volvo group investor meeting at nacv oct28 · 2020-01-15 · georgia world congress center, atlanta...
TRANSCRIPT
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Georgia World Congress Center, Atlanta
Monday, October 28th
Volvo Group investor meeting
at North American
Commercial Vehicle Show
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AGENDA
VOLVO GROUP
strategic direction
MACK TRUCKS
business update
VOLVO TRUCKS NA
business update
Q&A
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AGENDA
VOLVO GROUP
strategic direction
MACK TRUCKS
business update
VOLVO TRUCKS NA
business update
Q&A
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Volvo GroupVolvo Group
Volvo Group Strategic Direction Martin LundstedtPRESIDENT AND CEO
4
Investor meeting at NACV
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Volvo GroupVolvo Group
5
We are well invested with strong assets to build on
Go to market strategy Leveraging synergies Application excellence
Investor meeting at NACV
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Volvo GroupVolvo Group
We are well invested
with strong assets
to build on
Addressing broad
spectrum of customer
segments
6
Investor meeting at NACV
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Volvo GroupVolvo Group
A fantastic industry in transition
PERFORM TRANSFORM
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Investor meeting at NACV
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Volvo GroupVolvo Group
8
Perform
Investor meeting at NACV
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Volvo GroupVolvo Group
JAPAN HD
EUROPE HDBRAZIL HD
ASIA HD+MD
NORTH AMERICA HD
0
200
400
600
800
1 000
1 200
1 400
03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20
China
India
2018: 1,325’
Forecast 2019: 1,270’
Forecast 2020: 1,200’
2018: 420’
Forecast 2019: 300’
Forecast 2020: 310’
0
25
50
75
00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20
2018: 48’
Forecast 2019: 45’
Forecast 2020: 45’
9
Business cycle management
0
25
50
75
100
125
00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20
2018: 53’
Forecast 2019: 75’
Forecast 2020: 75’
0
100
200
300
400
00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20
2018: 311’
Forecast 2019: 340’
Forecast 2020: 240’
0
100
200
300
400
00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20
2018 : 322’
Forecast 2019: 320’
Forecast 2020: 275’
TRUCK MARKET ENVIRONMENT
Investor meeting at NACV
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Volvo GroupVolvo Group
BUILDING RESILIENCE
Improving performance
2.8M
Service business potential
10
INSTALLED POPULATION
TRUCKS, BUSES AND MACHINES
whereof
1.0M connected
Investor meeting at NACV
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Volvo GroupVolvo Group
STRENGTHENING THE RESILIENCE OVER THE CYCLE
11
Improving performance
Volvo Group service sales Volvo Group adjusted operating margin,
12m rolling SEK b.n.
SEK b.n.
Investor meeting at NACV
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Volvo GroupVolvo Group
12
Pension liabilities in Q2 2019 of SEK 16.8 bn and
leasing liabilities of SEK 7.3 bn (IFRS16).
Cash position,
Industrial Operations
BUILDING RESILIENCE
Improving performance
Investor meeting at NACV
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Volvo GroupVolvo Group
Transform
13
Investor meeting at NACV
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Volvo Group
Transforming for the future
ELECTROMOBILITY AUTOMATION CONNECTIVITY
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Volvo GroupVolvo Group
15
Investor meeting at NACV
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Volvo Group
Volvo Autonomous Solutions A new Business Area with full focus on developing,
commercializing and scaling up L4 autonomous solutions
16
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AGENDA
VOLVO GROUP
strategic direction
MACK TRUCKS
business update
VOLVO TRUCKS NA
business update
Q&A
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MACK TRUCKS
Martin Weissburg – President
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Mack LR Electric
20
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Proprietary driveline penetration
91%
Captive Transmissions (AMT)
10 11 12 13 14 15 16 17 18
6.5%Mack mDRIVE
(highway)
09 10 11 12 13 14 15 16 17 18
Parts per VIO
Truck population (10 year)
167.6 %
Parts per Vehicle in Operation
CaptiveEngines
98%
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Strong dealer network
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Connected support
OneCall
ASIST
GuardDog
ConnectMack
Over The Air
Certified
Uptime Dealers
Mack
Connect
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AGENDA
VOLVO GROUP
strategic direction
MACK TRUCKS
business update
VOLVO TRUCKS NA
business update
Q&A
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Volvo Group
Peter VoorhoevePresident
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• Home market
• Strong truck portfolio
• Successful strategy shift and positive turnaround
• Major investments to best serve our customers
North America: key market for Volvo Trucks
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Well-received first-class product lineup…
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… ready for the future with the Volvo VNR Electric
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Volvo
Engines
Parts per
Vehicle in
Operation
0
20
40
60
80
100
03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18
93%
0
10
20
30
40
50
60
70
80
90
100
07 08 09 10 11 12 13 14 15 16 17 18
89%
Volvo
I-Shift AMT
09 10 11 12 13 14 15 16 17 18
Parts per VIO
Truck population (10 year)
36%
121.8 %
Successful proprietary driveline penetration
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$400 Million over 6 years
Major manufacturing investments
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A decade of substantial dealer investments
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October 28th, 2019
Meeting NA Commercial Vehicle Show
34
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AGENDA
VOLVO GROUP
strategic direction
MACK TRUCKS
business update
VOLVO TRUCKS NA
business update
Q&A
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Q&A