Post on 25-Mar-2018
Copyright Autoliv Inc., All Rights ReservedCopyright Autoliv Inc., All Rights ReservedCopyright Autoliv Inc., All Rights ReservedCopyright Autoliv Inc., All Rights ReservedCopyright Autoliv Inc., All Rights ReservedCopyright Autoliv Inc., All Rights ReservedMarch 24, 20171
2017
AutolivGeneral Presentation
v 1.0
Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights ReservedCopyright Autoliv Inc., All Rights ReservedCopyright Autoliv Inc., All Rights ReservedCopyright Autoliv Inc., All Rights Reserved
Autoliv in Brief
2 March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights ReservedCopyright Autoliv Inc., All Rights ReservedCopyright Autoliv Inc., All Rights ReservedCopyright Autoliv Inc., All Rights Reserved
Every year our products save over 30,000 lives
and prevent ten times as many severe injuries
3 March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Our Guiding Principles
4 March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Relentless focus on Operational Excellence
5
Our Strategy to Stay Ahead
Quality – Zero defects by
flawless execution
One Product One Process
to improve cost effectiveness
and robustness
Innovation to lead industry
in Real Life Safety
March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Human lives saved by our products
… additionally they prevent ten times as
many severe injuries
0
20000
40000
60000
80000
100000
120000
140000
160000
2016 Target
We Save More Lives while Creating Value
6 March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved7
Creating Sustainable Value
March 24, 2017 Autoliv General Presentation 2017
Saving
More Lives is the most significant
impact we can make
as a Company.
Copyright Autoliv Inc., All Rights Reserved
>70,000 ASSOCIATES
Superior Global Presence
8
Americas
34%of sales
Europe
30%of sales
RoA
9%of sales
Japan
9%of sales
China
18%of sales
>83 FACILITIES 27 COUNTRIESWORLDS LARGEST AUTOMOTIVE
SAFETY SUPPLIER
March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
THOUSANDS OF
R,D&E PROJECTS
Autoliv’s Research, Development & Engineering
USA
Ogden
LowellGoleta
Auburn Hills
Southfield
Sweden
Vårgårda
Linköping
Gothenburg
France
Gournay
Rouen
Pont-de-Buis
Cergy-Pontoise
Germany
Dachau
Elmshorn
Holzgerlingen
Schweinfurt
RomaniaBrasov
TimisoaraIndia
Bangalore
China
Shanghai
Japan
Tsukuba
Hiroshima
Tochigi
South Korea
Seoul
Poland
Oława
22 TECHNICAL
CENTERS
19 CRASH
TEST TRACKS~7,900 ASSOCIATES
ENGAGED IN R,D&E
9 March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Customers
A global leader in Automotive Safety with a well-balanced footprint
March 24, 201710
Autoliv Today
11%
11%
11%
10%
10%8%
7%
6%
6%
4%
3%3%
2%2%
2%2%
2%
Others
Sales
2016
30%
34%
18%
9%
9%
Sales
2016 52%
27%
10%
7%4%
Sales
2016
Global Footprint Products
Europe
Americas
Airbags
Seatbelts
Active Safety Products
Passive Safety
ElectronicsJapan
China
RoADomestic Chinese OEMs
Brake Control Systems
Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Key Figures Summary
US$ (in millions) 2016
Sales 10,074
Operating income 848
Net income 562
Earnings per share, US$ 6.42
Cash from operations 868
Return on total equity, % 15
Share holder returns 203
Headcount (no. of persons) 70,000
Light Vehicle Production (millions units) 90
11 March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved12
2016 in Summary
total sales growthorganic sales growth in
active safety*
in operational cash flowin direct shareholder returns of CAPEX, supporting growth
market share in the global
passive safety market
March 24, 2017
16% 39% 10%
$203m $868m $499m
Autoliv General Presentation 2017
* Non-U.S. GAAP measure, please refer to our 2016 Annual Report for reconciliation.
Copyright Autoliv Inc., All Rights Reserved
Supports organic growth strategy
13
M&A Track Record
,0
2,000
4,000
6,000
8,000
10,000
12,000
1982 1985 1988 1991 1994 1997 2000 2003 2006 2009 2012 2015
US$ (millions)
Morton ASP
Britax
Autoflug
Sale of Italy
Klippan
Izumi
Norma
NSK
OEA
Visteon Restraint
Electronics Tyco Radar
Delphi OPS
LivBag
IsoDelta
Mando
Visteon Radar,
Aztyx/Hella IP
1) Automotive business
March 24, 2017 Autoliv General Presentation 2017
Zenuity
(2017)
Volvo IP License
MACOM1)
ANBS
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Innovative Spirit for Robust Solutions
March 24, 2017 Autoliv General Presentation 201714
Copyright Autoliv Inc., All Rights Reserved
More than 60 years of innovation in Automotive Safety
March 24, 201715
Industry Pioneer with Strong Heritage
MECHANICAL PYROTECHNICAL ELECTRONICS DIGITAL
1950s 1980s 1990s 2000s 2010s
Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
The Road to Saving More Lives
March 24, 2017 Autoliv General Presentation 201716
Real Life Safety
Beyond Standardized Test Scenarios… …Towards Real Life Situations and Benefit
REAL LIFE SAFETY
Traffic Safety Research
Passive Technologies
Active Technologies
System Integration
Copyright Autoliv Inc., All Rights Reserved
Innovative Spirit
Almost 7,900 people in Research, Development and Application Engineering (R,D&E)
Manufacturing close to customers’ assembly plants in North America, Western Europe and Japan
Local teams support our corporate research efforts
March 24, 201717
R,D&E Expenditure
Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
LIV - The Learning Intelligent Vehicle
March 24, 201718
Shared control between
driver and vehicle
To attain trust required in
autonomous driving
Connecting different
technologies in an
AI-based ECU
Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Unique Testing Capabilities
ONLY SAFETY SYSTEM SUPPLIER DOING
COMPLETE VEHICLE CRASH-TESTS
6 TRACKS FOR
FULL-SCALE TESTS19 TEST TRACKS
76% OF R,D&E ARE
ASSIGNMENTS ORDERED AND
FUNDED BY CUSTOMERS
TRACKS FOR ACTIVE
SAFETY TESTING
19 March 24, 2017
In 2016, Autoliv continued to lead all automotive safety related
suppliers by globally performing over 625 full vehicle crash tests
in China, Europe and the United States.
Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Road Fatalities per Country
0
10
20
30
40
50
60
70
80
90
100per 100,000 inhabitants/year
per 100,000 vehicles
Source: Autoliv estimates
105 130
20 March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
by Major Product Types
0% 10% 20% 30% 40% 50% 60% 70% 80%
Modern Seatbelts
Curtain Airbags
Side Airbags
Driver Airbags
Passenger Airbags
Reduction of Life-Threatening Injuries
Source: Glassbrenner 2009, McCartt & Kyryshenko 2007 and Crandall 2000
21 March 24, 2017 Autoliv General Presentation 2017
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Strategy & Products
22 March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved23
Our Transformation in a World of Change
Automated Highway Driving
Automated City Driving
Automated Valet Parking
EvasiveManeuvers
Automated Route(Trained)
Automated Route (Destination)
Autonomous Driving
AEB – City AEB – UrbanAEB –
Ped./CyclistIntersection
AssistOvertaking
Assist
ACC /Queue Assist
LaneCentering &
Keeping
Cross-TrafficAssist
Real-CollisionMitigation
Auto ParallelParking
NavigationElectronicHorizon
Anti-Lock Brakes
Stability Control
Electric Power Steering
Blind SpotMonitoring
Ped./CyclistDetection
ParkingAid
Traffic SignRecognition
LaneDepartureWarning
ForwardCollisionWarning
HMISurround /Rear View
Steering Controls
Propulsion Controls
Radar Cameras LIDARUltrasonicSensors
InertiaSensors
GPSBrake
ControlsMAPS V2X
DriverMonitoring
March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Life-Saving Technologies
March 24, 201724
AIRBAGS
In frontal crashes, driver airbags reduce fatalities
by appr 25%, and front-seat airbags by appr 20%.
Side-curtain airbags reduce life-threatening head
injuries in side impacts by appr 50% for passengers
sitting on the side of the vehicle that is struck.
Side airbags, rear side airbags, knee airbags and
far-side airbags also help save lives and reduce
serious injuries.
SEATBELTS prevent fatalities
The combination of seatbelt, seatbelt
pretensioners, load limiters, lap pretensioners
and frontal airbags reduces the risk of life-
threatening head or chest injuries in frontal
crashes by 75%.
PROTECTING PEDESTRIANS
Thanks to a pyrotechnic hood-lifter and/or an
outside pedestrian protection airbag, a pedestrian
who is hit can avoid head injury caused by the hard
area between the hood and the windscreen or one
of the windshield pillars.
Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Passive Safety
March 24, 2017 Autoliv General Presentation 201725
$ 7,919
2016
$ 7,621
2015
Headcount
2015 59,861
2016 63,134
Operating income
Share of group sales
SalesProducts
Airbags,
Seatbelts, and
Steering wheels
Organized in geographies:
Europe,
North America,
South America,
China,
Korea,
Japan & South East Asia, and India.
Copyright Autoliv Inc., All Rights Reserved
Technologies to Prevent Accidents
March 24, 201726
RADAR avoids crashes
- Detects objects in all weathers and provides an
advance warning of potential collisions.
- To avoid blind spot crashes.
- Controls the stop-and-go functions in the
queue
- Long-range radars are used for Adaptive
Cruise Control systems (ACC) and
Autonomous Emergency Braking (AEB).
Steering Wheels Alert
An integrated electrical motor can vibrate
the steering wheel, alerting the driver to
dangerous situations.
CAMERAS – extra pair of eyes
Mono and stereo vision cameras can recognize
vehicles, pedestrians, speed signs and lane
markings, and are used in the Advanced Driver
Assistance Systems (ADAS) to avoid collisions.
NIGHT VISION ASSIST
In challenging lighting – at night, in fog, blinding
headlight and sunlight glare – collisions can be
avoided as far infrared technology shows a heat-
generated image of animals, pedestrians and more.
OPTIMUM BRAKING
Brake Actuation and Brake Control use sensors to
apply the correct braking pressure for a given
condition. They also offer electronic stability control,
anti-locking brakes and traction control systems.
ADAS ECU – A supporting brain
Monitors the surroundings and fuses data from
cameras, radars and sensors to interpret the
situation and trigger ADAS features like emergency
braking or automatic lane change. Satellite sensors
trigger seatbelt pretensioners and airbag systems.
Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Electronics
Products
Passive safety electronics:airbag control modules and remote sensing units
Active safety products;automotive radars, night vision systems, cameras with driver assist systems and positioning systems
Brake control systems
March 24, 2017 Autoliv General Presentation 201727
Operating income
Share of group sales
Sales
$ 2,216
2016$ 1,589
2015
Headcount
2015 4,080
2016 6,778
Copyright Autoliv Inc., All Rights Reserved
Sensors - Vision Technology
BROADEST TECHNOLOGY PLATFORM
– MONO – STEREO – NIGHT VISION –
DRIVER MONITORING
28 March 24, 2017 Autoliv General Presentation 2017
VISIONOur camera-based vision systems are the key
to driver assistance and safety functions, such
as accident avoidance. The comprehensive
information gathered by vision systems
provides vital input data for advanced vehicle-
control systems.
(Our Mono and Stereo-vision cameras capture rich
environmental data and process this using advanced
algorithms to warn the driver of hazardous situations.)
Copyright Autoliv Inc., All Rights Reserved
The brain of an active safety system
March 24, 2017 Autoliv General Presentation 201729
Controls - ADAS ECU
WORLD FIRST CENTRAL ADAS ECU
ADAS ECUOur ADAS ECU is the brain that fuses all vital
information from sensors to make the best
possible interpretation of the situation and
trigger ADAS features like emergence braking
or automatic lane change.
Copyright Autoliv Inc., All Rights Reserved
Broadest portfolio in the market
March 24, 2017 Autoliv General Presentation 201730
Sensors - Radar Technology
oldRADAROur radars can “see” when cameras are
blinded by darkness or bad weather. Radars
also note vital information, such as range, angle
and relative velocity, complementing visual
information from our cameras.
STRONG PORTFOLIO OF
RADAR SENSOR TECHNOLOGIES
Copyright Autoliv Inc., All Rights Reserved
Technology Leadership2016 Central ADAS ECU
2015 Front-position, Side-looking Radar*
2013 Bag-in-belt / Night Vision Fusion* / Mono Vision Camera / AEB Radar*
2012 Pedestrian airbag* / Dynamic Spot Light*/ Animal detection system* / Green airbag inflator
2011 Camera-based Advanced Driver Assistance System
2010 Seatbelt Locking tongue*
2008 Integrated safety electronics* / Pedestrian detection system*
2007 Multi-volume cushion airbag*
2006 Safety Vent bag*
2005 Night vision system / Pedestrian protection hood*
2004 Fixed hub steering wheel*
2002 Anti-sliding bag* / Adaptive load limiter*
1998 Side curtain airbag*/ Anti-whiplash seat*
1997 Side airbag for head protection*
1995 Knee airbag* / Seatbelt load limiter*
1994 Side thorax bag*
1992 Steering wheel with integrated sensor
1989 Seatbelt with buckle pretensioner*
1986 Belt grabber*
1980 Airbag production
1956 Seatbelt production * World’s first
31 March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
through early lead-to-market and intellectual property
Technology Leadership
Customer World’s Firsts where Autoliv has contributed;
Daimler – Side-looking radar (2015)
Mercedes – Sensor Fusion NIR/FIR for night driving assist (2013)
Volvo – External pedestrian protection airbag (2012)
BMW – Pedestrian warning for night driving (2008)
Ford – Integrated inertia motion control ECU into the airbag ECU (2008)
Renault – Adaptive Multi-Volume cushion airbag (2007)
Chrysler – Safety-Vent passenger airbag (2006)
Jaguar – Pedestrian protection pop-up hood (2005)
BMW – Seatbelts with adaptive load limiters (2002)
Renault – First company to receive “Five Stars” in the EuroNCAP (2002)
Ford – Integrated gyro-rollover sensor into the airbag ECU (2002)
Volvo and Mercedes – Side curtain airbags (1998)
BMW – Side airbags for head protection (1997)
Kia – Knee airbags(1995)
Volvo – Side airbags (1994)
Volvo – Pretensioner (1989)
32 March 24, 2017 Autoliv General Presentation 2017
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Our Market
33 March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Our Global Passive Market
Statistically, there were
more than 1.5 airbags and
seatbelts from Autoliv in every
vehicle produced globally, despite
many vehicles not having airbags
39% OF GLOBAL PASSIVE
SAFETY* MARKET SHARE
149 MILLION SEATBELTS
146 MILLION AIRBAGS
* Airbag, steering wheel, seatbelt
34 March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Global Safety Market Share by Product
March 24, 201735
Market Shares 2016
Market share by Product Market share by Region1)
39%
0% 20% 40% 60%
Active Safety Sensors
Passive Safety Electronics
Steering Wheels
Airbags
Seatbelts
Overall Passive Safety1)
2)
39%
0% 20% 40% 60%
Rest of Asia
China
Japan
Americas
Europe
Global
1) Airbags, steering wheels, seatbelts.
2) Radars, night vision, front view mono and stereo vision cameras, ADAS ECU’s
Autoliv’s share
Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Light Vehicle Production Outlook 2006 thru 2019
14 1217 17
1614
15 14
11
8
9 8
6 16
26 2818
24
2329
0
20
40
60
80
100
120
2006 2011 2016 2019
Million Units
36
~ 65M
~ 74M
~96M
~ 90M
~39M
~57M
~34M
~40M
Growth Markets1)
Developed Markets
Other
China
Japan
Western Europe
North America
March 24, 2017
1) Growth Markets (Eastern Europe, China, Rest of Asia, South America, Middle East/Africa).Source: IHS January 16, 2017
Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Growth Drivers by Region1)
37
8,310,5
5,1
6,53,5
4,05,2
6,55,1
6,5
0
5
10
15
20
25
30
35
40
2016 2019
US$ (Billions)
Other CAGR ~ 8%
China CAGR ~ 8%
Japan CAGR ~ 4%
Western Europe CAGR ~ 8%
North America CAGR ~ 9%
1) Company estimates. Includes seatbelts, airbags, steering wheels, radars, night vision, front view mono and stereo vision cameras, ADAS ECU’s, airbag control modules and remote sensing units.
2) Growth Markets (Eastern Europe, China, Rest of Asia, South America, Middle East/Africa).
CAGR = Compound Annual Growth Rate
~ 27B
~ 34B
CAGR ~ 8%
March 24, 2017
Autoliv General Presentation 2017
Growth Markets2)
Developed Markets
Copyright Autoliv Inc., All Rights Reserved
Growth Drivers by Segment1)
38
19,722,0
7,5
12,0
0
5
10
15
20
25
30
35
40
2016 2019
US$ (Billions)
Electronics CAGR ~15-20%
Passive Safety CAGR ~4%
1) Company estimates. Includes seatbelts, airbags, steering wheels, radars, night vision, front view mono and stereo vision cameras, ADAS ECU’s, airbag control modules and remote sensing units.
CAGR = Compound Annual Growth Rate
~ 27B
~ 34B
CAGR ~ 8%
March 24, 2017
Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Long-term expansion in growth markets
Superior Global Presence
Autoliv
Manufacturing
Facilities Se
atb
elt
s
Air
ba
gs
Ste
eri
ng
Wh
eels
Ele
ctr
on
ics
Bra
ke
Sys
tem
s
North America
South America
Europe
Japan
China
Korea
India
Asia other
39 March 24, 2017
0
10 000
20 000
30 000
40 000
50 000
60 000
70 000
80 000
2006 2016
Headcount
Best Cost Countries High Cost Countries
Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
All Major Vehicle Manufacturers
40
Superior Global Presence
March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved41
Significant Launches in 2016
March 24, 2017
Mercedes E-ClassDriver airbag with steering wheel, passenger
airbag, knee airbag, seatbelt with pretensioner
and bag-in-belt, ADAS control unit, radar
system and camera system.
Volvo S90/V90Driver airbag with steering wheel, inflatable
curtain, active seatbelt with pretensioner, safety electronics and cable cutter.
Honda FreedDriver airbag with steering wheel, seatbelt
with pretensioner and brake control system.
Mazda 3/AxelaDriver airbag with steering wheel,
passenger airbag, side airbag, inflatable
curtain and safety electronics.
Ford F-Series
Super DutySide airbag, inflatable curtain,
positioning system and safety electronics.
Toyota CH-RDriver airbag with steering wheel,
side airbag, inflatable curtain and
seatbelt with pretensioner.
BMW 5 SeriesDriver airbag with steering wheel,
passenger airbag, seatbelt
with pretensioner, night vision
system and cable cutter.
Chrysler PacificaDriver airbag, inflatable curtain,
knee airbag, seatbelt with
pretensioner and radar system.
Honda CR-VRadar system, brake control system
and seatbelt with pretensioner.
Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Autoliv Production Volumes 2016
42
Front
Chest
Head
Knee
Withpretensioners
Without pretensioners
0
20
40
60
80
100
120
140
160
Seatbelt Airbag Steering Wheel ECU
Million Units
Global Light Vehicle Production
March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
YTD 2016
466
9
10
10
12
13
14
18
21
21
23
23
25
58
60
65
67
75
87
87
100
Phillipines
Tunisia
India
Thailand
Mexico
Indonesia
South Africa
Romania
China
Turkey
Poland
Taiwan
Hungary
Brazil
Estonia
Japan
Spain
South Korea
Canada
US
Germany
France
Sweden
Direct Labor Cost per Country
43 March 24, 2017 Autoliv General Presentation 2017
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Our Employees
44 March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
The Success of Our People
In a highly competitive and rapidly changing environment we rely on the skills of our people to be able to adapt quickly and find ways to meet our customers’ needs and create shareholder value.
March 24, 2017 Autoliv General Presentation 201745
Copyright Autoliv Inc., All Rights Reserved
Our Human Resources
46
0
10 000
20 000
30 000
40 000
50 000
60 000
70 000
80 000
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Headcount
SG&A
RD&E
Production - indirect
Production - direct
March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Well Balanced Workforce
47 March 24, 2017 Autoliv General Presentation 2017
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Financials & Statistics
48 March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Autoliv’s Targets
0%
1%
2%
3%
4%
5%
6%
7%
8%
9%
2012 2013 2014 2015 2016
Organic Sales*
Automotive Safety Market Growth, % Organic Sales growth, %
49
In 2016, Autoliv's organic sales
increased by 7%, compared to our
underlying automotive safety market
that grew by 8%. Sales growth was
particularly strong in China and Europe,
which grew by 14% and 10%,
respectively, partly due to Electronics.
March 24, 2017 Autoliv General Presentation 2017
* Non-U.S. GAAP measure, please refer to our 2016 Annual Report for reconciliation.
Copyright Autoliv Inc., All Rights Reserved
Autoliv’s Targets
50
Our target ratio is around one time, within a
range of 0.5 to 1.5 times. By the end of 2016,
Autoliv had a net debt of $313 million. The
leverage ratio was 0.4. There were no share
repurchases made during 2016.
0
0,5
1
1,5
2
2012 2013 2014 2015 2016
Target range Long-term Target
Leverage ratio*
March 24, 2017 Autoliv General Presentation 2017
* Non-U.S. GAAP measure, please refer to our 2016 Annual Report for reconciliation.
Copyright Autoliv Inc., All Rights Reserved
Autoliv’s Targets
0%
1%
2%
3%
4%
5%
6%
7%
8%
9%
10%
2012 2013 2014 2015 2016
Operating margin*
51
Target range
Autoliv achieved an adjusted operating
margin of 8.5% in 2016, within our long-term
target range. This was achieved despite higher
R,D&E, net, and other costs related to
investments for capacity and growth as well as
acquisition effects.
March 24, 2017 Autoliv General Presentation 2017
* Non-U.S. GAAP measure, please refer to our 2016 Annual Report for reconciliation.
Copyright Autoliv Inc., All Rights Reserved
Autoliv’s Targets
52
In 2016, adjusted EPS (excluding antitrust related
costs) grew by 11%, which was approximately 4
percentage points better than the organic sales
increase. The operating profit and the number of
outstanding shares were higher than prior year. The
increase in EPS was mainly driven by lower costs
for capacity alignments.
Earnings per Share*
March 24, 2017 Autoliv General Presentation 2017
* Non-U.S. GAAP measure, please refer to our 2016 Annual Report for reconciliation.
Copyright Autoliv Inc., All Rights Reserved
Strong Organic Sales Growth
53
-
2 000
4 000
6 000
8 000
10 000
12 000
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
US$ (Millions)
Europe
Americas
Asia
In 2016, consolidated sales were
$10,074 million. Excluding negative
currency translation effects and positive
M&A effects from our recent acquisition,
Autoliv grew 7% organically, making it
the seventh consecutive year with
organic sales growth.*
March 24, 2017 Autoliv General Presentation 2017
* Non-U.S. GAAP measure, please refer to our 2016 Annual Report for reconciliation.
Copyright Autoliv Inc., All Rights Reserved
Active Safety Adoption
0
20
40
60
80
100
120
140
160
180
200
220
0
1
2
3
4
5
6
7
8
9
10
11
2012 2013 2014 2015 2016
Million units Models
No. of units No. of vehicle models
54
The rapid adoption of Active Safety
continues. In 2016 we shipped ~32%
more AS units than in 2015. Organic
sales grew by 16%, and we delivered
Active Safety products to more than
160 different vehicle models.*
March 24, 2017 Autoliv General Presentation 2017
* Non-U.S. GAAP measure, please refer to our 2016 Annual Report for reconciliation.
Copyright Autoliv Inc., All Rights Reserved
Investing for Growth
55
Our capital expenditure, net in 2016,
was 4.9% of overall sales or $499
million. Investments in production
capacity to support further growth,
vertical integration and inflator
replacement business continued.
Major investments were mainly made
in Europe, North America, China and
Active Safety.
3
4
5
0
100
200
300
400
500
2012 2013 2014 2015 2016
Capex, net % of sales, net
US$ (Millions) %
March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Shareholder Returns
56
0
100
200
300
400
500
600
700
800
900
2012 2013 2014 2015 2016
US$ (Millions)
Dividend Share Buybacks
In 2016 Autoliv returned a total of $203
million to shareholders through regular
dividends. There were no share re-
purchases in 2016.
March 24, 2017 Autoliv General Presentation 2017
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Cash Flow vs. Capital Expenditures
0
100
200
300
400
500
600
700
800
900
1000
2012 2013 2014 2015 2016
Cash flow from operations Capital expenditures, net
57 March 24, 2017 Autoliv General Presentation 2017
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Capital Expenditures, net vs. D&A
58
%US$ (Millions)
0
1
2
3
4
5
6
0
100
200
300
400
500
2012 2013 2014 2015 2016
Depreciation & Amortization Capital Expenditures, net Capex % of Sales
March 24, 2017 Autoliv General Presentation 2017
Copyright Autoliv Inc., All Rights Reserved
Capital Turnover Rate1)
59
1,0
1,2
1,4
1,6
1,8
2,0
2,2
2,4
2,6
2,8
2012 2013 2014 2015 2016
Times
1) Sales in relation to average capital employed
March 24, 2017 Autoliv General Presentation 2017
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Net Sales and Light Vehicle Production
60 March 24, 2017 Autoliv General Presentation 2017
8 2678 803
9 240 9 17010 074
8083
85 8690
0
10
20
30
40
50
60
70
80
90
100
0
1 000
2 000
3 000
4 000
5 000
6 000
7 000
8 000
9 000
10 000
11 000
2012 2013 2014 2015 2016
Consolidated sales Global light vehicle production (LVP)
US$ (Millions) Units (Millions)
Source: IHS @ January 16, 2017
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Target= 1,000 (end of 2016)
14901403
1248
11191010
0
200
400
600
800
1 000
1 200
1 400
1 600
1 800
2 000
2012 2013 2014 2015 2016
61
Autoliv’s Targets
1) From 2014, the count excludes spare or service part suppliers. The General Purchasing Conditions, GPC, commit suppliers to provide parts for 15 years after end of production.
2) Excluding the ANBS joint venture supply base.
Target
1)
1)
Numbers of Suppliers
March 24, 2017 Autoliv General Presentation 2017
1,2)
Copyright Autoliv Inc., All Rights Reserved
Direct labor productivity measured in LMPU (labor minutes per produced unit). Target= at least 5% reduction in LMPU
6,1% 6,2% 6,2%6,4%
6.7%
0,0%
0,5%
1,0%
1,5%
2,0%
2,5%
3,0%
3,5%
4,0%
4,5%
5,0%
5,5%
6,0%
6,5%
7,0%
2012 2013 2014 2015 2016
62
Productivity Improvement
Target
March 24, 2017 Autoliv General Presentation 2017
Each year, Autoliv’sproducts save over30,000 lives
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