on Thank our quarter. highlights the we are This Slide you, second key X figures for slide, Mikael.
gross labor. in cost had June ramp-up significant and and income reductions net our despite a margin, a decline XX% May driven were in significant is million million related operating of by decreased The The margin million. profit earnings The the partially on lower compared assets adjusted restart due effect was lower income, around a with Gross XXXX. billion, gross limited well year. and to material visibility taxes. volatile main last X $X.XX sharp by decreased by compared production light negative decline April direct COVID-XX by coupled our declined of in with decline Our predictability and drivers to $XXX as minus $XXX favorable percentage declined impacts decrease to gross lower utilization $X.X. which the same vehicle in to per operating decline quarter $XXX sales points $X.X costs. to behind in sales from share quarter offset margin XX sales the and The as were from the and same Reported by by primarily $X.XX for the
was respectively. on and employed the in paid equity XX% quarter. you adjusted XX% dividend return Our return And on and capital no as were know, minus minus
Looking restart decline [ph] a in quarter predictability not volatile the and to in been resources as has the magnitude in quarter second run the optimize restricted April, challenge to utilizing been were the in now sharp when efficiently has that on comes in than the It it sales production. coupled May operations, highlights and visibility fact to challenges such on the labor sales completely with difficult and and and different with material second ramp least a it manage. a slide, up the June development The next quarter. in of
as to In home have full base protocols countries and lockdown such certain at were India, entitled pay. stay still challenges must which as addition, specific Mexico that created employees emergency
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There On can up variable is costs some a breakdown XX, that [indiscernible] see for variable. current slide, second variability costs. quarter. coupled of be to by is to environment volatile are declining In element normally with you cost ramp some no the the time an the sales which a next the longer with are fully considered
when under cost the Additionally, the part decline cost sales will cost much adjusting variable circumstances. normal of of than XX%, represent a larger fixed of
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developments positive such temporary by adjusted sales number support, a previous and FX leverage to positively additionally effect amounted accelerated volumes quarter. in predictability the and following and from protective lower cost such that raw for and cost quarters of materials, lower more million impacted production adjusting and sales restart managed effects. from cost mitigate COVID-XX in for SG&A supply the equipment, some the personnel $XX effects as negative activities almost volatile hours personnel. and for direct We as by and costs by cost-saving of initiatives U.S. week positive to in lower illustrated, [indiscernible] ramp-up, income operating by the started was the than [ph] by productivity offset work business These related low the of RD&E, lower were As
personnel of reduced versus these this were measures, quarter first costs XX% a the of year. result As by
The negative declining result capital was a receivables Looking a on lower net when slide payables. of last partially quarter the was year. decrease flow than to next decline by operating working for cash flow in of the antitrust the due improved $XXX payment cash of million, second excluding offset of income, more accounts XXXX EC $XXX million mainly operating accounts
capital with also suppliers. inventory have through control, We dues close collaboration of and working intensified close control strict monitoring over
in X% improving sales year turned cash XX expenditures or about we $XXX which second thanks decline decreased million, quarter, negative relation flow to delayed in cash expenditures working capital substantially. capital was mentioned, $XXX gradually compared to in as a and but Capital is positive to already amounted Mikael June As again XX% million the year-over-year. to million nevertheless last Free suspended flow sales investments of control.
only our net the by $XX noting It XXX by debt year has same have, on a we our increase increased The the XXXX looking of a history leverage June time policy. at current next million. that XX, million last market of compared as while remains you result at decreased to Despite a Slide unchanged. Now quarter, balance XX, ratio sheet a was was prudent That know, conditions $XXX over the XX the X.X ago, by months is financial long in debt times. million. EBITDA net leverage worth
and ambition Our future. near in our EBITDA debt to the net is improve
last ratio ratio as remain we some do to the is However months leverage elevated calculated time. expect XX for data, on
On significant any credit as our environment. $X.X existing billion manage the billion the secured strong. of U.S. entered Slide see around successfully position XXXX a to major we the for in in no a have XXth. of the of billion We outflow our compared until challenging business unused XX quote next you cash to have liquidity believe and and June at liquidity facilities And can to we cushion slide, $X.X the liquidity lending that therefore, $X.X refinancing current in facility need remained quarter, debt new of
in great due sales and show industry a for vehicle the production pandemic, expected the is and changes According XX units, which policy demand customer actions our historic charts proportion. new IHS, decline is global of a XXXX as these slide, year that reach in full evolution next of the of uncertainty production end well on XXXX. This as downturn vehicles. XX% light government against Looking light to vehicle the is million to to
Europe IHS XXXX, decline of of XX% contractions about China, the half second Japan. with in and vehicle largest the For light global predicts in a production occurring
IHS The five can As Europe in sales for it back, car see almost recession to sales to recover began have left, bounce from XXXX. on since market XXXX production U.S. virtually that you been from been the XXXX. light but a uncertain since compensate, has before levels growth China but is Significant global in in vehicle the XXXX. in market the to to about the years took XXXX. flat In the initially current helped decade decline chart environment, took return not expecting
we see Looking communicated headwinds as at Slide and tailwinds we next the XXXX. earlier this some XX, some year, for
declining main the include growth headwinds programs. replacement on from book [Technical executing and and efficiency from headwinds ramp-ups Difficulty] volatility COVID-XX structural can You including see strong the the include customer The unpredictable headwinds main and and order sales. operational inflator
the and in year-over-year compared across We and headwinds operating phased effect believe XXXX. net in prevailing We half result dealer of a the continued world. to lockdowns ease and decline for tailwinds the OEM plants in adjusted analyze showrooms should and conditions half evaluate margin as second reopenings of XXXX to automotive second the especially demand continue of
expect environment Mikael. do to improve it the in to XXXX. we With half business significantly that, compared the However, second to of I'll QX year back hand the
