Swedish truck maker Volvo reported a bigger-than-expected rise in second-quarter profit, and said it had successfully mitigated the effects of supply chain disruptions and higher material costs.
The truck, construction equipment, bus and engine maker’s adjusted operating profit rose to 13.75 billion kroner ($1.3 billion) from 9.73 billion kroner a year ago, compared with 12.17 billion crowns that analysts expected.
However, the Swedish company stressed that the situation in the global supply chain for components such as semiconductors is still volatile and unpredictable.
“Therefore, we will continue to have interruptions and stoppages both in truck production and in other parts of the group,” CEO Martin Lundstedt said.
The company said backlogs for its trucks, which are sold under the Mack and Renault brands as well as under its own name, fell 8% year-on-year in the quarter.
Source: Capital
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.