Financial Report July - September 2005
Stable Sales and Operating Margin
(Stockholm, Oct. 20, 2005) – – – During the quarter ended September 30, 2005, Autoliv Inc. (NYSE: ALV and SSE: ALIV.sdb) – the worldwide leader in automotive safety systems –continued to meet its expectations. Compared to the corresponding quarter 2004, consolidated sales rose by 1% to $1,392 million despite a 6% drop in light vehicle production in Western Europe, Autoliv’s most important market. Operating income and margin stood unchanged at $104 million and 7.5% despite a .4% negative effect from on-going restructuring activities. Earnings per share declined, partly due to one-time tax effects, to 66 cents from 72 cents in the third quarter 2004. Cash flow from operations amounted to $124 million and $59 million after investing activities. Reported sales for the fourth quarter 2005 are expected to decline by 9% due to a 5% negative reporting-day effect and a 4% negative currency effect. Consequently, daily organic sales are expected to remain flat and operating margin approach the level recorded in the same quarter 2004 despite higher steel prices. An earnings conference call will be held today at 3.30 p.m. (CET); call (in Europe) +44-207-947-5033 and (in the U.S.) +1-866-432-7186 to listen in or access www.autoliv.com under Financial info.