Autoliv Q1 Earnings Surpass Expectations, Revenues Decline Y/Y

Core Insights - Autoliv Inc. reported first-quarter 2025 adjusted earnings of $2.15 per share, exceeding the Zacks Consensus Estimate of$1.72 and reflecting a 37% year-over-year increase [1] - The company achieved net sales of $2.58 billion, surpassing the Zacks Consensus Estimate of$2.47 billion, although this represented a 1.4% decline year-over-year [1] Financial Performance - Organic sales grew by 2.2% year-over-year, contrary to an expected decline of 3.5%, driven by stronger light vehicle production [2] - Adjusted operating income reached $255 million, marking a 28$1.75 billion, exceeding projections of $1.70 billion, but showed a 1.6$826 million, down 1% from the prior year, yet above the forecast of $771.7 million [4] - Regional sales in the Americas were$851 million, surpassing estimates but down 4.7% year-over-year; Europe sales were $764 million, beating forecasts but down 0.7$447 million, exceeding projections but declining 2.8% year-over-year; Rest of Asia sales increased by 4.8% year-over-year to $515 million [4][5] Financial Position - As of March 31, 2025, Autoliv had cash and cash equivalents of$322 million and long-term debt of $1.57 billion [6] - The operating cash flow for the quarter was$77 million, with capital expenditures of $93 million, resulting in a negative free cash flow of$16 million [6] - The company paid a dividend of $0.70 per share and repurchased 0.5 million shares during the quarter [6] Guidance - Autoliv reiterated its 2025 guidance, expecting organic sales growth of around 2$1.2 billion for 2025 [7]