Scania’s 4Q Profit Declines

Swedish truck maker Scania AB’s fourth-quarter net income fell to about $180 million, or 23 cents a share in the first quarterly earnings drop in more than three years, Bloomberg reported.

Profit was about $324 million last year, or 40 cents a share, as customers delayed orders.

Scania's quarterly sales decreased 7.7% to about $2.7 billion, led by falling demand in eastern Europe and RUssia, Bloomberg said.

The company said last month that it would not renew contracts for 2,000 temporary employees as a result of the "persistent uncertainty" in the economic outlook.

Scania is controlled by German sports car maker Porsche SE, through its 50.8% ownership in Volkswagen AG. Volkswagen become the company's largest investor in 2008 when Investor AB sold its stake in Scania to Volkswagen.