Volvo Car said supply constraints and ongoing coronavirus lockdowns in China hit retail deliveries and production in the second quarter and will continue to affect retail sales in the third quarter, although demand remains strong .
The carmaker said it now expects a marked improvement in the supply situation, with production returning strongly in June, and provided that normalization continues, it expects a gradual increase in output in the coming months.
As a result, Volvo Cars expects wholesale volumes for 2022 to be better than in 2021, CEO Jim Rowan said.
For fiscal 2022, the company expects retail sales to be flat or slightly lower than 2021 volumes.
Net profit rose to 8.94 billion kroner ($873.7 million) from 2.5 billion kroner as profits rose 5.9 billion kroner.
Revenue fell 1.7% to 71.3 billion kroner.
Analysts had expected net profit of 3 billion kroner and revenue of 70.73 billion kroner.
Source: Capital
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