Volvo Group – the first quarter 2015

In the first quarter of 2015 the effects of the Volvo Group’s strategic efficiency-improvement program continued to generate results. In several areas of the Group margins were improved, despite a negative market mix with significantly lower volumes in Brazil for trucks and in China for construction equipment.

• In the first quarter net sales amounted to SEK 74.8 billion (65.6). Adjusted for currency movements and acquired and divested units sales decreased by 1%.
• Operating income amounted to SEK 7,066 M (2,588) excluding restructuring charges of SEK 229 M (318). Operating income includes a positive impact of SEK 2,471 M from the sale of shares in Eicher Motors Limited. Currency exchange rates had a positive impact of SEK 1,282 M.
• Operating income excluding restructuring charges and the capital gain from the sale of shares amounted to SEK 4,595 M (2,588), corresponding to an operating margin of 6.1% (3.9).
• Operating cash flow in the Industrial Operations amounted to SEK –1.7 billion (–9.0).
• Net financial debt in the Industrial Operations amounted to 23% of equity.
• Truck order intake increased by 3% while order intake of construction equipment decreased by 24%.
• Acquisition of 45% of Dongfeng Commercial Vehicles completed.

Press and Analysts Conference 09.00 AM CET. An on-line presentation of the report, followed by a question-and-answer session will be webcast at 09.00 CEST.

Conference call for investors and analysts 3.00 PM CEST.

For more stories from the Volvo Group, please visit http://www.volvogroup.com/globalnews.

The Volvo Group is one of the world’s leading manufacturers of trucks, buses, construction equipment and marine and industrial engines. The Group also provides complete solutions for financing and service. The Volvo Group, which employs about 115,000 people, has production facilities in 19 countries and sells its products in more than 190 markets. In 2012 the Volvo Group’s sales amounted to about SEK 304 billion. The Volvo Group is a publicly-held company headquartered in Göteborg, Sweden. Volvo shares are listed on OMX Nordic Exchange Stockholm. For more information, please visit www.volvogroup.com or www.volvogroup.mobi if you are using your mobile phone.

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