Swedish truck and bus maker Volvo said on Thursday its third-quarter profit increased though weak demand remained problematic, according to Associated Press (AP).
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The Goteborg-based truck maker posted a net profit of 956 million kronor ($US125.3 million), or 2.3 kronor (30 cents) a share, for the three months ending September 30 compared with a profit of 421 million kronor, or 1 kronor a share, a year earlier, AP said.
Revenue fell to 40.5 billion kronor ($5.3 billion) from 41.5 billion kronor a year ago, but was actually up by 3% after currency fluctuations were factored in, the report added.
Sales of its trucks and buses improved, and the outlook for the rest of the year remained stable, chief executive Leif Johansson reportedly said.
“We do see signs of a more stable market trend, and the current forecast for the full year is that the total market for heavy trucks in Western Europe will be in line with the preceding year, at about 214,000 trucks for 2003,” he told AP, adding the company expects to sell 170,000 trucks in North America.
“Earnings remained unsatisfactory, however, and capacity is being adjusted to lower demand, with a focus on Europe and South America,” Johansson told Associated Press about the company’s bus production.
