Autoliv, Inc. · NYSE:ALV
Autoliv — Shareholder Meeting (May 2018)
16 slides from Autoliv's shareholder meeting presentation, May 8, 2018
Slide 1: 2018 Annual General Meeting
1st 2018 Annual General Meeting Jan Carlson, Chairman, President & CEO May 8, 2018 - Chicago 1 May 8, 2018 ALV - 2018 Annual General Meeting Copyright Autoliv Inc., All Rights Reserved Copyright Autoliv Inc., All Rights Reserved
Slide 2: Safe Harbor Statement
Safe Harbor Statement* This presentation contains statements that are not historical facts but rather forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include those that address activities, events or developments t
Slide 3: Our Guiding Principles
Our Guiding Principles 3 May 8, 2018 ALV - 2018 Annual General Meeting Copyright Autoliv Inc., All Rights Reserved
Slide 4: A historical decision that resulted in a world leader
A historical decision that resulted in a world leader Autoliv Group US$ (millions) The air bag revolution The China car market The Digital revolution revolution 10,000 Merger with Morton ASP 8,000 6,000 Autoliv spin-off from Electrolux 4,000 2,000 ,0 1982 1985 1988 1991 1994 1997 2000 2003 2006 2009
Slide 5: Our Strategies to Stay Ahead
Our Strategies to Stay Ahead RECALLS* MARKET SHARE 2017** Quality – Zero defects by Autoliv Global 38% flawless execution 2% Europe One Product One Process to improve ~ 170M Americas cost effectiveness recalled and robustness since 2010 Japan China Innovation to lead industry Rest of Asia in Real Li
Slide 6: Autoliv Today
Autoliv Today ▪ A global leader in Automotive Safety with a well-balanced footprint Customers Global Footprint Products Brake Control Systems RoA Active Safety Products Europe Japan 9% Passive Safety 5% 7% Electronics 10% 32% 10% Sales Sales China 2017 51% 18% 2017 27% Seatbelts 31% Airbags and Amer
Slide 7: Investing in Growth while Creating Shareholder value
Investing in Growth while Creating Shareholder value Growth investments ~$5.3B and shareholder returns ~$2B over the last 5 years Investments in Growth Shareholder Returns 1,400 16% 1,000 1,200 14% 800 12% 1,000 10% 600 800 8% 600 400 6% 400 4% 200 200 2% 0 0 0% 2013 2014 2015 2016 2017 2013 2014 20
Slide 8: FY'17 Recap
FY’17 Recap Strong performance even with increased RD&E investments for long-term growth ▪ Growth and Margins − Record sales as a result of consolidated sales growth of ~3% where of organic sales* growth ~1.5% − Record gross profit resulting in an 8.6% adjusted operating margin* where RD&E was 7.1%
Slide 9: FY'17 Recap
FY’17 Recap Strong order intake in both segments Passive Safety Electronics RD&E ~50% of the Electronics orders over RD&E 7.1% of sales in 2017 ~50% Order intake win rate for three years (2015-2017) last four years (2014-2017) is in Passive Safety RD&E% of sales peak ACTIVE SAFETY FY’17 while Electr
Slide 10: FY'17 Recap: Active Safety and Zenuity Update
Customer** Snapshot – Dec’17 FY’17 Recap Active Safety and Zenuity Update ▪ Active Safety − Strong order intake in FY’17, estimated market share in the “high teens” − Order intake includes a 4th vision customer and our 1st LiDAR and ROADSCAPE customers − Temporary lower growth in FY’17-18 due to low
Slide 11: Electronics Active Safety – Building for the long-term
Electronics Active Safety – Building for the long-term 11 May 8, 2018 ALV - 2018 Annual General Meeting Copyright Autoliv Inc., All Rights Reserved
Slide 12: Targets Stand Alone Passive Safety and Electronics
Targets Stand Alone Passive Safety and Electronics CMD 2017 – Target Update 2020 Target 2022 Target ▪ Sales – at least hold market share and at least grow LVP plus Autoliv ▪ Sales >$10B 1% Passive Safety ▪ Adj. Operating margin* ~13% ▪ Adj. Operating Margin* – at least maintain margins from 2020 lev
Slide 13: FY'18 - Looking ahead
FY’18 - Looking ahead Executing towards the targets of the standalone businesses ▪ Electronics − Organic sales decline ~3% where of AS** organic sales growth ~10%, currency translation tailwind ~3% − Underlying profitability to decline from 2017 mainly due to increased RD&E costs net − Focus on read
Slide 14: The Veoneer brand will be a visionary pioneer in automotive electronics
Heading The Veoneer brand will be a visionary pioneer in automotive ▪ Text electronics, ADAS, automation and new mobility 14 May 8, 2018 ALV - 2018 Annual General Meeting Copyright Autoliv Inc., All Rights Reserved
Slide 15: Spin-off of Electronics Business - Veoneer
Spin-off of Electronics Business - Veoneer Preparations continue for “Tax-free Spin-off” ▪ Veoneer spin-off is expected to be completed in time for trading of Veoneer to begin early in the third quarter of 2018 ▪ Leadership team - announced March 2018 ▪ Internal reorganization to implement new legal
Slide 16: Each year, Autoliv's products save over 30,000 lives
Each year, Autoliv’s products save over 30,000 lives autoliv.com