Volvo Group – the first quarter 2016

In the first quarter profitability was maintained thanks to a lower cost base and focus on adapting to changes in demand. This was despite slightly lower revenues. Sales amounted to SEK 71.7 billion, a decline of 4%, half of which was due to currency effects. Operating income totaled SEK 5.3 billion, representing an operating margin of 7.5%.
interim report

• In Q1 2016 net sales decreased by 4% to SEK 71.7 billion (74.8). Adjusted for currency movements and acquired and divested units sales decreased by 2%.

• Operating income amounted to SEK 5,344 M compared with SEK 7,066 M, excluding restructuring charges of SEK 229 M in Q1 2015.

• Operating income in Q1 2016 includes a capital gain of SEK 885 M from the sale of the external IT operation while operating income in Q1 2015 included a capital gain of SEK 2,471 M from the sale of shares in Eicher Motors Limited.

• Adjusted for capital gains and restructuring charges (in 2015), operating income amounted to SEK 4,459 M (4,595), corresponding to an operating margin of 6.2% (6.1).

• Currency movements had a negative impact of SEK 417 M on operating income.

• Operating cash flow in the Industrial Operations was negative in an amount of SEK 10.4 billion (-1.7).

Press and Analyst Conference. An on-line presentation of the report, followed by a question-and-answer session will be webcast starting at 9.00 a.m. CEST. More information under Interim Reports on

Contacts Investor Relations:
Christer Johansson,
+46 31 66 13 34
Anders Christensson, +46 31 66 11 91
Anna Sikström + 46 31-66 13 36
John Hartwell
+1 201 252 8844


q1_2016_eng.pdf Format PDF Size 729 KB
q1_2016_sve.pdf Format PDF Size 728 KB