Heavy vehicle-maker Scania says Russia and CIS drives Q2 income

Stockholm - Swedish heavy-vehicle and bus maker Scania posted higher second quarter profits Friday, driven by strong demand from Russia, the members of the Commonwealth of Independent States, Latin America and Asia. Pre-tax profit for the quarter was 4.24 billion kronor (702 million dollars), compared to 2.89 billion kronor for the corresponding business period 2007 - well above analysts forecasts. Second-quarter sales increased from 20.9 billion kronor to 23.89 billion kronor. "Order bookings decreased in Europe, while demand was strong in Russia and other CIS countries as well as in Latin America and Asia," Chief Executive Leif Ostling said. In its outlook, management said it expected "earnings 2008 will be higher than 2007" but said "recent developments in various markets in Europe make it difficult to give an outlook for... [read full story]