Volvo Ab Class A · OMXSTO:VOLV_A
Volvo Ab Class A — AB Volvo — Q2 2025 Earnings Presentation
30 slides from Volvo Ab Class A's earnings presentation, Jul 17, 2025
Slide 1: Second Quarter 2025
voL.voaeo SECOND QUARTER 2025 Martin Lundstedt President and CEO 2025-07-17
Slide 2: Second quarter highlights
votLuLuveaoe VOLVO GROUP Second quarter highlights + Net sales amounted to SEK 122.9 bn (140.2) with SEK -10.4 bn in FX impact NET SALES ADJUSTED OPERATING INCOME SEK bn* SEK bn (margin)* + Adjusted operating income reached <<< 12 months SEK 500 bn <— 12 months 11.0% SEK 13.5 bn (19.4), correspondin
Slide 3: Volume development
VOLVO GROUP votLuLuveaoe Volume development Volvo Group | Second Quarter 2025, TRUCK DELIVERIES «== 12 months 207' units -10% 63.8 58.9 | | 528 Q2 Q@3 @ Qi @ Q@3 Q4 Qi Q2 2023 2024 2025 MACHINE DELIVERIES «== 12 months 59' units +11% 16.9 17.0 15.3 Q2 @3 Q@4 Qi @2 Q@3 G4 a1 a2 2023 2024 2025 2025-07
Slide 4: Electrification progress
VOLVO GROUP votLuLuveaoe Electrification progress Volvo Group | Second Quarter 2025, ORDER INTAKE, FULLY ELECTRIC VEHICLES «== 12 months 8,433 units +59% 2,273 1,703 1,434 Q2 Q3 Q4 Qi G2 Q3 G4 Qi a2 2023 2024 2025 DELIVERIES, FULLY ELECTRIC VEHICLES “== 12 months 7,650 units +26% 2,247 1,789 1,176 Q
Slide 5: Vehicle sales development
VOLVO GROUP voLveao Vehicle sales development VEHICLE SALES SEK bn 12 months SEK 374 bn -14% -6% excl. FX 109.2 107.3 92.7 Q@2 @3 Q@4 ai 2023 2024 2025 Volvo Group | Second Quarter 2025, YoY GROWTH % ™ -9% TRUCKS All figures are excluding FX —_ 2% CONSTRUCTION EQUIPMENT woe 18% VOLVO PENTA
Slide 6: Service sales development
VOLVO GROUP voLveao Service sales development SERVICE SALES (incl. Financial Services) SEK bn 12 months SEK 126 bn -9% 0% excl. FX 31.4 | 30.2 Q@2 @3 Q4 Qi @2 @3 @4 Qi @2 2023 2024 2025 Q2 2024 including Arquus. YoY growth excluding Arquus was +2% Volvo Group | Second Quarter 2025, YoY GROWTH % 7 2%
Slide 7: Group news
Group news * Volvo Group and Daimler Truck launched Coretura, setting a new industry standard for software defined vehicles * Volvo Group receives EU innovation support for CarbonSmart Initiative Volvo Group | Second Quarter 2025, voLveao 2025-07-17 7
Slide 8: Trucks news
voLveao Trucks news * Mack Trucks launched their all-new regional haul truck, Mack Anthem * Volvo Autonomous Solutions achieves milestone with over 1 million tonnes hauled autonomously at Branney Kalk Volvo Group | Second Quarter 2025 2025-07-17 8
Slide 9: Market environment
votLuLuveaoe TRUCKS Market environment NORTH AMERICA HD EUROPE HD 400 400 300 300 — 200 on was 200 i 2024: 308° ace, 2024: 314° a Forecast 2025: 275" oi Forecast 2025: 290’ 03 05 07 09 11 13 15 17 19 21 23 25 03 05 07 09 11 13 15 17 19 21 23 25 BRAZIL HD INDIA HD+MD CHINA HD+MD 180 = 1800 200 1.350
Slide 10: Trucks — Medium- and heavy-duty book to bill
TRUCKS — MEDIUM- AND HEAVY-DUTY Book to bill Medium- and heavy-duty trucks book to bill 89% in the quarter and 100% 12 months rolling votLuLuveaoe NORTH AMERICA formar 63 EUROPE 109 94 Q2 Q3 Q4 Q1 Q@2 Q@3 Q4 Q1 a2 2023 2024 2025 ‘SOUTH AMERICA Q2 Q@3 Q4 Q@1 Q@2 Q@3 Q4 Q1 Q@2 2023 2024 2025 Volvo Gro
Slide 11: Heavy-duty truck market shares
votLuLuveaoe Heavy-duty truck market shares EUROPE (EU29) 56.8 YTD May Battery-electric Total market share market share 198 16.8 10.5 B2 mm 2024 mm 2025 Volvo Renault Trucks Volvo Renault Trucks NORTH AMERICA BRAZIL AUSTRALIA YTD June YTD June YTD June 229 233 95 19.9 16.4 76 72 61 60 46 VWibo ak Vo
Slide 12: Construction Equipment news
votLuLuveaoe Construction Equipment news * Crawler excavator production footprint investments in South Korea, Sweden and the US to strengthen the regional value chains * Retail expansion in Europe through Swecon acquisition * Business operations in China being refocused and SDLG holding being divest
Slide 13: Market environment
CONSTRUCTION EQUIPMENT Market environment votLuLuveaoe NORTH AMERICA EUROPE 200 200 150 = 100 Sarre --y 50 A Forecast 2025: -15% to -5% é Forecast 2025: -5% to +5% 03 05 «07 09 11 13 15 17 19 21 23 25 03 05 07 09 11 13 15 17 19 21 23 25 ‘SOUTH AMERICA ASIA (excl. CHINA) 100 250 3 200 ST en Forecast
Slide 14: Book to bill
CONSTRUCTION EQUIPMENT Book to bill Construction equipment book to bill 98% in the quarter and 102% 12 months rolling votLuLuveaoe NORTH AMERICA Q2 03 @4 Q@1 Q2 a3 a4 Qi a2 2023 2024 2025 ‘SOUTH AMERICA 100 bea 76 Q2 Q3 Q4 Q@1 Q@2 Q@3 G4 @ a2 2023 2024 2025 Volvo Group | Second Quarter 2025 EUROPE Q
Slide 15: Buses
Buses * Prevost started deliveries of coaches to New York MTA out of Saint-Claire, Canada * Production start of Volvo electric bi-articulated bus chassis in Curitiba, Brazil * Book to bill 64% in the quarter and 97% 12 m rolling Volvo Group | Second Quarter 2025 votL.vao 2025-07-17 15
Slide 16: Volvo Penta
Volvo Penta * Announcement of fully electric marine propulsion range on IPS platform with introduction of new IPS9O0E model * Book to bill 77% in the quarter and 107% in 12 m rolling Volvo Group | Second Quarter 2025 voLuL.vo 2025-07-17 16
Slide 17: Financial Services
voLuL.vo Financial Services | li rf NEW RETAIL FINANCING & PENETRATION RATE * Stable portfolio performance SEK bn Penetration rate 12 months 31 % * Portfolio growth * Growing penetration 29.2 27.7 27.8 Q@2 @3 @4 Qi @2 @3 @4 Qi @Q2 2023 2024 2025 Volvo Group | Second Quarter 2025
Slide 18: Second Quarter 2025
voL.voaeo SECOND QUARTER 2025 Mats Backman EVP and CFO 2025-07-17
Slide 19: Net sales per market
VOLVO GROUP Net sales per market Volvo Group | Second Quarter 2025 votLuLuveaoe —.. 12 133.3 Q2 2024 Europe North South Asia Africa Q22025 FX Q22025 America America and excl FX Oceania 2025-07-17 49
Slide 20: Adjusted operating income contributors
voLveao VOLVO GROUP Adjusted operating income contributors ADJUSTED OPERATING INCOME SEK bn 19.4 08 01 01 158 4h + Operating expenses r ae 02 | a il + Service business = on 01 Hiss -2.3 - Volumes me - Brand, market and product mix - Tariff costs Q2 Gross Cash NetR&DSelling Admin Other Q2 FX Q2 2024
Slide 21: Adjustment items
voLuL.vo Adjustment items Adjustment of operating income, net SEK -3.5 bn: 1. One-time ZEV transformation cost SEK -4.5 bn — Compensation payments SEK -2.9 bn, whereof cash flow impact in Q@Q2 SEK -1.9 bn — Impairment of battery-electric assets SEK -1.6 bn 2. Coretura joint venture SEK 1.0 bn — Gain
Slide 22: Cash flow, net financial position and ROCE
votLuLuveaoe VOLVO GROUP Cash flow, net financial position and ROCE in Industrial Operations OPERATING CASH FLOW ROCE NET FINANCIAL POSITION SEK bn == 12months SEK 31.6 bn % 12 months (Excl. pensions and lease liabilities) SEK bn 41.3% “ _ ee ee 4 Sensi a 30.2% — 7 \ = 25.7% \ - 61.6 59.3 43.1 12.6
Slide 23: Trucks
votLuLuveaoe Trucks Net sales and adjusted operating income NETSALES === 12 months SEK 339 bn ADJUSTED OPERATING INCOME ADJUSTED OPERATING INCOME SEK bn 14% SEK bn SEK bn (margin)* == 12 months 10.7% (excl. FX -7%) tas Currency SEK -1.4B I Q 13.3 (15.9%) (13.9%) i Operating expenses aa 93.7 95. + Se
Slide 24: Construction Equipment
votLuLuveaoe Construction Equipment Net sales and adjusted operating income NETSALES = 12months SEK 85 bn SEK bn -6% (excl. FX +1%) 29.0 | | | Q2 @3 Q4 Q@1 @2 Q@3 @4 Qi Q2 2023 2024 2025 Volvo Group | Second Quarter 2025 ADJUSTED OPERATING INCOME SEK bn 3.9 + Volume + Material cost 3.0 - Brand, mark
Slide 25: Buses
votLuLuveaoe Buses Net sales and adjusted operating income NETSALES == 12 months SEK 24 bn ADJUSTED OPERATING INCOME SEK bn SEKM -8% (excl. FX +1%) 554 + Price realization 474 + Service business mF - Volume Q@2 Q@3 Q4 Q1 @2 @3 Q4 QI Q2 Q2 Q2 2023 2024 2025 2024 2025 All numbers restated to exclude N
Slide 26: Volvo Penta
votLuLuveaoe Volvo Penta Net sales and adjusted operating income NET SALES == 12months SEK 20 bn ADJUSTED OPERATING INCOME SEK bn SEKM +5% 1,132 (excl. FX +12%) 1,016 A + Engine volume 5.5 5.4 a2 @3 @4 a1 a2 G3 a ai a2 a2 a2 2023 2024 2025 2024 2025 Volvo Group | Second Quarter 2025 ADJUSTED OPERATI
Slide 27: Financial Services
Financial Services Credit portfolio and profitability CREDIT PORTFOLIO & ROE* SEK bn === ROE 12 months 11,7% 252 271 264 Q2 Q3 Q4 Qi G2 O38 4 Qi Q 2023 2024 2025 *As of Q1 2025, the equity ratio has been increased from 8.0% to 10.0% Volvo Group | Second Quarter 2025 votLuLuveaoe ADJUSTED OPERATING I
Slide 28: Second quarter highlights
votLuLuveaoe VOLVO GROUP Second quarter highlights + Net sales amounted to SEK 122.9 bn (140.2) with SEK -10.4 bn in FX impact NET SALES ADJUSTED OPERATING INCOME SEK bn* SEK bn (margin)* + Adjusted operating income reached <<< 12 months SEK 500 bn <— 12 months 11.0% SEK 13.5 bn (19.4), correspondin
Slide 29: Questions and Answers
Slide 30: voLlv o
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