Auto parts maker American Axle's Q2 sales misses estimates on  lower volume and mix

Dauch

08/08/2025 13:10

Overview

American Axle Q2 sales decline and miss analyst expectations, per LSEG data

Adjusted EBITDA beats estimates, driven by productivity and cost controls

Co progresses on Dowlais combination with shareholder approval

Outlook

AAM targets 2025 sales of $5.75 - $5.95 bln, up from $5.65 - $5.95 bln

AAM targets 2025 Adjusted EBITDA of $695 - $745 mln, up from $665 - $745 mln

AAM targets 2025 Adjusted free cash flow of $175 - $215 mln, up from $165 - $215 mln

Company assumes North American light vehicle production of 14.6 - 15.1 mln units

Result Drivers

SALES DECLINE - Sales impacted by lower volume and mix, resulting in a decline compared to Q2 2024

PRODUCTIVITY AND COST CONTROLS - Year-over-year growth in Adjusted EBITDA margin attributed to productivity and cost controls, per CEO David C. Dauch

DOWLAIS COMBINATION - Progress on strategic combination with Dowlais, with shareholder approval enhancing global presence and value creation potential

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Miss
$1.54 bln
$1.58 bln (7 Analysts)
Q2 EPS
$0.32
Q2 Net Income
$39.30 mln
Q2 Adjusted EBITDA
Beat
$202.20 mln
$192.50 mln (7 Analysts)
Q2 Adjusted Free Cash Flow
$48.70 mln


Press Release: ID:nPnnlGBXa

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)