Veoneer Reveals 2019 Order Intake at A Low Level
In a piece of technology news, Swedish auto technology group Veoneer stated last Friday its order intake in 2019 was weaker than expected.
Moreover, the firm has been blaming a scheduling interruption in bookings for an unexpectedly slow end to the year.
In October, the company had hinted that “certain opportunities” may be driven into 2020.
Today, it has projected the lifetime value of its new order intake last year at around $2.5 billion. Meanwhile, its overall order book was worth around $19 billion.
In a statement, Veoneer indicated that the full-year order intake matched an average annual new order intake of around $550 million. It was different from the $1 billion by the end of September.
Meanwhile, in a piece of technology news, “The lower-than-expected figure is mainly due to delayed timing of orders, first indicated in Veoneer’s earnings release for the third quarter,” the company stated.
Veoneer spokesman Thomas Jonsson added, “But the magnitude has been surprising. Otherwise, we would have signaled it stronger in the third quarter.”
The industry of Veoneer makes radars, vision structures, and software for enhanced driver assistance systems and autonomous driving.
Lately, it has suffered from a deep decline in global car production. Currently, it is implementing a range of cost-efficiency measures.
The firm said it is still expecting to return on organic sales growth in 2020.
Focus on Company Growth
On the flip side, growth will be in the second half of the year based on the effectiveness of new car introductions.
Meanwhile, Veoneer’s Swedish-listed depository receipts were below 2.8%. They have plunged 30% in the past 12 months.
The company released a new sales goal for 2022, pointing to its significant order backlog.
It has been projecting its core active safety, and restriction control systems businesses would grow to $2.5 billion. The procedure is with a compound annual growth rate of 19%.
Elsewhere, Veoneer has showcased a range of new driver support, cooperative driving, and self-driving resolutions at CES 2020.
For the first time, Veoneer demonstrated a new product on the roads of Las Vegas.
The product allows drivers to push a button when driving, then take their hands off the steering wheel and will enable the car to handle parts of the daily commute carefully.
It is the fifth time Veoneer has participated at CES. Moreover, it is the first time the firm must display its capabilities on public roads.
Veoneer chairman, president, and CEO, Jan Carlson, said, “The daily commute is going be easier. At CES, we’ll show you how.”
