Autoliv, Inc. · NYSE:ALV
Autoliv — Non-Deal Roadshow (March 2019)
24 slides from Autoliv's roadshow presentation, Mar 12, 2019
Slide 1: Autoliv Nordic Equity
Autoliv Nordic Equity Henrik Kaar Director Investor Relations March 12, 2019 1 Date Name of presentation Copyright Autoliv Inc., All Rights Reserved Copyright Autoliv Inc., All Rights Reserved
Slide 2: Our Vision Is Saving More Lives & Creating More Value
Our Vision Is Saving More Lives & Creating More Value Each Year, Autoliv’s Products Save >30,000 Lives Copyright Autoliv Inc., All Rights Reserved
Slide 3: Our Vision Is Saving More Lives & Creating More Value
Our Vision Is Saving More Lives & Creating More Value Each Year, Autoliv’s Products Save >30,000 Lives Copyright Autoliv Inc., All Rights Reserved
Slide 4: Millions of Reasons to Do More
Millions of Reasons to Do More Road Fatalities Worldwide Number of Traffic Fatalities, Globally(1) 1.3 million 2017E 2030E (1) WHO February, 2018 Copyright Autoliv Inc., All Rights Reserved
Slide 5: Autoliv – 65 years of Dedication to Saving Lives
Autoliv – 65 years of Dedication to Saving Lives Entering the next phase Autoliv Lindblads becomes a Period of First Night Vision ̶ Autoservice Acquired by subsidiary of acquisitions and First Knee First Inflatable the start of Active AB is founded First subsidiary Gränges Weda Electrolux joint vent
Slide 6: Autoliv Today is Stronger Than Ever
Autoliv Today is Stronger Than Ever MARKET SHARE 2018 ORDER INTAKE SALES ADJ. OPERATING INCOME(1) 40% >50% $8.6 Bn 908 Mn worldwide, clear #1 of global orders 2018 2018 2018 (10.5% margin) OPERATIONS IN DAILY PRODUCTION EMPLOYEES FREE CASH FLOW(2) 27 ~1 Mn ~67,000 $320 Mn countries units worldwide 2
Slide 7: Autoliv 2018 Achievements and Challenges
Autoliv 2018 Achievements and Challenges Strong order intake and outperformance of light vehicle production for new Autoliv ▪ New executive management team in place ▪ Veoneer spin-off in July − Improved focus and flexibility for both companies (culture, people, business) ▪ Light vehicle market in Ch
Slide 8: Target update
Target update Sales and profitability capacity unchanged Target update IHS Global Light Vehicle Production Forecast Million units 1 2020 (5) M (3) M ▪ Global light vehicle sales and production slowdown ▪ Headwinds from other external factors such as raw material 100 ▪ Do not expect to reach targets
Slide 9: Order Intake Momentum Remains Strong
Order Intake Momentum Remains Strong Around 50% Order Intake Share Continued In 2018 Order Intake Annualized Sales and Share ▪ 2018 order intake in line with 2017 2014A-18A ▪ Market share gains within all product areas and regions compared to today’s level >50% ~50% ~50% ▪ Major wins with all leadin
Slide 10: Strong starting point
Strong starting point Clear market leader in a consolidated market Firm Market Leader at 40% – Far Exceeding Competitors(1) #1 Rankings Across Product Portfolio(1) % 2018A (2) 38% Frontal Airbags Side Airbags Autoliv 40% Comp. 1 33% 48% Comp. 2 Comp. 3 Comp. 4 Seatbelts Steering Wheels Comp. 5 2017
Slide 11: Well-Balanced Customer Base
Well-Balanced Customer Base Significant Presence in High-Growth Markets Serving All Major OEMs… …Across All Key Automotive Regions % of 2018A Revenue(1) % of 2018A Revenue(1) 15% 4% 10% 4% Rest of Europe Asia Asia 32% 8% 3% 37% Japan 10% 9% 8% 3% China 8% 2% 18% 8% 2% 7% 2% 6% Others 10% Americas 31
Slide 12: Market Development
Market Development Supply Value per Vehicle Market per Region US$/car US$ (billions) 12 March 2019 ALV – Post Q4-2018 Presentation Copyright Autoliv Inc., All Rights Reserved
Slide 13: USA Light Vehicle Sales and inventories
USA Light Vehicle Sales and inventories Inventories Sales US 12m trailing LV sales 4.5 140 Month-End Inventory 20,000,000 4.0 Month-End Days' Supply 120 18,000,000 3.5 Millions of Light Vehicles 100 3.0 16,000,000 2.5 80 Days 14,000,000 2.0 60 1.5 12,000,000 40 1.0 10,000,000 20 0.5 8,000,000 0.0 0
Slide 14: Europe Light Vehicle Sales
Europe Light Vehicle Sales Sales 18 2019/2018 vs. 2017 16 14 12 million units 10 8 6 4 2 0 14 March 2019 ALV – Post Q4-2018 Presentation Copyright Autoliv Inc., All Rights Reserved
Slide 15: China Light Vehicle Sales and inventories
China Light Vehicle Sales and inventories Sales Inventories China 12m trailing LV sales 30,000,000 2018 Inventory 2019 Inventory2 1.5 3 25,000,000 20,000,000 1.93 1.92 2 1.82 1.88 1.79 1.73 1.63 1.66 1.66 1.59 1.55 1.59 15,000,000 1.40 1 10,000,000 5,000,000 dec-08 jun-09 dec-09 jun-10 dec-10 jun-11
Slide 16: Product Launches per Quarter
Product Launches per Quarter Q1’19 is expected to increase 20% YoY +20% 250 ~720 ~710 200 ~600 Number of Launches 150 100 50 0 2017 2018 2019 17 ALV – Q4-2018 Earnings Call and Webcast Copyright Autoliv Inc., All Rights Reserved
Slide 17: FY'19 - Key Models
FY’19 - Key Models Contributing to the ramp-up of sales growth Honda CR-V VW T-Cross Honda Crider U.S. Truck Ford Ranger VW Passat Nissan Altima EU Car Audi Q3 Renault Captur Nissan Quashqai/Rogue Sport 18 ALV – Q4-2018 Earnings Call and Webcast Copyright Autoliv Inc., All Rights Reserved
Slide 18: FY'18 Financial Overview
FY´18 Financial Overview (US $ Millions unless specified) FY’18 FY’17 Sales $8,678 $8,137 Gross Profit $1,711 19.7% $1,680 20.6% Operating Income1 $908 10.5% $899 11.1% EPS (assuming dilution) $4.31 $6.68 RoCE1,2 22% n/a RoE1,2 20% n/a Operating cash flow Cont. Ops $806 $870 Dividend per share $2.46
Slide 19: Financial Outlook 2019
Financial Outlook 2019 from January 29 Full year indication Indication Organic sales growth* ~5% FX ~(1)% Consolidated sales, net ~4% Adjusted Operating margin* ~10.5% Exchange rates*** FY’19 EUR / US$ 1,1416 Tax rate ~28% US$ / JPY 108,57 US$ / KRW 1121 Operating Cash flow Higher than 2018** US$ /
Slide 20: Significant traffic safety improvement potential
Significant traffic safety improvement potential Road Fatalities by Country 130.1 per 100,000 vehicles 104.5 74.6 57.5 25.6 12.9 4.7 5.3 6.8 6.5 7.3 7.6 Sweden Spain Germany Japan Italy France USA South Brazil Thailand China India Korea Sources: WHO Global Status Report on Road Safety 2015 Published
Slide 21: Saving More Lives & Creating Sustainable Growth
Saving More Lives & Creating Sustainable Growth Customer Partnership Accident Research ▪ Key customer partnerships give ▪ Understand how people get us an advantage, especially hurt → New Solutions when there are new challenges. Influence Anticipate Market Trends When our innovation is proven efficie
Slide 22: R&D Priorities
R&D Priorities New Restraint Considerations = Current Occupant Safety Requirements + More Adaptability to Size & ADAS & AD Electrification and more… Age of Occupant Main Challenge: Main challenges: New seating positions Weight & noise Adaptability of restraint Protection of: ✓ Safety solutions more
Slide 23: Our focus for 2019
Our focus for 2019 ▪ Continue to Execute on Strong Order Book ▪ Product Launch Effectiveness ▪ Productivity Development ▪ Monitor and Manage Light Vehicle Market Volatility ▪ Secure Our New and Stronger Market Position ▪ Save More Lives 24 March 2019 ALV – Post Q4-2018 Presentation Copyright Autoliv
Slide 24: Each year, Autoliv's products save over 30,000 lives
Each year, Autoliv’s products save over 30,000 lives autoliv.com Copyright Autoliv Inc., All Rights Reserved