The Traton Group has started the year 2025 cautiously. Nevertheless, the company is optimistic about the second half of the year. In a recent press release, the company confirmed its forecast for the full year.
In the first quarter of 2025, the commercial vehicle manufacturer's revenue fell by ten percent to 10.6 billion euros. Sales also decreased by ten percent compared to the same quarter of the previous year to 73,100 vehicles. At the same time, the adjusted operating profit dropped significantly to 646 million euros.
Despite these declines, the Traton Group recorded a positive trend in order intake, increasing by 12 percent to 74,300 vehicles. The company emphasized that demand had increased significantly, especially in Europe. The ratio of order intake to sales – the so-called book-to-bill ratio – climbed from 0.8 to 1.0.
Christian
Levin, CEO of the Traton Group, stated:
“As the Traton Group, we have impressed in the first quarter with solid performance in a continually challenging economic and political environment. As expected, we recorded declines in sales, revenue, and earnings. Despite significant uncertainty, the outlook gives me cautious optimism. Order intake is picking up again and was 12 percent above the previous year in the first quarter. In Europe, even by 56 percent. Demand for battery-electric vehicles is also gaining momentum. In the first quarter, we were able to double our sales in this area. Our brands have the right products to make our purpose a reality: Transforming Transportation Together. For a sustainable world.”
Brands in Detail
The results for the brands of the Traton Group developed differently. Scania Vehicles & Services achieved an adjusted operating margin
of 10.5 percent. However, sales in the truck business declined, among other reasons due to general buying reluctance and unfavorable currency effects.
MAN Truck & Bus also felt the weaker market situation in Europe. The adjusted operating margin fell from 7.9 to 4.6 percent. While it was possible to reduce fixed costs, the revenue decline could only be partially offset.
In North America, the International brand recorded a significant sales decline in the truck segment. At the same time, bus sales increased. The adjusted operating margin was 2.3 percent, below the previous year's value.
In contrast, Volkswagen Truck & Bus increased its adjusted operating margin to 13.1 percent. A strong increase in truck sales, particularly in Brazil, contributed to this development. However, currency effects burdened revenue growth.
Outlook Remains Positive
Dr. Michael Jackstein, CFO and CHRO
of the Traton Group, expressed cautious optimism:
“Once again, we benefited in the first quarter from the collaboration of our brands and our international positioning. The uncertainties in the market clearly show, however, that even with positive momentum in Europe in terms of order intake in the first quarter, we cannot yet speak of a fundamental upswing. We are also keeping an eye on current geopolitical developments. Nevertheless, we remain optimistic for the second half of the year and maintain our annual forecast for 2025.”
The Traton Group continues to expect that sales and revenue could fluctuate within a range of minus five to plus five percent compared to the previous year. The company anticipates an adjusted operating margin between 7.5 and 8.5 percent. However, these forecasts are subject to further geopolitical developments, particularly in the
