DETROIT, Feb. 23, 2015 /PRNewswire/ -- American Axle
& Manufacturing Holdings, Inc. (AAM), which is traded as AXL on
the NYSE, today reported its financial results for the fourth
quarter and full year 2014.
Fourth Quarter 2014 Results
- Fourth quarter 2014 sales of $939.5
million, up approximately 13% on a year-over-year basis
- Non-GM sales grew over 13% on a year-over-year basis to
$317.2 million
- Gross profit of $111.2 million,
or 11.8% of sales
- Net income of $13.2 million, or
$0.17 per share
- AAM's quarterly results reflect a non-cash charge of
$35.5 million related to a voluntary
one-time lump sum cash payment to certain eligible terminated
vested participants in our U.S. pension plans (2014 Pension Payout
Offer)
- Adjusted EBITDA (earnings before interest, taxes, depreciation
and amortization, excluding the impact of the non-cash charge
related to the 2014 Pension Payout Offer) of $135.1 million, or 14.4% of sales
- Free cash flow (net cash provided by operating activities less
capital expenditures net of proceeds from the sale of property,
plant and equipment and government grants) of $39.2 million
Full Year 2014 Results
- Full year 2014 sales of $3.7
billion, up approximately 15% on a year-over-year basis
- Non-GM sales grew nearly 30% on a year-over-year basis to
$1.2 billion
- Gross profit of $522.8 million,
or 14.1% of sales
- Net income of $143.0 million, or
$1.85 per share
- Adjusted EBITDA of $512.0
million, or 13.9% of sales
- Free cash flow of $123.1
million
AAM's net income in the fourth quarter of 2014 was $13.2 million, or $0.17 per share. In the fourth quarter of 2014,
AAM's results reflect the impact of a non-cash charge of
$35.5 million related to the 2014
Pension Payout Offer. This compares to net income of $29.8 million, or $0.39 per share, in the fourth quarter of
2013.
In the fourth quarter of 2013, AAM's results reflect the impact
of $25.6 million of debt
refinancing and redemption costs.
For the full year 2014, AAM's net income was of $143.0 million, or $1.85 per share. This compares to net income of
$94.5 million, or $1.23 per share in 2013.
On a full year basis in 2013, AAM incurred $36.8 million of debt refinancing and redemption
costs and $5.8 million of other
special items.
"2014 was a very successful year for AAM. AAM's sales
growth outpaced the industry in 2014 and our financial performance
was highlighted by improved profitability and a positive inflection
in cash flow generation," said AAM's Chairman, President and Chief
Executive Officer David C.
Dauch. "As we look to the future, we remain focused on
delivering our plan to sustain strong free cash flow performance
while leveraging AAM's technology leadership to develop innovative,
market driven products to achieve profitable growth and business
diversification."
Net sales in the fourth quarter of 2014 increased 13% to
$939.5 million as compared to
$831.3 million in the fourth quarter
of 2013. Non-GM sales grew 13.2% on a year-over-year basis to
$317.2 million in the fourth quarter
of 2014 as compared to $280.1 million
in the fourth quarter of 2013.
AAM's content-per-vehicle is measured by the dollar value of its
product sales supporting our customers' North American light truck
and SUV programs. In the fourth quarter of 2014, AAM's
content-per-vehicle was $1,697 as
compared to $1,579 in the fourth
quarter of 2013. For the full year 2014, AAM's
content-per-vehicle was $1,667 as
compared to $1,550 in 2013.
Net sales for the full year 2014 increased by 15.2% to
$3.70 billion as compared to
$3.21 billion in 2013. Non-GM
sales grew 29.5% on a year-over-year basis to $1.2 billion in 2014 as compared to $926.7 million in 2013.
AAM's gross profit in the fourth quarter of 2014 was
$111.2 million, or 11.8% of
sales. For the full year 2014, AAM's gross profit was
$522.8 million, or 14.1% of
sales.
In the fourth quarter of 2014, AAM's operating income was
$38.6 million, or 4.1% of
sales. For the full year 2014, AAM's operating income was
$267.6 million, or 7.2% of
sales.
AAM's SG&A spending in the fourth quarter of 2014 was
$72.6 million, or 7.7% of sales, as
compared to $60.5 million, or 7.3% of
sales, in the fourth quarter of 2013. AAM's R&D spending
in the fourth quarter of 2014 was $27.3
million as compared to $24.0
million in the fourth quarter of 2013. Approximately
$4.3 million of the non-cash charge
for the 2014 Pension Payout Offer was recognized in SG&A.
AAM's SG&A spending for the full year 2014 was $255.2 million, or 6.9% of sales, as compared to
$238.4 million, or 7.4% of sales, for
the full year 2013. AAM's R&D spending for the full year
2014 was $103.9 million as compared
to $103.4 million in 2013.
Other income in the fourth quarter of 2014 was $6.4 million as compared to a loss of
$0.5 million in the fourth quarter of
2013. For the full year 2014, other income was $6.9 million as compared to a loss of
$1.9 million in 2013. The
primary components of other income in 2013 and 2014 are foreign
exchange gains and losses and earnings from our unconsolidated
Hefei (China) joint venture.
In the fourth quarter of 2014, AAM's net income was $13.2 million, or 1.4% of sales. Diluted
earnings per share were $0.17 per
share in the fourth quarter of 2014. For the full year 2014,
AAM's net income was $143.0 million,
or 3.9% of sales. Diluted earnings per share were
$1.85 per share for the full year
2014.
AAM defines EBITDA to be earnings before interest, taxes,
depreciation and amortization. For 2014, adjusted EBITDA is defined
as EBITDA excluding the impact of the non-cash charge related to
the 2014 Pension Payout Offer.
In the fourth quarter of 2014, AAM's Adjusted EBITDA was
$135.1 million or 14.4% of sales. For
the full year 2014, AAM's Adjusted EBITDA was $512.0 million, or 13.9% of sales.
AAM defines free cash flow to be net cash provided by (or used
in) operating activities less capital expenditures net of proceeds
from the sale of property, plant and equipment and government
grants.
Net cash provided by operating activities for the full year 2014
was $318.4 million. Capital
expenditures net of proceeds from the sale of property, plant and
equipment and government grants, for the full year 2014 was
$195.3 million. Reflecting the
impact of this activity, AAM generated positive free cash flow of
$123.1 million for the full year
2014.
A conference call to review AAM's fourth quarter and full year
2014 results is scheduled today at 10:00
a.m. ET. Interested participants may listen to the
live conference call by logging onto AAM's investor web site at
http://investor.aam.com or calling (855) 681-2072 from the United States or (973) 200-3383 from
outside the United States. A replay will be available from
2:00 p.m. ET on February 23, 2015 until 5:00 p.m. ET March 2,
2015 by dialing (855) 859-2056 from the United States or (404) 537-3406 from
outside the United States. When prompted, callers should
enter conference reservation number 34605151.
Non-GAAP Financial Information
In addition to the results reported in accordance with
accounting principles generally accepted in the United States of America (GAAP) included
within this press release, AAM has provided certain information,
which includes non-GAAP financial measures. Such information
is reconciled to its closest GAAP measure in accordance with
Securities and Exchange Commission rules and is included in the
attached supplemental data.
Management believes that these non-GAAP financial measures are
useful to both management and its stockholders in their analysis of
the Company's business and operating performance. Management
also uses this information for operational planning and
decision-making purposes.
Non-GAAP financial measures are not and should not be considered
a substitute for any GAAP measure. Additionally, non-GAAP
financial measures as presented by AAM may not be comparable to
similarly titled measures reported by other companies.
AAM is a world leader in the manufacture, engineering, design
and validation of driveline and drivetrain systems and related
components and modules, chassis systems and metal-formed products
for light trucks, sport utility vehicles, passenger cars, crossover
vehicles and commercial vehicles. In addition to locations in
the United States (Michigan, Ohio, Pennsylvania and Indiana), AAM also has offices or facilities
in Brazil, China, Germany, India, Japan,
Luxembourg, Mexico, Poland, Scotland, South
Korea, Sweden and
Thailand.
In this earnings release, we make statements concerning our
expectations, beliefs, plans, objectives, goals, strategies, and
future events or performance. Such statements are
"forward-looking" statements within the meaning of the Private
Securities Litigation Reform Act of 1995 and relate to trends and
events that may affect our future financial position and operating
results. The terms such as "will," "may," "could," "would,"
"plan," "believe," "expect," "anticipate," "intend," "project,"
"target," and similar words or expressions, as well as statements
in future tense, are intended to identify forward-looking
statements. Forward-looking statements should not be read as a
guarantee of future performance or results, and will not
necessarily be accurate indications of the times at, or by, which
such performance or results will be achieved. Forward-looking
statements are based on information available at the time those
statements are made and/or management's good faith belief as of
that time with respect to future events and are subject to risks
and may differ materially from those expressed in or suggested by
the forward-looking statements. Important factors that could cause
such differences include, but are not limited to: reduced purchases
of our products by General Motors Company (GM), FCA US LLC,
formerly known as Chrysler Group LLC (Chrysler), or other
customers; reduced demand for our customers' products (particularly
light trucks and sport utility vehicles (SUVs) produced by GM and
Chrysler); Our ability to develop and produce new products that
reflect market demand; lower-than-anticipated market acceptance of
new or existing products; our ability to attract new customers and
programs for new products; our ability to respond to changes in
technology, increased competition or pricing pressures; our ability
to achieve the level of cost reductions required to sustain global
cost competitiveness; supply shortages or price increases in raw
materials, utilities or other operating supplies for us or our
customers as a result of natural disasters or otherwise; our
ability to successfully implement upgrades to our enterprise
resource planning systems; global economic conditions; risks
inherent in our international operations (including adverse changes
in political stability, taxes and other law changes, potential
disruptions of production and supply, and currency rate
fluctuations); liabilities arising from warranty claims, product
recall or field actions, product liability and legal proceedings to
which we are or may become a party, or the impact of product recall
or field actions on our customers; our ability to maintain
satisfactory labor relations and avoid work stoppages; our
suppliers', our customers' and their suppliers' ability to maintain
satisfactory labor relations and avoid work stoppages; our ability
or our customers' and suppliers' ability to successfully launch new
product programs on a timely basis; our ability to realize the
expected revenues from our new and incremental business backlog;
negative or unexpected tax consequences; price volatility in, or
reduced availability of, fuel; our ability to consummate and
integrate acquisitions and joint ventures; our ability to attract
and retain key associates; our ability to protect our intellectual
property and successfully defend against assertions made against
us; availability of financing for working capital, capital
expenditures, research and development (R&D) or other general
corporate purposes including acquisitions, as well as our ability
to comply with financial covenants; our customers' and suppliers'
availability of financing for working capital, capital
expenditures, R&D or other general corporate purposes; changes
in liabilities arising from pension and other postretirement
benefit obligations; risks of noncompliance with environmental laws
and regulations or risks of environmental issues that could result
in unforeseen costs at our facilities; adverse changes in laws,
government regulations or market conditions affecting our products
or our customers' products (such as the Corporate Average Fuel
Economy (CAFE) regulations); our ability or our customers' and
suppliers' ability to comply with the Dodd-Frank Act and other
regulatory requirements and the potential costs of such compliance;
and other unanticipated events and conditions that may hinder our
ability to compete. It is not possible to foresee or identify all
such factors and we make no commitment to update any
forward-looking statement or to disclose any facts, events or
circumstances after the date hereof that may affect the accuracy of
any forward-looking statement.
For more information...
Christopher M.
Son
Director, Investor
Relations,
Corporate Communications &
Marketing
(313)
758-4814
chris.son@aam.com
Vitalie
Stelea
Manager Investor Relations
(313)
758-4635
vitalie.stelea@aam.com
Or visit the AAM website at www.aam.com.
AMERICAN AXLE
& MANUFACTURING HOLDINGS, INC.
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
|
|
|
Three months
ended
|
|
Twelve months
ended
|
|
December
31,
|
|
December
31,
|
|
2014
|
|
|
2013
|
|
|
2014
|
|
|
2013
|
|
|
(in millions,
except per share data)
|
|
(in millions,
except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net sales
|
$
|
939.5
|
|
|
$
|
831.3
|
|
|
$
|
3,696.0
|
|
|
$
|
3,207.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of goods
sold
|
828.3
|
|
|
704.4
|
|
|
3,173.2
|
|
|
2,728.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross
profit
|
111.2
|
|
|
126.9
|
|
|
522.8
|
|
|
478.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general and
administrative expenses
|
72.6
|
|
|
60.5
|
|
|
255.2
|
|
|
238.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
income
|
38.6
|
|
|
66.4
|
|
|
267.6
|
|
|
240.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
expense
|
(24.7)
|
|
|
(28.0)
|
|
|
(99.9)
|
|
|
(115.9)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment
income
|
0.8
|
|
|
0.2
|
|
|
2.1
|
|
|
0.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income
(expense)
|
|
|
|
|
|
|
|
|
|
|
|
Debt refinancing and
redemption costs
|
—
|
|
|
(25.6)
|
|
|
—
|
|
|
(36.8)
|
|
Other, net
|
6.4
|
|
|
(0.5)
|
|
|
6.9
|
|
|
(1.9)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
taxes
|
21.1
|
|
|
12.5
|
|
|
176.7
|
|
|
86.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income tax expense
(benefit)
|
7.9
|
|
|
(17.3)
|
|
|
33.7
|
|
|
(8.2)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
$
|
13.2
|
|
|
$
|
29.8
|
|
|
$
|
143.0
|
|
|
$
|
94.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per
share
|
$
|
0.17
|
|
|
$
|
0.39
|
|
|
$
|
1.85
|
|
|
$
|
1.23
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AMERICAN AXLE
& MANUFACTURING HOLDINGS, INC.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
(Unaudited)
|
|
|
Three months
ended
|
|
Twelve months
ended
|
|
December
31,
|
|
December
31,
|
|
2014
|
|
|
2013
|
|
|
2014
|
|
|
2013
|
|
|
(in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
$
|
13.2
|
|
|
$
|
29.8
|
|
|
$
|
143.0
|
|
|
$
|
94.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive
income (loss), net of tax
|
|
|
|
|
|
|
|
|
|
|
|
Defined benefit
plans, net of tax
|
(49.0)
|
|
|
60.9
|
|
|
(42.7)
|
|
|
76.6
|
|
Foreign currency
translation adjustments
|
(18.4)
|
|
|
(11.9)
|
|
|
(30.3)
|
|
|
(26.2)
|
|
Change in
derivatives
|
(6.6)
|
|
|
0.2
|
|
|
(7.7)
|
|
|
(2.0)
|
|
Other comprehensive
income (loss)
|
(74.0)
|
|
|
49.2
|
|
|
(80.7)
|
|
|
48.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Comprehensive income
(loss)
|
$
|
(60.8)
|
|
|
$
|
79.0
|
|
|
$
|
62.3
|
|
|
$
|
142.9
|
|
AMERICAN AXLE
& MANUFACTURING HOLDINGS, INC.
CONDENSED CONSOLIDATED BALANCE
SHEETS (Unaudited)
|
|
|
December 31,
2014
|
|
December 31,
2013
|
|
(in
millions)
|
ASSETS
|
|
|
|
|
|
Current
Assets
|
|
|
|
|
|
Cash and cash
equivalents
|
$
|
249.2
|
|
|
$
|
154.0
|
|
Accounts receivable,
net
|
532.7
|
|
|
458.5
|
|
Inventories,
net
|
248.8
|
|
|
261.8
|
|
Deferred income
taxes
|
40.2
|
|
|
34.9
|
|
Prepaid expenses and
other current assets
|
68.6
|
|
|
87.1
|
|
Total current
assets
|
1,139.5
|
|
|
996.3
|
|
|
|
|
|
|
|
Property, plant and
equipment, net
|
1,061.1
|
|
|
1,058.5
|
|
Deferred income
taxes
|
368.8
|
|
|
341.8
|
|
Goodwill
|
155.0
|
|
|
156.4
|
|
GM postretirement
cost sharing asset
|
274.5
|
|
|
242.0
|
|
Other assets and
deferred charges
|
260.3
|
|
|
232.5
|
|
Total
assets
|
$
|
3,259.2
|
|
|
$
|
3,027.5
|
|
|
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
|
|
Current
Liabilities
|
|
|
|
|
|
Current portion of
long-term debt
|
$
|
13.0
|
|
|
$
|
—
|
|
Accounts
payable
|
444.3
|
|
|
437.4
|
|
Accrued compensation
and benefits
|
109.1
|
|
|
110.1
|
|
Deferred
revenue
|
22.1
|
|
|
17.0
|
|
Deferred income
taxes
|
0.1
|
|
|
0.1
|
|
Accrued expenses and
other current liabilities
|
98.6
|
|
|
94.1
|
|
Total current
liabilities
|
687.2
|
|
|
658.7
|
|
|
|
|
|
|
|
Long-term
debt
|
1,523.4
|
|
|
1,559.1
|
|
Deferred income
taxes
|
9.1
|
|
|
9.8
|
|
Deferred
revenue
|
94.2
|
|
|
76.4
|
|
Postretirement
benefits and other long-term liabilities
|
831.9
|
|
|
683.0
|
|
Total
liabilities
|
3,145.8
|
|
|
2,987.0
|
|
|
|
|
|
|
|
Total stockholders'
equity
|
113.4
|
|
|
40.5
|
|
Total liabilities
and stockholders' equity
|
$
|
3,259.2
|
|
|
$
|
3,027.5
|
|
AMERICAN AXLE
& MANUFACTURING HOLDINGS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH
FLOWS (Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
Twelve months
ended
|
|
|
December
31,
|
|
December
31,
|
|
|
2014
|
|
|
2013
|
|
|
2014
|
|
|
2013
|
|
|
|
(in
millions)
|
|
(in
millions)
|
Operating
Activities
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
13.2
|
|
|
$
|
29.8
|
|
|
$
|
143.0
|
|
|
$
|
94.5
|
|
Adjustments to
reconcile net income to net cash provided by operating
activities
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization
|
|
53.8
|
|
|
47.6
|
|
|
199.9
|
|
|
177.0
|
|
Other
|
|
19.8
|
|
|
43.3
|
|
|
(24.5)
|
|
|
(48.5)
|
|
Net cash provided
by operating activities
|
|
86.8
|
|
|
120.7
|
|
|
318.4
|
|
|
223.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investing
Activities
|
|
|
|
|
|
|
|
|
|
|
|
|
Purchases of
property, plant & equipment
|
|
(50.3)
|
|
|
(73.7)
|
|
|
(206.5)
|
|
|
(251.9)
|
|
Proceeds from sale of
property, plant & equipment
|
|
0.6
|
|
|
3.3
|
|
|
9.1
|
|
|
9.1
|
|
Proceeds from
sale-leaseback of equipment
|
|
—
|
|
|
0.6
|
|
|
—
|
|
|
24.1
|
|
Proceeds from
government grants
|
|
2.1
|
|
|
—
|
|
|
2.1
|
|
|
—
|
|
Net cash used in
investing activities
|
|
(47.6)
|
|
|
(69.8)
|
|
|
(195.3)
|
|
|
(218.7)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financing
Activities
|
|
|
|
|
|
|
|
|
|
|
|
|
Net increase
(decrease) in long-term debt and other
|
|
(5.3)
|
|
|
(11.0)
|
|
|
(22.0)
|
|
|
104.8
|
|
Debt issuance
costs
|
|
—
|
|
|
(3.8)
|
|
|
(0.3)
|
|
|
(16.7)
|
|
Purchase of treasury
stock
|
|
—
|
|
|
—
|
|
|
(0.3)
|
|
|
(0.4)
|
|
Employee stock option
exercises
|
|
—
|
|
|
0.3
|
|
|
1.2
|
|
|
1.1
|
|
Net cash provided
by (used in) financing activities
|
|
(5.3)
|
|
|
(14.5)
|
|
|
(21.4)
|
|
|
88.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Effect of exchange
rate changes on cash
|
|
(3.7)
|
|
|
(1.0)
|
|
|
(6.5)
|
|
|
(1.5)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net increase in
cash and cash equivalents
|
|
30.2
|
|
|
35.4
|
|
|
95.2
|
|
|
91.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents at beginning of period
|
|
219.0
|
|
|
118.6
|
|
|
154.0
|
|
|
62.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents at end of period
|
|
$
|
249.2
|
|
|
$
|
154.0
|
|
|
$
|
249.2
|
|
|
$
|
154.0
|
|
AMERICAN AXLE
& MANUFACTURING HOLDINGS, INC. SUPPLEMENTAL
DATA (Unaudited)
|
|
The supplemental data
presented below is a reconciliation of certain financial measures
which is intended to facilitate analysis of American Axle &
Manufacturing Holdings, Inc. business and operating
performance.
Earnings before
interest expense, income taxes and depreciation and amortization
(EBITDA) and adjusted EBITDA(a)
|
|
|
Three months
ended
|
|
Twelve months
ended
|
|
December
31,
|
|
December
31,
|
|
2014
|
|
|
2013
|
|
|
2014
|
|
|
2013
|
|
|
(in
millions)
|
|
(in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
$
|
13.2
|
|
|
$
|
29.8
|
|
|
$
|
143.0
|
|
|
$
|
94.5
|
|
Interest
expense
|
24.7
|
|
|
28.0
|
|
|
99.9
|
|
|
115.9
|
|
Income tax expense
(benefit)
|
7.9
|
|
|
(17.3)
|
|
|
33.7
|
|
|
(8.2)
|
|
Depreciation and
amortization
|
53.8
|
|
|
47.6
|
|
|
199.9
|
|
|
177.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EBITDA
|
99.6
|
|
|
88.1
|
|
|
476.5
|
|
|
379.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Debt refinancing and
redemption costs
|
—
|
|
|
25.6
|
|
|
—
|
|
|
36.8
|
|
Other special charges
and restructuring costs(b)
|
35.5
|
|
|
—
|
|
|
35.5
|
|
|
5.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ADJUSTED
EBITDA
|
$
|
135.1
|
|
|
$
|
113.7
|
|
|
$
|
512.0
|
|
|
$
|
421.8
|
|
|
|
|
|
|
|
|
|
|
Net
debt(c) to capital
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31,
2014
|
|
December 31,
2013
|
|
|
|
|
|
|
|
|
|
(in millions,
except percentages)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total debt
|
|
|
$
|
1,536.4
|
|
|
$
|
1,559.1
|
|
Less: cash and cash
equivalents
|
|
|
249.2
|
|
|
154.0
|
|
|
|
|
|
|
|
|
|
Net debt at end of
period
|
|
|
1,287.2
|
|
|
1,405.1
|
|
|
|
|
|
|
|
|
|
Stockholders'
equity
|
|
|
113.4
|
|
|
40.5
|
|
|
|
|
|
|
|
|
|
Total invested
capital at end of period
|
|
|
$
|
1,400.6
|
|
|
$
|
1,445.6
|
|
|
|
|
|
|
|
|
|
Net debt to
capital(d)
|
|
|
91.9
|
%
|
|
97.2
|
%
|
AMERICAN AXLE
& MANUFACTURING HOLDINGS, INC. SUPPLEMENTAL
DATA (Unaudited)
|
|
The supplemental data
presented below is a reconciliation of certain financial measures
which is intended
to facilitate
analysis of American Axle & Manufacturing Holdings, Inc.
business and operating performance.
|
|
Free Cash
Flow(e)
|
|
|
Three months
ended
|
|
Twelve months
ended
|
|
December
31,
|
|
December
31,
|
|
2014
|
|
|
2013
|
|
|
2014
|
|
|
2013
|
|
|
(in
millions)
|
|
(in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by
operating activities
|
$
|
86.8
|
|
|
$
|
120.7
|
|
|
$
|
318.4
|
|
|
$
|
223.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Less: Capital
expenditures net of proceeds from the
sale of property, plant & equipment, the sale-
leaseback of equipment and government grants
|
(47.6)
|
|
|
(69.8)
|
|
|
(195.3)
|
|
|
(218.7)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Free cash
flow
|
$
|
39.2
|
|
|
$
|
50.9
|
|
|
$
|
123.1
|
|
|
$
|
4.3
|
|
(a)
|
|
We define EBITDA to
be earnings before interest, taxes, depreciation and amortization.
For 2014, adjusted EBITDA is defined as EBITDA excluding the impact
of the non-cash charge associated with a voluntary one-time lump
sum cash payment to certain eligible terminated vested participants
in our U.S. pension plans in the fourth quarter of 2014 ("the 2014
Pension Payout Offer"). For 2013, Adjusted EBITDA is defined as
EBITDA excluding the impact of debt refinancing and redemption
costs and other special charges and restructuring costs. We believe
that EBITDA and Adjusted EBITDA are meaningful measures of
performance as they are commonly utilized by management and
investors to analyze operating performance and entity valuation.
Our management, the investment community and the banking
institutions routinely use EBITDA, together with other measures, to
measure our operating performance relative to other Tier 1
automotive suppliers. EBITDA and Adjusted EBITDA should not be
construed as income from operations, net income or cash flow from
operating activities as determined under GAAP. Other companies may
calculate EBITDA and Adjusted EBITDA differently.
|
|
|
|
(b)
|
|
Special charges of
$35.5 million for the three and twelve months ended December 31,
2014 relate to the 2014 Pension Payout Offer. Special charges of
$5.8 million for the twelve months ended December 31, 2013
primarily relate to a net charge of $5.3 million related to
the acceleration of expense for stock-based compensation and other
benefits earned and vested due to the passing of our Co-Founder and
Executive Chairman of the Board of Directors and $0.5 million for
the settlement of a National Labor Relations Board proceeding
related to the closure of our Detroit Manufacturing Complex and
Cheektowaga Manufacturing Facility.
|
|
|
|
(c)
|
|
Net debt is equal to
total debt less cash and cash equivalents.
|
|
|
|
(d)
|
|
Net debt to capital
is equal to net debt divided by the sum of stockholders' equity and
net debt. We believe that net debt to capital is a meaningful
measure of financial condition as it is commonly utilized by
management, investors and creditors to assess relative capital
structure risk. Other companies may calculate net debt to
capital differently.
|
|
|
|
(e)
|
|
We define free cash
flow to be net cash provided by (or used in) operating activities
less capital expenditures net of proceeds from the sale of
property, plant and equipment, the sale-leaseback of equipment and
government grants. For purposes of calculating free cash flow, AAM
excludes the impact of purchase buyouts of leased equipment, if
any. We believe free cash flow is a meaningful measure as it
is commonly utilized by management and investors to assess our
ability to generate cash flow from business operations to repay
debt and return capital to our stockholders. Free cash flow
is also a key metric used in our calculation of incentive
compensation. Other companies may calculate free cash flow
differently.
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/aam-reports-fourth-quarter-and-full-year-2014-financial-results-300039432.html
SOURCE American Axle & Manufacturing Holdings, Inc.