Volvo records loss as sales fall 37%

in Demolition Excavators, Earthmoving, Excavators, Loaders, Materials Handling, Mini-Excavators, Dump Trucks, Road Planers, Backhoes, Demolition and Recycling, Loaders, Road Construction, Company, Volvo on 05 February 2010

Volvo Construction Equipment has reported 37% drop in sales revenue for 2009 and a loss of £343m.

Over the year it sold 38,783 machines, down from 2008's peak of 63,641 units. Sales in Europe fell from £2.1bn in 2008 to £1.1bn last year with only the Asian market approached the level of 2008.

However, the fourth quarter figures show an improving situation with sales only 9% below the 2008 level (although Europe is still down by 26%) and Volvo CE's losse have been halved to £48.3m (from £107.5m). The company said it also halved dealer inventories during the year and stock is now in balance with demand.

Volvo predicts markets will remain soft in 2010 and expects North America and Europe to rise by between 0-10% from their current very low bases. Asia and other international markets are expected to grow by between 10-20% with China at the top end of that range.

Volvo has announced it will introduce four new SDLG branded crawler excavators into China by the end of 2010, to be built at its Lingong factory in Linyi.

Tags: Annual results, Volvo

Comments

(*required information)

Related articles

Lavendon's exceptionals turn profit into loss

Preliminary results for 2009 from powered access rental giant Lavendon Group show revenue falling fr...

Volvo guarantees training will deliver fuel savings

Volvo has introduced an operator training package called Eco Operator deigned to raise environmental...

JCB and Volvo sign skid steer and compact loader deal

JCB and Volvo have signed a framework agreement to co-operate on the engineering and manufacturing o...

Volvo's Bauma launches highlight fuel economy

Volvo will launch four new compact excavators (1.5t to 2t) at Bauma along with unveiling two new com...

Most read

Nissan NV200 offers "class-leading cargo capacity"

The van version of Nissan's global NV200 was unveiled at the Barcelona Internati... Read more >

New branding for McCauley Trailers

Northern Ireland based McCauley Trailers Ltd has launched a new corporate identi... Read more >

JCB donates diggers for disaster relief

JCB is donating two 3CX backhoe loaders to help the disaster relief effort in Ha... Read more >

Turnkey's hire package uses Microsoft platform

NAV4Hire is a bespoke computer package for plant and equipment hirers from Turnk... Read more >

Congestion charge alert through iPhone

If you have an iPhone, you can download an application from iTunes that lets you... Read more >

Terex selects Scania's Stage IIIb engines

Terex is to use Scania's Stage IIIb and Tier 4i engines in some of its construct... Read more >