Improved profitability

Net sales decreased 1% during the year to SEK 7,708 M, compared with SEK 7,803 M in 2009, primarily due to the lower USD and the divestment of Volvo Aero Services. Adjusted for exchange-rate fluctuations and the sale of Volvo Aero Services, sales rose 9%.

The divestment of Volvo Aero Services, which was implemented at the beginning of October, had a negative impact of SEK 538 M on operating income. Consequently, the operating profit amounted to SEK 286 M (50). The operating margin was 3.7% (0.6). Factors behind the improvement were primarily lower costs, higher productivity and increased sales in the core operations.