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Mar 31
Autoliv Q1 2025 Earnings Report
Autoliv reported improved profitability and solid execution in Q1 2025.
Key Takeaways
Autoliv delivered strong earnings per share and operating margins in Q1 2025, supported by organic sales growth and successful cost reduction efforts, despite a slight decline in reported net sales.
EPS rose 41% year-over-year to $2.14, with adjusted EPS at $2.15.
Net income reached $254 million, supported by organic sales growth and lower costs.
Adjusted operating margin held steady at 9.9%, up from 7.6% in Q1 2024.
Sales to Chinese OEMs grew 19%, though overall China performance was impacted by LVP mix shifts.
Autoliv
Autoliv
Forward Guidance
Autoliv reiterated its FY25 guidance with expectations of continued organic growth and stable margins, despite ongoing geopolitical and market uncertainties.
Positive Outlook
- Organic sales growth expected to be around 2%.
- Adjusted operating margin guidance maintained at 10β10.5%.
- Record number of product launches expected to support China performance.
- Strong customer relationships and adaptive operations mitigate tariff risks.
- Robust balance sheet supports shareholder return commitments.
Challenges Ahead
- Geopolitical uncertainty complicates full-year forecasting.
- Continued LVP mix headwinds, particularly in China.
- Negative FX effects estimated at around 3%.
- Tariff-related risks remain despite early resilience.
- Slower-than-expected global automotive production in some regions.