Volvo Sees Strong Truck Demand in North America and Stable Growth in Europe
Volvo Group Reports on Market Performance and Future Outlook
ESKILSTUNA, Sweden, June 10 (Reuters) - Truckmaker Volvo Group said on Wednesday customer demand and deliveries in Europe are stable at good levels across the business in the second quarter while in North America, demand remains strong with production gradually increasing.
Cost Trends and Service Activity
• Cost inflation is trending upward, while at the same time, high utilisation of customers' trucks and machines supports service activity, the Swedish group said ahead of presentations to investors.
Growth Projections for Key Units
Trucks and Construction Equipment
• It predicted its Trucks and Volvo Construction Equipment units would outperform historical growth rates. It did not specify a timeframe.
Autonomous Solutions
Driverless Operations and Sales Forecast
• Self-driving trucks unit Autonomous Solutions aims to have driverless on-highway operations by the first quarter of 2027, and to approach around $3 billion in sales within five years, supporting group profitability.
Volvo Penta
Sales Doubling Plans
• Engine and power systems unit Volvo Penta plans to double sales in the coming years.
Company Overview and Market Impact
• Volvo Group is one of the world's largest makers of trucks, buses and construction equipment.
• Share price unchanged by 0753 GMT vs Tuesday closing
(Reporting by Anna Ringstrom and Marie Mannes, editing by Terje Solsvik)
