AB Volvo (VOLV_A) Q3 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

So welcome to the third quarter press conference from the Volvo Group. Today we will listen to our president Martin Lundstedt and to our CFO Mats Backman and then we'll follow up with a Q&A session. So with that short introduction I hand over to you Martin. Thank you, Johan, for that. And also from my side, welcome, everyone. It is encouraging to see, by the way, the new VNL here. You did see that. Maybe you did see Johan most here in the studio, by the way. But for everyone listening into the web, I think you did see the VNL. Now when it's a little bit turmoil situation in North America, it's encouraging to know that we have a great product range coming out when the market is turning back, basically. But coming to this quarter then, we are in a period, as you know, with weaker demand in our key regions anticipated to some extent, but also, of course, some other factors. And especially then for North America, with a high level of uncertainty and wait-and-see mode among our customers. But I have to say, despite the many moving parameters that we see right now, the group had a solid performance with an adjusted operating margin of 10.6%, showing a good earnings resilience also with these moving parameters. Here and now, we focus on what we really can impact in the group. We have adjusted and will continue to adjust our operation utilizing the toolbox that we have for volume flexibility. We have applied strict and effective cost control, have remained firm on commercial conditions and continue to drive our service business that showed positive development during the quarter with underlying growth of 5% adjusted for currency and the divestment of SDLG. That is showing that our customers around the world continue to utilize their vehicles and machines, which means also th...