Scania’s sales rose to SEK 22.3 billion and earnings for the first quarter amounted to SEK 2,245 m. Positive currency rate effects were offset by lower vehicle deliveries, mainly attributable to Latin America and Eurasia.
Summary of the first three months of 2015
- Operating income decreased by 1% to SEK 2,245 m. (2,257)
- Net sales rose by 6% to SEK 22,321 m. (21,126)
- Cash flow amounted to SEK 783 m. (730) in Vehicles and Services
Comments by Per Hallberg, acting President and CEO:
“Scania’s sales rose to SEK 22.3 billion and earnings for the first quarter amounted to SEK 2,245 m. Positive currency rate effects were offset by lower vehicle deliveries, mainly attributable to Latin America and Eurasia. Order bookings in Europe increased to the highest level since 2007. Scania has continued to increase its market share, among other things through a leading Euro 6 range and a broad range of engines for alternative fuels. Total order booking for trucks during the first quarter decreased somewhat compared to the previous quarter, mainly due to weaker demand in Latin America and in Eurasia. Demand in Brazil was negatively impacted by low economic activity and the new, much less attractive conditions in the subsidized financing program (FINAME). Order bookings in Russia decreased sharply to a very low level and the outlook is uncertain. In Asia, order bookings were stable compared to the previous quarter. In buses and coaches, total order bookings were stable, with an increase in Latin America and a downturn in Asia compared to the previous quarter. In Engines, the high level of order bookings continued from the fourth quarter of 2014, driven by Latin America. Scania is continuing its long-term efforts to boost market share in Services and revenue rose to more than SEK 5 billion, supported by positive currency rate effects. However, the weak market in Russia impacted service revenue negatively. Financial Services reported operating income of SEK 256 m. Scania is continuing to strengthen its presence in Africa and Asia and expanded its operations in India during the first quarter by starting bus and coach production.”