DETROIT, Feb. 12, 2016 /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 2015.
Fourth Quarter 2015 Results
- Fourth quarter 2015 sales of $958.4
million
- Non-GM sales of $323.5
million
- Gross profit of $159.8 million,
or 16.7% of sales
- Net income of $62.9 million, or
$0.81 per share
- Adjusted EBITDA (earnings before interest, taxes, depreciation
and amortization, excluding the impact of $0.8 million of debt refinancing and redemption
costs) of $137.5 million, or 14.3% 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 from government grants) of $53.3 million
Full Year 2015 Results
- Full year 2015 sales of $3.9
billion
- Non-GM sales of $1.3 billion
- Gross profit of $635.4 million,
or 16.3% of sales
- Net income of $235.6 million, or
$3.02 per share
- Adjusted EBITDA of $571.1
million, or 14.6% of sales
- Free cash flow of $189.5
million
AAM's net income in the fourth quarter of 2015 was $62.9 million, or $0.81 per share. This compares to net income of
$13.2 million, or $0.17 per share, in the fourth quarter of
2014.
In the fourth quarter of 2015, AAM's results reflect the impact
of $0.8 million of debt refinancing
and redemption costs. These results also reflect the impact of
a favorable adjustment to income tax expense of $11.5 million related to the resolution of
transfer pricing audits in Mexico.
In the fourth quarter of 2014, AAM's results reflect the impact
of 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).
For the full year 2015, AAM's net income was of $235.6 million, or $3.02 per share. This compares to net income of
$143.0 million, or $1.85 per share in 2014.
"AAM had an outstanding year in 2015. On the strength of
North American light vehicle production volumes and our solid
operational performance, AAM achieved record sales and record gross
profit for the year. We also made measurable progress in
diversifying our business and improving our capital structure,"
said AAM's Chairman & Chief Executive Officer, David C. Dauch. "As we look ahead to 2016 and
beyond, we remain focused on advancing our technology leadership in
order to capitalize on major industry trends and drive profitable
growth and business diversification."
Net sales in the fourth quarter of 2015 were $958.4 million as compared to $939.5 million in the fourth quarter of 2014.
Non-GM sales in the fourth quarter of 2015 were $323.5 million as compared to $317.2 million in the fourth quarter of 2014.
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 2015, AAM's
content-per-vehicle was $1,645 as
compared to $1,697 in the fourth
quarter of 2014. For the full year 2015, AAM's content-per-vehicle
was $1,645 as compared to
$1,667 in 2014.
Net sales for the full year 2015 increased by 5.6% to
$3.9 billion as compared to
$3.7 billion in 2014. Non-GM sales
grew by 9.8% on a year-over-year basis to $1.3 billion in 2015 as compared to $1.2 billion in 2014.
AAM's gross profit in the fourth quarter of 2015 was
$159.8 million as compared to
$111.2 million in the fourth quarter
of 2014. Gross margin was 16.7% in the fourth quarter of 2015 as
compared to 11.8% in the fourth quarter of 2014. Approximately
$31.2 million of the non-cash charge
for the 2014 Pension Payout Offer was recorded in gross profit for
the fourth quarter and the full year of 2014.
AAM's gross profit for the full year 2015 increased 21.5% on a
year-over-year basis to $635.4
million as compared to $522.8
million for the full year of 2014. Gross margin was 16.3%
for the full year of 2015 as compared to 14.1% for the full year of
2014.
AAM's SG&A spending in the fourth quarter of 2015 was
$72.7 million, or 7.6% of sales, as
compared to $72.6 million, or 7.7% of
sales, in the fourth quarter of 2014. AAM's R&D spending in the
fourth quarter of 2015 was $31.3
million as compared to $27.3
million in the fourth quarter of 2014. Approximately
$4.3 million of the non-cash charge
for the 2014 Pension Payout Offer was recorded in SG&A for the
fourth quarter and the full year of 2014.
AAM's SG&A spending for the full year 2015 was $277.3 million, or 7.1% of sales, as compared to
$255.2 million, or 6.9% of sales, for
the full year 2014. AAM's R&D spending for the full year 2015
was $113.9 million as compared to
$103.9 million in 2014.
Other income in the fourth quarter of 2015 was $1.1 million as compared to $6.4 million in the fourth quarter of 2014. For
the full year 2015, other income was $12.0
million as compared to $6.9
million in 2014. The primary components of other income in
2015 and 2014 are foreign exchange gains and losses and earnings
from our unconsolidated Hefei
(China) joint venture.
In the fourth quarter of 2015, AAM's net income was $62.9 million, or $0.81 per share. This compares to net income of
$13.2 million, or $0.17 per share, in the fourth quarter of 2014.
For the full year 2015, AAM's net income was $235.6 million, or $3.02 per share, as compared to $143.0 million, or $1.85 per share, for the full year of 2014.
AAM defines EBITDA to be earnings before interest, income taxes,
depreciation and amortization. For 2015, Adjusted EBITDA is defined
as EBITDA excluding the impact of debt refinancing and redemption
costs. 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 2015, AAM's Adjusted EBITDA was
$137.5 million, or 14.3% of sales, as
compared to $135.1 million, or 14.4%
of sales, in the fourth quarter of 2014. For the full year 2015,
AAM's Adjusted EBITDA was $571.1
million, or 14.6% of sales, as compared to $512.0 million, or 13.9% of sales, for the full
year of 2014.
AAM defines free cash flow to be net cash provided by operating
activities less capital expenditures net of proceeds from the sale
of property, plant and equipment and from government grants.
Net cash provided by operating activities for the full year 2015
was $377.6 million. Capital
expenditures net of proceeds from the sale of property, plant and
equipment and from government grants, for the full year 2015 was
$188.1 million. Reflecting the impact
of this activity, AAM's full year 2015 free cash flow increased by
53.9% to $189.5 million as compared
to $123.1 million for the full year
of 2014.
A conference call to review AAM's fourth quarter and full year
2015 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 1:00 p.m.
ET on February 12, 2016 until
11:59 p.m. ET February 19, 2016 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 34605757.
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, 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 (FCA), or other
customers; reduced demand for our customers' products (particularly
light trucks and sport utility vehicles (SUVs) produced by GM and
FCA); 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 respond to changes in technology,
increased competition or pricing pressures; our ability to attract
new customers and programs for new products; 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;
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 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; our ability to successfully
implement upgrades to our enterprise resource planning systems;
negative or unexpected tax consequences; 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); our ability to consummate and integrate acquisitions
and joint ventures; 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; price volatility in, or reduced
availability of, fuel; global economic conditions; our ability to
protect our intellectual property and successfully defend against
assertions made against us; our ability to attract and retain key
associates; 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...
Investor Contact:
Jason P.
Parsons
Director, Investor
Relations
(313) 758-2404
jason.parsons@aam.com
Media Contact:
Christopher M. Son
Director, Marketing &
Communications
(313) 758-4814
chris.son@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,
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
(in millions,
except per share data)
|
|
(in millions,
except per share data)
|
|
|
|
|
|
|
|
|
Net sales
|
$
|
958.4
|
|
|
$
|
939.5
|
|
|
$
|
3,903.1
|
|
|
$
|
3,696.0
|
|
|
|
|
|
|
|
|
|
Cost of goods
sold
|
798.6
|
|
|
828.3
|
|
|
3,267.7
|
|
|
3,173.2
|
|
|
|
|
|
|
|
|
|
Gross
profit
|
159.8
|
|
|
111.2
|
|
|
635.4
|
|
|
522.8
|
|
|
|
|
|
|
|
|
|
Selling, general and
administrative expenses
|
72.7
|
|
|
72.6
|
|
|
277.3
|
|
|
255.2
|
|
|
|
|
|
|
|
|
|
Operating
income
|
87.1
|
|
|
38.6
|
|
|
358.1
|
|
|
267.6
|
|
|
|
|
|
|
|
|
|
Interest
expense
|
(24.5)
|
|
|
(24.7)
|
|
|
(99.2)
|
|
|
(99.9)
|
|
|
|
|
|
|
|
|
|
Investment
income
|
0.6
|
|
|
0.8
|
|
|
2.6
|
|
|
2.1
|
|
|
|
|
|
|
|
|
|
Other income
(expense)
|
|
|
|
|
|
|
|
Debt refinancing and
redemption costs
|
(0.8)
|
|
|
—
|
|
|
(0.8)
|
|
|
—
|
|
Other, net
|
1.1
|
|
|
6.4
|
|
|
12.0
|
|
|
6.9
|
|
|
|
|
|
|
|
|
|
Income before income
taxes
|
63.5
|
|
|
21.1
|
|
|
272.7
|
|
|
176.7
|
|
|
|
|
|
|
|
|
|
Income tax
expense
|
0.6
|
|
|
7.9
|
|
|
37.1
|
|
|
33.7
|
|
|
|
|
|
|
|
|
|
Net income
|
$
|
62.9
|
|
|
$
|
13.2
|
|
|
$
|
235.6
|
|
|
$
|
143.0
|
|
|
|
|
|
|
|
|
|
Diluted earnings per
share
|
$
|
0.81
|
|
|
$
|
0.17
|
|
|
$
|
3.02
|
|
|
$
|
1.85
|
|
|
|
|
|
|
|
|
|
AMERICAN AXLE
& MANUFACTURING HOLDINGS, INC.
|
CONSOLIDATED
STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
|
(Unaudited)
|
|
|
Three Months
Ended
|
|
Twelve Months
Ended
|
|
December
31,
|
|
December
31,
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
(in
millions)
|
|
|
|
|
|
|
|
|
Net income
|
$
|
62.9
|
|
|
$
|
13.2
|
|
|
$
|
235.6
|
|
|
$
|
143.0
|
|
|
|
|
|
|
|
|
|
Other comprehensive
income (loss)
|
|
|
|
|
|
|
|
Defined benefit plans,
net of tax
|
11.6
|
|
|
(49.0)
|
|
|
16.7
|
|
|
(42.7)
|
|
Foreign currency
translation adjustments
|
(5.9)
|
|
|
(18.4)
|
|
|
(70.3)
|
|
|
(30.3)
|
|
Changes in
cash flow hedges
|
3.4
|
|
|
(6.6)
|
|
|
(6.0)
|
|
|
(7.7)
|
|
Other comprehensive
income (loss)
|
9.1
|
|
|
(74.0)
|
|
|
(59.6)
|
|
|
(80.7)
|
|
|
|
|
|
|
|
|
|
Comprehensive income
(loss)
|
$
|
72.0
|
|
|
$
|
(60.8)
|
|
|
$
|
176.0
|
|
|
$
|
62.3
|
|
AMERICAN AXLE
& MANUFACTURING HOLDINGS, INC.
|
CONDENSED
CONSOLIDATED BALANCE SHEETS
|
(Unaudited)
|
|
|
December 31,
2015
|
|
December 31,
2014
|
|
(in
millions)
|
ASSETS
|
|
|
|
Current
Assets
|
|
|
|
Cash and cash
equivalents
|
$
|
282.5
|
|
|
$
|
249.2
|
|
Accounts receivable,
net
|
539.1
|
|
|
532.7
|
|
Inventories,
net
|
230.5
|
|
|
248.8
|
|
Deferred income
taxes
|
—
|
|
|
40.2
|
|
Prepaid expenses and
other
|
72.1
|
|
|
68.6
|
|
Total current
assets
|
1,124.2
|
|
|
1,139.5
|
|
|
|
|
|
Property, plant and
equipment, net
|
1,046.2
|
|
|
1,061.1
|
|
Deferred income
taxes
|
373.6
|
|
|
368.8
|
|
Goodwill
|
154.4
|
|
|
155.0
|
|
GM postretirement
cost sharing asset
|
243.2
|
|
|
274.5
|
|
Other assets and
deferred charges
|
261.1
|
|
|
241.5
|
|
Total
assets
|
$
|
3,202.7
|
|
|
$
|
3,240.4
|
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
Current
Liabilities
|
|
|
|
Current portion of
long-term debt
|
$
|
3.3
|
|
|
$
|
13.0
|
|
Accounts
payable
|
412.7
|
|
|
444.3
|
|
Accrued compensation
and benefits
|
128.0
|
|
|
109.1
|
|
Deferred
revenue
|
22.9
|
|
|
22.1
|
|
Deferred income
taxes
|
—
|
|
|
0.1
|
|
Other accrued
expenses
|
132.3
|
|
|
98.6
|
|
Total current
liabilities
|
699.2
|
|
|
687.2
|
|
|
|
|
|
Long-term debt,
net
|
1,375.7
|
|
|
1,504.6
|
|
Deferred income
taxes
|
6.8
|
|
|
9.1
|
|
Deferred
revenue
|
65.7
|
|
|
94.2
|
|
Postretirement
benefits and other long-term liabilities
|
753.8
|
|
|
831.9
|
|
Total
liabilities
|
2,901.2
|
|
|
3,127.0
|
|
|
|
|
|
Total stockholders'
equity
|
301.5
|
|
|
113.4
|
|
Total liabilities
and stockholders' equity
|
$
|
3,202.7
|
|
|
$
|
3,240.4
|
|
AMERICAN AXLE
& MANUFACTURING HOLDINGS, INC.
|
CONDENSED
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Twelve Months
Ended
|
|
|
December
31,
|
|
December
31,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
(in
millions)
|
|
(in
millions)
|
Operating
Activities
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
62.9
|
|
|
$
|
13.2
|
|
|
$
|
235.6
|
|
|
$
|
143.0
|
|
Adjustments to
reconcile net income to net cash provided by operating
activities
|
|
|
|
|
|
|
|
|
Depreciation and amortization
|
|
48.7
|
|
|
53.8
|
|
|
198.4
|
|
|
199.9
|
|
Other
|
|
(2.1)
|
|
|
19.8
|
|
|
(56.4)
|
|
|
(24.5)
|
|
Net cash provided
by operating activities
|
|
109.5
|
|
|
86.8
|
|
|
377.6
|
|
|
318.4
|
|
|
|
|
|
|
|
|
|
|
Investing
Activities
|
|
|
|
|
|
|
|
|
Purchases of
property, plant & equipment
|
|
(61.4)
|
|
|
(50.3)
|
|
|
(193.5)
|
|
|
(206.5)
|
|
Proceeds from sale of
property, plant & equipment
|
|
0.1
|
|
|
0.6
|
|
|
0.3
|
|
|
9.1
|
|
Proceeds from
government grants
|
|
5.1
|
|
|
2.1
|
|
|
5.1
|
|
|
2.1
|
|
Net cash used in
investing activities
|
|
(56.2)
|
|
|
(47.6)
|
|
|
(188.1)
|
|
|
(195.3)
|
|
|
|
|
|
|
|
|
|
|
Financing
Activities
|
|
|
|
|
|
|
|
|
Net decreases in
long-term debt and other
|
|
(134.5)
|
|
|
(5.3)
|
|
|
(140.2)
|
|
|
(22.0)
|
|
Debt issuance
costs
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(0.3)
|
|
Purchase of
noncontrolling interest
|
|
(1.1)
|
|
|
—
|
|
|
(1.1)
|
|
|
—
|
|
Purchase of treasury
stock
|
|
(0.2)
|
|
|
—
|
|
|
(3.1)
|
|
|
(0.3)
|
|
Employee stock option
exercises, including tax benefit
|
|
0.3
|
|
|
—
|
|
|
0.8
|
|
|
1.2
|
|
Net cash used in
financing activities
|
|
(135.5)
|
|
|
(5.3)
|
|
|
(143.6)
|
|
|
(21.4)
|
|
|
|
|
|
|
|
|
|
|
Effect of exchange
rate changes on cash
|
|
(0.9)
|
|
|
(3.7)
|
|
|
(12.6)
|
|
|
(6.5)
|
|
|
|
|
|
|
|
|
|
|
Net increase
(decrease) in cash and cash equivalents
|
|
(83.1)
|
|
|
30.2
|
|
|
33.3
|
|
|
95.2
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents at beginning of period
|
|
365.6
|
|
|
219.0
|
|
|
249.2
|
|
|
154.0
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents at end of period
|
|
$
|
282.5
|
|
|
$
|
249.2
|
|
|
$
|
282.5
|
|
|
$
|
249.2
|
|
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.
|
|
|
|
|
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,
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
(in
millions)
|
|
(in
millions)
|
|
|
|
|
|
|
|
|
Net income
|
$
|
62.9
|
|
|
$
|
13.2
|
|
|
$
|
235.6
|
|
|
$
|
143.0
|
|
Interest
expense
|
24.5
|
|
|
24.7
|
|
|
99.2
|
|
|
99.9
|
|
Income tax
expense
|
0.6
|
|
|
7.9
|
|
|
37.1
|
|
|
33.7
|
|
Depreciation and
amortization
|
48.7
|
|
|
53.8
|
|
|
198.4
|
|
|
199.9
|
|
|
|
|
|
|
|
|
|
EBITDA
|
136.7
|
|
|
99.6
|
|
|
570.3
|
|
|
476.5
|
|
|
|
|
|
|
|
|
|
Debt refinancing and
redemption costs
|
0.8
|
|
|
—
|
|
|
0.8
|
|
|
—
|
|
Other special
charges(b)
|
—
|
|
|
35.5
|
|
|
—
|
|
|
35.5
|
|
|
|
|
|
|
|
|
|
Adjusted
EBITDA
|
$
|
137.5
|
|
|
$
|
135.1
|
|
|
$
|
571.1
|
|
|
$
|
512.0
|
|
Net
debt(c) to capital
|
|
|
December 31,
2015
|
|
December 31,
2014
|
|
(in millions,
except percentages)
|
|
|
|
|
Current portion of
long-term debt
|
$
|
3.3
|
|
|
$
|
13.0
|
|
Long-term debt,
net
|
1,375.7
|
|
|
1,504.6
|
|
|
|
|
|
Total debt,
net
|
1,379.0
|
|
|
1,517.6
|
|
|
|
|
|
Less: cash and cash
equivalents
|
282.5
|
|
|
249.2
|
|
|
|
|
|
Net debt at end of
period
|
1,096.5
|
|
|
1,268.4
|
|
|
|
|
|
Stockholders'
equity
|
301.5
|
|
|
113.4
|
|
|
|
|
|
Total invested
capital at end of period
|
$
|
1,398.0
|
|
|
$
|
1,381.8
|
|
|
|
|
|
Net debt to
capital(d)
|
78.4
|
%
|
|
91.8
|
%
|
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,
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
(in
millions)
|
|
(in
millions)
|
|
|
|
|
|
|
|
|
Net cash provided by
operating activities
|
$
|
109.5
|
|
|
$
|
86.8
|
|
|
$
|
377.6
|
|
|
$
|
318.4
|
|
|
|
|
|
|
|
|
|
Less: Capital
expenditures net of proceeds from the sale of property, plant &
equipment and from government grants
|
(56.2)
|
|
|
(47.6)
|
|
|
(188.1)
|
|
|
(195.3)
|
|
|
|
|
|
|
|
|
|
Free cash
flow
|
$
|
53.3
|
|
|
$
|
39.2
|
|
|
$
|
189.5
|
|
|
$
|
123.1
|
|
________________________________________
(a)
|
We define EBITDA to
be earnings before interest, income taxes, depreciation and
amortization. For 2015, Adjusted EBITDA is defined as EBITDA
excluding the impact of debt refinancing and redemption costs. 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"). 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 months and twelve months ended December
31, 2014 relate to the 2014 Pension Payout Offer.
|
|
|
(c)
|
Net debt is equal to
total debt, net less cash and cash equivalents. Net debt in 2014
has been adjusted to reflect the impact of retrospective adoption
of Accounting Standards Update 2015-03, Interest - Imputation of
Interest (Subtopic 835-30): Simplifying the Presentation of Debt
Issuance Costs.
|
|
|
(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 operating activities less capital
expenditures net of proceeds from the sale of property, plant and
equipment and from government grants. 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-2015-financial-results-300219416.html
SOURCE American Axle & Manufacturing Holdings, Inc.