Volvo Group - report on the first quarter 2011

Volvo Group - report on the first quarter 2011

During the first quarter of 2011, the Volvo Group had strong sales
growth with significantly improved profitability. Sales amounted to SEK
72 billion, an increase of 22% compared with the year-earlier period.
Operating income rose to SEK 6.5 billion, with an operating margin of
9.1%.

  · In the first quarter, net sales increased by 22% to SEK 71.6 billion
(58.6). Adjusted for currency movements, sales increased by 33%
  · Highest ever operating income and operating margin for a first
quarter
  · The first quarter operating income amounted to SEK 6.5 billion
(2.8). Operating margin in the first quarter was 9.1% (4.8). Compared to
the first quarter of 2010, changes in exchange rates had a negative
impact of approximately SEK 1.3 billion
  · Operating income was positively affected by recognition of VAT
credits corresponding to SEK 590 M and negatively affected by
disturbances in the Japanese business estimated at SEK 250 M
  · In the first quarter, basic and diluted earnings per share amounted
to SEK 2.01 (0.83)
  · In the first quarter, operating cash flow in the Industrial
Operations was negative in an amount of SEK 4.0 billion (negative SEK
2.7 billion) reflecting normal seasonality

“We note that our mature markets are recovering, with continuing sharp
sales increase and favorable profitability in our operations in the
emerging markets of Brazil, China and India.” Leif Johansson, President
and CEO.

For an English PDF version of the report, please click here: Volvo Group
Q1 2011
PDF (http://www3.volvo.com/investors/finrep/interim/2011/q1/q1_2011_eng.
pdf)

For an English web version of the report please click here: Volvo Group
Q1 2011
HTML (http://www3.volvo.com/investors/finrep/interim/2011/q1/eng/index.h
tml)

For a mobile version of the report please click here: Volvo Group Q1
2011
Mobile (http://www3.volvo.com/investors/finrep/interim/2011/q1/eng/mobil
e/index.html)

Aktiebolaget Volvo (publ) 556012-5790            Contacts Investor
Relations:   
Investor Relations, VHQ                          Christer Johansson     
      +46 31 66 13 34
SE-405 08 Göteborg, Sweden                       Patrik Stenberg        
      +46 31 66 13 36
Tel +46 31 66 00 00                              Anders Christensson    
      +46 31 66 11 91
www.volvogroup.com (http://www.volvogroup.com/)  John Hartwell          
      +1 212 418 7432