Financial Report January - March 2005
Continued Strong Sales, Earnings and Cash Flow Trends
(Stockholm, April 21, 2005) – – – For the quarter ended March 31, 2005, Autoliv Inc. (NYSE: ALV and SSE: ALIV) – the worldwide leader in automotive safety systems – reported continued improvement in both sales and earnings, despite a 2% decline in light vehicle production for the Triad and an $11 million negative impact due to a plant closure. Consolidated sales rose by 14% to $1,694 million and organic sales by 5%, compared to the corresponding quarter 2004. Both reported operating income and reported income before taxes increased by 7% to $129 million and $123 million, respectively. Net income increased by 2% to $78 million and earnings per share by 5% to 84 cents. This includes the effect of a higher tax rate that is expected to be somewhat lower for the full year. Excluding the costs for the plant closure, operating income improved on a comparable basis by 17% to $140 million (i.e. operating margin of 8.3%), net income by 13% to $86 million and earnings per share by 16% to 93 cents. Cash flow from operations amounted to $90 million and $12 million after investing activities. Cash flow was affected by a rebound in working capital from the exceptionally low level at the beginning of the year. Sales for the second quarter 2005 are expected to increase by approximately 10% given current exchange rates. Operating margin is expected to remain on the same underlying level of 8.3% as achieved in the first quarter excluding the cost of the plant closure.