#USA #Stockholm #Shareholder Return #Autoliv #Automotive Safety

Autoliv Capital Markets Day: A Commitment to Shareholder Value

On June 4, 2025, Autoliv, Inc., the global frontrunner in automotive safety systems, conducted its Capital Markets Day in Stockholm, where it presented strategies aimed at bolstering shareholder returns through enhanced dividends and robust stock repurchase initiatives.

Reviewing the Current Landscape

In the wake of external challenges such as ongoing inflation and geopolitical tensions, Autoliv's management, led by President and CEO Mikael Bratt, expressed a commitment to optimize business operations and enhance customer-focused strategies. Bratt emphasized, “We continue to refine our operations to build a more effective and cost-efficient structure, which will allow us to better serve our clients and enhance our competitive standing.”

Future Growth Plans

During the CMD, management detailed its roadmap for sustainable growth, which includes an annual share repurchase plan ranging from $300 million to $500 million until 2029, along with the announcement of a new stock repurchase program worth $2.5 billion set to commence on July 1, 2025. This initiative is positioned to counter previous program limitations and strengthen shareholder confidence. Alongside this, Autoliv’s Board has increased its quarterly dividend to $0.85 per share—a 21% rise from Q2 2025, reflecting the company's solid financial backing.

Reiterating Guidance and Financial Targets

Autoliv underscored its continued commitment to maintaining a robust financial structure. The company reiterated its 2025 guidance with an organic sales growth target of approximately 2% and a forecasted adjusted operating margin between 10% to 10.5%. Looking further ahead, the company aspires to achieve a long-term growth rate of 4% to 6% in sales over the next decade. Bratt pointed out that safety content growth per vehicle will mainly drive this expansion until around 2030, when mobility safety solutions (MSS) are anticipated to substantially contribute to overall performance.

Focus on Shareholder Returns

A significant element of the CMD was the assertive shareholder return strategy. Management anticipates that the execution of its strategic initiatives will yield impressive cash flows, thereby creating exceptional value for its shareholders. Moreover, Autoliv plans to keep its leverage ratio modest, projecting it to remain below 1.5 times the net debt to adjusted EBITDA ratio.

Attend the Capital Markets Day

Investors and analysts were given the chance to witness the proceedings live at Artipelag Museum in Stockholm, with the event also available via livestream. A recording of the CMD will be accessible on Autoliv's official website for those interested in viewing it post-event. This transparency showcases Autoliv's dedication to keeping its stakeholders informed and engaged with their initiatives.

Conclusion

As the automotive industry evolves amidst technological advancements and changing market dynamics, Autoliv is committed to leveraging its stronghold in safety systems while proactively addressing challenges and capitalizing on opportunities. With a solid plan for shareholder returns now laid out, Autoliv is poised to create significant value for its investors in the coming years.

For more information, visit Autoliv's official website.

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About Autoliv

Autoliv, Inc. is the world's leading manufacturer of automotive safety systems. Our dedication to innovation enables us to develop and market vital protective technologies, supporting our vision of saving lives through advanced safety solutions. In 2024 alone, our systems contributed to saving 37,000 lives.

Safe Harbor Statement

The information in this release contains forward-looking statements regarding Autoliv’s forecasts and strategies. Although we believe the forecasts are based on reasonable assumptions, future events may cause them to vary significantly.