Volvo Cars Pulls Full-Year Sales and Cash Flow Guidance After Q3 Volume Falls 11%

Volvo Cars withdrew its full-year sales volume and cash flow guidance on Friday, October 2, 2026, after third-quarter sales fell 11% year-over-year to 141,609 vehicles. The automaker cited worsening conditions in China and a stalled U.S. recovery. The company said the downturn will significantly hurt third-quarter core earnings and cash flow, compounding existing pressures from raw materials, foreign exchange, and higher amortization and depreciation. Volvo declined to issue updated short-term guidance, citing elevated market uncertainty, and will detail further actions with its October 23 third-quarter results. Shares touched a record low of 14.60 Swedish crowns, down as much as 4% in early Stockholm trading, and have lost roughly half their value since January. Handelsbanken analyst Hampus Engellau called the withdrawal "partly expected." Volvo, majority owned by China's Geely Holding, reaffirmed its long-term target of an 8% EBIT margin.