AAM Reports First Quarter 2025 Financial Results

Core Viewpoint - American Axle & Manufacturing Holdings, Inc. (AAM) reported a decline in sales and net income for the first quarter of 2025, but achieved positive year-over-year operating cash flow due to cost control and productivity improvements [2][3][4]. Financial Performance - AAM's sales for Q1 2025 were $1.41 billion, down from $1.61 billion in Q1 2024, primarily due to lower volumes [2][6]. - The net income for Q1 2025 was $7.1 million, or $0.06 per share, compared to $20.5 million, or $0.17 per share, in Q1 2024 [3][6]. - Adjusted EBITDA for Q1 2025 was $177.3 million, representing 12.6% of sales, down from $205.6 million, or 12.8% of sales, in Q1 2024 [4][6]. Cash Flow and Capital Expenditures - Net cash provided by operating activities for Q1 2025 was $55.9 million, significantly higher than $17.8 million in Q1 2024 [4][30]. - Adjusted free cash flow for Q1 2025 was $(3.9) million, an improvement from $(21.4) million in Q1 2024 [4][35]. Updated Financial Outlook - AAM revised its full-year 2025 sales target to a range of $5.65 billion to $5.95 billion, down from the previous range of $5.8 billion to $6.05 billion [7]. - The company is targeting Adjusted EBITDA between $665 million and $745 million, reduced from the prior range of $700 million to $760 million [7]. - Adjusted free cash flow is now expected to be between $165 million and $215 million, down from the previous target of $200 million to $230 million [7]. Segment Performance - In Q1 2025, the Driveline segment generated sales of $957.8 million, down from $1,106.4 million in Q1 2024, while the Metal Forming segment saw sales decrease to $575.8 million from $644.1 million [36]. - Total segment Adjusted EBITDA for Q1 2025 was $177.3 million, compared to $205.6 million in Q1 2024 [36]. Company Overview - AAM is a leading global Tier 1 automotive and mobility supplier, focusing on driveline and metal forming technologies for electric, hybrid, and internal combustion vehicles [15]. - The company is headquartered in Detroit and operates over 75 facilities across 16 countries [15].