STOCKHOLM (Reuters) -Truck maker Volvo reported on Wednesday a bigger than estimated rise in adjusted operating profit and said it expected the major European and North American heavy trucks markets to be strong this year but would slow next year.
Third-quarter operating profit, excluding costs related to the group’s exit from Russia, was 19.1 billion crowns ($1.75 billion), up from 11.9 billion crowns a year earlier and topping the 16.4 billion crown mean forecast in an LSEG poll of analysts.
The company said price increases and currency effects helped adjusted operating profit.
Volvo forecast the European and North American heavy truck markets would total 290,000 vehicles, respectively, in 2024.
It reiterated its heavy truck market forecast for North America for this year but raised its forecast for Europe to 340,000 trucks. Its previous forecast, given in July, had been for 330,000 units for each region.
“We expect our major truck markets to continue to be strong throughout this year as we continue to deliver from our large order books to customers, but forecast lower market levels for next year,” CEO Martin Lundstedt said in a statement.
(Reporting by Marie Mannes and Marta Frąckowiak. Editing by Gerry Doyle)
