Volvo Ab Class A · OMXSTO:VOLV_A

Volvo Ab Class A — AB Volvo — Q2 2004 Earnings Presentation

15 slides from Volvo Ab Class A's earnings presentation, Jul 21, 2004

  1. Slide 1: Second Quarter 2004 Conference Call

    Second Quarter 2004 Conference Call, July 21, 2004

  2. Slide 2: Highlights

    Conference Call Q2 2004 1 Highlights Second Quarter In Focus Going Forward z Good business environment in all markets z Henlys Group z Upturn management z Continued sales growth +19% z Continued focus on z Strong improvement in operating income capital management in all Business Areas: z Repurchase

  3. Slide 3: Net sales, Operating income, Earnings per share

    Conference Call Q2 2004 2 Net sales (SEK bn) Europe North 58% America Asia 25% 10% Q2 03 Q3 03 Q4 03 Q1 04 Q2 04 South 44.6 40.5 48.7 45.5 53.0 America Rest of 172.9 171.9 174.8 179.3 187.8 3% the world 4% Quarter 12 months rolling Operating income* Earnings per share (SEK M) (SEK) Q2 03 Q3 03 Q4 03

  4. Slide 4: Consolidated Results

    Conference Call Q2 2004 3 Consolidated Results Second Quarter 2004 SEK M 2004 2003 Net Sales 53,024 44,593 Adjusted for currency +21% Gross income 11,534 8,595 21.8% 19.3% R&D expenses (1,867) (1,664) Selling expenses (4,518) (3,789) Administrative expenses (1,432) (1,282) Other op. Income & expense

  5. Slide 5: Development of cash conversion cycle

    Conference Call Q2 2004 4 Volvo Group Development of cash conversion cycle SEK bn Days 40 90 80 Working capital 35 80 CCC - days 70 30 60 25 50 20 49 40 15 34 30 10 20 5 10 0 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2001 2002 2003 2004 AB Volvo 04-07-21

  6. Slide 6: Trucks

    Conference Call Q2 2004 5 Trucks Second Quarter Net sales Operating income (SEK bn) (SEK M) Q2 03 Q3 03 Q4 03 Q1 04 Q2 04 Q2 03 Q3 03 Q4 03 Q1 04 Q2 04 29.4 26.9 33.2 31.2 34.9 1023 944 1457 1476 2287 116.4 114.9 117.0 120.8 126.3 3.5% 3.5% 4.4% 4.7% 6.6% 2730 3001 3951 4900 6164 Quarter 12 months r

  7. Slide 7: Heavy Duty Truck Market - Europe

    Conference Call Q2 2004 6 Heavy Duty Truck Market Europe 25 Units, Thousands (heavy trucks) 300 256 Forecast: 250 250 230 246 200 188 214 171 150 170 122 100 116 50 Western Europe Europe 25 Forecast 0 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 '00 '01 '02 '03 '04E AB Volvo 04-07-21

  8. Slide 8: Heavy Duty Truck Market - North America

    Conference Call Q2 2004 7 Heavy Duty Truck Market North America Units, Thousands (heavy trucks) 309 300 Forecast: 250 236 230-240 200 174 199 179 150 170 134 122 100 50 Forecast 0 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 '00 '01 '02 '03 '04E AB Volvo 04-07-21

  9. Slide 9: Volvo Buses

    Conference Call Q2 2004 8 Volvo Buses Second Quarter Net sales Operating income* (SEK bn) (SEK M) Q2 03 Q3 03 Q4 03 Q1 04 Q2 04 Q2 03 Q3 03 Q4 03 Q1 04 Q2 04 -89 -93 -96 -47 91 3.1 2.8 3.1 2.5 3.6 -2.9% -3.3% -3.1% -1.8% 2.5% 12.8 12.7 12.0 11.6 12.1 -223 -232 -361 -325 -145 Quarter 12 months rollin

  10. Slide 10: Volvo Construction Equipment

    Conference Call Q2 2004 9 Volvo Construction Equipment Second Quarter Net sales Operating income (SEK bn) (SEK M) Q2 03 Q3 03 Q4 03 Q1 04 Q2 04 Q2 03 Q3 03 Q4 03 Q1 04 Q2 04 6.3 5.6 6.5 6.1 8.1 425 210 133 309 648 21.4 21.9 23.2 24.5 26.4 6.8% 3.7% 2.0% 5.0% 8.0% 638 728 908 1077 1300 Quarter 12 mon

  11. Slide 11: Volvo Penta

    Conference Call Q2 2004 10 Volvo Penta Second Quarter Net sales Operating income (SEK bn) (SEK M) Q2 03 Q3 03 Q4 03 Q1 04 Q2 04 Q2 03 Q3 03 Q4 03 Q1 04 Q2 04 212 153 171 188 307 2.0 1.8 1.9 2.2 2.6 10.4% 8.5% 9.2% 8.6% 11.9% 7.4 7.5 7.6 7.9 8.4 647 683 695 724 819 Quarter 12 months rolling Quarter M

  12. Slide 12: Volvo Aero

    Conference Call Q2 2004 11 Volvo Aero Second Quarter Net sales Operating income (SEK bn) (SEK M) Q2 03 Q3 03 Q4 03 Q1 04 Q2 04 Q2 03 Q3 03 Q4 03 Q1 04 Q2 04 1.9 1.8 2.1 1.6 1.9 11 -2 -47 101 173 8.1 8.0 8.0 7.3 7.4 0.6% -0.1% -2.2% 6.5% 9.2% -108 -38 -44 63 225 Quarter 12 months rolling Quarter Marg

  13. Slide 13: Volvo Financial Services

    Conference Call Q2 2004 12 Volvo Financial Services Second Quarter New retail financing Operating income and return on equity (SEK bn) (SEK M) Q2 03 Q3 03 Q4 03 Q1 04 Q2 04 Q2 03 Q3 03 Q4 03 Q1 04 Q2 04 6.1 6.9 8.0 6.0 8.2 221 242 251 281 307 25.7 26.1 26.9 27.0 29.1 6.6% 9.0% 9.8% 10.2% 10.4% Quart

  14. Slide 14: Summary

    Conference Call Q2 2004 13 Volvo Group Summary z Efficiency, new products and scale pays off z Improved cash flow z Strong EPS development z Good business environment in all markets z Upturn management AB Volvo 04-07-21

  15. Slide 15: Conference Call Q2 2004

    Conference Call Q2 2004 14 AB Volvo 04-07-21

AB Volvo — Q2 2004 Earnings Presentation on 6ix