Truckmaker Volvo posts 4Q loss of $364 million as demand for construction equipment weakens
Swedish truck maker AB Volvo has posted a fourth-quarter loss of 3 billion kronor ($364 million), compared with a 548 million-kronor surplus last year, in the face of weak demand for construction equipment.
The Goteborg-based company says sales in the last three months of 2014 rose slightly to 77.5 billion kronor ($638.249) from 76.6 billion kronor in the same period last year.
Volvo Group said the construction equipment business experienced "strong headwinds" as markets outside of North America continued to deteriorate.
CEO Olof Persson said Thursday Volvo Trucks had reduced a net financial debt by nearly 10 billion kroner ($824 million) last year. However, "we still have a lot of hard work ahead of us."