Scania reports profits, which is being described as greater than expected

Friday, 20 July 2012
Bus and truck manufacturer Scania reported a profit before tax of Skr1.88 million in the second quarter. This compares with profit of Skr3.346 million corresponding period 2011.

Analysts had expected a profit of Skr2.419 million, according to Reuters.
Operating income fell to Skr 4,257 million compared with Skr6 652million similar period in the past. Earnings per share fell to Skr 4.06 (Skr6.18)

Net sales decreased by 10 percent to Skr39,338 million compared with Skr43,665 million in similar period in the past 

Cash flow amounted to Skr 1,769 million compared to Skr3,218 million in Vehicles and Services.

Scania said in the report that "in June, the Board of Directors of Scania appointed Martin Lundstedt as the new President and Chief Executive Officer of Scania AB. He takes up his new position on 1 September 2012 and succeeds Leif  Östling, who has been appointed a member of the Board of Management of Volkswagen AG.

Lundstedt is currently Scania’s Executive Vice President and Head of Franchise and Factory Sales. He joined the company in 1992 and has held various senior positions including head of Scania’s industrial operations in France from 2001 to 2005 and Senior Vice President, Trucks until 2007, when he assumed his current position.

Concerning sales performance, Scania say that during the first half of 2012, total deliveries decreased by 21 percent to 32,032 (40,300) vehicles, compared to the same period of 2011. Net sales fell by 10 percent to SEK 39,338 m. (43,665). Currency rate effects had essentially no impact on sales.

Order bookings decreased by 16 percent to 35,395 (42,103) vehicles, compared to the first half of 2011.
During the second quarter, deliveries fell by 26 percent to 15,794 (21,235) vehicles and net sales decreased to SEK 19,211 m. (22,973), a decline of 16 percent. Currency rate effects had essentially no impact on sales. Order bookings decreased by 14 percent to 19,586 (22,646) vehicles.
Details about the performance of Scania could be seen here
by Scancomark.se Team