Volvo Car Ab Class B · OMXSTO:VOLCAR_B
Volvo Car Ab Class B — Q3 2025 Earnings Presentation
24 slides from Volvo Car Ab Class B's earnings presentation, Oct 23, 2025
Slide 1: Q3 2025 Financial Results
Q3 2025 FINANCIAL RESULTS Håkan Samuelsson, President & CEO Fredrik Hansson, CFO Volvo Car Group Results Presentation Q3 2025
Slide 2: Solid performance in a tough market
Solid performance in a tough market Volume down 7% but Increased pricing Reduced US Tariffs turned to growth in pressure but offset by offer clarity. Further September upgraded XC60 mitigating measures evaluated EBIT margin of 7.4% Volvo Car Group Results Presentation Q3 2025
Slide 3: Three cornerstones to drive profitable growth
Three cornerstones to drive profitable growth Positioned to grow and Regionalised Executing the SEK 18 recover market share in commercial and bn cost and cash action fast-growing BEV and product offerings in key plan, delivered faster PHEV segments globally regions than planned results Volvo Car Gro
Slide 4: Positioned to grow in fast growing BEVs and PHEVs
ELECTRIFICATION Positioned to grow in fast growing BEVs and PHEVs Fully electric PHEVs Q3 Developments • EX90: Ramping up after major software upgrade • EX60: On-road testing before reveal in January • EX30: Successfully ramped up at Ghent • XC70: Delivering with encouraging customer response • ES90
Slide 5: Regional approach is delivering
REGIONALISATION Regional approach is delivering Objective Enable profitable growth through empowerment and accountability Developments Back to growth in September China Europe Americas • New governance structure • BEV orders picking up • Two new products • Start of production of XC70, • Strong perfo
Slide 6: Financial Update
Q3 2025 = ee FINANCIAL UPDATE
Slide 7: Q3 — Financials in brief
Q3 — Financials in brief Strong performance in a seasonally weak quarter Faster than planned reductions in variable and indirect costs Cashflow impacted by seasonality Volvo Car Group Results Presentation Q3 2025
Slide 8: Q3 — Key financials
Q3 — Key financials Retail sales Wholesales Revenue Group EBIT Cash flow (k UNITS) (k UNITS) (bn SEK) (bn SEK/%) from operating and investing activities +11% (bn SEK) -7% -6% -7% 173 171 93 6.4 161 161 5 86 5.8 3 87 83 -0.4 6.2% 7.4% -4.3 Q3 Q3 Q3 Q3 Q3 Q3 Q3 Q3 Q3 Q3 2024 2025 2024 2025 2024 2025 2
Slide 9: Q3 — Lower volumes offset by other operations, FX impacts
Q3 — Lower volumes offset by other operations, FX impacts -4.3 BN SEK (-5%) 92.8 87.6 1.3 3.2 86.4 1.0 2.6 83.3 -5.2 -4.8 -4.5 Revenue Contract Revenue Volume Sales mix Sales of licenses Foreign Other¹ Revenue Contract Revenue Q3 2024 manufacturing excl. contract and pricing exchange rates excl. con
Slide 10: Q3 — EBIT supported by cost action plan delivering and lower restructuring costs
Q3 — EBIT supported by cost action plan delivering and lower restructuring costs +0.6 BN SEK (+11%) 0.5 6.4 5.8 2.6 5.9 -1.1 0.4 1.2 -1.4 6.2% 6.9% 7.4% -1.6 Group EBIT Volume Sales mix Depreciation Sale of Foreign Other¹ Group EBIT Restructuring Group EBIT Q3 2024 and pricing and licenses exchange
Slide 11: Reported quarterly EBIT margin development
Reported quarterly EBIT margin development Adjusted for items affecting comparability 7,9% LTM 6,9% 6,2% • Reversal in our own sales trends 5,0% 5,0% in September • Continued positive effects from 3,1% our cost and cash programme 2,3% • Short term market expected to be increasingly challenging Q1 Q2
Slide 12: Liquidity in Q3 impacted by seasonality and investments
Liquidity in Q3 impacted by seasonality and investments Cash flow from operating and 82 investing activities -4.3 bn SEK 78 Undrawn credit facilities 13 26 Cash 0 27 -9 -7 -1 56 51 Liquidity EBITDA Net working Other Investments Financing³ Liquidity Jun 2025 capital¹ working Sep 2025 capital² 1) Chan
Slide 13: Successfully executing the 18 bn cost and cash action plan
PROFITABILITY Successfully executing the 18 bn cost and cash action plan Q2 Q3 & Q4 Target Variable cost Supplier negotiation Special task force effects of Geely synergies Leaner logistics 3 bn with Geely started reduction of one port Completed redundancy Indirect Initiated redundancy Reduced indire
Slide 14: Reduced planned investments: Peak is behind us
Reduced planned investments: Peak is behind us • Finalising major investments in new Investments (SEK bn.) product architecture • Investments reduced 25% to date Today Cell-to-body • Future investments New Tech being reduced to Mega casting affordable level E-motor Manufacturing Taizhou factory Koši
Slide 15: Maintained working capital discipline: Total Inventory
Maintained working capital discipline: Total Inventory -14 bn SEK 83 79 73 65 67 64 62 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 Volvo Car Group Results Presentation Q3 2025
Slide 16: Summary Q3
Summary Q3 1. Continued market 2. Solid EBIT margin, 3. Cashflow impacted 4. Back to sales pressure supported by cost & by seasonality and high growth in September cash action plan investments Volvo Car Group Results Presentation Q3 2025
Slide 17: Looking ahead
Looking ahead 1. Continued challenging 2. Further effects from 3. Back to affordable 4. A new beginning with the market expected our cost and cash action investment levels launch of the EX60 plan Strategy update November 6th investors.volvocars.com Volvo Car Group Results Presentation Q3 2025
Slide 18: Q&A
Q&A Volvo Car Group Results Presentation Q3 2025
Slide 19: Disclaimer
Disclaimer • By accessing this document, the person to whom from or in connection with the use of or reliance it is provided (the “Recipient”) agrees to be on this document and any such liability is bound by the following obligations and expressly disclaimed. Analyses and opinions limitations. conta
Slide 20: EBIT development
EBIT development Volvo excl. JVs & Associates EBIT development, MSEK Volvo Car Group 8,423 10,801 8,216 5,710 6,038 6,315 6,428 6,148 6,677 6,795 6,318 6,433 5,714 4,316 5,668 3,513 3,887 7,969 1,874 5,528 5,8774,612 5,100 4,993 4,458 5,388 4,706 5,790 6,255 4,815 3,708 3,443 3,852 3,329 1,939 2,050
Slide 21: Strong net cash and prudent maturity profile
Strong net cash and prudent maturity profile MATURITY PROFILE AND SPLIT (BN SEK) 78.0 Net cash 27.4 18.1 32.5 4% 24% 50.6 72% Loans 6.4 6.5 6.5 7.5 Green bond 2.5 1.5 0.5 0.5 0.2 5.5 5.5 5.5 0.7 0.6 0.5 0.5 0.6 0.4 5.5 0.4 0.7 0.3 Loans GFF* 0.3 1.0 1.0 2.0 0.0 Liquidity 2025 2026 2027 2028 2029 203
Slide 22: Quarterly performance 2021-2025
Quarterly performance 2021-2025 2021 2021 2022 2022 2022 2022 2023 2023 2023 2023 2024 2024 2024 2024 2025 2025 2025 MSEK Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Revenue 60,838 80,076 74,269 71,300 79,329 105,247 95,705 102,152 92,045 109,441 93,878 101,454 92,783 112,119 82,948 93,492 86
Slide 23: Financial net, tax and earnings per share
Financial net, tax and earnings per share Jul – Sep Jul – Sep MSEK 2025 2024 Operating income 6,433 5,790 Interest income and similar credits 500 479 Interest expenses and similar charges -453 -385 Other financial income and expenses -287 170 Income before tax 6,193 6,054 Income tax -1,682 -1,698 In
Slide 24: Slide 24