Core Viewpoint - Autoliv, Inc. reported quarterly earnings of $3.05 per share, exceeding the Zacks Consensus Estimate of $2.83 per share, but down from $3.74 per share a year ago, indicating a mixed performance in earnings despite a positive surprise this quarter [1][2]. Financial Performance - The company posted revenues of $2.62 billion for the quarter ended December 2024, which was 3.59% below the Zacks Consensus Estimate and a decrease from $2.75 billion in the same quarter last year [2]. - Over the last four quarters, Autoliv has surpassed consensus EPS estimates two times and topped consensus revenue estimates twice [2]. Stock Performance - Autoliv shares have increased approximately 8% since the beginning of the year, outperforming the S&P 500's gain of 3.2% [3]. - The stock currently holds a Zacks Rank 3 (Hold), indicating it is expected to perform in line with the market in the near future [6]. Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $2 on revenues of $2.58 billion, while for the current fiscal year, the estimate is $10.05 on revenues of $10.88 billion [7]. - The trend of estimate revisions for Autoliv is mixed, which could change following the recent earnings report [6]. Industry Context - The Automotive - Original Equipment industry, to which Autoliv belongs, is currently ranked in the bottom 30% of over 250 Zacks industries, suggesting potential challenges ahead [8]. - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Autoliv's stock performance [5].

More Lives Saved More Life Lived Earnings Call Presentation 4th Quarter 2024 January 31, 2025 January 31, 2025 ALV – Q4 and FY2024 Earnings Call and Webcast Copyright Autoliv Inc., All Rights Reserved Public Safe Harbor Statement* This report contains statements that are not historical facts but rather forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward- looking statements include those that address activities, events or developments that Autol ...

Core Insights - The company reported record operating profit, margin, and earnings per share (EPS) for Q4 2024, despite a decline in net sales and organic sales [1][8][11] Financial Performance - Q4 2024 net sales were $2,616 million, a decrease of 4.9% compared to Q4 2023 [4] - Organic sales declined by 3.3%, underperforming against a global light vehicle production (LVP) increase of 0.4% [5] - Operating income reached a record high of $353 million, with an operating margin of 13.5%, up from 8.6% in Q4 2023 [4][5] - Adjusted operating income was $349 million, with an adjusted operating margin of 13.4%, compared to 12.1% in the previous year [4] - Diluted EPS increased by 14% to $3.10, while adjusted diluted EPS decreased by 19% to $3.05 [4][5] Full Year Guidance - The company anticipates around 2% organic sales growth for 2025, with a negative foreign exchange effect of approximately 2% on net sales [1] - Expected adjusted operating margin for 2025 is around 10-10.5% [1] Operational Highlights - The company achieved a record operating cash flow of $1,059 million for FY 2024, with Q4 operating cash flow at $420 million [5] - A total of 1.04 million shares were repurchased and retired during the quarter [5] - The company experienced a reduction in total headcount by approximately 7% [5][9] Market Dynamics - The company outperformed in Asia (excluding China) and Europe due to successful product launches and positive pricing, while facing challenges in the Americas due to dealer inventory reductions [5][10] - Sales to domestic Chinese OEMs grew by 20%, but overall performance in China was impacted by a negative LVP mix [5][10] Strategic Outlook - The company expects a challenging year for the automotive industry in 2025, with slight declines in LVP and ongoing geopolitical risks [11] - A focus on efficiency and cost control is expected to support profitability improvements towards mid-term financial targets [11]

Financial Performance - Q4 2024 net sales were $2,616 million, a decrease of 4.9% year-over-year, with a 3.3% organic sales decline [2]. - Operating income reached a record high of $353 million, representing a 49% increase compared to Q4 2023, with an operating margin of 13.5% [4]. - Consolidated sales for the full year 2024 were $10,390 million, a decrease of 0.8% compared to $10,475 million in 2023 [30]. - Operating income for the full year increased by 42% to $979 million, compared to $690 million in 2023 [39]. - Net income for Q4 2024 was $243 million, a 7.0% increase from $227 million in Q4 2023, while full-year net income rose 32% to $648 million from $489 million [55]. - Earnings per share (diluted) increased by 40% to $8.04, up from $5.72 in the previous year [39]. - Earnings per share (diluted) for Q4 2024 increased to $3.10, compared to $2.71 in Q4 2023, marking an increase of 14.4% [83]. - Adjusted net income for Q4 2024 was $240 million, down from $314 million in Q4 2023 [107]. - Net income attributable to controlling interest rose to $646 million in Q4 2024, compared to $488 million in Q4 2023, marking a 32% increase [112]. Cash Flow and Capital Management - Operating cash flow for Q4 2024 was $420 million, contributing to a record operating cash flow of $1,059 million for the full year [4]. - Operating cash flow for the full year 2024 reached $1,059 million, an increase from $982 million in 2023 [95]. - Free operating cash flow for Q4 2024 was $288 million, a decrease of 3.0% from $297 million in Q4 2023, while full-year free operating cash flow improved to $497 million from $414 million [59][66]. - Cash and cash equivalents as of December 31, 2024, were approximately $330 million, with net debt increasing to $1,554 million, up 14% from the previous year [61]. - The leverage ratio remained stable at 1.2x as of December 31, 2024, with trailing adjusted EBITDA increasing by around $97 million [65]. - Net cash provided by operating activities for the full year 2024 was $1,059 million, up from $982 million in 2023, reflecting a growth of 7.8% [85]. - The leverage ratio for Q4 2024 was 1.2, compared to 1.4 in the previous quarter, indicating improved debt management [93]. Operational Efficiency - The company reduced its indirect workforce by 1,400 since Q1 2023 as part of a structural cost reduction program [6]. - Total headcount decreased by around 7% in 2024, supporting improved profitability [9]. - Trade working capital decreased by $117 million year-over-year, with trade working capital in relation to sales improving from 11.2% to 10.7% [60]. - Total current assets decreased to $3,483 million from $3,865 million in the previous quarter, representing a decline of 9.9% [89]. - Total liabilities decreased to $5,519 million from $5,974 million in the previous quarter, a reduction of 7.6% [89]. - The number of employees decreased to 59,500 as of December 31, 2024, down from 62,900 in the previous year [112]. Market and Sales Performance - Sales to domestic Chinese OEMs grew by 20%, despite overall underperformance in the Chinese market due to a negative LVP mix [27]. - Organic sales growth was 0.4% globally, outperforming the global light vehicle production (LVP) decline of 1.2% [33]. - In the Americas, organic sales decreased by 1.7%, while Europe saw an increase of 1.4% and Asia excluding China increased by 6.6% [35]. - The company expects a challenging 2025 for the automotive industry, with a slight decline in LVP and ongoing geopolitical risks [8]. Sustainability Initiatives - The company continued to focus on sustainability as a key part of its business strategy, aligning with international frameworks and improving operational efficiency [69]. - The share of renewable electricity usage increased to 30% in the company's operations, contributing to a 15% reduction in Scope 1 and 2 GHG emissions compared to 2023 [72]. - Autoliv launched a climate accelerator program to support suppliers in meeting sustainability requirements [73]. - Autoliv's operational GHG emissions intensity improved, indicating enhanced energy efficiency measures [72]. Future Outlook and Guidance - Full year 2025 guidance includes around 2% organic sales growth and an adjusted operating margin of approximately 10-10.5% [11]. - The company plans to hold a Capital Markets Day on June 3, 2025, to discuss future strategies [9]. - Fitch Ratings assigned Autoliv a Long-Term Issuer Default Rating (IDR) of 'BBB+' with a Stable Outlook [81].

Growth Stocks and Autoliv Analysis - Investors seek growth stocks to capitalize on above-average growth in financials, which can produce exceptional returns but carry above-average risk [1] - The Zacks Growth Style Score helps identify cutting-edge growth stocks by analyzing a company's real growth prospects beyond traditional attributes [2] - Stocks with the best growth features consistently outperform the market, especially those with a Growth Score of A or B and a Zacks Rank 1 or 2 [3] Earnings Growth - Earnings growth is crucial for investors, with double-digit growth indicating strong prospects and potential stock price gains [4] - Autoliv's historical EPS growth rate is 18.3%, but the projected growth for this year is 22.7%, significantly higher than the industry average of 17.7% [5] Cash Flow Growth - High cash flow growth is essential for growth-oriented companies, enabling them to undertake new projects without raising expensive outside funds [6] - Autoliv's year-over-year cash flow growth is 43.9%, far exceeding the industry average of -1.3% [6] - The company's annualized cash flow growth rate over the past 3-5 years is 1.6%, compared to the industry average of 1.3% [7] Earnings Estimate Revisions - Positive trends in earnings estimate revisions are favorable and strongly correlated with near-term stock price movements [8] - Autoliv has seen upward revisions in current-year earnings estimates, with the Zacks Consensus Estimate surging 0.2% over the past month [9] Conclusion - Autoliv has earned a Growth Score of B and a Zacks Rank 2 due to positive earnings estimate revisions, positioning it well for outperformance [10][11]

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STOCKHOLM, Jan. 8, 2025 /PRNewswire/ -- Autoliv Inc., plans to publish its Financial Report for the fourth quarter 2024 on Friday, January 31, 2025 at 12:00 Central European Time (CET).The report will be available at www.autoliv.com.In addition, a teleconference will take place the same day. Q4 2024 Earnings Call: Date: January 31, 2025 Time: 14:00 – 15:00 CET Main speaker: Mikael Bratt, President & CEO To attend by webcast, please use the link on our web or the link below:https://edge. ...

The world's largest automotive safety supplier, Autoliv (NYSE: ALV ), has experienced subdued growth during 2024. However, growth will most likely return in 2025 as global light vehicle production is set to increase at a rate ofI am a private investor who is currently studying economics in Sweden with finance as orientation. For many years I have been interested in the stock market and have thus gained a deeper understanding of the stock market over the years. My investment strategy is mostly about finding ...

STOCKHOLM, Dec. 12, 2024 /PRNewswire/ -- Autoliv, Inc. (NYSE: ALV) (SSE: ALIVsdb), the worldwide leader in automotive safety systems, today announced that Jiangling Motors Co., Ltd (JMC), a renowned Chinese automotive manufacturer, and Autoliv (Shanghai) Management Co., Ltd, will start a new strategic cooperation to advance innovation and support global expansion.JMC is a leading company in China's commercial vehicle industry and a new force in the field of passenger vehicles. Autoliv has supplied seatbelts ...

The Zacks Automotive - Original Equipment Industry is grappling with demand woes, primarily due to a year-over-year decline in light vehicle production forecast. The industry participants are also dealing with high R&D costs, rising capex and supply chain challenges. However, acquisitions, collaborations, new business wins and cost reduction drives are helping some industry players like Autoliv, Inc. (ALV) , Oshkosh Corporation (OSK) and American Axle & Manufacturing Holdings, Inc. (AXL) to weather the chal ...