Volvo Construction Equipment reported full-year net sales of SEK64.9 billion (€7.3 billion), up 21% compared to 2010 amid strong momentum in North American and Asian markets.
For full year 2011, Volvo CE said it increased unit sales by almost 30%, selling 84,000 units.
It also said the value of its order book at 31 December, 2011, was 51% higher than a year earlier.
Sales in Europe increased 18% year-on-year in 2011 to SEK19 billion (€2.2 billion), while North American sales jumped 25% to SEK7.9 billion (€888 million).
South American sales were up 1% at SEK4.2 billion (€472 million), Asian sales grew 24% to SEK30.2 billion (€3.4 billion) and sales in other markets grew 28% to SEK3.7 billion (€423 million).
Volvo CE forecast that the global market for construction equipment would continue to grow in 2012. It predicted 10% to 20% growth in the European construction equipment market, while the North American market was forecast to grow between 15% and 25% and South America by as much as 10%.
Excluding China, Asian markets are expected to grow between 10% and 20% this year.
China, however, is expected to be on the same level as 2011 - a slowdown which Volvo CE attributed to measures by the Chinese government to curtail inflation. The company claimed it had built a 12% share of the Chinese wheeled loader and excavator market by the end of 2011.
Meanwhile, in the fourth quarter of 2011, Volvo CE reported a 12% decrease in operating income to SEK1.7 billion (€186 million). It said the drop was down to a SEK320 million (€36 million) negative impact from changes in currency exchange rates.