VolvodroupCompanyPresentation2023Qrivingprosperity?OEveryday,acrosstheglobe,ourtrucks,buses,engines,cofetructionequipment,andfinancialservicesandsolitonsmakemodernlifepossible.Wearedrivingthetransitiontosustainableandsafetransport,mobility,anlihfrestructuresolutions.Thatway,wewillmeetthegrowingdemandfortransportation,whilemakingthejourneytobecomeanet-zerosociety.Together.2023-03-022WhatwedoVolvoGroupofferstrucks,buses,constructionequipment,powersolutionsformarineandindustrialapplications,financingandservicesthatincreaseourcustomers'uptimeandproductivity.Wedevelopandofferelectrifiedandautonomoussolutionsforthebenefitofcustomers,societyandfortheenvironment.VolvoGroupCompanyPresentation2023VOLVO2023-03-023VOLVOVOLVOVOLVOI>ETAOurbrandsVolvoGroup'sbrandportfolioconsistsofseveraldistinctbrands,targetingavarietyofcustomersandsegments.RREVOSTNOVSBUSRENAULTVi/TRUCKSARQUUScelllcentric。EICHERmilenceDONGFENGTrucksVolvoGroupCompanyPresentation20232023-03-024NORTHAMERICAEUROPEASIA19%GlobalSEpresencePLFRMXAFRICA&OCEANIASOUTHAMERICAShareofnetsalesbymarket(2022)VOLVO2023-03-025VolvoGroupCompanyPresentation202329%137BSEK*ProductionactivitiesinRussiahavebeensuspendedsinceFebruary2022.Shareoftotalemployees(2021)CountrieswithVolvoGroupproductionVOLVOShapingtheworldwewanttoliveinOurmissionistodriveprosperitythroughtransportandinfrastructuresolutions.MISSIONDrivingprosperitythroughtransportandinfrastructuresolutionsVISIONBethemostdesiredandsuccessfultransportandinfrastructuresolutionproviderintheworldHaveleadingcustomersatisfactionforallbrandsintheirsegmentsASPIRATIONSBethemostadmiredemployerinourindustryCODEOFCONDUCTWeearnbusinessfairlyandlawfullyWesafeguardcompanyinformationandassetsWerespectandcareforoneanotherWeseparatepersonalinterestsfrombusinessactivitiesWecommunicatetransparentlyandresponsiblyVolvoGroupCompanyPresentation20232023-03-026OursustainabilityprioritiesVOLVOVolvoGroupCompanyPresentation202GResponsiblebusinessbehaviorHumanrightsandbusinessethicsUsingourfullpotentialDiversityandinclusionQ.￡CommittedtosafetyZeroaccidentsvisionReducetheenvironmentalfootprintRenewableenergyisourfirsthandchoiceAstepchangeincircularityCapturethepotentialscirculareconomyTargetingnet-zerovaluechainFocusonelectrificationandhydrogentoreachnet-zeroemissionsby2040SustainabletransportsystemProductivityimprovementsforourcustomersJlogisrticsoperationsEngageinsocietyCreatevalueforbusinessandsocietySubstancesofconcernLimituseofmateriaIsandsubstancesofconcern2023-03-027VOLVOInnovativesince19272023-03-028Thethree-pointsafetybeltisinvented.EnvironmentalcarebecomesacorevalueforVolvo.VolvoGroupCompanyPresentation2023VolvoTrucksintroducesdriverairbagsinheavy-dutytrucksasaworldfirst.SafetyisputinfocusintheveryfirstyearofVolvo'shistory.TheVolvoEnvironmentPrizeisincepted.Snapshotsofahistoryofinnovationandsustainabilityfocus.TheLambdaSondispresented.1976l-Shiftbecome^available.Theworld'sfirstarticulatedhaulerseesthelightofday.LaunchofVolvoDynamicSteering.2023-03-029VolvoGroupjoinsWWFJsClimateSaversprogram.VolvoGroupstartsseriesproductionofelectricheavy-dutytrucks一completingtherange.InfomaxfromRenaultTruckspremieres.VolvoGroupCompanyPresentation2023Theworld'sfirstcarbonneutralvehiclemanufacturingplantopensinGhent.VolvoGroupcommitstothegoalsoftheParisAgreement.VolvoPenta'solutionary；systemevealed.TheElectricityprojecttakesplaceinGothenburgV-Eagle一VolvoGroup'sLGBTQ+networkisestablished.k?ThegroundbreakingVerasystemputs2018automationinResultsfromtheElectricSiteresearchprojectshowsa98%reductioninCO2emissions.Long-termambitionsSafeFossil-freeMoreproductiveVolvoGroupCompanyPresentation20232023-03-0210VOLVO100%safe-onourwaytozeroaccidentsDrivertrainingandsafetyawareness,safetyfeaturesinproducts.Realtimedatafromaccidentsandconnectedvehiclestodevelopsafetyrelatedsolutionsandspreadsafetyawareness.Utilizedbyusandsharedwithothers.Workingwithauthorities,academiaandotherindustryplayerstoadvanceknowledge,regulations,anddevelopmentofnewsolutionsforsafertransportsystems.WehaveavisionofzeroaccidentsinvolvingourproductsandweworkdiligentlytoensurethattheVolvoGroupisasafeplacetowork.一

Collaboration一

Safetyforallroadusers一

CreatingknowledgeandsharingdataVolvoGroupCompanyPresentation20232023-03-0211VOLVOAcceleratingthesustainabletransformationto100%fossil-freefuel100%0%Ourambitionisfor100%ofourproductstobedrivenbyfossil-freefuelsby2040.Tocontributetoanemissions-freefuture,therewillbeasteadyshiftintoelectricpropulsion,andcombustionengineswillrunonbiofuel.VolvoGroupCompanyPresentation20232023-03-0212SO-Q-LP>MOUM—oCD奇LlcoVOLVO100%moreproductive一

Byincreasingproductivityandefficiencyitispossibletomeetagrowingneedfortransportationwhilestayingwithintheboundariesofwhatourplanetcansustain.一

Oursolutionsincreaseproductivityandefficiencybyoptimizingtransportflows.一

OneexampleisEfficientLoadOut,acloud-basedsoftwaresoution,connectsmachineoperators,truckdriversandsitemanagersinreal?timetomaximizetheprofitabilityandsustainabilityofmassexcavationprojectsVolvoGroupCompanyPresentation202VOLVOTakingfullresponsibilityFromproductstosolutionsElectric,connectedandautonomousvehiclesenableimprovedlogisticsefficiencyincompletetransportationflows.Thisopensupfornewbusinessmodelswherethefocusisonofferingtotalsolutions.VolvoGroupCompanyPresentation20232023-03-0214VOLVOCompletesolutionInsuranceFinancingServicecontractsChargingservicesDigitalServicesTires&superstructureservicesVolvoGroupCompanyPresentation20232023-03-0215VOLVOBUSINESSAREASVolvoTrucks|RenaultTrucks|MackTrucks|VolvoConstructionEquipment|VolvoBuses|VolvoPenta|VolvoEnergy|VolvoAutonomousSolutions|VolvoFinancialServices|ArquusVolvoGroupCompanyPresentation20232023-03-0216VOLVOVolvoTrucksOneofthelargestpremiumtruckbrandsintheworld.一

Mediumandheavy-dutytrucks.—

MainproductioninSweden,Belgium,BrazilandtheUSA.VolvoFHElectricVNRElectricVolvoGroupCompanyPresentation20232023-03-0217VOLVORenaultTrucksOneoftheworldleadersinheavygoodsvehicles.—>Light,mediumandheavy-dutytrucks.一

MainproductioninFrance.RenautTrucksRenautTrucksDWdeVolvoGroupCompanyPresentation20232023-03-0218VOLVOMackTrucksOneofNorthAmerica'slargesttruckmanufacturers.—>Medium-dutytrucks—>MainproductionintheUSA.—>Heavy-dutytrucks,enginesandtransmissionsandaxles.MackAnthemMackMDVolvoGroupCompanyPresentation20232023-03-0219VoBrands:Volvo,SDLG,Rokbak.—>—>—>VolvoGroupCompanyPresentation2023VolvoConstructionEquipmentMainproductioninSweden,Germany,SouthKoreaandChina.Rigid&articulatedhaulers,wheelloaders,excavators&roadequipment.Aleadingproviderofconstructionequipmentandinnovativesolutions.RokbakRA40RA30O2023-03-0220VOLVolvoBusesLeaderinthedevelopmentofsustainabletransportsolutionsforpublictransport.Premiumcity-andintercitybuses,coachesandchassis.—>Brands:VolvoandPrevost.—>—>ProductioninSweden,Poland,Mexico,BrazilandCanada.Volvo7900ElectricVolvo9800VolvoGroupCompanyPresentation2023o2023-03-0221VOLVOVolvoPentaWorld-leadingsupplierofpowersolutionstomarineandindustrialapplications.—

Engine-andpowersystemsformarineandindustrialapplications.一

ProductioninSweden,USAandChina.VolvoGroupCompanyPresentation20232023-03-0222VolvoEnergy—>—>—>VolvoGroupCompanyPresentation2023BatteryCircularity:createanattractiveandsustainablecircularbusinessmodelforsecond-lifebatteries.EnablingandacceleratingtheVolvoGroup'soverallsustainabilityambitions.ChargingandInfrastructure:supporttheVolvoGroupbrandsinsalesandservicesofelectrifiedvehiclesandmachines.VolvoEnergyisVolvoGroup'snewestbusinessarea,dedicatedtomakeafundamentalbreakthroughbyacceleratingelectrificationanddrivingcircularityforabettertomorrowthrough:VOLVOVOLVOVolvoAutonomousSolutionsDedicatedtothecommercializationofautonomoustransportsolutions:—>CompleteAutonomousTransportSolutionbasedonTransportasaService—>Full-stackin-housesolutionforconfinedareas,partnersforhub-to-hub—>DeploymentsinBrbnnby,Norway,SwitzerlandandtheUnitedStates—>Industryverticals:hub-to-hubonhighwaytrucking,portsandlogisticscenters,minesandquarriesAutonomousVolvoVNLTaraSolution(Electric&Autonomous)AutonomousVolvoFHVolvoGroupCompanyPresentation20232023-03-0224VOLVolvoFinancialServices—>—>Acceleratingsustainablesolutionsforcustomers—>VolvoGroupCompanyPresentation2023WorkscollaborativelywithallVolvoGroupbrandsandbusinessareasasanintegralpartofVolvoGroup'stotalofferAfullrangeoffinancing,rental,insuranceandotherservicesandsolutionsforthetruck,constructionequipment,busandmarineandindustrialenginemarketsVolvoGroup'scaptivefinanceprovidercommittedtocustomersuccesso2023-03-0225VOLVOArquusEuropeanleaderinhighmobilityvehiclesandinnovativesolutionsformilitaryapplications.—>ArmoredvehiclesforalloperationalmissionsEnergymanagement—>Self-protection—>—>Integratedlogisticsupportandmaintenance—>ProductioninFranceBastionVABMK3SherpaVolvoGroupCompanyPresentation20232023-03-0226VOLVOTHESTRENGTHOFTHEVOLVOGROUPVolvoGroupCompanyPresentation20232023-03-0227VOLVOCreatingsynergiesHarnessingsharedresourcesVolvoGrouphasglobalorganizationsforproductdevelopment,manufacturingandpurchasing.ThisisoneofthewaysinwhichwecancreatesynergiesandutilizeVolvoGroup'sextensiveandsharedresourcesinthebestpossibleway.PURCHASINGOPERATIONSTECHNOLOGYVolvoGroupCompanyPresentation20232023-03-0228VOLVOAmodularapproachthatbenefitsallbusinessareas?rheambitionwithCASTistodevelopacompetitivesetofmodularproductsandservicesthatareeasytointegrate,thatmeetfuturelegal,marketandsocietyneeds,andthatexceedcustomerexpectations.?「hismodularapproachenablesVolvoGrouptosharetechnologyforengines,electronics,transmissions,chassis,connectivity,electromobilityandautomationamongitsbusinessareas.?/olvoGroupanditspartnerscanbenefitfromtheGroup'smodularplatform:CommonArchitecture&SharedTechnology(CAST).VolvoGroupCompanyPresentation20232023-03-0229VOLVOMixedmodelassemblyVolvoproduceselectrictrucksonthesamelinesasitsconventionaltrucks,whichgiveshighproductionflexibilityandefficiencygains.CombustionElectricenginedrivelineBatterypackageFuelcellpackagePre-assemblystationsVolvoGroupCompanyPresentation20232023-03-0230VOLVOSTRATEGICALLIANCEWITHISUZUGROUP_SOCIETALPART皓RSHIPSPartnershipisthenewleadershipKeepingupwiththelatestdevelopmentisanessentialpartofstayingsuccessful一

andonewhichisimpossibletodoonyourown.So,VolvoGroupengagesinnumerouscollaborationsandpartnerships.VolvoGroupCompanyPresentation20232023-03-0231vor.voFINANCIALPERFORMANCEVolvoGroupCompanyPresentation20232023-03-0232NetsalesVolvoGroup'snetsales2018-2022,BSEK.VolvoGroupCompanyPresentation2023VOLVOShareofnetsalesbysegment■Trucks,65%■ConstructionEquipment,21%■Buses,4%■VolvoPenta,3%■FinancialServices,4%■GroupFunctions&other,3%Shareofnetsalesbyrevenuetype■Vehicles,76%■Services,20%■Financial,4%2023-03-0233VoAdjustedoperatingincomeVolvoGroup'sadjustedoperatingincome2018-2022,48412018