Volvo CE’s second-quarter 2025 earnings report continues the trend seen in its first quarter, with North American net sales and machine deliveries both down by double-digit percentages.
North American net sales fell 24.3% to $553.9 million in the second quarter and fell 21.4% for the first six months of the year to $1.1 billion.
Net order intake in North America was up 10% to 1,544 units vs. 1,406 in last year’s second quarter. North American net order intake for the first six months of the year was also up 11% to 3,169 machines.
Total second-quarter deliveries of machines in North America, however, were down 15% to 1,623 machines, and deliveries for the first six months of the year fell 16% to 3,053 units.
Second-quarter deliveries for all regions were up 11% to 16,987 units compared to the previous second quarter. Deliveries for large and medium construction equipment were up 7% to 12,363 units, while compact equipment deliveries jumped 25% to 4,624 units. Electric machine deliveries for the second quarter in all regions came in at 1,037 units, up 82% year-over-year.
Global net order intake rose by 24% to 16,720 units, and global Volvo CE brand-specific equipment orders rose 26% year-over-year to 7,295 units. A majority of orders in the second quarter were in the large and medium construction equipment category, which rose 17% year-over-year to 12,186 units. Compact equipment orders rose 45% to 4,534 machines, and orders for electric machines almost doubled to 1,051 units.
Net construction equipment sales in the second quarter among all regions were down 6% to $2.4 billion, excluding the effects of currency movements. For the first six months of the year, global construction equipment revenue fell 7% to $4.7 billion.
Total adjusted operating income in the second quarter came in at $314.5 million, down 23% year-over-year and representing an adjusted operating margin of 13.1% vs. 15.9% in last year’s second quarter.
Volvo CE did report it had seen a $24.1 million negative effect in the second quarter “as a result of the slower than previously anticipated transformation to zero-emission machines.”
The last few months have been busy ones for Volvo CE. In June, the company sold its 70% stake in Chinese-based wheel loader manufacturer SDLG for roughly $840 million but plans to keep the Volvo CE brand in the Chinese market. Also in June, Volvo CE announced plans to add new production lines to its sole U.S. manufacturing facility in the first half of next year.
Currency conversions as of July 22, 2025.
