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Strong Sales for Volvo CE in North America and Europe; Softer in Q4

Feb. 8, 2024
Sales for Volvo Construction Equipment in North America jumped 14.7 percent in the fourth quarter, 32.7 percent for the full year.

Sales for Volvo Construction Equipment in North America jumped 14.7 percent in the fourth quarter, 32.7 percent for the full year. Sales in Europe increased 8.7 percent in the fourth quarter, 13.4 percent for the full year.

Volvo Construction Equipment posted SEK 26.578 billion in sales in the fourth quarter 2023, compared to SEK 27.596 billion in the fourth quarter of 2022, a 3.7-percent decrease. For the full year, Volvo increased 4.7 percent from SEK 100.261 billion in 2022 to SEK 104.961 billion in 2023.

For the full year 2023, Volvo CE has achieved an increase in annual net sales from 2022, despite a drop in sales for the last quarter, impacted as it has been by a weaker market landscape across many regions in the world. While global machine sales are slowing across the industry, service sales for Volvo CE have risen – once more demonstrating their increasing relevance. Europe, North America, Africa and Oceania are reporting steady but softening sales, while Asia and South America are seeing the biggest decline because of slower economic activity. While global net sales dropped in the fourth quarter, service sales increased by 6 percent.

 

It has taken further significant steps to decarbonize construction in 2023, by establishing net zero partnerships with customers such as CRH and Heidelberg Materials to help them reduce their operational emissions. The company has also continued its rollout of electric construction solutions and introduced zero-emission machines to new regions including Australia and UAE. In December, an agreement was reached for the Ammann Group to acquire Volvo CE’s global ABG Paver Business including ABG in Hameln, Germany. Still subject to regulatory approval, it is a move that will allow Volvo CE to focus its attention on developing sustainable solutions and future technologies.

 

“The progress and milestones we have made in 2023 will prepare us for the challenges of 2024,” said Melker Jernberg, president of Volvo CE. “There is no doubt our industry is coming into the new year faced with a weaker market landscape, but now more than ever we will show our ability to perform for today while transforming for tomorrow.”

About the Author

Michael Roth | Editor

Michael Roth has covered the equipment rental industry full time for RER since 1989 and has served as the magazine’s editor in chief since 1994. He has nearly 30 years experience as a professional journalist. Roth has visited hundreds of rental centers and industry manufacturers, written hundreds of feature stories for RER and thousands of news stories for the magazine and its electronic newsletter RER Reports. Roth has interviewed leading executives for most of the industry’s largest rental companies and manufacturers as well as hundreds of smaller independent companies. He has visited with and reported on rental companies and manufacturers in Europe, Central America and Asia as well as Mexico, Canada and the United States. Roth was co-founder of RER Reports, the industry’s first weekly newsletter, which began as a fax newsletter in 1996, and later became an online newsletter. Roth has spoken at conventions sponsored by the American Rental Association, Associated Equipment Distributors, California Rental Association and other industry events and has spoken before industry groups in several countries. He lives and works in Los Angeles when he’s not traveling to cover industry events.