and mainted guidance in other regions.

Write to Dominic Chopping at [email protected]

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