Scania Reports Q1 2025 Performance: Navigating a Challenging Market with Strategic Focus

Scania's Performance Summary: January - March 2025

In a period marked by market uncertainties, Scania Group has released its performance summary for the first quarter of 2025, revealing significant adjustments in sales revenue and vehicle deliveries. Sales revenue saw a decline of 11%, settling at SEK 48.9 billion (around $5.5 billion). This downturn underscores an ongoing challenge as the automotive industry grapples with evolving market dynamics, heightened competition, and fluctuating currency values.

Adjusted Operating Results
Despite the revenue drop, Scania recorded an adjusted operating result of SEK 5.1 billion with an adjusted return on sales plummeting to 10.5% from 14.5%. This decline directly correlates with a significant decrease in vehicle deliveries, which dropped 16% to 22,244 units. Notably, the company managed to deliver 104 Zero Emission Vehicles (ZEVs), a slight improvement from 46 units last year, highlighting Scania's commitment to sustainability and innovation in electrification.

Interestingly, while the general delivery figures faced a downturn, the service business revenue climbed by 4%. This growth in services suggests a resilient aspect of Scania’s business model, providing a stabilizing effect amidst the fluctuations in vehicle sales. Furthermore, incoming orders exhibited an optimistic trend, surging by 23% to 24,762 vehicles and included 154 ZEVs, which also represented an increase from previous periods.

Strategic Focus Amid Challenges
Christian Levin, President and CEO of Scania and the TRATON Group, emphasized the importance of agility in responses to market changes: "We continued to grow market share in a highly competitive landscape. While deliveries were lower, the strong order intake is a positive sign. We are keeping a close ear to the ground to stay flexible in today's unpredictable environment.