Volvo Truck Full-Year Report 2022
Compared with Q4 2021 the higher adjusted operating income is mainly an effect of price realization as well as improved vehicle volumes. This was partly offset by higher material costs, increased selling and R&D expenses as well as higher freight costs
Highlights
- In Q4, net sales increased by 30% to SEK 87,303 M
- Adjusted operating income:
- SEK 8,274 M (6,924) for Q4 2022
- SEK 33,821 (25,567) for FY 2022
- Deliveries increased by 4% while net order intake declined by 21%
- Deliveries of fully-electric trucks increased by 292% and order intake increased by 158%
In Q4 2022, demand for both new and used vehicles continued to be good in Europe and North America on the back of an aged fleet and a pent-up need to replace old trucks. High truck utilization and the aging fleet also drove demand for spare parts and services.
In Brazil, demand from the agriculture and commodity segments remained strong. During the latter part of the year there was also some pre-buying of vehicles ahead of the introduction of new emissions regulations on January 1, 2023.
The Indian economy grew fast in 2022 on the back of increased domestic consumption, pent-up demand and increased government investments in infrastructure. This spurred demand for trucks, including replacement demand. Demand in China continued to be weak in Q4 because oflow economic activity. At the end of 2022, the Chinese truck market had contracted for 20 consecutive months since May 2021.
