Autoliv Capital Markets Day - sustainable increase in shareholder returns with increased dividend and new stock repurchase program | ALV Stock News

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Jun 04, 2025
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  • Autoliv (ALV, Financial) announces a substantial $2.5 billion stock repurchase program running from July 2025 to December 2029.
  • The quarterly dividend is boosted by 21% to $0.85 per share, enhancing shareholder returns.
  • Organic sales growth guidance for 2025 is reaffirmed at approximately 2%.

Autoliv (ALV), a global leader in automotive safety systems, presented key initiatives for increased shareholder value at its Capital Markets Day. A pivotal component of this strategy is the introduction of a $2.5 billion stock repurchase program, set to commence on July 1, 2025, and continue until December 31, 2029, with targeted annual repurchases ranging between $300-500 million.

In addition to the buyback initiative, Autoliv has announced a 21% hike in its quarterly dividend, raising it to $0.85 per share. This increase is in line with the company's efforts to provide sustainable returns to its investors.

The company remains committed to its 2025 guidance, anticipating organic sales growth of around 2% and an adjusted operating margin of 10-10.5%. Autoliv's long-term objectives include achieving a 4-6% average annual organic sales growth over a period extending beyond ten years, with a medium-term aim of a 12% adjusted operating margin.

In 2024, Autoliv reported sales of $10.4 billion, with its safety systems credited with saving nearly 37,000 lives and mitigating over 600,000 injuries. The company continues to focus on enhancing operational efficiency and strengthening its competitive edge to navigate the evolving automotive industry challenges successfully.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.