#1VOLVO COMPANY PRESENTATION Volvo Group 2021-09-23#2701 We drive prosperity through transport and infrastructure solutions and our vision is to be the most desired and successful transport and infrastructure solution provider in the world. Company Presentation 2021 $ то 2021-09-23#3What we do Volvo Group offers trucks, buses, construction equipment, power solutions for marine and industrial applications, financing and services that increase our customers' uptime and productivity. We contribute to the development of electrified and autonomous solutions for the benefit of customers, society and for the environment. Volvo Group Company Presentation 2021 21C 681 0 MARCINOTTER LECESS 9/23/21 3#4Our brands Volvo Group's brand portfolio consists of several distinct brands, targeting a variety of customers and segments. Volvo Group Company Presentation 2021 PREVOST 0 VOL VO PENTA ROKBAK RENAULT TRUCKS NOVABUS MACKⓇ JOINT VENTURES AND STRATEGIC ALLIANCES SDLG A ARQUUS DEFENSE MOBILITY SYSTEMS EICHER cellcentric DONGFENG Trucks 9/23/21 4#5NORTH AMERICA 24% 77 BSEK Global presence 100,000 employees Production in 19 countries -> 190 markets Worldwide service networks and dealerships Volvo Group Company Presentation 2021 18% SOUTH AMERICA CA MX 6% 6% 20 BSEK US VOL 40% EUROPE 24% ASIA OO OO 130 BSEK 55% 80 BSEK 18% VOLVO GROUP HQ, GOTHENBURG, SWEDEN GB SE BE DE PL FR BR ZA SA RU IN TH AFRICA & OCEANIA 6% 19 BSEK KR CN 3% AU Share of net sales by market (2020) Share of total employees (2020) Countries with Volvo Group production 9/23/21 5 LO#6Shaping the world we want to live in Our mission is to drive prosperity through transport and infrastructure solutions. Volvo Group Company Presentation 2021 0 VOLVO GROUP MISSION Driving prosperity through transport and infrastructure solutions VISION Be the most desired and successful transport and infrastructure solution provider in the world ASPIRATIONS Have leading customer satisfaction for all brands in their segments Be the most admired employer in our industry Have industry leading profitability VALUES Customer success | Trust | Passion | Change | Performance CODE OF CONDUCT We respect We earn business one another fairly and lawfully We separate personal interests from business activities We safeguard company information and assets We communicate transparently and responsibly 9/23/21 00 6#7Towards fossil-free transport solutions Focus on sustainable bio-fuels, electrification and hydrogen powered machines CO₂ Reduce the environmental footprint Renewable energy is our firsthand choice Committed to safety A vision for zero workplace accidents and zero accidents with Volvo Group products CLIMATE Using our full potential Inclusive leadership and a diverse workforce leads to personal and business success Volvo Group Company Presentation 2021 0 RESOURC To shape the world we want to live in PEOPLE ✓ The world's most sustainable transport system Contribute to 100% productivity improvements of our customers' logistics operations by 2030 A step change in circularity Keep materials and products in use phase and capture the potentials of circular economy A Limit use of materials and substances of concern Continuous evaluation to reduce dependency on use of scarce materials and substances of concern Engage in society Create value for business and society by focusing on environment, traffic safety and education activities Responsible business behavior Respect human rights, build sustainable supply chains and consciously consider how the sale and use of our products contributes to societal prosperity 9/23/21 7#8Innovative since 1927 Snapshots of a history of innovation and sustainability focus. Volvo Group Company Presentation 2021 VOL Safety is put in focus in the very first year of Volvo's history. The world's first articulated hauler sees the light of day. 1966 1927 A voso 1959 VOLVO S The three-point safety belt is invented. 00 The Lambda Sond is presented. 1976 1995 F021901 02911 BOO Volvo Trucks introduces driver airbags in heavy-duty trucks as a world first. 1990 2001 1972 The Volvo Environment Prize is incepted. Environmental care becomes a core value for Volvo. MODE I-Shift becomes available. 9/23/21 8#92002 Infomax from Volvo Penta's revolutionary IPS system is revealed. 2007 2004 Renault Trucks premieres. Volvo Group Company Presentation 2021 The world's first carbon neutral vehicle manu- facturing plant opens in Ghent. V-Eagle - Volvo Group's LGBTQ network is established. 2010 Volvo Group joins 2005 WWF's Climate Savers program. 2013 Launch of Volvo Dynamic Steering. GLOBETROTTER 2015 The Electricity project takes place in Gothenburg GLOBETROTTER 2018 The groundbreaking Vera system puts automation in focus. DFDS Results from the Electric Site research project shows a 98% reduction in CO2 emissions. Volvo Group commits to the goals of the Paris Agreement. 2018 2020 9/23/21 9#10Automation Volvo Group has made several groundbreaking innovations in the automation field. We believe automation will redefine the commercial transport solutions that most of us rely on every day. Volvo Group Company Presentation 2021 VOLVO ↑ ↑ ↑ Optimizes transport flow Cuts CO2 emissions Improves safety 100 Bred last 9/23/21 10#11Volvo Group Company Presentation 2021 H Connectivity Our connectivity solutions create value for our customers through increased efficiency, decreased environmental impact, and improved safety. With more than one million connected customer assets, Volvo Group is industry-leading. ← Improves safety Decreases environmental impact Increases efficiency and productivity VOLVO FMX YEM 930 e OPTEDMET VOLVO Le L150H 9/23/21 11#12Electromobility Volvo Group develops trucks, buses, construction equipment, marine and industrial applications, with electric drive systems - including a full range of electric trucks. Cuts CO2 emissions Reduces noise level Saves energy Volvo Group Company Presentation 2021 ELECTRIC ELECTRIC ELECTRIC 9/23/21#13Accelerating the sustainable transformation 100% fossil-free fuel In order to deliver on our commitment to the Paris Agreement, the entire running fleet, provided by Volvo Group, needs to run on 100% fossil-free fuel by 2050. → To contribute to an emissions-free future, there will be a steady shift into electric propulsion, and combustion engines will run on biofuel. → Our ambition is for 100% of our products to be driven by fossil-free fuels by 2040, as our products have an average life-span of 10 years. Volvo Group Company Presentation 2021 100% COMBUSTION ENGINE SHARE OF NEW VEHICLES ELECTRIC PROPULSION 0% 2020 2030 2040 2050 9/23/21 13#140 Taking full responsibility From products to solutions Electric, connected and autonomous vehicles enable improved logistics efficiency in complete transportation flows. This opens up for new business. models where the focus is on offering total solutions. HUB-TO-HUB ROAD TRANSPORTS END-TO-END NETWORKS ENTIRE AUTOMATED FLOWS Volvo Group Company Presentation 2021 9/23/21 14#15Volvo Group Company Presentation 2021 VOL BUSINESS AREAS Volvo Trucks | Renault Trucks | Mack Trucks | Volvo Construction Equipment | Volvo Buses | Volvo Penta | Volvo Energy | Volvo Autonomous Solutions | Volvo Financial Services | Arquus 9/23/21 15#16Volvo Trucks One of the largest premium truck brands in the world. →> -> Medium and heavy-duty trucks. Main production in Sweden, Belgium, Brazil and the USA. Volvo FM VNR Electric Volvo Group Company Presentation 2021 VOLVO 460 0 9/23/21 16#17Renault Trucks One of the world leaders in heavy goods vehicles. →> Light, medium and heavy-duty trucks. Main production in France. Renault Trucks Renault Trucks D Wide T High Volvo Group Company Presentation 2021 D H > 0 D 280 RENAULT TRUCKS 280 W-706-GR 9/23/21 17#18Mack Trucks One of North America's largest truck manufacturers. →> Heavy-duty trucks, engines and transmissions. Main production in the USA. > H > 0 Mack Anthem Mack LR Electric Volvo Group Company Presentation 2021 9/23/21 18#19Volvo Construction Equipment A leading provider of construction equipment and innovative solutions. Brands: Volvo, SDLG, Terex Trucks. Rigid & articulated haulers, wheel loaders, excavators & road equipment. Main production in Sweden, Germany, South Korea and China. Volvo A60H Volvo ECR 25 SDLG LG938L Electric Volvo Group Company Presentation 2021 Terex Trucks TA300 0 VOLVO 9/23/21 19#20Volvo Buses Leader in the development of sustainable transport solutions for public transport. -> →> City buses, intercity buses, coaches and transport systems. Brands: Volvo, Prevost, Nova Bus. Main production in Sweden. and USA. Volvo 9900 Nova Bus Milwaukee Prevost X3-45 Volvo Group Company Presentation 2021 0 ECTRIC ELECTRIC Ο LKP 62E 9/23/21 20 20#21Volvo Penta World-leading supplier of power solutions to marine and industrial applications. →> Marine engines and power systems, industrial engines. Main production in Sweden, USA and China. D16 engine Volvo Penta IPS Volvo Group Company Presentation 2021 > 0 9/23/21 21#22Volvo Financial Services Volvo Group's global financial service provider - "Best captive in the industry". A full range of financial services for the truck, construction equipment, bus and marine industries. An integral part of Volvo Group's total offer, with hard. products, financial services and aftermarket support. Volvo Group Company Presentation 2021 > 0 9/23/21 22 22#23Volvo Energy > 0 Volvo Group's business area dedicated to accelerating electrification. →> Batteries and charging solutions to Volvo Group's business areas. Remanufactured and refurbished batteries. Hydrogen infrastructure solutions for fuel cell electric vehicles. SWEROCK ELECTRIC EST VEHICLE Volvo Group Company Presentation 2021 V 9/23/21 23#24Volvo Autonomous Solutions Development and commercialization of autonomous transport solutions. Strategic segments in light mining & quarries, ports & logistic centers, and hub-to-hub. → Autonomous, electrified and connected. VOLVO 04 Autonomous Tara Volvo FH Volvo Group Company Presentation 2021 0 VOLVO 027 9/23/21 24#25Arquus European leader in armored vehicles and technological defense systems. →>> Armored vehicles. Production in France. VAB MK3 Bastion Volvo Group Company Presentation 2021 > 0 9/23/21 25 45#26Volvo Group Company Presentation 2021 VOL FINANCE 9/23/21 26#27Net sales Volvo Group's net sales 2016-2020, BSEK. 432 391 333 302 338 2016 2017 2018 2019 2020 Volvo Group Company Presentation 2021 H Share of net sales by segment ■Trucks, 61% I Construction Equipment, 24% Buses, 6% ■Volvo Penta, 4% Financial Services, 3% Group Functions & other, 2% Share of net sales by revenue type ■Vehicles, 73% Services, 23% Financial, 4% 9/23/21 27#28Adjusted operating income Volvo Group's adjusted operating income 2016-2020, BSEK. 40,7 47,9 Adjusted operating margin: 2020: 8,4% 2019: 11,1% 21,1 29,3 28,6 2018: 10,4% 2016 2017 2018 2019 2020 Volvo Group Company Presentation 2021 2017: 8,8% 2016: 7,0% 9/23/21 28#29Trucks Trucks' financial performance 2016-2020. Net sales (BSEK) 276 250 214 201 H Adjusted operating margin: 2020: 8,3% 208 2019: 11,4% 2018: 10,5% 2016 2017 2018 2019 2020 Volvo Group Company Presentation 2021 2017: 9,2% 2016: 8,7% 9/23/21 29#30Construction Equipment Construction Equipment's financial performance 2016-2020. Net sales (BSEK) H Adjusted operating margin: 87 84 2020: 12,4% 82 66 51 2019: 13,4% 2018: 13,4% 2017: 11,9% 2016: 4,4% 2016 2017 2018 2019 2020 Volvo Group Company Presentation 2021 9/23/21 30#31Buses Buses' financial performance 2016-2020. Net sales (BSEK) 31 26 26 25 H Adjusted operating margin: 2020: -2,2% 2019: 4,3% 20 2018: 3,0% 2017: 3,4% 2016: 3,4% 2016 2017 2018 2019 2020 Volvo Group Company Presentation 2021 9/23/21 31#32Volvo Penta Volvo Penta's financial performance 2016-2020. Net sales (BSEK) 11 10 10 H Adjusted operating margin: 14 2020: 12,2% 13 12 2019: 14,1% 2018: 17,0% 2017: 12,9% 2016: 12,8% 2016 2017 2018 2019 2020 Volvo Group Company Presentation 2021 9/23/21 32#33Volvo Group 100,000 employees | 190 markets. 10 business areas | 12 brands Sharing resources Safer Cleaner | More efficient Volvo Group Company Presentation 2021 0 9/23/21 33#34Volvo Group Company Presentation 2021 VOLVO TOGETHER WE SHAPE THE WORLD XXX WE WANT TO LIVE IN 9/23/21 34#35V O L V o