On August 9, 2024, American Axle & Mfg Holdings Inc (AXL, Financial) released its 8-K filing for the second quarter of 2024. American Axle & Mfg Holdings Inc is engaged in manufacturing, engineering, designing, and validation of driveline systems and related components and chassis modules for light trucks, SUVs, crossover vehicles, passenger cars, and commercial vehicles. The company's segments include Driveline and Metal Forming, with the Driveline segment generating the maximum revenue.
Performance Overview
American Axle & Mfg Holdings Inc (AXL, Financial) reported sales of $1.63 billion for Q2 2024, surpassing the analyst estimate of $1.567 billion. The company achieved a net income of $18.2 million, translating to a diluted earnings per share (EPS) of $0.15, and an adjusted EPS of $0.19, exceeding the estimated EPS of $0.17.
Key Financial Metrics
Here are the key financial metrics from the earnings report:
| Metric | Q2 2024 | Q2 2023 |
|---|---|---|
| Sales | $1.63 billion | $1.57 billion |
| Net Income | $18.2 million | $8.0 million |
| Adjusted EBITDA | $208.4 million | $191.6 million |
| Net Cash Provided by Operating Activities | $142.8 million | $132.8 million |
| Adjusted Free Cash Flow | $97.9 million | $95.8 million |
Income Statement Highlights
American Axle & Mfg Holdings Inc (AXL, Financial) reported a gross profit of $217.3 million for Q2 2024, up from $178.2 million in Q2 2023. Operating income also saw a significant increase, reaching $86.5 million compared to $57.8 million in the same period last year. The company’s interest expense decreased slightly to $47.9 million from $50.2 million.
Balance Sheet and Cash Flow
As of June 30, 2024, American Axle & Mfg Holdings Inc (AXL, Financial) reported total assets of $5,336.7 million, with cash and cash equivalents standing at $519.9 million. The company’s total liabilities were $4,727.1 million, and stockholders' equity was $609.6 million. Net cash provided by operating activities for Q2 2024 was $142.8 million, while net cash used in investing activities was $46.7 million.
Commentary and Outlook
“AAM’s solid second quarter results reflect positive contributions from volume and mix and continued operational performance,” said AAM’s Chairman and Chief Executive Officer, David C. Dauch. “Looking ahead, AAM will maintain and develop a comprehensive product portfolio to support current and future powertrain solutions while focusing on quality, technology leadership, and operational excellence.”
For the full year 2024, American Axle & Mfg Holdings Inc (AXL, Financial) has updated its financial targets, aiming for sales in the range of $6.1 - $6.3 billion, adjusted EBITDA between $705 - $755 million, and adjusted free cash flow of $200 - $240 million.
Overall, American Axle & Mfg Holdings Inc (AXL, Financial) has demonstrated robust performance in Q2 2024, surpassing revenue estimates and showing significant improvements in key financial metrics. The company's focus on operational excellence and strategic product portfolio development positions it well for future growth in the competitive Vehicles & Parts industry.
Explore the complete 8-K earnings release (here) from American Axle & Mfg Holdings Inc for further details.
