Volvo Group reported that its Volvo Financial Services (VFS) customer finance business delivered good results during Q2/13 stemming from profitable growth and stable portfolio performance in the majority of served markets.

Volvo said as of June 30, 2013, the gross credit portfolio amounted to SEK 103.3 billion ($15.85 billion), up from SEK 101.9 billion ($15.63 billion). On a currency adjusted basis, the credit portfolio increased by 5.6% when compared to Q2/12.

Operating income in Q2/13 amounted to SEK 416 million ($63.8 million) compared to SEK 387 ($59.4 million) a year earlier. Volvo said the improvement compared to the previous year was driven mainly by stronger margins and higher earning assets.

New financing volume during the quarter amounted to SEK 11.7 billion ($1.80 billion) compared to SEK 12.7 billion ($1.95 billion). Volvo said adjusting for movements in exchange rates, new financing volume decreased by 2% compared to Q2/12.

In total, 12,655 new Volvo Group units were financed during the quarter compared to 13,506 units in the same quarter in 2012. In the markets where financing is offered, Volvo said the average market penetration rate in the second quarter was 26% versus 27% in Q2/12.

Volvo noted that during the quarter, VFS syndicated approximately SEK 2.1 billion ($322 million) of the credit portfolio, including SEK 1.2 billion ($184 million) in Brazil in accordance with its risk diversification and funding strategy.