Sweden's Volvo Cars Q1 revenue falls, warns on Q2 profitability

Volvo Car AB

29/04/2026 06:18

Overview

Sweden-based automaker's Q1 revenue fell yr/yr to SEK 72.6 bln

Q1 EBIT margin slipped to 2.2% from 2.3% a year earlier

Company cites higher BEV sales share and challenging market conditions for results

Outlook

Volvo Cars expects full-year volumes to improve, supported by the EX60 launch

Company says Q2 profitability will be affected by headwinds and EX60 production ramp-up

Volvo Cars maintains ambition for full-year volume growth and cash flow

Result Drivers

BEV SALES GROWTH - Fully electric vehicle sales rose 12% and BEV share reached 24%, driven by 30, 40, and 90 series models

COST AND CASH ACTIONS - Continued cost and cash action plan contributed positively to results, with further SEK 5 bln in targeted savings

CHALLENGING EXTERNAL ENVIRONMENT - Tariffs, competition, geopolitical tensions and economic uncertainty weighed on sales and profitability

Company press release: ID:nWkrbmvL50

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
SEK 72.60 bln
Q1 Basic EPS
SEK 0.54
Q1 EBIT
SEK 1.60 bln
Q1 EBIT Margin
2.20%


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 9 "hold" and 4 "sell" or "strong sell"

The average consensus recommendation for the auto & truck manufacturers peer group is "buy."

Wall Street's median 12-month price target for Volvo Car AB is SEK23.00, about 2.1% above its April 28 closing price of SEK22.53

The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 6 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)