GOTHENBURG, Sweden, Oct. 23, 2025 – Volvo Cars has reported its third-quarter financial results, showcasing a group operating income (EBIT) of SEK 6.4 billion, improving its EBIT margin to 7.4% from 6.2% in the same quarter last year. Despite facing challenges in the global market, the company demonstrated significant strides supported by a strategic cost and cash action plan, which aims to streamline operations with a budget of SEK 18 billion.
The recent financial results indicate total revenues decreased to SEK 86.4 billion compared to SEK 92.8 billion in Q3 2024. In a testament to its efforts, the operating income (excluding joint ventures and associates) rose to SEK 6.3 billion, alongside a notable increase in basic earnings per share, which reached 1.75 SEK, up from 1.41 SEK in the previous year.
Sales figures showed a decline, with Volvo selling 160,514 cars in Q3, reflecting a 7% drop from the same period in 2024. However, the company reported a slight recovery in retail sales during September, largely driven by robust performances in regions including the UK, Austria, Türkiye, Canada, Brazil, and Mexico.
The reported figures are indicative of the broader challenges faced by the premium automotive market, particularly in the fully electric vehicle segment. The competition in this area remains fierce, yet Volvo is optimistic about its upcoming launches, particularly the fully electric EX60 mid-size SUV expected in January 2026. The company is also in the process of constructing the Kosice plant in Slovakia while ramping up production for the ES90 in Chengdu and the EX30 in Ghent.
Håkan Samuelsson, the chief executive of Volvo Cars, expressed confidence in the company’s trajectory, stating that despite market difficulties, they have achieved a solid third-quarter result. He highlighted that the cost and cash measures implemented are reaping benefits, leading to a gradual recovery in sales momentum.
With plans set for the strategic launch of new electric models, Volvo appears to be positioning itself efficiently to adapt to a transforming automotive landscape, highlighting a persistent commitment to both operational efficiency and innovation in electrification.