Euronews is no longer accessible on Internet Explorer. This browser is not updated by Microsoft and does not support the last technical evolutions. We encourage you to use another browser, such as Edge, Safari, Google Chrome or Mozilla Firefox.

Truck maker Traton warns first-half order intake slowed as profit rose

Truck maker Traton warns first-half order intake slowed as profit rose
FILE PHOTO: Visitors stand at the booth of Volkswagen's truck unit Traton Group, former Volkswagen Truck & Bus AG, in Hanover, Germany September 19, 2018. REUTERS/Fabian Bimmer/File Photo -
Fabian Bimmer(Reuters)
Euronews logo
Text size Aa Aa

FRANKFURT (Reuters) – German truck maker Traton <8TRA.DE> warned that its order intake had fallen in the first half, even as its operating profit rose 25% on the back of a rise in sales at Scania and a recovery in key markets like Brazil.

Traton said its first half earnings before interest and taxes (EBIT) rose to 1.07 billion euros (£962.79 million), up from 863 million euros in the year-earlier period and the company’s operating return on sales had improved to 7.9% from 6.8%.

The truck and bus maker said vehicle sales rose 10% in the first half, but said order intake had fallen 6% compared with the year-earlier period.

“We are keeping a very watchful eye on developments in the market in order to adjust our production with flexibility,” Traton Chief Executive Andreas Renschler said in a statement.

The company made its stock market debut in June after parent Volkswagen <VOWG_p.DE> floated an 11.5% stake in the unit to give the truck maker greater independence to pursue growth.

(Reporting by Edward Taylor; Editing by Michelle Martin)

euronews provides breaking news articles from reuters as a service to its readers, but does not edit the articles it publishes. Articles appear on for a limited time.