Dow Jones Newswires: Volvo preliminary sales beat expectations

Daily Trade

STOCKHOLM — Volvo AB said late Tuesday that preliminary first-quarter net sales rose 25% on year to 131.4 billion Swedish kronor ($12.57 billion), beating the SEK118.4 billion expected in a FactSet poll.

In a statement ahead of its full-earnings report due on April 20, the Swedish truck maker
VOLV.A,
+7.70%

VOLV.B,
+7.66%

said preliminary first-quarter adjusted operating income rose to SEK18.4 billion from SEK12.7 billion, with its adjusted operating margin rising to 14.0% from 12.0%.

Reported operating income–including costs of SEK1.3 billion for a previously announced restructuring in its buses unit–amounted to SEK17.1 billion, from SEK8.6 billion.

The company said net sales in its main trucks division amounted to SEK89.6 billion, up from SEK69.6 billion in the first quarter last year, with adjusted operating income up 46% to SEK12.7 billion and an adjusted operating margin of 14.2% from 12.5%.

Net sales in its construction equipment unit rose 11% to SEK25.1 billion, while adjusted operating income rose 64% SEK4.6 billion, corresponding to an adjusted operating margin of 18.3% from 12.4%.

Write to Dominic Chopping at [email protected]

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