Autoliv (ALV) Tops Q2 EPS by 45c
Autoliv (NYSE: ALV) reported Q2 EPS of $2.22, $0.45 better than the analyst estimate of $1.77. Revenue for the quarter came in at $2.21 billion versus the consensus estimate of $2.22 billion.
Comments from Mikael Bratt, President & CEO, "With the Veoneer spin-off executed successfully, the Autoliv team is now fully focused on our occupant safety products, managing the product launches and delivering value to our stakeholders.
Built on previous years' strong order intake, the second quarter marked the step-up in organic growth that we have been anticipating. The number of product launches in the second quarter of 2018 increased by 72% compared to a year earlier. In the quarter, the growth markets, China, India, ASEAN and South America, made up 60% of the organic growth*, taking their share of sales from 21% to 24%, with China leading the way by growing organically* by 18%. North America grew by close to 12% organically*.
The product launches are on track, with some delays in ramp-up of certain models and at a somewhat elevated level of launch costs. We had some headwinds from raw material pricing and currency movements in the second quarter, which limited the positive effects from the strong sales growth. Our 2018 full year indication and continued strong order intake supports that we are on track towards our 2020 targets, and we are fully focused on delivering more than $10 billion in sales and around 13% adjusted operating margin in 2020.
Favorable industry fundamentals continued to drive higher global automotive demand and production in the quarter. We carefully monitor the development of issues fundamental to our business such as possible NAFTA renegotiations and various trade barriers on raw materials and automotive products.
With a never-ending focus on quality, innovation and operational excellence, we continue to execute on our growing business volumes and new opportunities in a more focused Autoliv."
For earnings history and earnings-related data on Autoliv (ALV) click here.