Scania sets net sales record

Scania achieved record net sales last year, with the global company achieving three per cent growth to tally SEK94.9 billion ($A15.9 billion).

The result was published by Scania recently as part of its financial report for 2015.

The company's operating income rose by 11 per cent to SEK9641 million ($A1613 million), while cash flow in Vehicles and Services dropped by 6.7 per cent, to SEK4376 million ($A732 million).

Scania's President and CEO, Henrik Henriksson (pictured), said a strong performance in Europe was tempered by weaker conditions in other world markets.

"Higher vehicle volume in Europe, record high service volume, positive currency rate effects and record earnings from Financial Services were partly offset by lower vehicle volumes in Latin America, Eurasia and Asia," he said.

"Total order bookings for trucks decreased during the fourth quarter, compared to the previous year, due to lower demand in Latin America and Eurasia. In Europe, demand remained high during the fourth quarter. Scania’s position in the European market is strong with a market share of 16.5 per cent compared to 15.1 per cent in 2014, thanks to a leading Euro 6 range. The continued segment focus and a broad engine range for alternative fuels, also contributed.

"Demand in Brazil and Russia fell during the fourth quarter compared to the same period 2014 and the outlook remains uncertain. Demand in Asia fell compared to the fourth quarter 2014.

"Order bookings in Buses and Coaches rose compared to the fourth quarter of the previous year. In Engines, order bookings fell during the fourth quarter compared to the previous year, due to lower demand in Latin America and Asia. Engine deliveries reached an all-time high at 8485 units in 2015.

"Scania is continuing its long-term efforts to boost its service business and revenue increased by 9 per cent to a new record level of SEK20.6 billion ($A3.5 billion) during 2015.

"Scania's continuing investment in connected vehicles is an important enabler in supporting our customers with more efficient services to further enhance their profitability.

"Financial Services reported record earnings, with operating income of more than SEK1 billion ($A168 million). Customer payment capacity is still good and credit losses remain at low levels."