Making good on its CEO’s teased announcement last week that Kinaxis (TSX:KXS) had added another major automaker to its RapidResponse platform, the Ottawa-based firm revealed Monday morning that Volvo Cars is the firm’s newest customer in its growing automotive vertical.
A release states that Swedish carmaker Volvo will be using Kinaxis’s supply chain management software to optimize its production and forecasting to account for any “what if” scenarios, should they arise.
Volvo joins automakers such as Toyota and Nissan using the Kinaxis solution, and marks a major sale in the European market, where the firm just finished a hiring spree for new sales staff.
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CEO John Sicard told the firm’s quarterly earnings call last week that its footprint in Europe and Japan, as well as its growing prominence in the automotive industry, would be key to the Ottawa firm’s continued growth.
The markets reacted well to the Volvo news, with shares of Kinaxis ending the day up $1.58, or almost two per cent, on the Toronto Stock Exchange Monday.