Good overall results
The Volvo Penta Group's engine sales are up in its three business areas: marine, industrial work vehicles and energy generators for industry. Commercial vehicles posted the best growth. Sales increased by 15% in the first quarter of 2017 compared to the previous year to reach a total of SEK 2 701 million. Orders increased by 12% to 11,149 engines and deliveries, also up 12%, concerned 10,396 units.
The operating margin also increased and reached 15.5%.
Growth was geographically well distributed, with an increase of over 18% in all zones, except North America, which stagnated at 2% growth. There was significant dynamism in the Africa-Oceania region, where the increase reached 25%.
Marine petrol engines under development
While the marine recreational engine market remains relatively stable for Volvo Penta, the company notes slight growth. Driven by the presentation of its two new 380 HP and 430 HP sterndrive petrol inboard engines at the Miami International Boat Show, the Swedish engine manufacturer is gaining market share in this niche sector.
The professional marine engine sector is still suffering from the offshore crisis and weak demand from industrial oil & gas customers.
