Volvo Group – the second quarter 2018

Volvo Group – the second quarter 2018

Volvo Group – the second quarter 2018

The FINANCIAL -- “Demand in our main markets was solid in the second quarter of 2018, and both our vehicle and service business continued to grow at a good pace. Our net sales increased by 18% to SEK 104 billion, we improved the adjusted operating income by SEK 3 billion to SEK 11.5 billion and we reached an adjusted operating margin of 11.1% (9.6). This is the first time that the Volvo Group’s sales have exceeded SEK 100 billion in a single quarter and it is also the first time the operating margin is above 10%,” says Martin Lundstedt, President and CEO.

In Q2 2018 net sales increased by 18% to SEK 103.6 billion (87.9). Adjusted for currency movements and acquired and divested units sales increased by 16%.

Adjusted operating income amounted to SEK 11,519 M (8,402), corresponding to an adjusted operating margin of 11.1% (9.6). Adjusted operating income in Q2 2018 excludes a capital gain of SEK 818 M.

Reported operating income amounted to SEK 12,337 M (8,402).

Currency movements had a positive impact on operating income of SEK 672 M.

Diluted earnings per share of SEK 4.53 (2.86).

Operating cash flow in the Industrial Operations amounted to SEK 8.3 billion (11.9).