Volvo Construction Equipment registered a strong performance by the end of 2016, with market share gains in the larger, more profitable machine segments and net order intake increased by 35 per cent, while deliveries were up by 19 per cent to 10,639 machines. Order intake increased in all markets, most notably in China and Europe. In the fourth quarter (Q4) 2016, net sales increased by 20 per cent to SEK 13,110 M (10,967). Earnings were positively impacted by a favourable product mix, higher sales volumes, lower costs for credit losses in China and reduced operating expenses. Earnings were also positively impacted by improved capacity utilisation.

For the full year sales decreased by 1 per cent to SEK 50,731 M (51,008). Europe recorded a 46 per cent order increase, with improvements in most countries, including Russia, and for all product segments. North America saw a 35 per cent order intake increase from low levels in 2015. In Asia (including China), order intake increased by 29 per cent. This was driven by an increased order intake in China, where the excavator market continues to recover, and in India, where strong market growth continued, as well as from increased sales of SDLG branded products in China and Southeast Asia.