Tag: Volvo

Volvo CE pulls out of backhoe loaders and motor graders

Once promoted as a ‘very Swedish’ company, Volvo is today dividing loyalties with it’s Chinese partner, SDLG, “to aid profitiability” says the company. They are doing this at a time when other manufacturers are bringing off-shore production back to Europe or the USA, because of narrowing production cost differentials.

The company says that this transfer is to ‘improve profitability and reduce costs’. The company goes on to say that Volvo Construction Equipment will discontinue development and production of its current product line of Volvo-branded backhoe loaders and motor graders.

Terex Agress To Sell Off-Highway Trucks Business to Volvo

Terex Corporation has announced that it has agreed to sell its truck business to Volvo Construction Equipment for cash proceeds of approximately $160 million. The truck business manufactures and sells off-highway rigid and articulated haul trucks. Included in the transaction is the manufacturing facility in Motherwell, Scotland. The sale, which is subject to government regulatory approvals and other customary closing conditions, is targeted to close in the first half of 2014.

“The truck business has been an important part of our Company for more than three decades and continues to produce world class products with dedicated and talented employees,” said Ron DeFeo, Terex Chairman and Chief Executive Officer. “However, trucks no longer fit within our changing portfolio of lifting and material handling businesses. I am confident that the truck business will benefit by joining a company sharing similar competencies and offering complementary products and services. We are pleased to have entered into this agreement with Volvo, which represents a strong strategic buyer for the business who values our distribution network and team members.”

Robust second quarter sees Volvo CE increase sales by 15%

In the face of a reduction in the size of the total market for construction equipment, Volvo Construction Equipment (Volvo CE) bucked the trend in the second quarter of 2012, posting a solid set of financial results that saw sales in the three months up 15%, operating income up 35% and an operating margin of 13.3%. The period also saw the company strengthen its market position in wheel loader and excavator sales in China, taking a 14.7% share of this all-important market.

Despite a downturn in the Chinese market, which declined by 38% during the quarter, sales at Volvo CE were positively impacted by strong momentum in most other markets, particularly North America, and a favorable product and geographic mix. Net sales in the second quarter rose by 15%, amounting to SEK 19,715 M (SEK 17,153 M in Q2 2011). Operating income, meanwhile, increased by 35% and amounted to SEK 2,629 M, up from 1,945 M in 2011. This had a positive impact on operating margin, which jumped to 13.3%, up from 11.3% in the same period in 2011. The value of Volvo CE’s order book at the end of the second quarter was also higher, up 14% compared to the same date in 2011.

Commenting on the results, Mr. Pat Olney, the president of Volvo CE said:

“Sales growth continued to be robust during the quarter, most notably in North America where sales were up 89% compared to the same period last year. In Asia we managed to offset a sharp decline in the overall market in China by continuing to gain market share, while demand in Southeast Asia remained strong.”

A weigh better system for Volvo CE proves winner

A clever idea for Volvo F-Series articulated haulers – onboard weighing – yields a prestigious award at the Intermat 2012 Innovation Awards.

The members of the Intermat 2012 Innovation Awards jury know a bright idea when they see one. That is why, from a crowded pool of more than 80 entries, they chose the new Volvo on-board weighing (OBW) system for F-Series full-suspension articulated haulers as a top innovation in the industry last month.

The Intermat Innovation Awards honor the most innovative equipment and techniques in the industry. Winners are chosen by a jury that, under the chairmanship of the president of the French National Federation of Public Works, declared Volvo the winner to an audience of international journalists gathered for Pre-Intermat held in Paris in January.

Volvo CE sees unit sales rise 30% in 2011, reaching a record 84,000 machines

Maintaining its ascendancy in the all-important Chinese market, Volvo Construction Equipment ended a successful 2011 with a 14% increase in net sales in the fourth quarter, helping the company to a full year sales increase of 21%. Amid steady growth in most markets, the company ended 2011 with a strong order book and having sold a record 84,000 machines.

Announcing its fourth quarter and full year results, Volvo Construction Equipment (Volvo CE) reported unit sales up almost a third in 2011, amid positive sales trends in most markets, with the exception of China, which had a relatively weak fourth quarter. The company produced an all-time high of 84,000 machines during 2011 (up from 66,000 in 2010), and began 2012 with an order book 51% higher than at the same point in the preceding year.

For the full year 2011, Volvo CE’s sales increased by 21% to SEK 64,987 M, compared to 53,810 M in 2010. Operating income also increased, to SEK 6,653 M, up from SEK 6,180 M in the preceding year. Operating margin was down slightly in 2011, mainly due to the negative impact of currency issues, to 10.2% in 2011, down from 11.5% in 2010.

Volvo celebrates award success – again!

Volvo Construction Equipment is celebrating after its new corporate history film The Master Builder wowed judges and won a prestigious European Excellence Award.

Volvo Construction Equipment’s new history film The Master Builder film has picked up yet another award – this time in the Corporate Film and Video category at the European Excellence Awards in Amsterdam.

“We are all extremely proud to win such a highly respected award,” says Clare Gittins, Global Director of External Communications for Volvo CE. “It is fantastic that The Master Builder is getting the recognition it deserves – it truly is a unique way of showcasing the company’s illustrious history and it is great to see so many people enjoying it.”

Volvo Construction Equipment signs agreement with CeDe Group to offer specialized machines in Europe

Volvo Construction Equipment (Volvo CE) has signed an agreement with CeDe Group that will see a range of specialized machines made available for customers working in specific applications. The machines will be available through Volvo CE’s European distribution network.

The partnership agreement will enable Volvo CE to provide machines for customers that are part manufactured by Volvo CE and part manufactured by CeDe Group, a Swedish engineering company with headquarters in Malmö. The agreement will mean that Volvo CE customers will be able to order machines for specific applications such as rail-road machines, drilling and piling rigs, forestry bucket jibs, tunnelling machines and all-terrain forklift units.

The range of specialist machines will be made available through the Volvo Construction Equipment dealership network in Europe, commencing with the Nordic markets of Finland, Denmark and Norway.

Volvo Construction Equipment to sell cylinder production in Hallsberg

Volvo Construction Equipment AB has taken the decision to sell its Hallsberg, Sweden, cylinder production activity, and to source these cylinders externally. At present about 60 people are directly involved in cylinder production.

The decision to sell the Hallsberg cylinder production is in line with Volvo Construction Equipment’s overall strategy of focusing on cab manufacture at this facility. Hallsberg is the company’s global competence center for cab manufacture and supplies most of Volvo Construction Equipment’s other European factories. Competence development and future investments in Hallsberg will now be concentrated on cab operations.

Bill Law appointed Vice President, Corporate Communications of Volvo Construction Equipment North America

Following international positions in Asia and Europe, most recently as director of external communications, Bill Law has been assigned to Volvo CE’s North American organization as Vice President, corporate communications.

Bill Law has been appointed to the role of Vice President, Corporate Communications, at Volvo Construction Equipment’s North American organization. As part of the local executive management team, he will help drive both internal communications and press relations for the region, as well as continuing to develop corporate communication standards and practices for communications across both the sales and manufacturing businesses.

China: Volvo Construction Equipment sponsor China Open golf tournament

In front of a cheering crowd Belgian Nicolas Colsaerts was pronounced the 2011 Volvo China Open champion and the winner of RMB3.3million (Approx. US$500,000). The 28-year-old from Brussels won with a four-shot victory ahead of an international, chasing quartet of Pablo Martin from Spain, Danny Lee from New Zealand, Søren Kjeldsen from Denmark and Peter Lawrie from Ireland.

Volvo Construction Equipment was sponsor of the China Open alongside the other members of the Volvo Group and Volvo Cars and its presence was shown via several construction equipment machines featured around the course, including the Volvo EC60C excavator.