Volvo Q3 Report 2023

• In Q3 2023, net sales increased by 15% to SEK 132.4 billion (114.9). Adjusted for currency movements, the increase was 9%
• Adjusted operating income amounted to SEK 19,114 M (11,869), corresponding to an adjusted operating margin of 14.4% (10.3). Adjusted operating income excludes a negative effect of SEK 794 M from a loss on the divestment of the Group’s Russian entities.
• Reported operating income amounted to SEK 18,320 M (11,869).
• Operating cash flow in the Industrial Operations amounted to SEK 5,609 M (14,611).

In Q3 2023, the Volvo Group continued to deliver improved results, margins and profitability. Adjusted for currency, our net sales grew by 9% to SEK 132.4 billion and we increased the adjusted operating income to SEK 19.1 billion (11.9), corresponding to an adjusted operating margin of 14.4% (10.3). We have successfully mitigated cost inflation with price management and continued to handle disturbances in the supply chain. Return on capital employed increased to 33.7% (27.4).

The adjusted operating income in Q3 2023 excludes a negative effect of SEK 794 M from a loss on the divestment of the Group’s Russian entities. There were no adjustments in Q3 2022. For more information on adjusted operating income, please see note 6. Compared with Q3 2022, the higher adjusted operating income is mainly an effect of price realization.