Munich — Volvo’s second-quarter operating profit has risen 39%, buoyed by resilient European demand for trucks and a production cut in the US to adjust for an expected slowdown, while construction-equipment earnings rebounded from a year-earlier provision. Earnings adjusted for one-time items rose to 8.54-billion kronor ($1.03bn) from 6.13-billion kronor a year earlier, the Gothenburg-based manufacturer said in a statement on Wednesday. The profit matched analyst estimates. The company raised industry-wide forecasts for trucks in North America and China. Volvo protected profit by scaling back truck production last year in North America in anticipation of a market contraction. Demand in the US may benefit from President Donald Trump’s proposals to upgrade the nation’s infrastructure. The company’s heavy-duty vehicle deliveries rose 7% in Europe in the quarter, while advance sales contracts for trucks jumped 22%, propelled by growth in the Americas. "The rise in Volvo’s order intake o...
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