Volvo Ab - VLVLY STOCK NEWS

Nina Aresund has been appointed as the new member of Volvo's Group Executive Board and Executive Vice President Group Legal and Compliance, effective January 1, 2023. She succeeds Sofia Frändberg, who has served in the role for ten years. Aresund joined the Volvo Group in 2007 and was previously the Head of Legal and Compliance for Volvo Construction Equipment. Martin Lundstedt, President and CEO, emphasized the significance of this succession as part of the company’s strategic planning for leadership continuity.

Renault Trucks is enhancing its sustainability efforts by establishing a Used Parts Factory in Lyon-Vénissieux. This initiative aims to reduce natural resource usage and minimize environmental impact. The facility will dismantle end-of-life trucks to recycle parts, which will be cleaned, labeled, and sold under the 'Used Parts by Renault Trucks' brand, complete with a manufacturer's warranty. This move follows a five-year investment in the circular economy and addresses the industry's component shortages. The main goal is to progress towards carbon neutrality.

Jan Gurander will resign as Deputy CEO of Volvo Group effective December 31, 2022. His responsibilities will be reassigned to other Executive Board members. Gurander has been a pivotal figure in the Group since 2014, contributing to its growth and financial stability. He has served as CFO and played a key role in driving sustainability initiatives. President and CEO Martin Lundstedt commended Gurander's significant contributions over the years. The Volvo Group continues to focus on sustainable transport and infrastructure, employing nearly 100,000 people and serving customers in over 190 markets.

The Volvo Group, Daimler Truck, and TRATON GROUP have launched a joint venture focused on charging infrastructure in Europe, with plans to install at least 1,700 high-performance charging stations for heavy-duty trucks. The JV, led by CEO Anja van Niersen, marks a EUR 500 million investment aimed at supporting the EU's Green Deal for carbon-neutral freight transportation by 2050. The initiative encourages industry collaboration for expanding charging networks and is open to all heavy commercial vehicle brands in Europe.

On July 5, 2022, Volvo Group Venture Capital announced an investment in Optibus Ltd, a company specializing in optimization software for public transportation. The partnership aims to enhance sustainable bus fleets and digitalize the public transportation sector, which is currently evolving due to electrification and changing business models. Optibus, used in 1,000 cities globally, reported a year-over-year revenue doubling. Volvo aims to leverage this investment to offer more efficient transport solutions. The transaction is not expected to significantly affect Volvo's earnings or financial position.

Volvo Group will release its second quarter 2022 report on July 19, 2022, at 7.20 a.m. CEST. A conference call for press and analysts will follow at 9.00 a.m. CEST, featuring President and CEO Martin Lundstedt and CFO Tina Hultkvist. An online presentation will also include a Q&A session. Media inquiries can be made for one-on-one calls starting at 10.15 a.m. CEST. Volvo Group, headquartered in Gothenburg, Sweden, offers diverse transport solutions and reported net sales of SEK 372 billion in 2021.

On June 22, 2022, at the Volvo Group's Capital Markets Day, CEO Martin Lundstedt presented significant growth opportunities due to the ongoing technology shift towards electrification. The company forecasts over a 50% increase in vehicle and service revenues per unit through electric offerings. Volvo aims to leverage its first-mover advantage and broaden service offerings while maintaining its financial targets. With rising customer demand for sustainable solutions, Volvo is positioned to lead in the transformation towards electrification and autonomous vehicles, enhancing both profitability and market share.

Volvo Trucks is testing hydrogen-powered fuel cell electric trucks that produce only water vapor, aiming to decarbonize transport. The trucks have a range of up to 1,000 km and a refueling time of under 15 minutes. This marks a significant addition to Volvo's offerings, which currently include battery electric trucks and renewable fuel options. Commercialization is expected in the latter part of this decade, with the fuel cells supplied by cellcentric, a joint venture with Daimler Truck AG. However, challenges like the supply of green hydrogen and refueling infrastructure remain.