“2019 was another good year for the Volvo Group. We grew net sales by 11% to SEK 432 billion and improved our adjusted operating income to SEK 47.9 billion (40.7), with a margin of 11.1% (10.4). During the year we also continued to increase our financial strength,” says Martin Lundstedt, president and CEO. “With an operating cash flow of SEK 38.3 billion, we ended the year with a net cash position of SEK 62.6 billion in the Industrial Operations, excluding pension and lease liabilities. Our increased profitability and strong financial position allow us to invest in our future as well as return cash to our shareholders.”

The fourth quarter 2019

• In Q4 2019, net sales amounted to SEK 105.4 billion (105.8). Adjusted for currency movements, net sales decreased by 5%.

• Adjusted operating income amounted to SEK 9223m (10,597), corresponding to an operating margin of 8.8% (10.0).

• Reported operating income amounted to SEK 9379m (3597).

• Currency movements had a positive impact on operating income of SEK 763m.

• Diluted earnings per share amounted to SEK 3.27 (1.26).

• Operating cash flow in the Industrial Operations amounted to SEK 19,856m (15,471).

• Volvo Group and Isuzu Motors intend to form strategic alliance.

The full year 2019

• For the full year 2019 net sales increased by 11% to SEK 432.0 billion (390.8).

• Adjusted operating income amounted to SEK 47,910m (40,660) corresponding to an operating margin of 11.1% (10.4).

• Reported operating income amounted to SEK 49,531m (34,478).

• Diluted earnings per share amounted to SEK 17.64 (12.24).

• Operating cash flow in the Industrial Operations amounted to SEK 38,309m (26,597).

• The board of directors proposes an ordinary dividend of SEK 5.50 per share (5.00) and an extra dividend of SEK 7.50 per share (5.00).