American Axle & Manufacturing ( (AXL) ) has released its Q1 earnings. Here is a breakdown of the information American Axle & Manufacturing presented to its investors.
American Axle & Manufacturing Holdings, Inc. (AAM) is a leading global Tier 1 automotive and mobility supplier, specializing in the design, engineering, and manufacturing of driveline and metal forming technologies for electric, hybrid, and internal combustion vehicles. Headquartered in Detroit, AAM operates over 75 facilities across 16 countries, aiming to advance the future of automotive technology for a safer and more sustainable tomorrow.
In its first quarter of 2025 financial results, AAM reported sales of $1.41 billion, a decrease from the previous year’s $1.61 billion, attributed to lower overall volumes. Despite this, the company achieved a net income of $7.1 million and an adjusted EBITDA of $177.3 million, reflecting a focus on cost control and productivity improvements.
Key financial metrics from the report include a diluted earnings per share of $0.06 and an adjusted earnings per share of $0.09. The company generated $55.9 million in net cash from operating activities, a significant improvement from the $17.8 million reported in the same quarter of the previous year. However, adjusted free cash flow remained negative at $(3.9) million, though it improved from $(21.4) million in the first quarter of 2024.
Looking ahead, AAM has updated its full-year 2025 financial outlook, targeting sales between $5.65 billion and $5.95 billion, adjusted EBITDA between $665 million and $745 million, and adjusted free cash flow between $165 million and $215 million. These targets are based on assumptions of North American light vehicle production and the anticipated completion of the sale of its commercial vehicle axle business in India.
As AAM continues to navigate an uncertain geopolitical trade policy environment, the company’s management remains committed to focusing on controllable factors and advancing its transformational combination with Dowlais. This strategic direction aims to bolster AAM’s position in the evolving automotive industry.