Sweden's Volvo Group, the world's second biggest truck maker, on Wednesday reported a sharp drop in 2020 earnings due to the coronavirus pandemic, although business rebounded in the fourth quarter.
For 2021, Volvo raised its sales forecasts in its trucks division, its core business, in Europe, North America and Brazil. The truck-making sector is particularly sensitive to the global economic situation and is usually hard hit during crises. "We have significantly improved our volume and cost flexibility, which were crucial factors behind our earnings resilience in 2020," the group said."Customer usage of trucks and machines increased when the Covid-19 restrictions were eased during the summer and this development continued during both the third and fourth quarters," it said.