Volvo AB Class A · OMXSTO:VOLV_A
Volvo AB Class A — AB Volvo — Q3 2005 Earnings Presentation
14 slides from Volvo AB Class A's earnings presentation, Oct 25, 2005
Slide 1: Third Quarter 2005 Conference Call
Third Quarter 2005 Conference Call, October 25, 2005
Slide 2: Highlights
Conference Call Q3 2005 1 Highlights Third Quarter In Focus Going Forward z Business environment z Manage and capitalize on - Continued strong demand in North America product introductions - Europe flattening out on a high level z S&A costs z Continued strong sales growth: +14% z Cash Flow z Improve
Slide 3: Net sales, operating income and earnings per share
Conference Call Q3 2005 2 Net sales (SEK bn) Europe North 48% (53%) America Asia 32% (29%) 9% Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 South America Rest of 46.0 57.0 52.3 61.1 52.5 193.9 202.2 208.6 216.4 222.9 6%(4%) the world 5% Quarter 12 months rolling Operating income* Earnings per share (SEK M) (SEK) Q3
Slide 4: Volvo Group - Profit and Loss Statement
Conference Call Q3 2005 3 Volvo Group - Profit and Loss Statement* SEK M Q3-2005 Q3-2004 Net Sales 52,532 46,024 Up 10% adjusted for currency and acq./div. Gross income 11,927 10,345 R&D expenses (1,791) (1,831) Selling expenses (4,719) (4,401) Administrative expenses (1,318) (1,208) Other op. Incom
Slide 5: Trucks
Conference Call Q3 2005 4 Trucks Third Quarter Net sales Operating income (SEK bn) (SEK M) Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 31.3 39.5 35.9 41.1 34.9 1807 3312 3077 3402 2496 130.6 136.9 141.6 147.8 151.5 5.8% 8.4% 8.6% 8.3% 7.1% 7137 8992 10532 11598 12287 Quarter 12 month
Slide 6: Heavy Duty Truck Market - Europe
Conference Call Q3 2005 5 Heavy Duty Truck Market Europe (EU members + Switzerland and Norway) Units, Thousands (heavy trucks) 300 2005 approx. 5% 256 250 246 200 188 214 171 150 170 122 100 116 50 Western Europe Europe Forecast 0 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 '00 '01 '02 '03 '04 '05E
Slide 7: Heavy Duty Truck Market - North America
Conference Call Q3 2005 6 Heavy Duty Truck Market North America Units, Thousands (heavy trucks) 2005 approx. 25% 309 300 250 255 236 200 174 199 179 150 170 134 122 100 50 Forecast 0 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 '00 '01 '02 '03 '04 '05E '06E AB Volvo 2005-10-25
Slide 8: Volvo Buses
Conference Call Q3 2005 7 Volvo Buses Third Quarter Net sales Operating income* (SEK bn) (SEK M) Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 -10 189 32 160 144 2.9 3.6 3.2 4.2 3.9 -0.3% 5.2% 1.0% 3.8% 3.7% 12.2 12.7 13.4 14.0 15.0 -32 253 316 371 525 Quarter 12 months rolling Quarter
Slide 9: Volvo Construction Equipment
Conference Call Q3 2005 8 Volvo Construction Equipment Third Quarter Net sales Operating income (SEK bn) (SEK M) Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 6.6 7.9 7.2 9.6 7.8 370 425 558 937 521 28.0 29.4 30.0 31.2 32.4 5.6% 5.4% 7.8% 9.8% 6.7% 1606 1898 2104 2290 2441 Quarter 12 m
Slide 10: Volvo Penta
Conference Call Q3 2005 9 Volvo Penta Third Quarter Net sales Operating income (SEK bn) (SEK M) Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 207 238 206 302 230 2.1 2.2 2.4 2.6 2.3 9.7% 10.9% 8.6% 11.5% 9.9% 8.7 9.1 9.3 9.3 9.5 873 940 958 953 976 Quarter 12 months rolling Quarter Mar
Slide 11: Volvo Aero
Conference Call Q3 2005 10 Volvo Aero Third Quarter Net sales Operating income (SEK bn) (SEK M) Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 1.7 1.8 1.6 1.8 2.0 100 13 210 168 239 7.2 6.9 7.0 6.9 7.2 6.0% 0.7% 12.8% 9.4% 12.0% 343 403 504 491 630 Quarter 12 months rolling Quarter Marg
Slide 12: Volvo Financial Services
Conference Call Q3 2005 11 Volvo Financial Services Third Quarter New retail financing Operating income and return on equity (SEK bn) (SEK M) Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 7.4 7.7 7.0 8.8 7.9 343 434 587 483 484 29.6 29.3 30.3 30.9 31.4 9.7% 11.1% 13.9% 14.3% 15.4% Quar
Slide 13: Volvo Group Summary
Conference Call Q3 2005 12 Volvo Group Summary z Continued good sales development +14% z Improved profitability in all Business Areas z Manage and capitalize on product introductions AB Volvo 2005-10-25
Slide 14: Conference Call Q3 2005
Conference Call Q3 2005 13 AB Volvo 2005-10-25