Shares of Autoliv Inc. ALV,
fell 6.8% to a four-month low in pre-market trading on Friday, after the Swedish auto safety system maker reported second-quarter earnings and sales that beat expectations and slashed its outlook for the entire year, citing the continued impact of the COVID-19 pandemic, the negative effect of the semiconductor shortage and the continued rise in commodity prices. The company achieved net income of $ 104 million, or $ 1.19 per share, compared to a loss of $ 175 million, or $ 2.00 per share, in the prior year period. Excluding non-recurring items, adjusted earnings per share was $ 1.20, below the FactSet consensus of $ 1.38. Sales jumped 93.0% to $ 2.02 billion, but were just short of the FactSet consensus of $ 2.04 billion. The company lowered its forecast for net sales growth for 2021 to 20% to 22%, from “around 23%”. The company said prices for some key raw materials have risen by more than 20% in the past three months, and expects raw material costs for the entire year to represent a 130-point obstacle. basis of operating margin. “The semiconductor shortage has resulted in a T2 [light vehicle production] this was 8% less than expected at the start of the quarter, and 8% less than in the first quarter (according to IHS Markit, June 2021), ”said Managing Director Mikael Bratt. The stock has gained 3.1% since the start of the year. until Thursday, while the S&P 500 SPX,
increased by 16.1%.