Third quarter results
Daimler’s bus division recorded what it described as ‘slightly lower’ revenue in the third quarter of this year, totaling €1,018m/£732.44m (Q3 2014: €1,034m/£743.95m). This was deemed to be caused by falling unit sales in Latin America. However, the bus division’s EBIT of €89m/£64.03m was significantly above the prior year level (Q3 2014: €64m/£46.05m), while its return on sales increased from 6.2% to 8.7%. Daimler Buses sold 7,400 buses and bus chassis worldwide in the third quarter of 2015 (Q3 2014: 8,600). The significant decrease primarily reflects the weak business with bus chassis in Latin America (-26%).
At group level, Daimler AG set new records for unit sales and revenue in the third quarter. The company sold 13% more vehicles between July and September than in the prior year period. Daimler’s outlook for buses in Europe should be slightly above the very low level of 2014, it believes. In Brazil, it expects demand for buses is likely to decrease by at least 35% in 2015 compared with last year.
Scania’s sales during the first nine months of 2015 rose to SEK69,686m/£5,350.95m (2014: SEK65,638m/£5,040.12m), a 6% increase. Its operating income amounted to SEK7,046m/£541.04m (2014: SEK6,356m/£488.06m), rising 11%.
Order bookings in buses and coaches decreased by 9% to 4,837 (2014: 5,293) units during the first nine months of 2015 compared to the corresponding period of 2014. Scania has increased its market share in buses and coaches in Europe to 6.8% during the first nine months of 2015, compared to 5.1% during the year earlier period.
Scania’s bus and coach deliveries totalled 1,624 units (2014: 1,645) during the third quarter. Net sales of buses and coaches rose by 28% to SEK6,470m/£496.81m (2014: SEK5,049m/£387.7m). During the third quarter, sales increased by 28% to SEK2,126m/£163.25m (2014: SEK1,658m/£127.31m).
Net sales for Volvo increased 9% in the third quarter of its current financial year to SEK73.3bn/£0.56bn (Q3 2014: SEK67.2bn/£5.16m). Operating income amounted to SEK5,087m/£390.61m (Q3 2014: SEK2,908m/£223.3m) excluding restructuring charges of SEK434m/£33.33m (Q3 2014: SEK659m/£50.6m). Currency exchange rates had a positive impact of SEK831m/£63.81m.
Volvo Buses delivered 2,080 buses and coaches during the third quarter 2015, compared to 2,068 units in the third quarter of 2014. Order intake in the third quarter totalled 2,147 PCVs, compared to 1,780 in the third quarter of 2014. Major orders in the quarter included 191 buses to Mexico City and 176 units to Singapore. Net sales increased by 20% to SEK5,492m/£421.71m (Q3 2014: SEK4,575m/£351.3m). Adjusted for currency fluctuations, sales increased by 13%. Buses reported an operating income of SEK337m/£25.88m (Q3 2014: SEK50m/£3.84m).
Order intake for MAN decreased in the third quarter of its current financial year to €10,632m/£7,663.12m (2014: €11,147m/
£8,034.31m). Sales revenue amounted to €9,981m/£7,193.9m (2014: €10,214m/£7,361.84m), down 2%. Operating profit before special items fell 33% to €271m/£195.33m (2014: €304m/£219.11m). The MAN Group’s total assets amounted to €18,161m at the end of the reporting period, 3.6% higher than on 31 December 2014 (€17,538m/£12,640.69m).
Order intake for buses during the past three months amounted to €1,063m/£766.17m (2014: €1,091m/£786.35m), down 3%. There were 4,292 buses ordered in the period, up 5% from 4,103 units in 2014. Bus sales created €1,030 in revenue during the period (2014: €914m/£658.77m), rising 13%. Bus sales created an operating profit of €5m/£3.60m (2014: –€42m/-£30.27m).