Volvo bullish

The Swedish-based manufacturer Volvo Construction Equipment reports that its final quarter for 2010 showed a major financial improvement.
March 5, 2012 Read time: 2 mins
The Swedish-based manufacturer 2394 Volvo Construction Equipment reports that its final quarter for 2010 showed a major financial improvement. Sales rose 51% by value over the 2010 financial year to €6.11 billion (SEK53.81 million) compared with the €3.82 billion (SEK33.5 billion) achieved in 2009. Deliveries were strong and increased 70% in terms of units, hitting an all-time record of 66,000 machines for the year. Operating income, meanwhile, leapt to €702 million (SEK 6.2 billion), up from a loss of €454 million (SEK 4 billion) in the preceding year. Operating margin also improved considerably, up to 11.5% in 2010 to €199.5 million (SEK 1.758 billion) compared to a loss of 11.2% at €64 million (SEK 564 million) in the year before. The operating margin of 12% in the fourth quarter was the firm's highest ever for this period. The company's order bookings are also strong, with a total value on December 31st some 45% higher than on the same date in 2009. The fourth quarter of 2010 saw the total world market for construction equipment within Volvo Construction Equipment's product range rise by 31%, compared to the same period in 2009. This was strongly driven by the BRIC countries, which saw an increase of 47%. In Europe the total market was up by 4% and North America was up by 31% during the quarter. Asia increased by 39%, strongly influenced by China and India, where the markets increased by 53% and 24% respectively. Other markets were up by 40%, helped by a rapidly recovering Russian economy, which saw a 269% improvement.

For more information on companies in this article

Related Content

  • Volvo CE reports improving financial position
    October 19, 2020
    Volvo CE is reporting an improving financial position.
    Read More
  • Volvo Construction Equipment’s Q1 2015 sales down 5% due to weak Asia sales
    January 6, 2017
    An improvement in European and North American sales could not offset continued weakness in Asia leading to Volvo Construction Equipment sales falling by 5% year-on-year in Q1 2015. Sales in China in particular were less than half what they were in the same period of 2014, the Swedish sector giant said. “We are working to adapt to lower volumes and are implementing a series of measures to reduce cost levels. However, our efforts could not fully offset the significant drop in volumes,” said Volvo Const
    Read More
  • Volvo Construction Equipment’s Q1 2015 sales down 5% due to weak Asia sales
    April 23, 2015
    An improvement in European and North American sales could not offset continued weakness in Asia leading to Volvo Construction Equipment sales falling by 5% year-on-year in Q1 2015. Sales in China in particular were less than half what they were in the same period of 2014, the Swedish sector giant said. “We are working to adapt to lower volumes and are implementing a series of measures to reduce cost levels. However, our efforts could not fully offset the significant drop in volumes,” said Volvo Const
    Read More
  • Volvo CE ends 2023 with healthy sales
    January 29, 2024
    But despite increased orders in North and South America, overall global order intake remained low, declining by 26%, primarily caused by lower demand in China.
    Read More

Highlighted Content