News article in McDonald’s website confirms that after more than 30 years of operations in the country, McDonald’s Corporation...

Economy

McDonald’s To Exit from Russia after 30 Years of Service in the Country

The dollar slipped against other major currencies for a third straight day on Tuesday, tempering a long rally as investors cashed out and trimmed bets on U.S...

Stock Markets

Dollar Slipped against other Major Currencies as Focus turns to Growth

Asian shares rise on Tuesday, boosted by technology majors, as hopes expectation grow for an easing of China's regulatory crackdown on...

Stock Markets

Asian Shares Rise on High Expectation of Easing China Tech Crackdown

On Friday, Elon Musk revealed that his $44 billion takeover deal for Twitter Inc. has been put “temporarily on hold”, triggering a share plunge...

Stock Markets

Musk’s $44 Billion Twitter Acquisition Deal ‘on Hold’ Causing Shares to Plunge

His Highness Sheikh Khalifa bin Zayed Al Nahyan, the President of the United Arab Emirates and Ruler of Abu Dhabi, has passed away on Friday, May 13, aged 73...

World

RIP: UAE’s Sheikh Khalifa Bin Zayed Al Nahyan Passes Away

Stock Markets

28 Apr 2022

Volvo Cars Earnings Surpass Forecast over Robust Demand amid Chip Shortage

Volvo Cars Earnings Surpass Forecast over Robust Demand amid Chip Shortage

The Index Today

On Thursday, luxury automaker Volvo Cars revealed that the demand for their products remained sturdy despite the global chip scarcity, even as shortages continues to ease. This comes after the company’s revenue exceeded forecasts and analyst expectations.

Volvo’s Chief Financial Officer Bjorn Annwall said to Reuters, "So far those price increases have come through and it hasn't dampened demand at all."

This comes after a global shortage in semiconductor supply stemming from the ongoing COVID-19 pandemic, caused carmakers to slash output despite climbing demand. Additionally, the Ukraine-Russia crisis has also led to a spike in costs of raw materials, shipments, and energy which Volvo intends to minimize by modifying prices. However, the company did warn that its output had slumped towards the end of the first quarter due to a brief scarcity in semiconductors, with the supply shortage likely to bleed into the second quarter.

Volvo’s Q1 operating income plunged to 6 billion Swedish crowns ($607.4 million) from 8.4 billion Swedish crowns a year ago. However, quarterly earnings surged by 8% to 74.3 billion crowns, surpassing analysts’ forecast of 71.15 billion crowns, reported Reuters.

©Photo: Reuters