While Daimler posted record results the other German commercial vehicle conglomerate, VW’s new brand Traton has also posted some fantastic results significantly increased its sales revenue and operating in 2018.
Traton’s sales revenue rose by six per cent to $AUD 41 billion (€25.9 billion ) across all brands.
The company’s adjusted operating profit increased by about 13 per cent to approximately $AUD 2.6 billion (€1.7 billion), more than doubling the rise in sales revenue.
“Traton has performed exceptionally well since being established three years ago. We remain right on track to become a global champion. As a group of strong brands, we create success for our customers and tap synergies together. We are ready to take the next steps.” Andreas Renschler, the CEO of Traton and a member of the Board of Management of Volkswagen AG, said:.
Now that the company has systematically taken steps to achieve capital market readiness and streamlined its portfolio, it will now focus on a new system of financial reporting,” said Renschler.
All three Traton brands produced strong results in 2018 with sales revenue of MAN Truck and Bus rising by about eight per cent to $17.12billion (€10.8 billion).
The increase in adjusted operating profit was up about 13 per cent to $AUD 856 million (€540 million).
The Scania operating unit revenue rose by more than four per cent and totalled about $AUD 20.16 billion (€13 billion). While its operating profit was weighed down by the additional costs associated with the introduction of the new truck generation but still rose by more than three per cent to $AUD1.9billion (€1.2 billion).
Following an economically weak year of 2017 in Brazil, sales revenue of the Volkswagen Caminhões e Ônibus operating unit increased by about 22 per cent to $AUD2.2 billion (€1.4 billion ) in 2018.
Traton is expecting a slight increase in sales revenue in 2019 driven by a slight increase in sales volume and will target a further increase in sales volume and a slight acceleration in sales revenue growth starting in 2020, driven by positive sales volume and aftermarket services revenue growing proportionally.
The result positions Traton well for the upcoming IPO which is set to unleash around $AUD 40 billion in value and capital fot the company to expand. And it is expected to buy a controlling share in Navistar in the USA giving it a footprint in a vital market, as Daimler has proved this year with record sales for its truck division there.