Volvo Ab Class A · OMXSTO:VOLV_A

Volvo Ab Class A — Q1 2019 Earnings Presentation

28 slides from Volvo Ab Class A's earnings presentation, Apr 24, 2019

  1. Slide 1: First quarter 2019

    First quarter 2019 Martin Lundstedt, President and CEO

  2. Slide 2: First quarter highlights

    Volvo Group FIRST QUARTER HIGHLIGHTS  Net sales +SEK 18 bn, up 20% (+12% excl. currency)  Adjusted operating income increased to SEK 12.7 bn (8.3), corresponding to a margin of 11.8% (9.3)  Operating cash flow in the Industrial Operations SEK 2.8 bn Volvo Group First quarter 2019 2 2019-04-24

  3. Slide 3: Volume development in the first quarter

    Volvo Group VOLUME DEVELOPMENT IN THE FIRST QUARTER Volvo Group First quarter 2019 3 2019-04-24

  4. Slide 4: Service sales development

    Volvo Group SERVICE SALES DEVELOPMENT TRUCKS CONSTRUCTION BUSES VOLVO PENTA EQUIPMENT Ex FX: +4% +2% +2% +10% Volvo Group First quarter 2019 4 2019-04-24

  5. Slide 5: Volvo Group

    Volvo Group

  6. Slide 6: Trucks

    Trucks

  7. Slide 7: Trucks market and volumes

    Volvo Group First quarter 2019 7 2019-04-24

  8. Slide 8: Trucks orders and deliveries

    Volvo Group First quarter 2019 8 2019-04-24

  9. Slide 9: Trucks deliveries

    Volvo Group First quarter 2019 9 2019-04-24

  10. Slide 10: Improved fuel efficiency

    Trucks IMPROVED FUEL EFFICIENCY  Volvo Trucks has introduced I-Save to provide leading fuel efficiency to its customers  I-Save can save fuel costs by up to 7%  Volvo FH with I-Save is available to order in European markets Volvo Group First quarter 2019 10 2019-04-24

  11. Slide 11: Construction Equipment

    Construction Equipment

  12. Slide 12: Market environment

    Construction Equipment MARKET ENVIRONMENT Volvo Group First quarter 2019 12 2019-04-24

  13. Slide 13: Quarterly orders -7% and deliveries +5%

    Construction Equipment QUARTERLY ORDERS -7% AND DELIVERIES +5% Volvo Group First quarter 2019 13 2019-04-24

  14. Slide 14: Volvo CE launches at Bauma

    Construction Equipment VOLVO CE LAUNCHES AT BAUMA  20 ton excavator EC200E aimed for general construction segment now also available in Europe following the roll-out done in Asia and China  Volvo CE unveiled full electric compact excavator and wheel loader  A 35 ton hybrid excavator was launched

  15. Slide 15: Buses

    Buses  Order intake improved by 33%, mainly driven by Asia, Oceania and Mexico  Deliveries increased by 18% mainly due to increased volumes in South America  Perth, Australia orders 450 buses with option of additional 450 buses Volvo Group First quarter 2019 15 2019-04-24

  16. Slide 16: Volvo Penta

    Volvo Penta  Order intake decreased by 15% due to strong Stage 5 pre-buy in 2018  Deliveries decreased by 9% post Stage 5 pre-buy deliveries  Entering Gothenburg’s ElectriCity project with the plan to introduce electric ferry end of 2020  Contract signed for development and delivery of electric

  17. Slide 17: Financial Services

    Financial Services  Penetration increased in Asia but decreased in EMEA and North America – Increased competition – Market mix  VFS EMEA rolls out Coach Assistance Insurance Volvo Group First quarter 2019 17 2019-04-24

  18. Slide 18: First quarter 2019 – CFO

    First quarter 2019 Jan Ytterberg, CFO

  19. Slide 19: Net sales per market

    Volvo Group NET SALES PER MARKET Volvo Group First quarter 2019 19 2019-04-24

  20. Slide 20: Adjusted operating income contributors

    Volvo Group ADJUSTED OPERATING INCOME CONTRIBUTORS Volvo Group First quarter 2019 20 2019-04-24

  21. Slide 21: Industrial Operations cash flow

    Volvo Group – Industrial Operations CASH FLOW Volvo Group First quarter 2019 21 2019-04-24

  22. Slide 22: Industrial Operations net financial position

    Volvo Group – Industrial Operations NET FINANCIAL POSITION Volvo Group First quarter 2019 22 2019-04-24

  23. Slide 23: Trucks net sales and adjusted operating income

    Trucks NET SALES AND ADJUSTED OPERATING INCOME Volvo Group First quarter 2019 23 2019-04-24

  24. Slide 24: Construction Equipment net sales and adjusted operating income

    Construction Equipment NET SALES AND ADJUSTED OPERATING INCOME Volvo Group First quarter 2019 24 2019-04-24

  25. Slide 25: Buses net sales & adjusted operating income

    Buses NET SALES & ADJUSTED OPERATING INCOME  Net sales currency-adjusted 11%: o Vehicle +14% o Services +2%  Adjusted operating income: + Vehicles volumes + Capacity utilization *Adjustments, see note 7 in Q1 report: Volvo Group Q1 2018: No adjustments First quarter 2019 Q1 2019: No adjustments 25

  26. Slide 26: Volvo Penta net sales & adjusted operating income

    Volvo Penta NET SALES & ADJUSTED OPERATING INCOME  Net sales currency-adjusted +3%: o Engines +1% o Services +10%  Adjusted operating income: + Product mix + Service sales *Adjustments, see note 7 in Q1 report: Volvo Group Q1 2018: No adjustments First quarter 2019 Q1 2019: No adjustments 26 2019-

  27. Slide 27: Financial Services credit portfolio and profitability

    Financial Services CREDIT PORTFOLIO AND PROFITABILITY Volvo Group First quarter 2019 27 2019-04-24

  28. Slide 28: Capital Markets Day Gothenburg June 18, 2019

    Volvo Group Capital Markets Day Gothenburg June 18, 2019

Volvo Group — Q1 2019 Earnings Presentation on 6ix