Volvo’s Earnings Slip as Truck Sales Rise, Orders Decline
Plans Temporary Fall Shutdowns at U.S. Mack, Volvo Plants
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Volvo AB’s second-quarter adjusted earnings slipped 4.1%, as North American truck sales rose but orders fell, Bloomberg reported Tuesday.
Earnings before interest and taxes to about $1.1 billion, and revenue rose 6.3% to $12.1 billion, Bloomberg reported, citing the Gothenberg, Sweden-based company. Volvo reports its earnings in Swedish krona.
Truck orders fell 19% to 52,946 units, led by a 47% North America decline and a 13% downturn in Europe, Bloomberg said.
North American truck sales jumped 34%, helped by vehicle replacements, while overall truck deliveries slipped 2% to 58,769 vehicles.. European deliveries fell 14%.
Volvo AB is the parent company of Volvo Trucks North America and Mack Trucks in the United States.
A Mack factory in Macungie, Pa., and a Volvo plant in Dublin, Va., will suspend production for a much as three weeks this fall in response to declining U.S. demand, Volvo CEO Olof Persson said in an interview in Stockholm, Sweden, Bloomberg reported.
