other material
confidence high
sentiment neutral
materiality 0.60
Autoliv reiterates FY2022 guidance despite China lockdowns and inflation headwinds
AUTOLIV INC
- Chinese LVP declined >40% YoY in April, recovered to flat in May; Q2 China LVP forecast lowered 11% from April.
- Price increase negotiations with customers progressing, some retroactive to cover early 2022 costs; cost reductions underway (headcount, projects, consultants).
- Reiterated FY2022 organic sales growth of 12-17% and adjusted operating margin of 5.5-7.0%, assuming global LVP growth 0-5%.
- Government incentives and improved semiconductor availability expected to drive H2 recovery in China.
- Healthy balance sheet; committed to shareholder-friendly capital allocation as per Capital Markets Day.