Volvo Car Group Presentation H1 2015 Results

7/24/2019 Volvo Car Group Presentation H1 2015 Results

1/13


2/13

US New plant in South Carolina announced

Sweden Three shifts in Torslanda, 1,500 new jobs

added

New regional structure

Consolidation of the Chinese industrial entities

All-new XC90

All-new XC90 excellent start

Positive impact on profitability

Delivery to customers

key events H1 2015

VOLVO CAR GROUP; JAN-JUN 2015


3/13

Sales slightly up

Strong performance in Sweden and Western Europe

US stabilizes

China slowing down

Improved Operating Income (EBIT) up to MSEK

1,660 (968)

Good Cash Flow management

performance H1 2015 strong Ebit



4/13

The Chinese industrial entities have been

incorporated into Volvo Car Group and are

fully consolidated from January 1, 2015

Reflects Volvo Cars global operations

Only OEM to consolidate

Volvo Cars increased its ownership up to 50%

Purchase price of BSEK 2.2

Chinese entities consolidated



5/13

Financials h1 2015



6/13

sales slight improvement


Retail sales

(number of cars sold) H1 2015 H1 2014

Western Europe (excl. Sweden) 93,398 87,630

China 38,292 38,751

Sweden 32,460 30,511

U.S. 29,367 29,331

Other markets 38,767 42,790

Total232 284 229 013


7/13

SEK millions H1 2015

Revenue 75,215

Gross Income 16,096

Operating Income (EBIT)1,660

Operating Margin (%) 2.2

Net Income 877

Operating & Investing Cash Flow* -1,044


Financial highlights H1 2015

*Adjusted for investments in marketable securities


8/13

EBIT Improvement driven by sales mix

290968

2,000

2,500

500

1,000

1,500

0

HMargin,

Exchange, Fixed

Cost and Other

Sales Mix

1,060

H1 2014 EBIT Volume

-658

msek



9/13

291

659

25,000

20,000

15,000

10,000

5,000

0

Cash Balance

& Marketable

Securities

FY2014

17,002

Exchange

on Cash

Financing

3,540

Marketable

Securities

Investing

-8,130

Operating

7,765

CASH Flow good management


msek


10/13

Slight increase in Revenue

Profitability improved

EBIT Margin up from 1.4% to 2.2%

Operating Income increased from MSEK 968 to

MSEK 1,660

Good Cash Flow management for operating

and investing activities

Summary Financials h1 2015



11/13

Sales growth close to 500,000 units

Return to growth in the U.S.

Positive impact from the XC90

Substantial improvements in profitability

2015 Outlook momentum continues



12/13

Q&A


13/13


Documents

Volvo Car Group Presentation H1 2015 Results