STOCKHOLM, April 20 (Reuters) – Sweden’s AB Volvo (VOLVb.ST) lifted its outlook for key heavy-duty truck markets in Europe and North America this 12 months on Thursday because it reported a 32% year-on-year rise so as consumption for the primary quarter.
The maker of automobiles underneath manufacturers akin to Mack Vans and Renault in addition to its personal title had already pre-announced file working earnings for the primary quarter final week that have been properly above market expectations.
Volvo, a rival of producers akin to Daimler Vans (DTGGe.DE) and Traton (8TRA.DE), forecast 2023 heavy truck gross sales in Europe and North America of 320,000 for every area. Its earlier forecast had been for 300,000 in each areas.
“Disturbances within the European provide chains haven’t been as in depth as within the autumn and have contributed to elevated productiveness,” Chief Govt Martin Lundstedt stated in a press release, including nonetheless that the availability chain remained unstable in North America, hampering manufacturing there.
Following a number of quarters with punishingly excessive prices and supply-chain ache, bottlenecks have begun to ease, permitting truck makers to reopen order books that had been stored underneath a decent lid to keep away from lead occasions changing into extreme.
Gothenburg-based Volvo, which additionally makes building gear and engines, stated there was a pent-up want to switch growing older fleets which had helped enhance order consumption.
Volvo is just not the one automaker to have had an excellent quarter. German Traton (8TRA.DE) reported revenue above expectations.
Reporting by Marie Mannes; enhancing by Niklas Pollard
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