Volvo’s 3Q Earnings Jump; Predicts 20% Growth in North American Sales

Volvo AB’s third-quarter profit jumped 36% and the company predicted industrywide heavy-duty truck sales in North America will rise 20% next year, Bloomberg reported Tuesday.

Net income rose to $585 million, while sales rose 15% to $11.2 billion, Bloomberg reported. Gothenburg, Sweden-based Volvo reports its earnings in Swedish krona.

Third-quarter truck orders rose 18% as purchases in North and South America helped offset slowing demand in Europe and Asia, Bloomberg reported, citing Volvo.

CEO Olof Persson, who headed Volvo’s construction equipment unit before taking the top post last month, said Volvo is now taking orders for the beginning of next year in North America, Bloomberg reported.

Volvo, the parent company of Mack Trucks and Volvo Trucks North America, is also the parent of Renault trucks in Europe.

Volvo said earlier this week it planned new truck investments in India and China.

Earlier this month, Volvo announced a reorganization of its heavy-duty vehicle truck business to align along geographic regions rather than by brands.