Volvo's Q2 Report Shows It's Getting Serious About Electric Cars

Volvo released its second quarter financial report on Wednesday, and the automaker has reason to celebrate. The company reported a staggering 12 percent increase in net sales, amounting to 88.4 billion kroner ($10.7 billion). In particular, the company’s delivery of 13 all-electric buses to Sweden was one of the highlights for the company’s quarter as it manages its transition to an electrified future.

“We see continued great interest in electric and hybrid solutions,” said Martin Lundstedt, CEO of Volvo Group, in a conference call with investors Wednesday morning. “Even if it’s a slow translation into big volumes, more and more activity around this subject.”

Volvo is gradually moving toward an all-electric future on its consumer vehicle segment, so success in its other electric efforts spells good news for the company’s project. Starting from 2019, every car that Volvo launches will include an electric motor of some sort, a plan it describes as the “historic end” of non-electric cars. Volvo Cars plans to sell one million electric vehicles by the year 2025.

Early electric efforts have shown promise. The city of Malmö in southern Sweden ordered 13 Volvo 7900 electric buses last month, which to date is the largest single order placed with the company so far. From the end of next year, residents in the coastal city will have the chance to commute in one of these:

The buses are 40 feet long, designed for city travel with a low floor and three doors. The bus offers 80 percent lower energy consumption than a corresponding diesel bus, and thanks to a special OppCharge technology system, the onboard lithium ion batteries can be charged at the end stops of routes in under six minutes.

The company also revealed in its financial report that the four Volvo 7900 buses delivered to Differdange in Luxembourg last year have now entered service.

“It’s really gratifying that one of Malmö’s main routes will now be completely electrified with our quiet and exhaust-free electric buses,” Jörgen Sjöstedt, head of Volvo Buses on the Nordic market, said in a previous statement. “Electrically powered bus operations contribute to a far better environment for everyone who lives, travels or spends time in the city, and this is a trend we naturally want to boost.”