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Volvo Cars reports Q3 2024 core operating profit of SEK 5.7 billion

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Q3 operating profit (excl. JVs and associates) was SEK 5.7 bn, vs SEK 6.1 bn in Q3 2023Q3 operating profit was 5.8 bn SEK, vs SEK 4.5 bn in Q3 2023Q3 EBIT margin (excl. JVs and associates) was 6.2 per cent, vs 6.7 per cent in Q3 2023Q3 EBIT margin was 6.2 per cent, vs 4.8 per cent in Q3 2023Q3 revenue was 93 bn SEK, vs 92 bn SEK in Q3 2023Q3 electrified share of sales at 48 per cent, vs 34 per cent in Q3 2023Q3 fully electric car sales share at 25 per cent, vs 13 per cent in Q3 2023

GOTHENBURG, Sweden, Oct. 23, 2024 /PRNewswire/ — Volvo Cars today reports a core operating profit (EBIT), excluding joint ventures and associates, of SEK 5.7 billion for the third quarter of 2024, versus SEK 6.1 bn for the same period in 2023.

Gross margins came in at 20.5 per cent for the third quarter, broadly in line with the company’s underlying operational gross margins for the first half of 2024. Revenues for the period amounted to SEK 93 billion and the core EBIT margin landed at 6.2 per cent. Free cash flow was around flat at SEK -0.4 billion.

As stated during its Capital Markets Day in September, Volvo Cars aims to outgrow the premium car market* and generate a core EBIT margin of 7-8 per cent as well as strong free cash flows from 2026 onwards. The company is determined to reach its ambitions and has a clear roadmap towards doing so.

However, achieving these ambitions will not be straightforward since the weakness in the market has recently accelerated – a fact also echoed in revised industry forecasts for 2024 and 2025 by third-party analysts. Overall industry demand continues to soften and is now affecting the premium segment.

“Our journey towards 2026 will not be linear, as our industry is facing an increasingly volatile environment,” says Jim Rowan, chief executive for Volvo Cars. “Macroeconomic headwinds are intensifying, as is geopolitical complexity. Despite these challenges we demonstrated resilience during the third quarter of 2024, which is reflected in our overall financial performance.”

Volvo Cars has grown faster than its premium peers this year. The company’s third-quarter sales rose by 3 per cent to 172,849 cars sold, with electrified models (fully electric and plug-in hybrid cars) representing 48 per cent of the total.

Volvo Cars’ electrified share was the highest for the premium car industry in Europe. For the first nine months, Volvo Cars sales increased by 10 per cent year-on-year. This gives the company a foundation to outgrow the premium car market in 2024, which is expected to grow by less than 1 per cent this year. 

In Europe, Volvo Cars increased its market share to 2.4 per cent during the quarter, from 1.7 per cent in the same period last year, in an increasingly competitive market while retaining its premium pricing position. Although the market is softening, the company is encouraged by the strong performance of its balanced portfolio of fully electric (BEV) cars, plug-in (PHEVs) and mild hybrids. The EX30 remained among the best-selling EVs in Europe and the XC60 continues to be one of the most popular PHEVs in the region.

However, the car market in the company’s main regions of Europe, China and the US is increasingly under pressure which affects demand. Given this accelerating weakness in the market and Volvo Cars’ focus on safeguarding value over volume, the company expects minimal volume growth during the fourth quarter. As a result, it now anticipates full-year sales growth of 7-8 per cent, instead of its earlier forecast of 12-15 per cent. 

Volvo Cars retained its premium position in China by focusing on price discipline, resulting in lower sales volumes. In the US, the performance of its electrified range remained solid, but here too the overall market has weakened. Lower interest rates may improve the situation over time in these markets and Volvo Cars continues to monitor developments and adapt accordingly.

Volvo Cars has actively adapted its sales and production plan to reduce inventory during the second half of the year. This is materialising according to plan, and the company remains focused on diligent inventory management. At the same time, it is also in the process of moving cars off its balance sheet in some European markets as part of its adjusted commercial approach.

The company is determined to safeguard value and cash, while working resolutely towards its 2026 ambitions. However, the revised full-year sales guidance of 7-8 per cent also affects Volvo Cars’ expectations for free cash flow for this year. While it continues to drive its free cash flows towards neutral for 2025 and strong from 2026, Volvo Cars now anticipates its full-year free cash flow to be single digit-negative in SEK bn for 2024, rather than neutral, due to the overall weakness in the market and resulting in lower sales expectations in the fourth quarter.

As the company reiterated during its Capital Markets Day, it is investing in new technologies, infrastructure and cars to ensure that it becomes a leader in next-generation mobility. Volvo Cars expects these planned investments to peak during the 2024-25 period. After this phase it plans to start generating strong free cash flows from 2026 onwards.

Looking ahead

Volvo Cars has five fully electric cars on the road, and five more in development. As previously communicated, it plans to start building the EX30 in its Ghent plant during the first half of 2025, with volumes ramping up in the second half.

The company also continues to invest in its hybrid cars, exemplified by the updated, ready-for-a-new-era version of the iconic XC90 plug-in hybrid SUV. By refreshing these and other hybrid models, Volvo Cars maintains a balanced product portfolio for the current marketplace. All this will allow it to outgrow the premium car market and take market share.

Volvo Cars is confident that this strong and balanced product portfolio will remain attractive going forward. Coupled with its premium brand positioning, this will help it to partly mitigate the effects of a weakening market. 

The company expects the car industry to remain under pressure. Hence it is doubling down on actions to tackle these external challenges, to build an even more resilient company and further reinforce operational efficiencies.

The company’s internal cost efficiency initiative has already resulted in lower variable costs and remains a crucial focus area, and actions in this area will be accelerated. Improving cost efficiency is an ongoing exercise and a core part of how the company operates. Volvo Cars is looking at both investments as well as fixed and variable costs to lower its cost structure and free up cash.

“We cannot control the current geopolitical uncertainties and economic headwinds,” says Jim Rowan. “But we can navigate them with speed, purpose, and a clear focus. Our focus is more than ever on preserving cash while creating value – for our shareholders, customers and employees. We have proven before that we can handle challenges, and we will handle them again. Business is not a game of perfection, it is a game of progress. And despite current challenges, Volvo Cars is making progress. This is shown in our results, our technology, our talent, and ultimately our cars.”

* Volvo Cars’ ambition to outgrow the market entails outgrowing the premium car market from 2023 to 2026 on a CAGR basis.

Note to editors

CEO Jim Rowan and CFO Johan Ekdahl will host a livestream on Volvo Cars’ Q3 2024 results for media, investors and analysts at 08:00 CEST today. The presentations will be held in English and followed by a Q&A session.

Link for livestream: https://live.volvocars.com

China-only link for livestream: https://live.volvocars.com.cn

It will be possible to ask questions during the Q&A session following the main presentation. To participate, you can either use the chat function online to type your question or you can call in. To call in, participants need to register via the link below and will then receive the dial-in details and individual PIN.

Link to register

This disclosure contains information that Volvo Car AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014). The information was submitted for publication, through the agency of the contact person, on 23-10-2024 07:00 CET.

For further information please contact:

Volvo Cars Media Relations
+46 31-59 65 25
media@volvocars.com

Volvo Cars Investor Relations
John Hernander
+46 31-793 94 00
investors@volvocars.com

This information was brought to you by Cision http://news.cision.com

https://news.cision.com/volvo-car-ab–publ-/r/volvo-cars-reports-q3-2024-core-operating-profit-of-sek-5-7-billion,c4054839

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SOURCE Volvo Car AB (publ)

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Baylin Technologies Announces Receipt of $800,000 (CAD) Award For the North Warning System

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TORONTO, Oct. 23, 2024 /CNW/ – Baylin Technologies Inc. (TSX: BYL) (“Baylin” or the “Company”) is pleased to announce that its subsidiary, Advantech Wireless Technologies Inc. (“Advantech”), has won $800,000 (CAD) in business from the operations and maintenance provider for the Government of Canada’s North Warning System.

The North Warning System is a radar surveillance system comprising 47 radar sites extending across the Arctic from the western part of the Yukon to the southern coast of Labrador. These radar sites are linked by a satellite communications network to the Canadian Air Defence Sector in North Bay, Ontario. 

Leighton Carroll, Baylin’s CEO, “Ground station amplifiers from Advantech enable the continuous remote monitoring of all 47 sites on a 24/7 basis. Ground station amplifiers play an important role in both civilian and defence networks, facilitating reliable communication links between multiple sites. Advantech is proud to have been selected to provide these components for this critical early-warning radar system.”

About Baylin

Baylin is a leading diversified global wireless technology company. Baylin focuses on research, design, development, manufacturing and sales of passive and active radio-frequency products, satellite communications products, and supporting services. Baylin aspires to exceed its customers’ needs and anticipate the direction of the market. For further information, please visit www.baylintech.com.

Forward Looking Statements

This press release includes forward-looking information and forward-looking statements (together, “forward-looking statements”) within the meaning of applicable securities laws. Forward-looking statements are not statements of historical fact. Rather, they are disclosure regarding conditions, developments, events or financial performance that we expect or anticipate may or will occur in the future, including, among other things, information or statements concerning our objectives and strategies to achieve those objectives, statements with respect to management’s beliefs, estimates, intentions and plans, and statements concerning anticipated future circumstances, events, expectations, operations, performance or results. Forward-looking statements can be identified generally by the use of forward looking terminology, such as “anticipate”, “believe”, “could” “should”, “would”, “estimate”, “expect”, “forecast”, “indicate”, “intend”, “likely, “may”, “outlook”, “plan”, “potential”, “project”, “seek”, “target”, “trend” or “will”, or the negative or other variations of these words or other comparable words or phrases, and are intended to identify forward-looking statements, although not all forward-looking statements contain these words.

The forward-looking statements in this press release include statements regarding the performance and purpose of Advantech’s ground station amplifiers. Forward-looking statements are based on certain assumptions and estimates made by us in light of the experience and perception of historical trends, current conditions, expected future developments, including projected growth and sales in passive and active radio frequency and satellite communications products and services, and other factors we believe are appropriate and reasonable in the circumstances, but there can be no assurance that such assumptions and estimates will prove to be correct.

Many factors could cause our actual results, level of activity, performance or achievements or future events or developments to differ materially from those expressed or implied by the forward-looking statements, including the risk factors discussed in the Company’s most recent Annual Information Form, which is available on the Company’s profile on SEDAR+ at www.sedarplus.ca. All the forward-looking statements in this press release are qualified by these cautionary statements and other cautionary statements or factors in this press release. There can be no assurance that the actual results or developments will be realized or, even if substantially realized, will have the expected consequences to, or effects on, the Company. Unless required by applicable securities law, the Company does not intend and does not assume any obligation to update these forward-looking statements.

SOURCE Baylin Technologies Inc.

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Bridgepoint partners with Meristem to unlock next stage of growth

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The combination of Meristem’s innovative crop input solutions and Bridgepoint’s deep sector expertise will unlock significant growth opportunities, including international expansion.Meristem, a fast-growing disruptor with a track record of robust profitable growth, is at the forefront of the multi-billion-dollar US biologicals market for row crops, the fastest–growing agricultural inputs market.

COLUMBUS, Ohio, Oct. 23, 2024 /PRNewswire/ — Bridgepoint, a leading private asset growth investor, has announced today its partnership with Meristem, a leader in the agricultural solutions market. The transaction closed in October 2024 and financial terms were not disclosed.

Bridgepoint partners with Meristem to unlock next stage of growth

Established in 2018, Meristem is one of the fastest-growing crop input companies in North America. Focused primarily on biologicals, the company sources, formulates, licenses, and delivers high-quality crop inputs to farmers, helping them produce more bushels for less cost per bushel.  Meristem’s solutions are highly cost-effective and eliminate significant inefficiencies in the supply chain compared to more traditional go-to-market approaches.

Today, Meristem employs c.60 people and serves more than 10 million acres of corn, soybean and other crops. It’s innovative and patent-protected technology accelerates farmers access to new biologicals, lacking in the US market. Meristem delivers a tailored portfolio strategy focused on meeting farmers’ specific needs.

Bridgepoint’s new partnership with Meristem builds on the firm’s strong track record of backing companies in the agricultural solutions sector, including SunWorld, an innovative global fruit genetics platform, and Rovensa, a global leader in R&D-led biological solutions for growers.

Leveraging its deep sector expertise, local office network and industry contacts, Bridgepoint will support Meristem to expand internationally, drawing on Rovensa’s presence in Latin America and Europe. Meristem will also focus on the introduction of new product combinations including a targeted offering to address region-specific climate and soil conditions, further expand its customer base of dealers and farmers and enhance IP development capabilities.

Mitch Eviston, Founder and CEO of Meristem, said: 

“Our partnership with Bridgepoint marks a significant milestone in our short history. Since our establishment in 2018, Meristem has rapidly scaled to become a leading crop input provider in the US. Our mission has always been to support farmers by providing high-quality, cost-effective solutions that deliver more bushels for less cost per bushel. Partnering with Bridgepoint allows us to further this mission by leveraging their sector expertise and extensive industry network. With their strategic support, we are confident in our ability to continue delivering innovative solutions to crop producers in the US and around the world.”

Rupprecht Pranckh, Partner, at Bridgepoint, said:

“We are thrilled to partner with Mitch Eviston and the experienced leadership team at Meristem. With its unique focus on biologicals, alternative market channel access and patented technology, Meristem has huge growth potential both in the US and internationally, as farmers recognize the substantial economic benefits of Meristem’s product portfolio. We look forward to utilizing our sector experience and global network in agriculture to help accelerate Meristem’s growth.”

About Meristem

Meristem® Crop Performance, Inc. helps farmers produce more bushels for less cost per bushel. Meristem is the global leader in delivering live, in-field biologicals through the patented BIO-CAPSULE™ Technology platform. Meristem significantly reduces waste and increases productivity in crop input systems through accelerated access to innovation, improved supply chain efficiency, and advanced concentrates. Learn more at MeristemAg.com.

About Bridgepoint

Bridgepoint Group plc is a listed international alternative asset manager specializing in private equity, infrastructure and private credit. With $72 billion of assets under management, the company has nearly 200 investment professionals in Europe, North America and Asia. We combine global scale with local market insight and sector expertise, consistently delivering strong returns through cycles.

Our current North American portfolio is represented by investments in Humanetics, Kyriba, Balt, Sun World, Avalere, Qualitest, MiQ, Flexitallic and SendinBlue, along with past investments in Vitamin Well, DMC Power, Calypso, eFront, and Pret A Manger. For more information, visit www.bridgepoint.eu.

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SOURCE Meristem Crop Performance

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ZINFI Technologies Releases Mastering PRM Integration Guidebook for Seamless Software Integration

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A Step-by-Step Guide for Seamless Integration with Salesforce, HubSpot, and Other Key Platforms

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PLEASANTON, Calif., Oct. 23, 2024 /PRNewswire/ — ZINFI Technologies Inc., a company leading the definition and creation of Unified Partner Management (UPM) solutions, today announced the launch of its latest guidebook, “Mastering PRM Integration Guide”. This essential resource is designed to help businesses seamlessly integrate their PRM software with leading platforms such as Salesforce, HubSpot, and Microsoft Dynamics while avoiding common integration pitfalls.

The guidebook offers practical strategies for organizations to streamline PRM software integration, optimize data migration, and foster cross-departmental collaboration, ensuring a successful implementation.

The new guidebook covers the following key areas:

Seamless Integration with Leading Platforms
Detailed guidance on integrating PRM software with major CRM platforms such as Salesforce, HubSpot, SAP, and Microsoft Dynamics. This section includes actionable steps for ensuring a smooth integration process that minimizes disruption and maximizes efficiency.

Common Pitfalls and How to Avoid Them
A comprehensive look at the challenges organizations frequently encounter during PRM integration projects, including data silos, compatibility issues, and lack of stakeholder buy-in. Practical strategies are provided to help organizations overcome these hurdles and avoid costly mistakes.

The Hidden Costs of Poor Planning
An exploration of the financial and operational impacts of inadequate integration planning, including extended project timelines, increased IT support costs, and lost revenue opportunities. This section highlights the importance of careful planning and foresight.

Best Practices for Data Migration
Guidelines for ensuring accurate and secure data migration during integration projects. Topics covered include data auditing, standardization, mapping, and validation to maintain data integrity across systems.

Cross-Departmental Collaboration for Success
Insights into fostering collaboration between departments such as IT, sales, and marketing to ensure alignment and successful integration outcomes. This section emphasizes the importance of communication and shared objectives across teams.

“Our new PRM Integration Guidebook results from years of experience and expertise in partner relationship management. It provides actionable insights and clear strategies that any organization can implement to ensure a seamless PRM integration,” said Sugata Sanyal, CEO of ZINFI Technologies. “In today’s connected world, effective PRM software integration is crucial for business success, and this guide helps businesses navigate the complexities of that process.”

The Mastering PRM Integration Guide is now available for download on ZINFI’s website.

ZINFI has consistently been named a PRM “leader” by G2, the world’s leading business solutions review website. ZINFI has earned this distinction over multiple consecutive quarters dating back to 2019, most recently in G2’s Fall 2024 G2 Grid® Report for Partner Management Software. G2 scores are based on the responses of genuine, verified users and data aggregated from online sources and social networks.

ZINFI offers its potential customers a 30-day free trial (no credit card required), which provides access to its entire Unified Partner Marketing (UPM) automation platform. This will allow prospective buyers to test-drive its industry-leading channel management applications before purchasing.

About ZINFI Technologies

ZINFI Technologies, Inc. a company leading the definition and creation of Unified Partner Management (UPM) innovation, enables vendors and their channel partners to achieve profitable growth predictably and rapidly worldwide. Headquartered in Silicon Valley, USA, and founded by channel veterans with extensive global channel management experience, we at ZINFI see an immense opportunity to build high-performing sales channels by deploying an easy-to-use, comprehensive, and innovative state-of-the-art SaaS Unified Partner Management automation platform that streamlines and manages the entire partner lifecycle. ZINFI provides six core SaaS solution sets: “Onboard, Enable, Market, Sell, Incentivize, and Accelerate” with tools and applications that span management of partner relationships, marketing, and incentives with additional tools for affiliate management. These solutions enable channel organizations to integrate all partner ecosystem management activities. In 26 countries, these core UPM SaaS solutions are also locally supported by ZINFI’s global marketing services team members.

To access more information about ZINFI’s Unified Partner Management platform or to download a copy of ZINFI’s best practices guide on partner relationship management, please visit our website at https://www.zinfi.com/. You can also follow ZINFI Technologies on LinkedIn and the ZINFI Channel Marketing Best Practices blog.

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SOURCE ZINFI Technologies, Inc.

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