For Scania, sales decreased by 8 percent to SEK 44.9 billion compared to the same period last year. Profitability, measured as adjusted operating margin, remains at 11.0 percent.
Scania's deliveries decreased by 6 percent to 20,978 vehicles, of which 19,484 were trucks and 1,494 were buses. However, order intake increased by 10 percent to 27,318 vehicles.
We have produced a lot and have a high order intake, but we have not delivered as we wanted. However, we are maintaining profitability at the same high level, says Christian Levin, CEO of both Scania and the owner group Traton.
Driving inflation
The company points to negative currency effects and disrupted supply flows as challenges, among other things. Strong demand in Europe at the beginning of the year has slowed down due to economic turmoil.
The direct impact of the war in Iran on Scania is relatively small, according to Levin. However, high fuel prices are hurting customers, while suppliers are facing increased costs.
This will drive inflation and interest rates and discourage investment. If this continues, the risk is that we will have another dip in demand. At the moment we are not seeing that; in both March and April there has been stable order intake, which feels good and, if I'm honest, a bit surprising, he says.
According to Christian Levin, the many crises of recent years - such as the pandemic and Russia's invasion of Ukraine and its consequences - have hardened Scania.
We have built up an astonishing ability to withstand shocks. We have learned to manage supply chains, we have moved suppliers closer to us, changed transport routes and built buffers.
May be affected
Levin hopes that the company's streamlining and tightening of fixed costs will enable good results even "if the market fails" in the future.
What are the biggest risks?
The biggest risk is that this continues and the oil price continues to rise - that there will be shortages and rationing. We in the transport industry would, of course, be hit hard then. That is the nightmare scenario in the short term.
