STOCKHOLM -- Swedish supplier Veoneer's third-quarter operating loss grew to $122 million from a loss of $58 million a year earlier.
The company, which makes radars, vision systems and software for advanced driver assistance systems and autonomous driving, cut its full-year sales forecast and remained downbeat about global car production.
A deep slump in auto production has hit Veoneer and the wider automotive industry hard, forcing the company to raise capital earlier this year to shore up its balance sheet.
"The automotive industry faced a volatile and challenging quarter, with light vehicle production being weaker than anticipated in July across most of our major markets," Veoneer CEO Jan Carlson said in a statement on Wednesday.
"We see this challenging environment in our industry, to continue for some time," he said.
Veoneer said it now expected organic sales to decline by a "low-double-digit" percentage in 2019, versus a previous forecast for a "high-single-digits" drop.
Veoneer said it expected a lower operating loss in the fourth quarter compared with the third quarter and Carlson told Reuters he expected the company to grow again in 2020, despite the risk of delays to some customer launches.
Carlson said Veoneer did not plan to raise more capital in addition to the $627 million it took in earlier this year, but noted "nothing can be guaranteed in a market like this."
Reflecting the tough conditions, Continental, which partly competes with Veoneer, on Tuesday booked a 2.5 billion euro ($2.8 billion) impairment, saying it did not plan for a material improvement in global car production during the coming five years.
Veoneer was spun-off from airbag maker Autoliv in 2018.
