This is the period of the first breakthrough for Penta as a product name. The general depression at the start of the 1920s forced the company to keep business at a very low level. Two events would change this.
In 1922 the U2 outboard engine was introduced and 343 units were sold in the very first year. During the whole of the 1920s, no less than 7,874 U2s were sold – more than the rest of the product range put together.
Assar Gabrielsson was the sales manager at SKF, and together with the engineer Gustaf Larson, who had experience in the British automobile industry, he decided to invest in a Swedish-built car. With its long experience in engine production, Pentaverken was given the opportunity to produce an engine – at a very reduced price. The engine was to have a displacement of two liters and an output of 28 horsepower. In 1927, a total of 710 DA engines were delivered to Volvo and the numbers quickly rose. A total of 2,854 DA, DB and EB car engines were manufactured between 1927 and 1930. Volvo shortly thereafter became an important customer that gave Pentaverken increased confidence and belief in the future
