Autoliv predicts more growth after Q1 revenues rise
STOCKHOLM (Reuters) — Swedish supplier Autoliv expects higher second-quarter sales growth after producing first-quarter earnings above market expectations on the back of strong sales in Europe and lower overall costs.
The company, the world’s biggest maker of seat belts and airbags, said it was expecting an adjusted operating margin of about 9 percent in the second quarter and sales growth of around 6 percent.
In the first quarter, sales grew by almost 4 percent and the operating margin reached 8.9 percent.
Adjusted operating profit fell to $193 million from $198 million a year ago to beat a mean forecast for $180 million in a Reuters poll.
Quarterly sales were $2.17 billion, slightly below the $2.19 billion expected by analysts.
Autoliv repeated a full-year forecast for an adjusted operating margin of about 9.5 percent against the 9.1 percent reported in 2014, plus sales growth of more than 6 percent on a like-for-like basis. Growth in 2014 was 6.2 percent.
The company is widely expected to gain market share due to issues with rival Takata’s airbags that have led to recalls of millions of vehicles globally.