Interim report
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Volvo Car Group INTERIM REPORT THIRD QUARTER 2026
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VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 2 OF 30 • Retail sales decreased by 11% to 141.3 (158.5) thousand cars. • Revenue amounted to SEK 66.9 (86.4) bn. The decrease was primarily explained by lower wholesale volumes and adverse sales mix and pricing. Comparability was also impacted by a SEK –1.1 bn item related to the revaluation of US CAFE credits following a retroactive change in emission legislation. • EBIT was SEK –5.6 (6.4) bn. EBIT excl. share of income in JVs and associates and items affecting comparability amounted to SEK –3.7 (5.8) bn. The negative result was mainly attributable to sales mix and pricing, lower wholesale volumes, lower sales of licences, higher raw material and unfavourable foreign exchange rate effects, partly offset by cost efficiencies within indirect costs. • EBIT margin was –8.4 (7.4)%. EBIT margin excl. share of income in JVs and associates and items affecting com - parability was –5.6 (6.7)%. • Basic earnings per share was SEK –1.63 (1.75). • Operating and investing cash flow was SEK –8.9 (–4.3) bn, primarily reflecting operating performance during the quarter, partly offset by lower investments in intangible and tangible assets. • Retail sales decreased by 10% to 460.0 (510.8) thou - sand cars. • Revenue amounted to SEK 217.2 (262.9) bn. The nega - tive year-on-year development reflects lower volume trends, adverse sales mix and pricing and foreign exchange rate headwinds. • EBIT was SEK –3.2 (–1.6) bn. EBIT excl. share of income in JVs and associates and items affecting comparability amounted to SEK –1.6 (10.3) bn. Profitability was nega - tively impacted by adverse sales mix and pricing effects and volume developments, together with lower sale of licences and higher depreciation and amortisation, miti - gated by the outcome of the cost and cash action plan which delivered lower variable and indirect costs. • EBIT margin was –1.5 (–0.6)%. EBIT margin excl. share of income in JVs and associates and items affecting com - parability was –0.8 (3.9)%. • Basic earnings per share was SEK –0.66 (–0.37). • Operating and investing cash flow was SEK –24.1 (–6.4) bn, mainly reflecting the working capital development, including planned inventory build-up, while lower investment levels partly mitigated the outflow. • On 1 July, Markus Schäfer joined the Board of Directors as a new Board member. • In July, Volvo Cars signed a Memorandum of Under - standing with the Belgian federal government and the Flanders regional government on support measures of up to EUR 119 m for industrial, innovation and ecological initiatives at Volvo Car Gent. • In September, Volvo Cars and Geely Auto finalised the agreement for their previously announced commercial partnership for Lynk & Co in Europe. Under the agree - ment, Volvo Cars will become the exclusive distributor of Lynk & Co cars in Europe from January 2027. • On 17 September, Volvo Cars held its Strategy Update in Stockholm, presenting a roadmap towards a long-term EBIT margin above 8%, supported by regionalisation, increased Geely collaboration, a 13-model product offensive and structurally lower operating costs and investments. • On 20 September, the Board of Directors appointed Klaus Zellmer as President and CEO. He will assume the position no later than 1 October 2027. Third quarter 2026 First nine months 2026 Corporate highlights during the quarter Forward-looking Updates after the period • Given an increasingly challenging market situation and deteriorating market outlook for the coming quarters, Volvo Cars has removed forward-looking statements for the remainder of the year. • On 2 October, Volvo Cars issued a press release on the removal of the company’s forward looking statement on volume and cash flow. • On 15 October, Volvo Cars announced it is expanding its partnership with NVIDIA to unlock new levels of safety in automated driving technology in future cars. • In October, the Group decided on a restructuring programme, expected to result in restructuring costs of approximately SEK 0.6 bn. A provision related to the programme will be recognised during the fourth quarter.
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VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 3 OF 30 3 Months 9 Months 12 Months SEK bn unless otherwise stated Jul–Sep 2026 Jul–Sep 2025 ∆3) Jan–Sep 2026 Jan–Sep 2025 ∆3) LTM4) Full year 2025 Retail sales, k units 1) 141.3 158.5 –11 460.0 510.8 –10 654.3 705.1 Revenue 66.9 86.4 –23 217.2 262.9 –17 311.6 357.3 Research and development expenses –5.3 –4.1 30 –15.6 –21.3 –27 –20.5 –26.1 Operating income (EBIT) –5.6 6.4 n/m –3.2 –1.6 99 –1.3 0.3 EBIT excl. share of income in JVs and associates and items affecting comparability 2) –3.7 5.8 n/m –1.6 10.3 n/m 0.1 12.0 EBIT excl. items affecting comparability 2) –4.5 5.9 n/m –2.1 10.8 n/m –0.3 12.5 EBITDA2) 2.0 12.1 –83 16.8 27.9 –40 24.7 35.7 Net income –5.7 4.5 n/m –4.6 –2.6 75 –5.0 –3.0 Basic earnings per share, SEK –1.63 1.75 n/m –0.66 –0.37 76 –0.23 0.06 Cash flow from operating activities –4.0 2.7 n/m –3.5 18.7 n/m 12.3 34.6 Cash flow from investing activities –4.9 –7.1 –31 –20.5 –25.1 –18 –27.6 –32.2 Gross margin, % 2) 13.0 20.4 –7.3 16.2 17.2 –1.0 16.1 16.9 Gross margin excl. items affecting comparability, % 2) 14.7 20.4 –5.7 16.7 18.7 –2.0 16.5 18.0 EBIT margin, %2) –8.4 7. 4 –15.8 –1.5 –0.6 –0.8 –0.4 0.1 EBIT margin excl. share of income in JVs and associates and items affecting comparability, % 2) –5.6 6.7 –12.3 –0.8 3.9 –4.7 0.0 3.4 EBIT margin excl. items affecting comparability, % 2) –6.7 6.9 –13.6 –0.9 4.1 –5.0 –0.1 3.5 EBITDA margin, %2) 3.0 14.0 –11.0 7.7 10.4 –2.7 8.1 10.0 1) Non-financial operating metric. 2) Non-IFRS measure, see Alternative performance measures on page 27. 3) Changes are shown as relative percentages for income statement and cash flow items, and as percentage -point changes for margin measures. Percentage changes are not shown when the comparative figure is negative, close to zero or where the sign changes, as such changes are not meaningful (n/m). 4) Last Twelve Months.
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VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 4 OF 30 Taking action to navigate a very tough environment We are therefore convinced of our European growth strategy focused on electrification. In the US, we are continuing to work closely with our retail partners to improve our sales performance. We have divided the market into four regions to bring product offering, market - ing and sales closer to the customers. We are fast-tracking the production start of the long-range plug-in hybrid versions of the XC90 and XC60 with European deliveries starting this year and the US shortly after. In Q1 2027, we will localise XC60 production in Charleston. And by the end of the decade we will localise a second all-new car with multi - ple powertrain options. Dear shareholders, The third quarter of 2026 was very disappointing and reflects a year that has become far more challenging than originally anticipated. Our ongoing turnaround plan therefore needs a decisive reinforcement. The Q3 operational loss was driven by a negative market development primarily in China, but also in the US. In China, the market for legacy premium brands is in severe decline due to intense competition from new Chinese alterna- tives, basically eliminating profitability for legacy premium b rands. This has resulted in our revenues in China falling by almost 50 per cent compared to last year. The US market is affected by continued negative effects from tariffs as well as the removal of incentives for electrified cars, which both have put heavy pressure on the margins of imported electrified c ars. The weak performance in the US and China means that half our business was not contributing to profitability. Europe’s car market has been more stable and was therefore the sole positive contributor to our operational performance. We continue to lead in the electrification of the premium segment in Europe, with a BEV sales share of 45 per cent in Q3, and we see an increased order intake for our electric cars. Our results have, on top of the negative market development, also been affected by other significant external developments. These include a negative revaluation of SEK 1.1 bn in CAFE credits due to legislation changes in the US, negative raw material developments and SEK –0.9 bn due to Polestar’s losses in Q2. The financial result is a disappointing SEK –3.7 bn EBIT (excluding JV’s and associates and items affecting compara- bility). In this situation, we need to fully focus on what we can influence and control. A clear strategy for long-term success with the right regional products At our recent Strategy Update, we laid out a clear plan for growth through flexible electrification based on our largest - ever product push, with 13 new regionally optimised cars. In Europe, the EX60 has been a big success with over 50,000 orders and it will be one of the company’s best prof- it-contributing models. Due to new industrial technology such as cell-to-body it is taking longer than planned to ramp up production. We are, however, steadily improving built volumes. In 2027 we will introduce our next BEV car based on the SPA3 platform, targeting a large lower-priced market segment, with the first customer deliveries starting after summer. This will further strengthen our BEV leadership and impr ove margins. We are convinced that we have the right long-term strategy. However, in the short term, a reinforced turnaround plan to make us more resilient is needed.
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VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 5 OF 30 In China, the next two years will remain very tough, so we are taking further cost-efficiency actions to weather the storm. As an example, we will combine our two offices in Shanghai by moving our sales office to our local HQ in Jiading. Mid-next year we will reveal and start production of the first two of six new China-tailored cars, developed in cooperation with Geely. These cars will be developed with a Chinese tech stack with the latest ADAS technologies to make us fully com - petitive on the market. Additional cost and cash actions for a reinforced turnaround On a company level, we aim to reduce an additional SEK 5 billion in indirect spend and variable costs. The full financial effects of these measures will be realised by the end of next year, which means we will have lowered our total indirect spending by almost 25 per cent versus 2024. We will achieve this cost reduction through lowering corpo - rate overheads as we empower our regions, end consultant contracts, utilise natural attrition and offer targeted exit pack - ages to employees. We are also lowering our R&D costs as we have already laid our tech foundation with HuginCore and SPA3. Altogether, these actions will result in the structural reduc - tion of approximately 2,500 jobs, of which 2,000 are based in Sweden. We are also adapting our blue-collar workforce to current volumes by leveraging existing flexibility. We will also develop a more efficient production structure by concentrating on five dedicated Volvo plants globally. For our Chengdu and Ghent plants we are exploring the option of multi -brand assembly together with Geely. On the variable cost side, we will further lower our material costs with more common suppliers with Geely Group as well as more common hardware parts. And finally, we will continue to prioritise cash. Our invest - ment peak is behind us, and we have now returned to a normal and affordable level, corresponding to an approximately 30 per cent reduction compared to 2024. Looking ahead We continue to operate in a very tough environment with strong external challenges: de-globalisation, hypercompetition and climate change. We are convinced that we have the right long-term strategy addressing these challenges. However, in the short term, with severely challenged vol - umes, a reinforced turnaround plan with additional decisive actions, lowering our break-even point and improving cash flows to make us more resilient is needed. Håkan Samuelsson President and CEO
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VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 6 OF 30 Measures to strengthen Volvo Car Gent’s competitiveness In July, Volvo Cars signed a Memorandum of Understanding with the Belgian federal and Flanders regional governments on support measures of up to EUR 119 million for industrial, inno - vation and ecological initiatives at Volvo Car Gent. Together with Volvo Cars’ own efficiency actions, the measures are intended to strengthen the plant’s long-term competitiveness, support future utilisation and enable further strategic invest - ments, including possible opportunities for the contract manu - facturing of cars from other brands alongside continued Volvo car production. Swedish resources consolidated across fewer sites On 31 August, Volvo Cars announced plans to relocate the majority of the responsibilities of its Stockholm office to its headquarters in Gothenburg and close the Stockholm office on 1 March 2027. The consolidation is intended to simplify the organisation, strengthen cross-functional collaboration and generate cost efficiencies. Volvo Cars to become European distributor for Lynk & Co During September, Volvo Cars and Geely Auto finalised an agreement under which Volvo Cars will become the exclusive distributor of Lynk & Co cars in Europe from January 2027. The agreement expands Volvo Cars’ commercial footprint by lever - aging its established retail and service network, creating addi - tional sales and service opportunities for retail partners and at the same time broadening the product offering available to customers, while also supporting Lynk & Co’s continued growth in Europe. New long-range plug-in hybrids XC60 and XC90 unveiled On 15 September, Volvo Cars unveiled new long-range plug-in hybrid variants of the XC60 and XC90 for the European and American markets. The new XC60 offers an electric range of up to 200 kilometres, while the XC90 offers up to 160 kilo - metres, strengthening the company’s electrified product offer - ing and providing a bridge towards a fully electric future. Strategy Update 2026 in Stockholm On 17 September, Volvo Cars presented its strategic roadmap to build a stronger and more profitable company, targeting a long-term EBIT margin above 8% and strong cash flows. The strategy includes the company’s largest-ever product offen - sive, with 13 new cars to be launched by 2030, and is centred on growth through electrification, a regionalised product offer - ing, increased synergies with Geely, a more complete customer offer and structurally lower costs and investments. Changes to Board of Directors and Executive Management The Board of Volvo Cars appoints Klaus Zellmer as President and CEO On 20 September, the Board of Directors of Volvo Cars appointed Klaus Zellmer as President and Chief Executive Officer. Klaus Zellmer will assume the position no later than 1 October 2027. Håkan Samuelsson will, together with the Board, ensure a seamless transition. Klaus Zellmer’s most recent position is Chairman of the Board of Management and CEO of Škoda Auto. Markus Schäfer joins Board of Directors Effective 1 July 2026, Markus Schäfer assumed his position as a member of the Board of Directors, having been elected at Volvo Cars’ Annual General Meeting on 31 March 2026. Executive Management Team strengthened for next phase of growth During the quarter Volvo Cars announced changes to its Exec - utive Management Team to strengthen the organisation for its next phase of growth. Effective 1 September, Alexander Petrof - ski was appointed Chief Technology Officer and Magnus Nils - son Chief Manufacturing Officer, while Francesca Gamboni assumed a more focused role as Chief Procurement and Supply Chain Officer. Anders Bell took responsibility for a new strategic initiative focused on scaling Volvo Cars’ platform and digital technology. Sustainability During the third quarter, 53 (46)% of retail sales were electri - fied cars. Volvo Cars also continued to advance its electrifica - tion ambitions through the expansion of its electrified vehicle portfolio. New long-range plug-in hybrid variants of the XC60 and XC90 enable greater electric driving range, while the intro - duction of the updated EX40 and EC40 further expands cus - tomer choice on the path towards electrification. As of September, CO₂ emissions per car sold were reduced by 32% year-to-date, compared with our 2018 baseline. CO2 per car, tonnes CO2 reduction per car, % 2018 54 — 2025 Jan-Sept 38 29 2025 37 31 2026 Jan–Sept 36 32 2030 ambition 13–19 65 –75 Quarterly highlights
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VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 7 OF 30 Market data presented below is based on the latest available industry information at the time of publication. For certain markets, figures reflect July–August data and estimates for September. The overall global passenger car market decreased by 5% and the global premium market decreased by 8% year-on-year in the third quarter. The BEV segment increased by 6% while the PHEV segment decreased by 9%, compared with the same period last year. The third quarter was challenging, with contin - ued regional differences in demand and electrification trends. Macroeconomic uncertainty, geopolitical tensions and hyper - competition continued to impact demand and market dynam - ics across regions. Volvo Cars’ retail sales decreased by 11% compared with the third quarter of 2025, mainly reflecting a further deterioration in market conditions in China, where industry volumes remained under significant pressure, as well as a slower- than-expected recovery in the US. Electrified cars (BEV and PHEV) accounted for 53 (46)% of retail sales during the quar - ter, whereof BEVs represented 32 (22)% of retail sales. Whole - sales and production volume decreased by 19% and 17% respectively compared with the same period last year. Volvo Cars’ market share per propulsion type, % 1) 2) Jan–Aug 2026 Jan–Aug 2025 BEV 1.21 1.14 EREV n/a n/a PHEV 3.24 3.15 ICE (incl. mild hybrids) 0.66 0.74 Volvo Cars’ share of total market 0.94 0.98 Total industry volume share and growth by propulsion type, % 1) 2) Jan–Aug 2026 Growth YoY BEV 20 10 EREV 1 –34 PHEV 7 –12 ICE (incl. mild hybrids) 72 –7 Total 100 –5 1) Volvo Cars is and will continue to be positioned in the premium seg - ment of the automotive market. As the market is transforming with electri fication and digitalisation the definition of premium is being redefined. To simplify and to avoid the risk of excluding important parts of the market, market share is reported in relation to the global passenger market. 2) Source: Includes content supplied by Mobility Global Industry Performance in October 2026, capturing more than 90% of total world sales per August. All rights reserved. Sales and market development Europe and Rest of the world The overall passenger car market in Europe and rest of the world increased by 4% while the premium market was in line with the same quarter last year. BEV and PHEV sales increased by 53% and 25% respectively. In Europe alone, the overall passenger car market increased by 7% and the premium car market increased by 3%. BEV and PHEV sales increased by 55% and 18% respectively. Volvo Cars’ retail sales in Europe and rest of the world increased by 2% compared with the third quarter of 2025. Electrified cars accounted for 64 (58)% of sales during the quarter, whereof BEVs represented 45 (30)% of retail sales. The overall increase was mainly driven by higher sales of the EX30 and solid demand in key European markets. Greater China The total Chinese passenger car market saw declines across all segments, with the total market decreasing by 18% compared with the same period in 2025. The BEV segment decreased by 5%, PHEVs decreased by 25% and the premium segment decreased by 21% compared to the same period last year. In Greater China, Volvo Cars’ retail sales decreased by 41% compared with the third quarter of 2025. Electrified cars accounted for 29 (14)% of sales during the quarter, whereof BEVs represented 2 (3)% of retail sales. PHEVs represented a larger share of the sales mix, with XC70 in the lead. The accel - erating adoption of electric vehicles continues to benefit Chinese manufacturers, whose competitive pricing and strong offering of digital features are resonating with local customers. Americas The overall passenger car market in the Americas increased by 1% while the premium market decreased by 6%. The BEV seg - ment decreased by 24% and PHEVs increased by 8%. In the US alone, the overall market decreased by 2% and the premium market decreased by 6%. BEV and PHEV sales decreased by 40% and 38% respectively. Volvo Cars’ retail sales in the Americas decreased by 14% compared with the third quarter of 2025. Electrified cars accounted for 37 (43)% of retail sales during the quarter, whereof BEVs represented 12 (19)% of retail sales. The decline was driven by continued weak consumer sentiment, increasing competitive pressure in the SUV segment and a high compara - tive base from last year, when sales of electrified cars rose before the expiry of consumer subsidies. Sales development per carline SUVs, comprising Volvo Cars’ XC and EX models, accounted for 91 (88)% of total sales, driven by the best-selling XC60 and XC40. Sedan models accounted for 6 (7)% of total sales, while wagon models and MPVs accounted for 3 (5)%.
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VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 8 OF 30 Revenue, SEK m 3 Months 9 Months Full year 2025 Jul–Sep 2026 Jul–Sep 2025 Jan–Sep 2026 Jan–Sep 2025 Europe and Rest of the world 45,457 53,148 144,130 163,056 220,110 whereof Europe 38,511 45,254 124,240 142,080 191,135 Greater China 8,306 14,787 26,908 43,573 58,394 whereof China 7,498 14,075 24,972 41,847 55,661 Americas 13,133 18,504 46,147 56,250 78,759 whereof US 9,708 14,471 37,182 45,989 65,019 Total 66,896 86,439 217,185 262,879 357,263 From 2026, the geographical distribution of revenue is based on the selling legal entity. Comparative figures have been adjusted accordingly. 3 Months 9 Months 12 Months Retail sales, k units Jul–Sep 2026 Jul–Sep 2025 ∆% Jan–Sep 2026 Jan–Sep 2025 ∆% LTM1) 2025 Europe and Rest of the world 90.5 88.8 2 290.1 288.5 1 400.0 398.3 whereof Europe 75.4 72.8 4 242.5 242.7 — 332.4 332.7 Greater China2) 19.9 34.1 –41 67.0 105.0 –36 111.5 149.5 whereof China2) 18.6 32.8 –43 63.4 101.8 –38 106.2 144.6 Americas 30.8 35.6 –14 102.8 117.3 –12 142.8 157.3 whereof US 23.8 26.0 –9 80.6 90.7 –11 111.6 121.6 Retail sales total 2) 141.3 158.5 –11 460.0 510.8 –10 654.3 705.1 Electrified cars 2) 75.4 72.3 4 232.2 227.2 2 327.8 322.8 whereof BEVs2) 45.1 35.0 29 124.5 105.3 18 171.2 152.0 Electrified cars share 2) 53% 46% 50% 44% 50% 46% whereof BEV share 2) 32% 22% 27% 21% 26% 22% Wholesales 130.8 161.0 –19 456.6 501.8 –9 6 47.8 693.0 Production volume 125.9 151.8 –17 477.5 504.0 –5 6 67.7 694.2 3 Months 9 Months 12 Months Top 10 Retail sales by market, k units Jul–Sep 2026 Jul–Sep 2025 ∆% Jan–Sep 2026 Jan–Sep 2025 ∆% LTM1) 2025 US 23.8 26.0 –9 80.6 90.7 –11 111.6 121.6 United Kingdom 19.0 18.0 6 54.3 51.8 5 71.3 68.7 China2) 18.6 32.8 –43 63.4 101.8 –38 106.2 144.6 Germany 12.1 13.3 –9 38.4 45.5 –15 52.8 59.8 Sweden 9.9 10.0 –1 33.9 35.4 –4 46.5 47.9 Türkiye 4.6 3.4 35 13.2 9.4 41 19.1 15.2 Netherlands 3.8 3.3 15 12.8 13.3 –3 19.6 20.0 Belgium 3.7 3.6 5 12.5 12.8 –3 17.1 17. 4 Canada 3.6 4.2 –13 10.9 10.8 1 14.6 14.5 Spain 3.5 3.2 7 10.9 10.3 6 15.8 15.2
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VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 9 OF 30 3 Months 9 Months 12 Months Retail sales by model, k units Jul–Sep 2026 Jul–Sep 20252) ∆% Jan–Sep 2026 Jan–Sep 20252) ∆% LTM1) 20252) BEV EX30 23.3 18.1 29 63.8 54.0 18 88.6 78.8 EX40 13.2 9.5 39 38.4 29.2 32 53.2 44.0 EC40 2.1 2.4 –13 7.0 9.0 –22 9.8 11.8 EX90 3.8 4.7 –20 9.7 12.5 –23 13.5 16.3 ES90 1.3 — — 3.8 — — 4.1 0.3 EX60 1.3 — — 1.5 — — 1.5 — EM90 0.1 0.3 –59 0.3 0.6 –52 0.5 0.8 Non-BEV XC60 36.1 53.0 –32 127.5 172.1 –26 183.5 228.1 XC40 23.5 27.9 –16 78.8 91.5 –14 110.3 122.9 XC90 19.7 22.9 –14 70.2 75.8 –7 97.2 102.7 XC70 4.9 1.1 348 16.1 1.1 1,364 28.8 13.9 V60 4.3 5.3 –18 15.5 20.9 –26 21.7 27.0 S90 4.0 5.5 –27 10.6 18.4 –42 17.2 25.0 S60 3.5 5.9 –40 16.0 18.9 –15 22.3 25.3 V90 0.1 2.0 –94 0.9 6.9 –88 2.1 8.1 Total 141.3 158.5 –11 460.0 510.8 –10 654.3 705.1 EX30, V60 and V90 include the cross-country versions. 1) Last Twelve Months. 2) Previous retail delivery figures in China were slightly affected by a reporting data error. Following a data correction, retail sales figures for prior periods have been revised.
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VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 10 OF 30 Income and result The comparative figures refer to the consolidated income statement of the third quarter 2025, unless otherwise stated. Revenue Volvo Cars’ revenue amounted to SEK 66.9 (86.4) bn and wholesale volume declined by 19% to 130.8 (161.0) thousand cars. The decrease in revenue was primarily driven by lower volume of SEK –10.7 bn, unfavourable sales mix and pricing of SEK –3.5 bn, lower sales of licences of SEK –1.3 bn and revalua- tion of US CAFE credits of SEK –1.1 bn. Foreign exchange rates had a negative impact on revenue of SEK –0.7 bn. For the full revenue bridge, see the table to the right. Operating income (EBIT) EBIT amounted to SEK –5.6 (6.4) bn, corresponding to a margin of –8.4 (7.4)%. EBIT included Volvo Cars’ share of Polestar’s losses in the second quarter of SEK –0.9 ( —) bn, and items affecting comparability of SEK –1.1 (0.5) bn. EBIT excl. share of income in JVs and associates and items affecting comparabil - ity amounted to SEK –3.7 (5.8) bn, corresponding to a margin of –5.6 (6.7)%. The decrease was mainly attributable to sales mix and pricing, lower volumes, sales of licences and foreign exchange rate effects. Further, negative lithium hedge impacts on lithium carbonate in the quarter was SEK –0.5 bn. These effects were partly offset by continued cost efficiencies within indirect costs. Indirect costs decreased primarily due to lower fixed manufac turing and selling expenses, partly offset by higher research and development expenses driven by a lower capitali - sation rate and higher amortisation. Foreign exchange rates had a negative impact on EBIT of SEK –1.2 bn compared with the prior year. For the full EBIT bridge, see the table to the right. Financial net and tax Net financial items amounted to SEK –0.4 (–0.2) bn. The decrease was mainly explained by lower interest income. Income before tax shifted from a profit in the comparative period to a loss in the current period. The effective tax rate was 4.4 (27.2)%, and the change was mainly driven by the non-recognition of deferred tax assets on tax losses. Net income Net income was SEK –5.7 (4.5) bn, representing –8.6 (5.2)% of revenue. Basic earnings per share amounted to SEK –1.63 (1.75). Changes to Revenue, SEK bn Jul–Sep Revenue Q3 2025 86.4 Volume –10.7 Sales mix and pricing –3.5 Sale of licences –1.3 Foreign exchange rates –0.7 Contract manufacturing –0.6 Items affecting comparability –1.1 Other1) –1.6 Revenue Q3 2026 66.9 Change, % –23 1) Including used cars, subscription cars as well as parts and acces- sories. Changes to Operating income, SEK bn Jul–Sep EBIT Q3 2025 6.4 Volume –1.9 Sales mix and pricing –2.5 Variable cost2) –0.7 Indirect cost 3) 1.1 Sale of licences –1.2 Depreciation and amortisation –0.3 Foreign exchange rates –1.2 Share of income in JVs and associates –0.9 Items affecting comparability –1.6 Other4) –2.8 EBIT Q3 2026 –5.6 Change, % n/m 2) Changes in cost of sales not explained through other categories, driven by higher raw material costs. 3) Selling expenses, administrative expenses, research and develop - ment expenses as well as fixed manufacturing expenses. 4) Including parts and accessories, used cars, negative lithium hedge impacts, US tariffs on imported goods, component sales, contract manufacturing and emission credits. Items affecting comparability, SEK bn Jul–Sep 2026 Jul–Sep 2025 Restructuring costs — 0.5 Revaluation of US CAFE credits 5) –1.1 — Total –1.1 0.5 5) For more information, see Note 1 – Accounting policies. Third quarter financial summary
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VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 11 OF 30 0 60 50 40 20 30 10 70 80 120 110 100 90 60% 55% 50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% 2023 2024 2025 2026 Q1 Q4 Q1Q3Q2Q4 Q2 Q3 Q4 Q1 Q2 Q3 Revenue, SEKbn Gross margin, % Revenue & Gross Margin –14 0 10 –12 –10 –8 –6 –4 –2 8 4 6 2 –14% 0% 10% –12% –10% –8% –6% –4% –2% 8% 4% 6% 2% Spaltbredd 82mm 2023 2024 2025 2026 Q1 Q4 Q1Q3Q2Q4 Q2 Q3 Q4 Q1 Q2 Q3 Operating income (EBIT), SEKbn EBIT margin excl. share of income in JVs and associates and IAC, % Operating Income (EBIT) & EBIT Margin EBIT excl. share of income in JVs and associates and IAC, SEKbn EBIT margin, % 3 Months 9 Months Full year Research and development, SEK m Jul–Sep 2026 Jul–Sep 2025 ∆% Jan–Sep 2026 Jan–Sep 2025 ∆% 2025 Research and development spending –5,265 –5,484 –4.0 –17,240 –19,893 –13.3 –26,378 Capitalised product development costs 2,669 3,473 –23.2 8,830 12,152 –27.3 15,855 Amortisation of capitalised product development costs –2,621 –2,049 27.9 –7,133 –6,137 16.2 –8,171 Impairment of capitalised product development costs –62 — — –64 –7,373 –99.1 –7,373 Research and development expenses –5,279 –4,060 30.0 –15,607 –21,251 –26.6 –26,067
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VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 12 OF 30 Cash Flow The comparative figures for balance sheet items refer to the consolidated balance sheet of 31 December 2025, unless oth - erwise stated. The comparative figures for the cash flow items refer to the consolidated cash flow statement for the third quarter 2025, unless otherwise stated. Total cash and cash equivalents amounted to SEK 32.3 (57.6) bn. Net cash was SEK 1.0 (26.9) bn, primarily driven by working capital. Liquidity amounted to SEK 55.0 (80.8) bn, including undrawn credit facilities of SEK 22.7 (23.3) bn, providing finan - cial flexibility. Cash flow from operating activities Cash flow from operating activities amounted to SEK –4.0 (2.7) bn. The amount comprises operating income of SEK –5.6 (6.4) bn, adjusted for depreciation and amortisation of SEK 6.5 (6.2) bn, along with income tax paid of SEK –0.5 (–1.0) bn. For a complete reconciliation of operating cash flow, refer to the consolidated cash flow statement on page 20. The change in working capital amounted to SEK –3.6 (–5.5) bn, improving year-on-year, supported by continued focus on cash actions despite a challenging operating environment. Inventory movements contributed SEK 0.9 (3.3) bn, in line with prevailing market conditions and seasonal patterns, while accounts receivable changed by SEK 2.2 (–3.8) bn, reflecting the underlying sales development. These effects were partly offset by a change in accounts payable of SEK –4.0 ( —) bn, reflecting the development in production levels. Other working capital assets/liabilities changed by SEK –2.5 (–4.5) bn, mainly attributable to accruals. Cash flow from investing activities Cash flow from investing activities amounted to SEK –4.9 (–7.1) bn, reflecting lower investments in tangible and intangible assets. Cash flow from investments in intangible assets amounted to SEK –2.8 (–4.0) bn, reflecting continued invest - ments in upcoming car models and technologies, including electrification and ADAS, to support future competitiveness, scalability and cost efficiency. Investments in tangible assets totalled SEK –2.7 (–5.0) bn, primarily related to product invest - ments in the new SPA3 platform and the new manufacturing plant in Kosice, partly offset by EU government grants of SEK 1.3 bn in Slovakia. Cash flow from financing activities Cash flow from financing activities amounted to SEK –0.6 (–0.9) bn, primarily reflecting repayments of interest-bearing liabilities of SEK –0.6 (–0.5) bn and scheduled repayments of liabilities to credit institutions of SEK –3.8 (–0.1) bn, offset by proceeds from credit institutions of SEK 3.7 (0.1) bn. –20 –4 –12 –8 –16 20 16 12 –20 –4 –12 –8 –16 20 16 12 0 8 4 0 8 4 2024 2025 2026 Q1Q4 Q2 Q3 Q4 Q1 Q2Q2 Q3 Total, SEKbn Last twelve months (L TM), SEKbn Cash flow from Operating and Investing activities Cash flow before interest and tax, SEK bn Q3 2026 Q3 2025 EBIT –5.6 6.4 Depreciation and amortisation 6.5 6.2 Change in working capital –3.6 –5.5 Inventories 0.9 3.3 Accounts payable –4.0 — Other working capital assets/liabilities –2.5 –4.5 Other operating working capital 2.0 –4.3 Net investments in tangible and intangible assets –4.9 –8.7 Other –0.9 –1.9 Cash flow before interest and tax –8.5 –3.4 Items affecting comparability 1.1 –0.5 Adjusted cash flow before interest and tax –7.4 –3.9
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VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 13 OF 30 Income and result Revenue Volvo Cars’ revenue amounted to SEK 217.2 (262.9) bn and wholesale volume declined by 9% to 456.6 (501.8) thousand cars. The decrease in revenue was primarily explained by lower volume of SEK –15.2 bn, unfavourable sales mix and pricing of SEK –10.0 bn, unfa vourable foreign exchange rates of SEK –9.2 bn due to a stronger SEK and the non-recurrance of prior-year sales of subscription car portfolios of SEK 4.4 bn. Further, rev - enue from emission credits amounted to SEK 0.5 (2.4) bn and included an item affecting comparability of SEK –1.1 ( —) bn. The negative effects were partly offset by increased sales of parts and accessories as well as used cars. For the full revenue bridge, see the table to the right. Operating income (EBIT) EBIT amounted to SEK –3.2 (–1.6) bn, corresponding to a mar - gin of –1.5 (–0.6)%. EBIT excl. share of income in JVs and asso - ciates and items affecting comparability amounted to SEK –1.6 (10.3) bn, corresponding to a margin of –0.8 (3.9)%. The decrease was mainly attributable to adverse sales mix and pricing, lower volumes, sales of licences as well as depreciation and amortisation. These effects were partly offset by the out - come of the cost and cash action plan, which materialised through lower variable and indirect costs. The reduction in variable costs was mainly the result of material cost efficiencies and lower warranty cost. Indirect costs decreased primarily due to lower selling, fixed manufac - turing and administrative expenses. This was partly offset by higher research and development expenses driven by a lower capitalisation rate and higher amortisation, mitigated by lower overall research and development spending. Foreign exchange rates had a negative impact on EBIT of SEK –1.0 bn compared with the prior year. For the full EBIT bridge, see the table to the right. Financial net and tax Net financial items amounted to SEK 0.0 (–0.8) bn. The increase was mainly explained by positive effects from the market valuation of holdings and a convertible loan. The effec - tive tax rate was –47.2 (–9.2)%, mainly due to non-recognised deferred tax assets for taxable losses during the year and items affecting comparability in the prior year. Net income Net income was SEK –4.6 (–2.6) bn, representing –2.1 (–1.0)% of revenue. Basic earnings per share amounted to SEK –0.66 (–0.37). First nine months Changes to Revenue, SEK bn Jan–Sep Revenue in 2025 262.9 Volume –15.2 Sales mix and pricing –10.0 Sale of licences –1.4 Foreign exchange rates –9.2 Contract manufacturing –1.3 Items affecting comparability –1.1 Other1) –7.5 Revenue in 2026 217.2 Change, % –17 1) Including subscription cars, emission credits, parts and accessories, used cars as well as prior year one-time sales of subscription car portfolios. Changes to Operating income, SEK bn Jan–Sep EBIT Jan-Sep 2025 –1.6 Volume –2.9 Sales mix and pricing –7.3 Variable cost2) 3.1 Indirect cost 3) 3.1 Sale of licences –1.2 Depreciation and amortisation –1.2 Foreign exchange rates –1.0 Share of income in JVs and associates –0.9 Items affecting comparability 11.3 Other4) –4.6 EBIT Jan-Sep 2026 –3.2 Change, % n/m 2) Changes in cost of sales not explained through other categories, mainly related to material cost efficiencies. 3) Selling expenses, administrative expenses, research and develop - ment expenses as well as fixed manufacturing expenses. 4) Including parts and accessories, used cars, negative lithium hedge impacts, US tariffs on imported goods, component sales, contract manufacturing and emission credits. Items affecting comparability, SEK bn Jan–Sep 2026 Jan–Sep 2025 Impairment charge for the EX90 and ES90 platform — –11.4 Restructuring costs — –0.9 Revaluation of US CAFE credits 5) –1.1 — Total –1.1 –12.4 5) For more information, see Note 1 - Accounting policies.
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VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 14 OF 30 Parent company The parent company does not conduct any operations and has no employees. The income statements and balance sheets for the parent company are presented on page 25. Employees During the first nine months of 2026, Volvo Car Group employed 39.3 (43.0) thousand full-time employees (FTEs) and 2.0 (2.5) thousand agency personnel. The main driver behind the decrease is the redundancies that were communi - cated during 2025, as part of the cost and cash action pro - gramme. Risks and uncertainty factors To ensure that Volvo Cars is able to achieve short- and long- term objectives, enterprise risk management is part of daily activities at Volvo Cars. For a more in-depth description of risks related to Volvo Cars, see the Volvo Car Group’s Annual Report 2025 page 36. We consider the risk and uncertainty factors to remain the same as described in the Annual Report except for the following update: Macroeconomics and geopolitical uncertainty The uncertain macro and geopolitical environment has intensi - fied, including fluctuating interest rates, raw material price vol - atility and ongoing geopolitical complexity. This is resulting in new legislation and regulatory changes, particularly in areas such as trade, subsidies, tariffs, duties, and their enforcement by relevant authorities. The uncertainties in the financial mar - kets remain high. The risks of further impact on demand from fluctuating interest rate levels, tariffs and lower consumer confidence remain at an elevated level. Geopolitical tensions in the Middle East since February 2026 have further increased global market volatility and supply dis - ruption risks. Prolonged or expanded conflict could adversely affect economic conditions, energy supply chains, energy prices and the overall operating environment. Other Information Cash flow Total cash and cash equivalents amounted to SEK 32.3 (57.6) bn. Net cash was SEK 1.0 (26.9) bn, primarily driven by working capital. Liquidity amounted to SEK 55.0 (80.8) bn, which includes undrawn credit facilities of SEK 22.7 (23.3) bn, provid - ing financial flexibility. Cash flow from operating activities was negative, amounting to SEK –3.5 (18.7) bn. The change in working capital amounted to SEK –11.2 (–0.9) bn, driven primarily by inventory SEK –14.2 (–1.1) bn, largely reflecting the planned inventory build-up at the Torslanda plant to support full-year sales and demand, with inventory levels also reflecting the timing of production and deliveries. Cash flow from investing activities decreased to SEK –20.5 (–25.1) bn, reflecting lower investments in tangible and intangi - ble assets. The reduction reflects continued discipline in non-product-related investments, as well as the finalisation of investments in cars now in production and a shift towards future car models and new production plants. The reduction in investment levels is expected to continue, as a result of contin - ued focus on capital discipline. The comparative period also included the payment from the divestment of the 30% share - holding in Lynk & Co, which amounted to SEK 5.6 bn, affecting year-on-year comparability. Cash flow from financing activities amounted to SEK –2.2 (3.1) bn, primarily reflecting higher repayments of liabilities of SEK –9.3 (–7.7) bn and lower proceeds from credit institutions and bond issuance of SEK 7.3 (10.3) bn. Equity Total equity decreased to SEK 144.2 (148.4) bn. The change is mainly attributable to net income amounting to SEK –4.6 bn, partly offset by a positive effect on other comprehensive income of SEK 0.4 bn. This resulted in an equity ratio of 38.4 (39.8)%. The change in other comprehensive income is related to a foreign exchange translation effect, including hedges of net investments in foreign operations of SEK 2.1 bn (net of tax). Remeasurements of provisions for post-employment benefits had an effect of SEK 1.1 bn (net of tax). The change in fair value of cash flow hedge reserve related to currency and commodity price risks had a negative effect of SEK –2.8 bn (net of tax). The change in value of cash flow hedges is mainly due to negative effects from decreased prices for raw materials and depreci - ated SEK compared to most of the major currencies.
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VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 15 OF 30
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Consolidated Income Statements SEK m Note Jul–Sep 2026 Jul–Sep 2025 Jan–Sep 2026 Jan–Sep 2025 Full year 2025 Revenue 2 66,896 86,439 217,185 262,879 357,263 Cost of sales –58,184 –68,8441) –181,944 –217,6021) –297,0 421) Gross income 8,712 17,594 35,241 45,277 60,221 Research and development expenses –5,279 –4,0601) –15,607 –21,2511) –26,0671) Selling expenses –5,043 –5,192 –15,005 –17,402 –23,213 Administrative expenses –2,470 –2,075 –7,029 –7,717 –10,476 Other operating income and expenses –764 –121) –344 –9651) –8161) Share of income in joint ventures and associates –748 178 –407 475 654 Operating income –5,592 6,433 –3,151 –1,583 303 Interest income and similar credits 325 500 1,104 1,437 1,929 Interest expenses and similar charges –345 –453 –1,056 –964 –1,251 Other financial income and expenses 3 –384 –287 –17 –1,288 –1,647 Income before tax 4 –5,995 6,193 –3,119 –2,398 –666 Income tax 265 –1,682 –1,471 –220 –2,302 Net income –5,730 4,511 –4,590 –2,618 –2,968 Net income attributable to Owners of the parent company –4,824 5,195 –1,957 –1,113 174 Non-controlling interests –906 –684 –2,633 –1,505 –3,142 Basic earnings per share, SEK 5 –1.63 1.75 –0.66 –0.37 0.06 Diluted earnings per share, SEK 5 –1.63 1.75 –0.66 –0.37 0.06 1) Impairment charge for the EX90 and ES90 platform CGU’s lifecycle profitability made in the second quarter 2025. VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 16 OF 30
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SEK m Jul–Sep 2026 Jul–Sep 2025 Jan–Sep 2026 Jan–Sep 2025 Full year 2025 Net income for the period –5,730 4,511 –4,590 –2,618 –2,968 Other comprehensive income Items that will not be reclassified subsequently to income statement: Remeasurements of provisions for post-employment benefits 1,196 1,290 1,340 1,381 2,403 Tax on items that will not be reclassified to income statement –259 –256 –278 –277 –496 Items that have been or may be reclassified subsequently to income statement: Translation difference on foreign operations 816 –231 2,579 –4,158 –4,646 Translation difference of hedge instruments of net investments in foreign operations –284 96 –557 492 749 Change in fair value of cash flow hedge related to currency and commodity price risks –1,937 617 –3,474 6,014 8,591 Tax on items that have been or may be reclassified to income statement 104 –146 831 –1,340 –1,924 Other comprehensive income, net of income tax –364 1,370 441 2,112 4,677 Total comprehensive income for the period –6,094 5,881 –4,149 –506 1,709 Total comprehensive income attributable to Owners of the parent company –5,130 6,572 –1,448 1,557 5,397 Non-controlling interests –964 –691 –2,701 –2,063 –3,688 –6,094 5,881 –4,149 –506 1,709 Consolidated Comprehensive Income VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 17 OF 30
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Consolidated Balance Sheets SEK m Note 30 Sep 2026 31 Dec 2025 ASSETS Non-current assets Intangible assets 83,997 82,965 Tangible assets 107,145 99,391 Investments in joint ventures and associates 4 9,605 7,003 Other long-term securities holdings 1,3 8,753 10,454 Deferred tax assets 8,411 8,363 Other non-current interest-bearing receivables 1,277 1,235 Non-current derivative assets 3 662 1,743 Other non-current assets 4,781 4,217 Total non-current assets 224,630 215,371 Current assets Inventories 78,199 59,024 Accounts receivable 4 19,985 21,241 Current tax assets 2,013 1,284 Current derivative assets 3 2,260 4,923 Other current assets 4 15,738 13,764 Marketable securities 3 — 1 Cash and cash equivalents 3 32,272 57,564 Total current assets 150,467 157,801 TOTAL ASSETS 375,097 373,172 EQUITY & LIABILITIES Equity Equity attributable to owners of the parent company 145,618 147,079 Non-controlling interests –1,402 1,299 Total equity 144,216 148,378 Non-current liabilities Provisions for post-employment benefits 4,643 5,853 Deferred tax liabilities 8,422 9,864 Other non-current provisions 8,503 8,528 Liabilities to credit institutions 3 8,507 6,723 Non-current bonds 3 22,347 21,645 Non-current contract liabilities to customers 9,447 8,605 Other non-current interest-bearing liabilities 5,555 5,355 Non-current derivative liabilities 3 735 253 Other non-current liabilities 7,195 6,714 Total non-current liabilities 75,354 73,540 Current liabilities Provisions, current 6,418 8,356 Liabilities to credit institutions 3 693 922 Current bonds 3 — 1,500 Current contract liabilities to customers 32,739 31,264 Accounts payable 3,4 54,532 57,768 Current tax liabilities 1,049 1,322 Other current interest-bearing liabilities 1,616 1,570 Current derivative liabilities 3 2,802 485 Other current liabilities 4 55,677 48,067 Total current liabilities 155,527 151,254 TOTAL EQUITY & LIABILITIES 375,097 373,172 VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 18 OF 30
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Consolidated Statement of Changes in Equity SEK m 30 Sep 2026 31 Dec 2025 Opening balance 148,378 142,199 Net income for the period –4,590 –2,968 Other comprehensive income, net of income tax 441 4,677 Total comprehensive income –4,149 1,709 Transactions with owners Divestment of non-controlling interest 1) — –40 Divestment of joint venture under common control 2) — 4,656 Distribution of shares — 3 Acquisition of treasury shares — –219 Issue of treasury shares 69 126 Share-based payments –82 –56 Transactions with owners –13 4,470 Closing balance 144,216 148,378 Attributable to Owners of the parent company 145,618 147,079 Non-controlling interests –1,402 1,299 Closing balance 144,216 148,378 1) Refers to the divestment of non-controlling interest in NOVO Energy AB of SEK –40 m. 2) Refers to the divestment of the joint venture company Lynk & Co Automotive Technology Co., Ltd. VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 19 OF 30
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Consolidated Statement of Cash Flows SEK m Jul–Sep 2026 Jul–Sep 2025 Jan–Sep 2026 Jan–Sep 2025 Full year 2025 OPERATING ACTIVITIES Operating income –5,592 6,433 –3,151 –1,583 303 Depreciation and amortisation of non-current assets 6,529 6,189 18,872 18,004 23,945 Dividends received from joint ventures and associates 308 96 322 205 205 Interest and similar items received 325 500 1,104 1,437 1,929 Interest and similar items paid –179 –375 –1,238 –988 –1,538 Other financial items 165 –316 –4 –1,691 –1,963 Income tax paid –456 –1,005 –2,805 –3,276 –3,724 Adjustments for other non-cash items –1,518 –3,279 –5,488 7,565 6,281 –418 8,243 7,612 19,673 25,438 Movements in working capital Change in inventories 941 3,298 –14,178 –1,104 2,353 Change in accounts receivable 2,193 –3,811 2,601 –2,211 –84 Change in accounts payable –4,028 34 –4,858 2,402 7,205 Change in provisions –347 –317 –2,388 –1,816 –1,867 Change in contract liabilities to customers 116 –217 3,106 –324 644 Change in other working capital –2,465 –4,485 4,565 2,108 936 Cash flow from movements in working capital –3,590 –5,498 –11,152 –945 9,187 Cash flow from operating activities –4,008 2,745 –3,540 18,728 34,625 INVESTING ACTIVITIES Investments in shares and participations –4 — –9 289 280 Divestment of shares and participations — –109 43 5,528 7,716 Loans to affiliated companies — — — –2,7271) –2,7271) Repayment of loans from affiliated companies — 1,6882) — 1,6882) 1,6882) Investments in intangible assets –2,814 –3,973 –9,099 –13,615 –17,252 Investments in tangible assets –2,749 –4,980 –12,645 –16,870 –22,825 Disposal of tangible assets 688 270 1,180 537 872 Other 21 33 9 44 72 Cash flow from investing activities –4,858 –7,071 –20,521 –25,126 –32,176 Cash flow from operating and investing activities –8,866 –4,326 –24,061 –6,399 2,449 FINANCING ACTIVITIES Proceeds from credit institutions 3,740 105 7,275 4,795 4,947 Proceeds from bond issuance — –67 — 5,476 5,476 Acquisition of treasury shares — — — –219 –219 Repayment of bond — — –1,500 –5,732 –5,732 Repayment of liabilities to credit institutions –3,846 –59 –6,190 –403 –1,631 Repayment of interest-bearing liabilities –558 –533 –1,623 –1,592 –2,108 Investments in/maturities of marketable securities — — 1 — –1 Other 48 –347 –177 808 996 Cash flow from financing activities –616 –901 –2,214 3,133 1,728 Cash flow for the period –9,482 –5,227 –26,275 –3,266 4,177 Cash and cash equivalents at beginning of period 41,420 56,239 57,564 56,373 56,373 Exchange difference on cash and cash equivalents 334 –364 983 –2,459 –2,986 Cash and cash equivalents at end of period 32,272 50,648 32,272 50,648 57,564 1) In the second quarter 2025, Volvo Cars made a payment under the financial guarantee arrangement described in the 2024 Annual Report – Note 25 Contingent liabilities and pledged assets, relating to the loans of a UK entity subject to a purchase option. 2) In the third quarter 2025, Volvo Cars received repayment of a loan in connection with a divestment of a subsidiary. VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 20 OF 30
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Note 1 – Accounting policies This interim report has been prepared in accordance with IAS 34 – Interim Financial Reporting and the Swedish Annual Accounts Act (1995:1554), with the required disclosures made in the notes to the financial statements and elsewhere in the interim report. The Volvo Car Group applies IFRS Accounting Standards (IFRS) as endorsed by the European Union. The parent company applies RFR 2 – Reporting for legal entities and the Swedish Annual Accounts Act. The accounting principles in this report are, in all mate - rial aspects, consistent with those described in Volvo Car Group’s Annual Report 2025 (available at investors.volvocars.com). The International Accounting Standards Board (IASB) has published amendments to standards effective on or after 1 January 2026. These amendments have not had a material impact on the financial statements. Emission credits In line with the accounting policies explained in the Annual Report 2025, Volvo Cars recognises as revenue the fair value of emis - sion credits earned during the period, the credits are subsequently valued at the lower of cost or net realisable value. During Q3 2026, changes to the U.S. Corporate Average Fuel Economy (CAFE) regulations were enacted with retroactive effect. Following this change, Volvo Cars recorded a net realisable value adjustment of SEK 1,100 m, reducing the inventory of emission credits. The adjustment is recognised in revenue. CAFE credits are generated under the U.S. fuel economy regulatory framework. They may be earned, purchased, sold or utilised to meet applicable compliance requirements. Fixed assets Impairment assessments of fixed assets have been updated during the period. While no impairment charge was recognised, the headroom for certain China-related platforms has decreased compared with previous assessments. IFRS 18 – Presentation and Disclosure in Financial Statements IFRS 18 – Presentation and Disclosure in Financial Statements is effective for annual reporting periods beginning on or after 1 January 2027. The Group is currently assessing the impact of the new standard on the presentation and disclosures in the consolidated financial statements. Note 2 – Revenue Revenue per country SEK m Jul–Sep 2026 Jul–Sep 2025 Jan–Sep 2026 Jan–Sep 2025 Full year 2025 US 9,708 14,471 37,182 45,989 65,019 Sweden 8,609 12,916 29,397 34,884 46,757 United Kingdom 8,192 8,144 22,964 26,901 34,627 China 7,498 14,075 24,972 41,847 55,661 Germany 4,411 5,869 15,709 20,470 28,569 Netherlands 2,381 2,396 6,695 8,111 11,426 Türkiye 2,075 1,891 5,644 5,035 7,848 Canada 2,063 2,127 4,821 5,077 6,699 Norway 2,003 2,294 6,201 6,497 9,362 South Korea 1,595 1,761 4,444 4,321 6,005 Other markets 18,361 20,495 59,156 63,747 85,290 Total 66,896 86,439 217,185 262,879 357,263 The geographical distribution of revenue is from 2026 based on the selling legal entity, comparative figures have been adjusted accordingly. Revenue per category SEK m Jul–Sep 2026 Jul–Sep 2025 Jan–Sep 2026 Jan–Sep 2025 Full year 2025 Sales of new cars 44,964 59,596 149,953 183,468 250,468 Sales of used cars 6,439 7,965 20,243 23,044 32,509 Sales of parts and accessories 10,189 9,832 29,637 28,765 38,835 Revenue from subscription, leasing and rental business 1,599 1,672 3,854 4,563 5,675 Sales of licences and royalties 191 1,420 418 1,719 1,936 Contract manufacturing 2,765 3,170 6,970 8,214 10,249 Emission credits –359 782 484 2,438 3,501 Other revenue1) 1,108 2,002 5,626 10,668 14,090 Total 66,896 86,439 217,185 262,879 357,263 1) Includes one-time sales of subscription car portfolios amounting to SEK — (4,442) m, whereof SEK — (—) m impact the third quarter. VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 21 OF 30
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Timing of revenue recognition SEK m Jul–Sep 2026 Jul–Sep 2025 Jan–Sep 2026 Jan–Sep 2025 Full year 2025 At the point of delivery 64,059 83,168 209,685 253,925 345,635 Over the contract term 2,837 3,271 7,500 8,954 11,628 Total 66,896 86,439 217,185 262,879 357,263 Note 3 – Financial instruments Valuation principles and classification of financial instruments, as described in the Volvo Car Group’s Annual Report 2025, Note 19 – Financial instruments and financial risks and Note 20 – Marketable securities and cash and cash equivalents, have been applied consistently throughout the reporting period. The table below presents financial instruments by category and measurement level. 30 Sep 2026 31 Dec 2025 SEK m Measurement level Carrying value Fair value Carrying value Fair value Financial assets carried at amortised cost Accounts receivable — 19,985 19,985 21,241 21,241 Other interest-bearing receivables, non-current and current 1) — 7,258 7,266 5,022 5,030 Cash and cash equivalents — 32,220 32,335 57,564 57,578 59,463 59,586 83,827 83,849 Financial assets carried at fair value through profit or loss Other long-term securities holdings 8,753 8,753 10,454 10,454 of which convertible loan 2) 2 6,966 6,966 9,177 9,177 of which equity instruments 3 1,787 1,787 1,277 1,277 Non-current and current derivative assets 2,922 2,922 6,666 6,666 of which commodity derivatives – designated hedging instruments 2 1,745 1,745 2,920 2,920 of which currency derivatives – designated hedging instruments 2 1,052 1,052 3,447 3,447 of which interest rate swap derivatives – designated hedging instruments 2 82 82 168 168 of which currency derivatives – not designated hedging instruments 2 43 43 131 131 11,675 11,675 17,120 17,120 Financial assets carried at fair value through other comprehensive income Marketable securities 2 — — 1 1 Cash and cash equivalents 2 52 52 — — 52 52 1 1 Financial liabilities carried at amortised cost Accounts payable — 54,532 54,532 57,768 57,768 of which account payable under supplier financing programmes — 3,902 3,902 4,434 4,434 of which suppliers received payment from financial institution — 3,053 — 4,033 — Non-current and current bonds and liabilities to credit institutions 3) — 31,548 31,567 30,790 31,797 Other interest-bearing liabilities, non-current and current 4) — 33,577 33,577 22,147 22,147 of which account payable under supplier financing programmes — 124 124 712 712 of which suppliers received payment from financial institution — 124 — 712 — 119,657 119,676 110,705 111,712 Financial liabilities carried at fair value through profit or loss Non-current and current derivative liabilities 3,536 3,536 738 738 of which commodity derivatives – designated hedging instruments 2 1,552 1,552 249 249 of which currency derivatives – designated hedging instruments 2 1,416 1,416 269 269 of which currency derivatives – not designated hedging instruments 2 210 210 57 57 of which interest rate swap derivatives – designated hedging instruments 2 294 294 57 57 of which interest rate swap derivatives – not designated hedging instruments 2 64 64 106 106 1) Includes items presented as Other non-current and current assets on the balance sheet, amounted to SEK 5,981 (3,787) m. 2) The value of the conversion option connected to the convertible loan receivable to the Polestar Group is nil because the loan is convertible into equity securities at a price equivalent to what has been offered to all other market participants, without any preferential rights, discounts, or incentives. 3) The carrying amount of the bonds includes a fair value adjustment amounting to SEK –266 (96) m, which relates to fair value hedging. 4) Includes the repurchase value obligation on cars sold with repurchase commitment which are presented as Other non-current and current liabili - ties on the balance sheet amounted to SEK 28,048 (18,480) m. Includes also items presented as Other non-current and current liabilities in the balance sheet, amounting to SEK 5,528 (3,613) m. Excluding the lease liability which is presented as Other non-current and current liabilities in the balance sheet amounting to SEK 7,071 (6,871) m. VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 22 OF 30
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Other security holdings Investments in equity instruments, presented as Other long-term securities holdings, are traded infrequently. To estimate their fair value, Volvo Cars uses certain unobservable inputs. These equity instruments, classified under level 3 of the fair value hierarchy, are measured using the market approach. The primary valuation technique for unlisted equity instruments is based on the most recent transaction for the specific company. If certain changes in circumstances occur between the transaction date and the bal - ance sheet date that would materially impact on the fair value, the carrying value is adjusted accordingly. The table below presents the movements within Level 3, fair value hierarchy. 30 Sep 2026 31 Dec 2025 Equity instruments Equity instruments Opening balance 1,277 1,473 Investment 5 50 Impairment — –2 Changes in fair value recognised in Other financial income and expenses 401 –52 Exchange rate differences 104 –192 Total 1,787 1,277 Note 4 – Related party transactions Volvo Car Group has a close collaboration with its related parties. The main part of the transactions is related to sales and purchases of cars, technology licences and purchases of components. Related parties include companies outside the Volvo Car Group, but within the Geely sphere of companies as well as other companies, such as associates and joint ventures. All transactions with related parties are performed at arm’s length. Significant events and agreements with related parties during the period In September, Volvo Cars and Geely Auto finalised an agreement under which Volvo Cars will become the exclusive distributor of Lynk & Co cars in Europe from January 2027. Transactions with related parties Significant transactions with related parties and the nature of these are specified in the tables below. The nature of significant transactions with related parties are provided in Note 4 – Related party transactions in the Annual Report 2025. Related party transactions specified below but not previously described in the Annual Report 2025 are: - Purchases from Quzhou Jidian Electric Vehicle Technology Co., Ltd, mainly related to EX30. Sales of goods, services and other SEK m Jul–Sep 2026 Jul–Sep 2025 Jan–Sep 2026 Jan–Sep 2025 Full year 2025 Related companies 1)2) 3,205 5,278 8,436 12,035 15,792 of which Polestar Automotive Holding UK Group 3,148 5,001 8,059 10,958 13,730 Joint ventures and associated companies 2,741 3,017 7,902 10,581 13,121 of which Volvo Car Financial Services UK Ltd 2,238 2,568 6,457 9,290 11,276 Purchases of goods, services and other SEK m Jul–Sep 2026 Jul–Sep 2025 Jan–Sep 2026 Jan–Sep 2025 Full year 2025 Related companies 1)2) –8,486 –10,252 –27,159 –28,695 –37,095 of which Zhangjiakou Geely New Energy Automobile Co., Ltd –3,478 –4,078 –9,516 –6,013 –9,089 of which Aurobay Sweden AB –1,673 –2,321 –7,586 –8,869 –11,561 of which Quzhou Jidian Electric Vehicle Technology Co., Ltd –1,402 — –2,924 — — of which Zhangjiakou Aurobay Powertrain Manufacturing Co., Ltd –411 –725 –1,642 –2,474 –3,110 of which Viridi E-Mobility Technology (Ningbo) Co., Ltd –280 –1,300 –874 –2,643 –3,360 of which Aurobay (Changxing) Automatic Transmission Co., Ltd –267 –684 –1,011 –1,591 –1,745 of which Zhejiang Geely Automobile Co., Ltd –152 –3 –601 –3,249 –3,270 Joint ventures and associated companies –331 –294 –936 –896 –1,188 VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 23 OF 30
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Receivables 3) Payables 3) SEK m 30 Sep 2026 31 Dec 2025 30 Sep 2026 31 Dec 2025 Related companies 1)2) 15,272 21,091 9,977 12,344 Joint ventures and associated companies 1,923 1,390 163 86 1) Related companies refer to entities that belong to the Geely sphere of companies. Joint ventures and associated companies within the Geely sphere are presented as Related companies. 2) Including contract manufacturing. 3) Non-current part of receivables amounts to SEK 8,227 (10,800) m. Non-current part of payables amounts to SEK — (1) m. Note 5 – Earnings per share Basic earnings per share, SEK Jul–Sep 2026 Jul–Sep 2025 Jan–Sep 2026 Jan–Sep 2025 Full year 2025 Net income attributable to owners of the parent company, SEK m –4,824 5,195 –1,957 –1,113 174 Net income attributable to owners of ordinary shares in the parent company, SEK m –4,824 5,195 –1,957 –1,113 174 Weighted average number of ordinary shares outstanding, basic 1) 2,966,404,146 2,964,618,288 2,965,437,181 2,969,798,516 2,968,505,485 Basic earnings per share, SEK –1.63 1.75 –0.66 –0.37 0.06 Diluted earnings per share, SEK Jul–Sep 2026 Jul–Sep 2025 Jan–Sep 2026 Jan–Sep 2025 Full year 2025 Net income in basic earnings per share, SEK m –4,824 5,195 –1,957 –1,113 174 Net income in diluted earnings per share, SEK m –4,824 5,195 –1,957 –1,113 174 Weighted average number of ordinary shares outstanding, basic 1) 2,966,404,146 2,964,618,288 2,965,437,181 2,969,798,516 2,968,505,485 Dilutive effect for share-based payment programmes 606,426 2,147,571 714,202 2,253,468 2,431,998 Weighted average number of ordinary shares outstanding, diluted 2,967,010,572 2,966,765,859 2,966,151,383 2,972,051,984 2,970,937,483 Diluted earnings per share, SEK –1.63 1.75 –0.66 –0.37 0.06 1) The weighted average number of outstanding shares takes into account the weighted average effect of changes in treasury shares during the period. Note 6 – Significant events after the period In October, the Group decided on a restructuring programme, expected to result in restructuring costs of approximately SEK 0.6 bn. A provision related to the programme will be recognised in the fourth quarter. The section Risks and uncertainty factors on page 14 contains information on Volvo Cars’ assessments of the global environment on the Group. VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 24 OF 30
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Parent Company Income Statements Parent Company Balance Sheets SEK m Jul–Sep 2026 Jul–Sep 2025 Jan–Sep 2026 Jan–Sep 2025 Full year 2025 Administrative expenses –11 –7 –32 –27 –38 Operating loss –11 –7 –32 –27 –38 Interest income and similar credits 381 378 1,108 1,048 1,421 Interest expenses and similar charges –277 –277 –787 –734 –1,006 Other financial income and expenses 1) –6 –8 –17 –21 3,172 Income before tax 87 86 272 266 3,549 Income tax –18 –20 –57 –71 806 Net income 69 66 215 195 4,355 1) Dividend of SEK 3,200 m was received from its subsidiary in December 2025. Other comprehensive income and net income are consistent, since there are no items in other comprehensive income. SEK m 30 Sep 2026 31 Dec 2025 ASSETS Non-current assets 52,356 49,798 Current assets 16,615 22,147 TOTAL ASSETS 68,971 71,945 EQUITY & LIABILITIES Equity Restricted equity 61 61 Non-restricted equity 41,294 41,092 Total equity 41,355 41,153 Non-current liabilities 26,751 24,117 Current liabilities 865 6,675 Total liabilities 27,616 30,792 TOTAL EQUITY & LIABILITIES 68,971 71,945 VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 25 OF 30
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General definitions Volvo Cars and Volvo Car Group Volvo Car AB (publ.) together with its wholly-owned subsidiary Volvo Car Corporation and its subsidiaries are jointly referred to as “Volvo Car Group” or “Volvo Cars”. Volvo Car AB (publ.), with its registered office in Gothenburg, Sweden, is a publicly listed company on the Nasdaq Stockholm Stock Exchange (traded under the ticker VOLCAR). The largest owner, holding 78.65% of shares and capital, is Geely Sweden Holdings AB, owned by Shanghai Geely Zhaoyuan International Investment Co., Ltd., registered in Shanghai, China, and ulti - mately owned by Zhejiang Geely Holding Group Ltd., registered in Hangzhou, China. In addition, approximately 0.22% of the shares are owned by Geely International Hong Kong Limited, also ultimately owned by Zhejiang Geely Holding Group Ltd., taking that company’s total ownership percentage in Volvo Cars to 78.87%. Volvo Car AB (publ.) holds shares in its subsidiary Volvo Car Corporation and provides the Group with certain financing solutions. Volvo Car AB (publ.), indirectly through Volvo Car Corporation and its subsidiaries, operates in the automotive industry with business relating to design, development, manufacturing, marketing and sale of cars and thereto related services. Associated companies Associated companies are companies in which Volvo Car Group has a significant but not controlling influence, which generally is when Volvo Car Group holds between 20% and 50% of the shares. Joint venture companies (JVs) Joint ventures refer to companies in which Volvo Car Group, through contractual cooperation together with one or more parties, has joint control over the operational and financial management and has rights to the net assets of the arrange - ment. Retail sales Retail sales refer to sales to end customers (including a portion of cars used as customer loaner and demo cars) and is a rele - vant measure of the demand for Volvo Cars from an end cus - tomer point of view. Wholesales Wholesales refer to new car sales to dealers and other customers including rentals. Europe and Rest of the world Europe is defined as EU (European Union) + EFTA (European Free Trade Association) + UK (United Kingdom). Rest of the world are all markets that are not included in Europe, Americas or Greater China. Americas Americas is defined as North America, Central America, South America and the Caribbean. Greater China Greater China is defined as Mainland China, Hong Kong and Taiwan. Passenger cars Passenger cars are vehicles with at least four wheels, used for the transport of passengers, and comprising no more than eight seats in addition to the driver’s seat. Electrified cars Electrified cars include 100% fully electric cars, the same as the Battery Electric Vehicles (BEV), and Plug-in hybrid electric vehicles (PHEV), in both petrol and diesel with a cord for charging. Battery Electric Vehicles (BEV) BEV cars include all vehicles which are 100% fully electrified. Extended Range Electric Vehicle (EREV) EREV cars are cars charged by plug-in but also have a small gasoline engine that charges the battery while driving, which increases driving range. Non-Battery Electric Vehicles (Non-BEV) Non-BEV cars include all vehicles which are not 100% fully electrified (BEV). For Volvo Cars, it includes Plug-in hybrid electric vehicles (PHEV), mild hybrid (MHEV) and internal combustion engine cars (ICE). ICE Internal combustion engine, including all powertrain types except Plug-in hybrid electric vehicles (PHEV) and fully electric vehicles (BEV). Mild Hybrid Electric Vehicle (MHEV) Mild hybrid electric vehicle utilises both a gas engine and an electric motor. The MHEV is used to start the engine and brake or slow the car, thereby recovering brake energy that is stored in the 48V battery. Contract manufacturing A business model in which a third-party company is contracted for the production of goods or components over a specified contract period. Repurchase cars Cars under repurchase agreement are cars such as company cars and cars sold to rental companies. These cars are sold under a contract with a commitment (the right or obligation to buy back the car). Agency personnel Agency personnel is referred to as specific competence that is sourced externally and assigned to meet fluctuating business resource needs. VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 26 OF 30
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The alternative performance measures presented and disclosed in this interim report are used internally by management in con - junction with IFRS measures to measure performance and make decisions regarding the future direction of the business. The Group believes that these alternative performance measures, when provided in combination with reported IFRS measures, provide helpful supplementary information for investors. These alternative performance measures are not a substitute for or superior to IFRS measures and should be used in conjunction with reported IFRS measures. Further, these alternative performance measures, as defined by the Group, may not be comparable to other similarly titled measures used by other groups. Volvo Cars has applied the guidelines from ESMA (European Securities and Markets Authority) regarding alternative key figures (APMs, Alternative performance measures). Although these key figures are not defined or specified according to IFRS, they provide valuable supplementary information to investors and the company’s management regarding the company’s performance. Gross margin Gross margin is defined as Gross income as a percentage of revenue. Gross margin presents the percentage of revenue that Volvo Cars retains after incurring the direct costs associated with producing the goods and services sold. Operating Income (EBIT) EBIT is defined as net income excluding financial income and expenses, interest income and expenses and income taxes, representing the operating income as reported in the income statement. EBIT presents the operating income of Volvo Car Group. EBIT margin EBIT margin is defined as EBIT as a percentage of revenue. The EBIT margin presents the profitability of the operation in relation to the recognised revenue earned by Volvo Car Group during the accounting period. Items affecting comparability (IAC) Transactions that are not related to recurring business opera - tions, but affecting the financial outcome in a material way, and where the probability of reoccurrence over the coming years is limited. EBIT excl. share of income in JVs and associates and items affecting comparability This measure is defined as EBIT adjusted for items affecting comparability and excluding the result from share of income in JVs and associates. It presents the profitability of the underly - ing operations and can be used in making comparisons between reporting periods. Alternative performance measures presented by Volvo Car Group EBIT margin excl. share of income in JVs and associates and items affecting comparability This margin is defined as EBIT adjusted for items affecting comparability and excluding the result from share of income in JVs and associates, as a percentage of revenue. It presents the profitability of the underlying operations in relation to the recognised revenue earned by Volvo Car Group during the accounting period. Gross margin excl. items affecting comparability Gross margin excl. items affecting comparability is defined as gross margin adjusted for items affecting comparability. This presents the percentage of revenue that Volvo Cars retains from the underlying operations after incurring the direct costs associated with producing the goods and services sold. EBIT excl. items affecting comparability EBIT excl. items affecting comparability is defined as EBIT adjusted for items affecting comparability. This presents the profitability of the underlying operations that can be used in making comparisons between reporting periods. EBIT margin excl. items affecting comparability EBIT margin excl. items affecting comparability is defined as EBIT excl. items affecting comparability as a percentage of revenue. The EBIT margin excl. items affecting comparability presents the profitability of the underlying operation in relation to the recognised revenue earned by Volvo Car Group during the accounting period and can be used in making comparisons between reporting periods. EBITDA EBITDA is defined as EBIT excluding depreciation, amortisation and impairment of non-current assets. EBITDA presents an overview of the profitability of Volvo Car Group operations. VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 27 OF 30
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EBITDA margin EBITDA margin is EBITDA as a percentage of revenue. The EBITDA margin presents the profitability of the operation in relation to the recognised revenue earned by Volvo Car Group during the accounting period. Free cash flow Free cash flow is defined as the sum of cash flow from operat - ing activities and cash flow from investing activities. This rep - resents the operational cash flow for Volvo Cars minus the total investment spend and is the amount that Volvo Cars can choose to either consolidate, pay down debt or distribute to the shareholders. Net cash Net cash is defined as cash, cash equivalents and marketable securities less liabilities to credit institutions and bonds. Net cash represents Volvo Car Group’s ability to meet its financial obligations. Liquidity Liquidity is defined as cash, cash equivalents, undrawn credit facilities and marketable securities. Alternative performance measures are presented in SEK m unless otherwise stated. The reconciliations of the respective key figures against the most directly reconcilable item in the financial statements can be found at: investors.volvocars.com/en/results-and-reports/results-centre SEK m Jul–Sep 2026 Jul–Sep 2025 Full year 2025 Revenue 66,896 86,439 357,263 Cost of sales –58,184 –68,844 –297,0 42 Research and development expenses –5,279 –4,060 –26,067 Operating income (EBIT) –5,592 6,433 303 EBIT excl. share of income in JVs and associates and items affecting comparability –3,744 5,762 12,020 EBIT excl. items affecting comparability –4,492 5,940 12,556 EBITDA 2,037 12,129 35,679 Net income –5,730 4,511 –2,968 Gross margin, % 13.0 20.4 16.9 Gross margin, excl. items affecting comparability, % 14.7 20.4 18.0 EBIT margin, % –8.4 7. 4 0.1 EBIT margin excl. share of income in JVs and associates and items affecting comparability, % –5.6 6.7 3.4 EBIT margin excl. items affecting comparability, % –6.7 6.9 3.5 EBITDA margin, % 3.0 14.0 10.0 Alternative performance measures VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 28 OF 30
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Analysts and investors Erik Kronqvist Head of Investor Relations +46 31- 793 94 00 investors@volvocars.com Journalists and media Volvo Cars Media Relations +46 31-59 65 25 media@volvocars.com Webcast and quarterly presentation At 08:00 CEST on 23 October, Volvo Cars will host a live- stream for media, investors and analysts. The presenta - tion will be held in English and followed by a Q&A session. Link to webcast livestream. To call in, participants need to register and will then receive the dial-in details and individual PIN. Link to register. Upcoming investor events 4 February 2027: Q4 and full year 2026 report 23 April 2027: Q1 2027 report 27 April 2027: Annual General Meeting 21 July 2027: Q2 2027 report Contact Financial Calendar & quarterly presentation About this report Forward looking statements This report contains statements concerning, among other things, Volvo Car Group’s financial condition and results of operations that are forward-looking in nature. Such statements are not historical facts but, rather, represent Volvo Car Group’s future expectations. Volvo Car Group believes that the expectations reflected in these forward - looking statements are based on reasonable assump - tions. However, forward-looking statements involve inherent risks and uncertainties, and a number of impor - tant factors could cause actual results or outcomes to differ materially from those expressed in any forward- looking statement. Such important factors include but may not be limited to: Volvo Car Group’s market posi - tion, growth in the automotive industry, and the effects of competition and other economic, business, competitive and/or regulatory factors affecting the business of Volvo Car Group, its associated companies and joint ventures, and the automotive industry in general. Forward-looking statements speak only as of the date they were made and, other than as required by applicable law, Volvo Car Group undertakes no obligation to update any of them in light of new information or future events. Language In the event of inconsistency or discrepancy between the English and the Swedish version of this publication, the Swedish version shall prevail. Totals and roundings Totals quoted in tables and statements may not always be the exact sum of the individual items because of rounding differences. The aim is that each line item should corre - spond to its source, and rounding differences may there - fore arise. Gothenburg, 22 October 2026 Håkan Samuelsson President and CEO This report has not been subject to review by Volvo Car AB’s (publ.) auditors. VOLVO CAR GROUP / INTERIM REPORT THIRD QUARTER 2026 29 OF 30