Volvo Plans 2,500 Job Cuts After Q3 Loss

Volvo Cars said Friday it will cut 2,500 jobs worldwide—about 2,000 in Sweden and 500 elsewhere—and pursue further savings after a sharp third-quarter reversal. Revenue fell 22.6% to 66.9 billion kronor ($6.7 billion). The firm posted a net loss of SEK 5.730B, versus SEK 4.511B in net income a year earlier, and a Q3 EPS loss of SEK 1.63 against year-earlier earnings of SEK 1.75. A wire summary put the operating loss at 5.6 billion kronor; Reuters reported an adjusted operating loss of 3.7 billion crowns ($373 million). Gross margin was 14.7%, down from 20.4% a year earlier. China revenue fell almost 50% in the quarter. CEO Hakan Samuelsson called the quarter very disappointing and said the turnaround needs decisive reinforcement. The new plan targets an additional 5 billion kronor in savings by the end of next year—over $500 million per the Wall Street Journal—on top of roughly 3,000 cuts announced after he returned as CEO in 2025. Volvo, majority-owned by Zhejiang Geely Holding Group, had already withdrawn full-year guidance earlier in October. Its shares hit a record low this week.