2Q26: In line, Europe market outlook upgrade

Research evidence excerpt

2Q26: In line, Europe market outlook upgrade

Update

July 17, 2026 06:20 AM GMT

Morgan Stanley & Co. International plc+MVolvo | Europe Shaqeal A Kirunda

Equity Analyst

2Q26: In line, Europe market Shaqeal.Kirunda@morganstanley.comMorgan Stanley Europe S.E., Madrid Branch+ +44 20 7425-0736

Javier Martinez de Olcoz Cerdan

Equity Analystoutlook upgrade Javier.Martinez.Olcoz@morganstanley.com +34 9141-81289

Morgan Stanley & Co. International plc+

Reaction to earnings Matias Rodriguez Florez-Estrada

Research Associate

Unchanged In-line Modest revision higher

Matias.Rodriguez@morganstanley.com +44 20 7425-1091

Impact to our thesis Financial results versus consensus Direction of next 12-month

consensus EPS

Source: Company data, Morgan Stanley Research Volvo (VOLVb.ST, VOLVB SS)

Autos & Shared Mobility | Sweden

We expect a flattish positive market reaction to the results. Stock Rating Equal-weight

Industry View In-Line

Group earnings in line, strength in Trucks coming through. Volvo delivered Q2 Price target SKr 342.00

Shr price, close (Jul 16, 2026) SKr 341.30

adjusted EBIT of SEK 14.8bn (+2% vs consensus, +10% YoY) at an 11.7% margin 52-Week Range SKr 354.00- 244.90

(+70bps YoY), on revenue of SEK 126.3bn (+1% vs cons.). The beat was led by Trucks Mkt cap, curr (mn) SKr 694,017

Net debt (12/26e) (mn)* SKr 163,862

(Adj. EBIT +7% vs cons., margin 11.2%). Volvo describes European truck demand as EV, curr (mn)* SKr 868,657

still being replacement driven, with good freight activity, vehicle replacements, and * = GAAP or approximated based on GAAP

supportive manufacturing PMIs. North America freight rates and volumes have

increased but are not yet driving a retail sales increase. Volvo expects the increased

Exhibit 1 : Volvo 2Q26 summary