|Bid||143.55 x 0|
|Ask||143.65 x 0|
|Day's Range||142.15 - 144.65|
|52 Week Range||112.85 - 155.00|
|Beta (3Y Monthly)||1.14|
|PE Ratio (TTM)||9.19|
|Forward Dividend & Yield||5.00 (3.58%)|
|1y Target Est||159.27|
Oct.16 -- Hakan Samuelsson, president and chief executive officer at Volvo Car Group, discusses the launch of the automaker's first all-electric vehicle, its plan to pay the first year’s worth of charging costs for owners of its plug-in hybrids, and opportunities in China. He speaks on “Bloomberg Markets.”
Oct.16 -- Volvo Cars CEO Hakan Samuelsson speaks on Bloomberg Television about the launch of its first all-electric vehicle, the XC 40 Recharge. He speaks on "Bloomberg Markets."
Connectivity, electric trucks and autonomous vehicles were highlighted by Peter Voorhoeve, president of Volvo Trucks North America (VTNA) at Transport Expo ANPACT 2019. The event, which is being held in Puebla, Mexico from October 15-18, is an international exhibition for passenger and freight transportation. The expo is hosted by Mexico's national association of heavy duty truck and bus manufacturers (ANPACT).
AB Volvo (OTC: VLVLY) reported higher third-quarter profits and sales on Friday, October 18. Volvo earned $1.12 billion compared with $1.05 billion in the July-to-September period a year ago. Volvo shares have fallen 7% in value over the last six months as the truck market has cooled.
Swedish truckmaker AB Volvo reported a sharp decline in third-quarter orders and forecast a demand slump on both sides of the North Atlantic next year, taking the shine off forecast-beating earnings. Chief Executive Martin Lundstedt told a news conference that AB Volvo is well prepared for what he described as an expected correction in its main markets. Lundstedt said the Gothenburg-based company had reduced production volumes over the past quarter and would make further adjustments over coming quarters in light of declining orders.
Swedish truckmaker AB Volvo reported a sharp decline in third-quarter orders and forecast a demand slump on both sides of the North Atlantic next year, taking the shine off forecast-beating earnings. After years of strong demand, signs of a slowdown in commercial vehicles markets that have always been prone to violent cyclical swings have become increasingly apparent in recent months amid concern over international trade and the global economy. Chief Executive Martin Lundstedt told a news conference that AB Volvo is well prepared for what he described as an expected correction in its main markets.
The impact of a United Auto Workers' strike at Mack Trucks will nearly double next week when Volvo Trucks North America lays off about 3,000 employees because of a lack of engines and transmissions that come from a Maryland plant the companies share. A Volvo Group spokesman on Thursday confirmed the ripple effect of the 4-day-old strike on its New River Plant in Dublin, Virginia. "We communicated to our employees this morning that NRV will stop production Monday because of the effects of the strike at our Hagerstown powertrain operations," spokesman John Mies told FreightWaves.
(Bloomberg) -- Volvo Cars isn’t just electrifying its lineup to cut carbon emissions. Now the Swedish automaker says it will pay customers to make sure they plug in.Volvo is tying the launch of its first all-electric vehicle -- the XC40 Recharge crossover -- to a broader plan for shrinking the carbon footprint of its models by 40% through 2025. And it’s backing that pledge with a promise to pay the first year’s worth of charging costs for owners of its plug-in hybrids, starting with the 2021 model year.Volvo placed itself at the forefront of electric car hype in 2017 when it vowed to rid its lineup of cars running purely on fossil fuels by 2025. To get there, it’s going to roll out a new battery-electric model every year until 2025, starting with its XC SUVs, Chief Executive Officer Hakan Samuelsson said. Those will join a growing range of hybrid models.“We believe we should treat sustainability as as much of an integrated part of our business as safety, not just something we do as an add-on,” Samuelsson said in a phone interview. “We’re making it part of our product offering.”Model 3 RivalBuyers of 2021 model year hybrids will be able to claim a refund for their electricity costs during the first year of ownership based on power consumption data extracted from Volvo’s app for Apple and Android smartphones. Volvo plug-in hybrid owners drive in electric mode only about 40% of the time, Samuelsson said in an interview with Bloomberg Television.The XC40, which Volvo unveiled earlier today in Los Angeles, will have 200 miles of range in the U.S., 402 horsepower and take 40 minutes to get to 80% battery capacity on a fast-charging system, the company said. That compares to the 240-mile range of Tesla Inc.’s Model 3 sedan.Samuelsson said Volvo will start producing its first EV late next year and price it to compete with the Model 3, which starts at about $39,000 but has been selling on average for roughly $50,000.“It’s affordable for a much broader range of people” than higher-priced luxury brand electric cars, said Volvo’s Chief Technology Officer Henrik Green. The XC40 is “more like a $50,000 car than a $100,000 car,” he said.The electric XC40 will join a wave of new EVs debuting to keep up with tightening emissions regulations in China and Europe. While uptake remains slow, carmakers including Volkswagen AG and Daimler AG have launched new models like the Audi e-tron and Mercedes EQC to chase after Tesla.Volvo is pushing ahead with its electric ambitions as others in the space struggle. NIO Inc., China’s would-be Tesla competitor, is running short of cash. Jia Yueting, founder of electric vehicle start-up Faraday & Future Inc., filed for bankruptcy. And Dyson Ltd., the famed maker of vacuum cleaners, pulled the plug on its battery-powered car project.‘Midterm’ Profitability GoalVolvo would not be making a fully electric XC40 if it wasn’t “absolutely sure” the car will be profitable, Samuelsson said.“It might be lower profit margin initially, but what counts is more midterm” profitability goals, he said.The bet on electrics comes at a time when the carmaker is coping with a global sales slowdown and tariffs that led to a 30% drop in first-half operating income. To cut costs, the company plans to merge engine operations with Chinese parent Geely.Samuelsson said Volvo wants to increase the appeal of electrified vehicles so they sell without government subsidies -- and incentives like free charging for the first year. “Long term, if this is really going to do something to the climate or the environment, the cars need to be attractive and need to be bought by customers with their own money,” he said.(Adds CTO comment in eighth paragraph.)\--With assistance from Shery Ahn and Amanda Lang.To contact the reporters on this story: Gabrielle Coppola in New York at email@example.com;Ed Ludlow in San Francisco at firstname.lastname@example.orgTo contact the editors responsible for this story: Craig Trudell at email@example.com, Gabrielle Coppola, Chester DawsonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Volvo Cars, owned by China's Geely Holding, is targeting a 40% reduction in the carbon footprint of each car it manufactures by 2025 as it bids to become fully climate neutral by 2040, it said in a statement on Wednesday. The company aims to reach the 2025 targets through a string of measures, including generating 50% of global sales from fully electric cars and having a 25% share of recycled plastics in new vehicles by that time, both of which have been previously announced. It is also aiming for a 25% cut in carbon dioxide emissions related to its global supply chain and its overall operations, including manufacturing and logistics, by 2025.
The United Auto Workers plans to strike Mack Trucks operations in three states on Sunday, the first walkout at the heavy-duty truck maker in 35 years. UAW Local 677 has 3,500 members at plants in Pennsylvania, Maryland and Florida. "We are disappointed that the company failed to provide any substantial offer prior to the October 1 expiration date or during the period in which we extended the contact," Ray Curry, secretary-treasurer of the UAW and director of its Heavy Duty Truck Department, said in a letter to William Waters, director of Employee and Labor Relations for Volvo Trucks North America.
A United Auto Workers strike against Mack Trucks could soon impact assembly at the Volvo Trucks assembly plant in Virginia because both get engines and transmissions from the same Maryland facility. It is the first UAW strike against Mack in 35 years.
Brazil's largest truckmakers are expressing optimism again about the growth prospects for Latin America's largest economy, even as the country continues to struggle to rebound from a deep recession that began in 2015. "We are breathing optimism," said Martin Lundstedt, Volvo Group's President and CEO, who traveled to Sao Paulo to take part in the biennial Fenatran expo, the largest truck and machinery trade show in the country. "Latin America ... is coming back.
Volvo Trucks North America and its Mack Trucks sibling are partnering with connected transportation company Geotab to send electronic logging device (ELD) data to the cloud and back for interference-free reporting. The telematics devices, factory-installed in Volvo and Mack trucks, send engine and positional data to the cloud, which generates automatic duty status logs.
Volvo Cars will merge its engine development and manufacturing assets with those of parent Geely, creating a division to supply in-house brands Lotus, LEVC, Lynk and Proton, and also potential rivals with next-generation combustion and hybrid engines. It marks the latest example of consolidation in the engine manufacturing sector as tighter emissions rules hike development costs at a time when the expansion of electric cars calls into question the long-term demand for gas guzzlers. Rival Volkswagen , which is in the midst of ramping up mass production of electric cars, has already warned its in-house suppliers to create structures to consolidate combustion engine assets.
(Bloomberg) -- Volvo Cars and China’s Geely plan to merge their engine operations into a standalone company, a step the Swedish automaker says will cut costs as it shifts to a fully electrified lineup.The combined unit would supply two million diesel and gasoline-powered engines, compared with the 600,000 Volvo produces today, giving the two companies more scale to reduce material costs. It could also supply other car manufacturers, though none have expressed interest yet, Volvo Chief Executive Officer Hakan Samuelsson said.Global automakers are walking a financial tightrope as they spend billions to develop electric vehicles that IHS Markit forecasts will grow from 2% to 12% of new-car production by 2030. At the same time, slowing sales, trade wars and tightening emissions regulations in China and Europe are pinching profits.Forming a standalone supplier will free up Volvo to focus on electric powertrains and platforms in-house without starving its internal combustion engine business of resources, Samuelsson said.“It’s not like the combustion engine is going to be a growing business,” he said in a phone interview. “The right thing to do is to consolidate and seek synergies. And the earlier you do that, the stronger you will be.”Volvo said no jobs will be eliminated in forming the new supplier, which will employ about 3,000 Volvo workers and 5,000 from Geely, including people in engineering, procurement, manufacturing, information technology and finance.It’s too soon to tell whether the merger would lead to job cuts over time, because it will depend on how quickly the market transitions from combustion engines to fully electric vehicles, said Alan Baum, an independent auto analyst in West Bloomfield, Michigan.“The extent that you move to full battery-electric, you obviously displace those white-collar and blue-collar combustion-engine people,” Baum said, adding that some staff may be able to transfer to new areas within the companies. “If they remain heavily involved in the supply chain, perhaps in a way they weren’t in combustion engines, then they would in fact absorb some of that transition.”‘They Don’t Need Us Anymore’: Auto Workers Fear Electric UnrestSome forecasters see electrification taking off faster than IHS, with BloombergNEF analysts projecting that battery-only and plug-in hybrid vehicles will reach 30% of sales by 2030.Volvo wants half of its global sales fully electric by 2025, and for the remainder to run on engines for gas-electric hybrids supplied by the new unit formed with Geely. The carmaker sold more than 355,000 vehicles globally in the first half of 2019, a 2.5% gain over last year. It will start production next year of the brand’s first fully electric car, a battery-powered version of its XC40 compact crossover.Samuelsson embarked on 2 billion kronor ($200 million) of cost cuts in July after announcing operating profit fell 30% in the first half. Geely’s profit plunged 40% in the first half, dragged down by the first slump in Chinese auto sales in a decade.The CEO hopes to bring the planned merger of engine operations before Volvo’s board for approval next year.“You cannot be world champion on everything,” Samuelsson said. “We don’t want to risk losing out on electrification.”(Updates with analyst comment in 7th paragraph. An earlier version of this story corrected the series labels in the chart.)To contact the reporter on this story: Gabrielle Coppola in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Craig Trudell at email@example.com, Chester Dawson, David WelchFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Peter Voorhoeve recently passed his first anniversary as president of Volvo Trucks North America after five years running Volvo Group's (OTC: VLVLY) Australian operations. During his brief tenure, Volvo's market share is down nearly a percentage point. "For me, market share is a result, not an objective," Voorhoeve said in an interview with FreightWaves at a recent Technology Day program at Volvo's New River Valley assembly plant in Dublin, Virginia.
Volvo Trucks North America (VTNA) is on track to deliver five Class 8 VNR electric trucks to California for its multi-partner Low Impact Green Heavy Transport Solutions (LIGHTS) program before the end of the year, but the infrastructure to charge them may be lagging. During a technology program for media at its plant in Dublin, Virginia, on Sept. 12, Volvo showed its first regional haul VNR day cab assembled with twin electric motors and mounted two-speed transmission in the center of the frame rail. This cutaway of the Volvo Trucks electric-powered VNR day cab shows a layout of the changes from a conventionally powered diesel truck.
Volvo Trucks is importing its Dynamic Steering system to North America next year. The technology's practically effortless maneuvering of heavy-duty trucks reduces driver fatigue – and could lessen the need for chiropractors treating their neck and shoulder pain, the company said.
The payback for record new Class 8 trucks in 2018 is beginning to take hold as Mack Trucks and Volvo Trucks North America join Navistar in cutting fourth-quarter production. Mack and sister company Volvo Trucks North America described the production cuts as typical in a cyclical industry. Volvo plans a week of downtime at Thanksgiving and another around Christmas for workers at the New River Valley plant in Dublin, VA.