Report
Press release
Sales and margin significantly better than expected Cash Flow $179 million
(Stockholm, January 29, 2010) - - - For the three-month period ended December 31, 2009, Autoliv Inc. (NYSE: ALV and SSE: ALIV) - the worldwide leader in automotive safety systems - reported net sales of $1,675 million, an operating margin before restructuring charges of 10.8% and a cash flow of $179 million before financing (non-U.S. GAAP measures, see enclosed tables).
All these results were better than expected, primarily thanks to higher sales and the impact from our restructuring efforts. The operating margin was the highest since the second quarter in 2000 on a comparable basis i.e. excluding restructuring costs.
Compared to the same quarter 2008, consolidated net sales rose by 40% with the organic sales portion increasing by 26%, which was 8 percentage points more than the comparative growth in global light vehicle production (LVP).
Including severance and other restructuring charges of $71 million, operating income was $110 million, operating margin 6.6%, income before taxes $98 million, net income attributable to controlling interest $61 million and earnings per share 68 cents. Restructuring charges reduced earnings per share by 71 cents.
Operations generated $249 million in cash compared to $188 million in the same quarter 2008.
Even for the full year 2009, Autoliv reported a profit despite restructuring charges of $133 million and a 25% drop in light vehicle production in the Company's largest markets, Western Europe and North America. Net income income attributable to controlling interest was $10 million and earnings per share 12 cents.
For 2010, consolidated net sales are expected to grow by more than 70% for the first quarter and by 15-20% for the full year. An operating margin of approximately 8.5% is expected for the first quarter and a full-year operating margin in line with Autoliv's long-term target range of 8-9%.
An earnings conference call will be held at 2:00 p.m. (CET) today January 29. To follow the webcast or to obtain your personal pin code and phone number, please access www.autoliv.com.
For more information:
Mats Ödman
VP Corporate Communications
+46 (8) 587 20 623