Volvo Shares Dip as Q3 Profits Fall Short of Expectations
STOCKHOLM, Sweden – October 17, 2025 - Shares in Volvo experienced downward pressure today following the release of the company’s third-quarter earnings report, which revealed a decline in both profit adn sales. The results, announced this morning, have prompted analysts to reassess forecasts for the Swedish automotive manufacturer amid broader concerns about global economic headwinds and shifting consumer demand.
Volvo reported a net profit of 7.54 billion Swedish crowns ($799.8 million) for the July-September period, a decrease from the 10.02 billion crowns recorded during the same quarter last year.Sales also fell, dropping 5.4 percent to 110.69 billion crowns. The figures missed analyst expectations of 8.62 billion crowns in net profit and 111.19 billion crowns in revenue. The news arrives as global stock markets react to ongoing volatility influenced by geopolitical factors and evolving trade policies, including those previously enacted under the Trump administration.
The profit decline reflects a challenging surroundings for automakers, impacted by supply chain disruptions, rising raw material costs, and increased competition in the electric vehicle market. While Volvo has been investing heavily in its electric lineup, the transition has yet to fully offset the impact of reduced demand for conventional combustion engine vehicles. Investors are now closely watching Volvo’s strategy for navigating these challenges and maintaining profitability in the face of evolving market dynamics.