Volvo Group reported that its Volvo Financial Services customer finance business recorded strong levels of new business volume and assets under management reached all-time highs.

New financing volume during the quarter amounted to SEK 15.0 billion ($2.31 billion) compared to SEK 12.4 billion ($1.91 billion) for the same quarter a year earlier. Adjusting for movements in exchange rates, new financing volume increased by 24.2% compared to the fourth quarter of 2012.

In total, 16,450 new Volvo Group units were financed during the quarter compared to 14,063 in the same quarter in 2012. In the markets where financing was offered, the average market penetration rate in the fourth quarter was 28% (28%).

As of December 31, 2013, the gross credit portfolio amounted to SEK 105.3 billion ($16.18 billion), up from SEK 100.9 billion ($15.51 billion) at year-end 2012. On a currency adjusted basis, the credit portfolio increased by 6.3% when compared to the fourth quarter of 2012.

Credit provisions in the quarter amounted to SEK 244 million ($37.5 million)compared to SEK 184 ($28.3 million) while write-offs of SEK 220 million ($33.8 million versus SEK 188 ($28.9 million) were recorded. annualized write-off ratio through December 31,2013 was 0.71% compared to 0.58% compared to a year earlier.

Volvo said during the quarter, VFS syndicated approximately SEK 3.1 billion ($475 million) of the credit portfolio, including SEK 1.8 billion ($277 million) in Brazil in accordance with its risk diversification and funding strategy.