Volvo 2013 Annual Report Download - page 113

Net sales
Net sales for the Volvo Group decreased by 9%
to SEK 272,622 M in 2013, compared with SEK
299,814 M in the preceding year.
Operating income
Volvo Group’s operating income amounted to
SEK 7,138 M (18,069).
Operating income for the Industrial Operations
decreased to SEK 5,616 M compared with SEK
16,573 M in the preceding year. The Customer
Finance operations’ operating income rose to
SEK 1,522 M (1,496).
Net fi nancial items
Net interest expense amounted to SEK 2,429 M,
compared with SEK 2,496 M in the preceding
year.
Income taxes
The tax expense for the year amounted to
SEK919 M (4,116) corresponding to a tax rate
of 20% (27). The tax expense was positively
impacted by a revaluation of deferred tax and a
tax credit in Brazil.
Income for the period and earnings
per share
The income for the period amounted to SEK
3,802 M (11,378), corresponding to diluted earn-
ings per share of SEK 1.76 (5.61). The return on
shareholders’ equity was 5.0% (14.7).
The Volvo Group
Net sales by business area, SEK M 2013 2012 %
Trucks 178,474 189,156 (6)
Construction Equipment 53,437 63,558 (16)
Buses 16,707 19,587 (15)
Volvo Penta 7,550 7,631 (1)
Volvo Aero – 5,219 –
Eliminations and other 9,252 7,048 31
Industrial Operations1265,420 292,198 (9)
Customer Finance 9,539 9,783 (2)
Reclassifi cations and eliminations (2,336) (2,167) (8)
Volvo Group 272,622 299,814 (9)
1 Adjusted for acquired and divested units and changes in currency rates, net sales
decreased by 2%.
Change in operating income,
SEK bn
Change
(excluding
currency) Currency impact Total
Operating income 2012 18.1
Change in gross income Industrial operations1(1.6) (5.4) (7.0)
Change in gross income Customer fi nancing 0.3 0 0.3
Higher credit losses2(0.5) 0 (0.5)
Change in group structure (1.4) 0 (1.4)
Lower capitalization of development cost (1.3) 0.1 (1.2)
Lower research and development
expenditures 0.1 0.4 0.5
Higher selling and administrative expenses (2.6) 1.5 (1.1)
Revaluationof assets held for sale
(Volvo Rents) (1.5) 0 (1.5)
Volvo profi t sharing program 0.2 0 0.2
Restructuring and effi ciency program 0.8 0 0.8
Other (0.1) 0 (0.1)
Operating income 2013 7.1
1 During 2013 gross income was affected by lower volumes which was partly
offset by an improvement in price variances and warranty cost.
2 Of the total credit losses SEK 0.3 billion are related to customer fi nancing.
Operating income (loss) by business area, SEK M 2013 2012
Trucks 6,145 10,779
Construction Equipment 2,592 5,667
Buses (190) 37
Volvo Penta 626 549
Volvo Aero – 775
Eliminations and other (3,557) (1,235)
Industrial Operations 5,616 16,573
Customer Finance 1,522 1,496
Volvo Group 7,138 18,069
Operating margin, % 2013 2012
Trucks 3.4 5.7
Construction Equipment 4.9 8.9
Buses (1.1) 0.2
Volvo Penta 8.3 7.2
Volvo Aero – 14.9
Industrial Operations 2.1 5.7
Volvo Group 2.6 6.0
Net sales, SEK bn
12111009
310265218 300
13
273
Operating income, SEK M
2012 2013
Q4
996
Q3
2,398
Q2
3,262
Q1
482
Q4
1,200
Q3
2,920
Q2
7,709
Q1
6,240
109109