Volvo AB to Cut Production on Lower North American Truck Demand

  • Company sees 10 billion-kronor cost cuts complete by year-end
  • Volvo truck orders dropped 20 percent in the fourth quarter
Lock
This article is for subscribers only.

Volvo AB, the second-biggest truckmaker, cut this year’s forecast for the North American market by 7 percent, and said it will reduce production after demand weakened at the end of 2015.

Fourth-quarter earnings excluding interest, taxes and costs related to restructuring were 5.38 billion kronor ($640 million), compared to a loss of 1.43 billion kronor a year earlier, Volvo said Friday in a statementBloomberg Terminal. Sales rose 3 percent to 79.6 billion kronor.