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66 Volvo Group 2005
Volvo Penta
– a new generation
of engines
Net sales as
percentage of
Volvo Group sales
4%
01 02 03 04 05
7. 4 9 . 87. 67. 7 9 .1
01 02 03 04 05
658 943695647
940
01 02 03 04 05
8.9 9.69.18.4 10.4
Net sales
1
SEK bn
Operating income
1
SEK M
Operating margin1
%
Outcome 2005
• Several leading boat-builders launched boats
incorporating the Volvo Penta IPS. Toward year-
end 2005, the IPS was launched for commercial
marine applications.
• Good cost control helped improve operating
income.
• Volvo Penta’s global production was grouped
under a single organization.
Ambitions 2005
• Ensure the ongoing market success of new
products such as the Volvo Penta IPS.
• Focus on cost control and cash flow.
• Adapt production and logistics systems.
Ambitions 2006
• Ensure more efficient production and logis-
tics solutions for Volvo Penta customers.
• Ongoing focus on cost control and positive
cash flow.
• Ensure the launch of the Volvo Penta IPS
enjoys continuing success.
1 Years 2004 and 2005 are reported in accordance with IFRS and 2001, 2002 and 2003 in accord-
ance with Swedish GAAP. See Note 1 and 3.