Latest news with #Dowlais
Yahoo
08-08-2025
- Business
- Yahoo
American Axle Lifts Outlook After Margin Gains
American Axle & Manufacturing Holdings, Inc. (NYSE:AXL) shares are trading higher on Friday. The company reported second-quarter adjusted earnings per share of 21 cents, beating the analyst consensus estimate of 15 cents. Quarterly sales of $1.536 billion (down 5.9% year over year) slightly missed the Street view of $1.537 billion. Sales for the second quarter of 2025 were impacted by lower volume and profit in the quarter under review totaled $200.7 million, down from $217.3 million a year ago. Adjusted EBITDA stood at $202.2 million, down from $208.4 million a year earlier. The adjusted EBITDA margin improved to 13.2% up from 12.8% in the year-ago period. View more earnings on AXL 'AAM posted year-over-year adjusted EBITDA margin growth in the second quarter driven by productivity and cost controls,' said Chief Executive Officer David C. Dauch. 'In addition, we are very excited about our upcoming combination with Dowlais as we passed a critical milestone with the approval from both sets of shareholders,' Dauch added. The company exited the quarter with cash and equivalents worth $586.5 million. Outlook American Axle & Manufacturing Holdings raised its fiscal year 2025 sales guidance from $5.65 billion–$5.95 billion to $5.75 billion–$5.95 billion, compared with the $5.77 billion consensus estimate. The company now expects 2025 adjusted EBITDA of $695 million–$745 million, up from the prior range of $665 million–$745 million. It also forecasts adjusted free cash flow of $175 million–$215 million (versus $165 million–$215 million before), assuming capital expenditures of roughly 5% of sales and mitigation of most incremental tariff costs. Price Action: AXL shares are trading higher by 13.8% to $5.22 at last check Friday. Read Next:Photo via Shutterstock UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets. Get the latest stock analysis from Benzinga? AMERICAN AXLE & MFG HLDGS (AXL): Free Stock Analysis Report This article American Axle Lifts Outlook After Margin Gains originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
08-08-2025
- Automotive
- Yahoo
AAM Reports Second Quarter 2025 Financial Results
Year-Over-Year Net Income and Adjusted EBITDA Margin Growth DETROIT, Aug. 8, 2025 /PRNewswire/ -- American Axle & Manufacturing Holdings, Inc. (AAM), (NYSE: AXL) today reported its financial results for the second quarter 2025. Second Quarter 2025 Results Sales of $1.54 billion Net income of $39.3 million, or 2.6% of sales Adjusted EBITDA of $202.2 million, or 13.2% of sales Diluted earnings per share of $0.32; Adjusted earnings per share of $0.21 Net cash provided by operating activities of $91.9 million; Adjusted free cash flow of $48.7 million "AAM posted year-over-year Adjusted EBITDA margin growth in the second quarter driven by productivity and cost controls," said AAM's Chairman and Chief Executive Officer, David C. Dauch. "In addition, we are very excited about our upcoming combination with Dowlais as we passed a critical milestone with the approval from both sets of shareholders. This brings us one step closer in forming a premier global driveline and metal forming auto supplier with significant size, scale, and robust value creation potential." AAM's sales in the second quarter of 2025 were $1.54 billion as compared to $1.63 billion in the second quarter of 2024. Sales for the second quarter of 2025 were impacted by lower volume and mix. AAM's net income in the second quarter of 2025 was $39.3 million, or $0.32 per share and 2.6% of sales, as compared to net income of $18.2 million, or $0.15 per share and 1.1% of sales in the second quarter of 2024. Adjusted earnings per share in the second quarter of 2025 was $0.21 compared to Adjusted earnings per share of $0.19 in the second quarter of 2024. In the second quarter of 2025, Adjusted EBITDA was $202.2 million, or 13.2% of sales, as compared to $208.4 million, or 12.8% of sales, in the second quarter of 2024. AAM's net cash provided by operating activities for the second quarter of 2025 was $91.9 million as compared to $142.8 million for the second quarter of 2024. AAM's Adjusted free cash flow for the second quarter of 2025 was $48.7 million as compared to $97.9 million for the second quarter of 2024. AAM's 2025 Updated Financial Outlook AAM's full year 2025 financial targets are as follows: AAM is targeting sales in the range of $5.75 - $5.95 billion vs. $5.65 - $5.95 billion prior. AAM is targeting Adjusted EBITDA in the range of $695 - $745 million vs. $665 - $745 million prior. AAM is targeting Adjusted free cash flow in the range of $175 - $215 million vs. $165 - $215 million prior; this target assumes capital spending of approximately 5% of sales. These targets are based on the following assumptions for 2025: North American light vehicle production of approximately 14.6 - 15.1 million units. AAM's production estimates of key programs that we support. Excludes costs and expenses associated with the announced combination with Dowlais. Reflects AAM on a stand-alone pre-combination basis only. No changes to USMCA. Mitigation of a majority of incremental tariff costs. Second Quarter 2025 Conference Call Information A conference call to review AAM's second quarter results is scheduled for 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 or calling (877) 883-0383 from the United States or (412) 902-6506 from outside the United States with access code 8504475. A replay will be available one hour after the call is completed until August 15, 2025 by dialing (877) 344-7529 from the United States or (412) 317-0088 from outside the United States. When prompted, callers should enter replay access code 6368162. 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 as Adjusted EBITDA, Adjusted earnings per share and Adjusted free cash flow. Such information is reconciled to its most directly comparable GAAP measure in accordance with Securities and Exchange Commission rules and is included in the attached supplemental data. Certain of the forward-looking financial measures included in this earnings release are provided on a non-GAAP basis. A reconciliation of non-GAAP forward-looking financial measures to the most directly comparable forward-looking financial measures calculated and presented in accordance with GAAP has been provided. The amounts in these reconciliations are based on our current estimates and actual results may differ materially from these forward-looking estimates for many reasons, including potential event driven transactional and other non-core operating items and their related effects in any future period, the magnitude of which may be significant. Management believes that these non-GAAP financial measures are useful to management, investors, and banking institutions in their analysis of AAM'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. Definition of Non-GAAP Financial Measures AAM defines Adjusted earnings per share to be diluted earnings per share excluding the impact of restructuring and acquisition-related costs, debt refinancing and redemption costs, gains or losses on the derivative associated with our business combination with Dowlais, gains or losses on equity securities, pension curtailment and settlement charges, impairment charges, and non-recurring items, including the tax effect thereon. AAM defines EBITDA to be earnings before interest expense, income taxes, depreciation and amortization. Adjusted EBITDA is defined as EBITDA excluding the impact of restructuring and acquisition-related costs, debt refinancing and redemption costs, gains or losses on the derivative associated with our business combination with Dowlais, gains or losses on equity securities, pension curtailment and settlement charges, impairment charges and non-recurring items. 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. Adjusted free cash flow is defined as free cash flow excluding the impact of cash payments for restructuring and acquisition-related costs. Company Description As a leading global Tier 1 Automotive and Mobility Supplier, AAM (NYSE: AXL) designs, engineers and manufactures Driveline and Metal Forming technologies to support electric, hybrid and internal combustion vehicles. Headquartered in Detroit, with over 75 facilities in 15 countries, AAM is bringing the future faster for a safer and more sustainable tomorrow. To learn more, visit Forward-Looking Statements 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: global economic conditions, including the impact of inflation, recession or recessionary concerns, or slower growth in the markets in which we operate; reduced purchases of our products by General Motors Company (GM), Stellantis N.V. (Stellantis), Ford Motor Company (Ford) or other customers; our ability to respond to changes in technology, increased competition or pricing pressures; 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; reduced demand for our customers' products (particularly light trucks and sport utility vehicles (SUVs) produced by GM, Stellantis and Ford); our ability to consummate strategic initiatives and successfully integrate acquisitions and joint ventures; risks inherent in our global operations (including tariffs and the potential consequences thereof to us, our suppliers, and our customers and their suppliers, adverse changes in trade agreements, such as the United States-Mexico-Canada Agreement (USMCA), compliance with customs and trade regulations, immigration policies, political stability or geopolitical conflicts, taxes and other law changes, potential disruptions of production and supply, and currency rate fluctuations); supply shortages and the availability of natural gas or other fuel and utility sources in certain regions, labor shortages, including increased labor costs, or price increases in raw material and/or freight, utilities or other operating supplies for us or our customers as a result of pandemic or epidemic illness, geopolitical conflicts, natural disasters or otherwise; a significant disruption in operations at one or more of our key manufacturing facilities; risks inherent in transitioning our business from internal combustion engine vehicle products to hybrid and electric vehicle products; our ability to realize the expected revenues from our new and incremental business backlog; negative or unexpected tax consequences, including those resulting from tax litigation; risks related to a failure of our information technology systems and networks, including cloud-based applications, and risks associated with current and emerging technology threats and damage from computer viruses, unauthorized access, cyber attacks, including increasingly sophisticated cyber attacks incorporating use of artificial intelligence, and other similar disruptions; our suppliers', our customers' and their suppliers' ability to maintain satisfactory labor relations and avoid or minimize work stoppages; cost or 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; an impairment of our goodwill, other intangible assets, or long-lived assets if our business or market conditions indicate that the carrying values of those assets exceed their fair values; 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; risks of environmental issues, including impacts of climate-related events, that could result in unforeseen issues or costs at our facilities, or risks of noncompliance with environmental laws and regulations, including reputational damage; our ability to maintain satisfactory labor relations and avoid work stoppages; our ability to achieve the level of cost reductions required to sustain global cost competitiveness or our ability to recover certain cost increases from our customers; price volatility in, or reduced availability of, fuel; our ability to protect our intellectual property and successfully defend against assertions made against us; adverse changes in laws, government regulations or market conditions affecting our products or our customers' products; our ability or our customers' and suppliers' ability to comply with regulatory requirements and the potential costs of such compliance; changes in liabilities arising from pension and other postretirement benefit obligations; our ability to attract and retain qualified personnel in key positions and functions; 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. Profit Forecasts and Estimates The statements in this press release setting out targets for Adjusted EBITDA and Adjusted free cash flow of AAM for FY25 (together, the "FY25 Updated Profit Forecast") constitute profit forecasts of AAM for the purposes of Rule 28.1(a) of the UK Takeover Code ("Code"). The UK Takeover Panel has granted AAM a dispensation from the requirement to include reports from reporting accountants and AAM's financial advisers in relation to the FY25 Updated Profit Forecast because it is an ordinary course profit forecast and Dowlais has agreed to the dispensation. Other than the FY25 Updated Profit Forecast, nothing in this press release (including any statement of estimated cost savings or synergies) is intended, or is to be construed, as a profit forecast or profit estimate for any period or is to be interpreted to mean that earnings or earnings per share of AAM or Dowlais for the current or future financial years will necessarily match or exceed the published earnings or earnings per share of AAM or Dowlais, as appropriate. AAM Directors' Confirmation In accordance with Rule 28.1(c)(i) of the Code, the AAM directors confirm that, as at the date of this press release, the FY25 Updated Profit Forecast is valid and has been properly compiled on the basis of the assumptions stated in AAM's UK RNS announcement on or around the date of this press release and that the basis of accounting used is consistent with AAM's accounting policies. For more information:Investor ContactDavid H. LimHead of Investor Relations(313) Media Contact Christopher M. SonVice President, Marketing & Communications(313) Or visit the AAM website at AMERICAN AXLE & MANUFACTURING HOLDINGS, INC. CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited) Three Months EndedSix Months EndedJune 30,June 30,2025202420252024(in millions, except per share data) Net sales $ 1,536.2$ 1,632.3$ 2,947.5$ 3,239.2 Cost of goods sold 1,335.51,415.02,572.92,823.4 Gross profit 200.7217.3374.6415.8 Selling, general and administrative expenses 100.8105.2191.7203.5 Amortization of intangible assets 20.420.641.041.3 Impairment charge 8.0—8.0— Restructuring and acquisition-related costs 16.55.036.27.5 Operating income 55.086.597.7163.5 Interest expense (43.1)(47.9)(86.0)(96.9) Interest income 5.66.111.214.4 Other income (expense):Debt refinancing and redemption costs —(0.3)(3.3)(0.3) Gain on Business Combination Derivative 46.3—68.2— Loss on equity securities —(0.2)—(0.1) Other income (expense), net 3.6(8.8)0.7(8.8) Income before income taxes 67.435.488.571.8 Income tax expense 28.117.242.133.1 Net income $ 39.3$ 18.2$ 46.4$ 38.7 Diluted earnings per share $ 0.32$ 0.15$ 0.38$ 0.32 AMERICAN AXLE & MANUFACTURING HOLDINGS, INC. CONDENSED CONSOLIDATED BALANCE SHEETS June 30, 2025December 31, 2024(Unaudited) ASSETS (in millions) Current assetsCash and cash equivalents $ 586.5$ 552.9 Accounts receivable, net 844.5709.1 Inventories, net 449.1442.5 Prepaid expenses and other 230.8152.2 Current assets held-for-sale 61.058.1 Total current assets 2,171.91,914.8 Property, plant and equipment, net 1,624.01,622.8 Deferred income taxes 190.6199.5 Goodwill 174.8172.0 Other intangible assets, net 415.9456.7 GM postretirement cost sharing asset 114.4111.7 Operating lease right-of-use assets 106.4110.3 Other assets and deferred charges 475.6472.1 Total assets $ 5,273.6$ 5,059.9 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilitiesCurrent portion of long-term debt $ 21.9$ 47.9 Accounts payable 771.8700.5 Accrued compensation and benefits 185.3193.0 Deferred revenue 27.414.2 Current portion of operating lease liabilities 23.022.8 Accrued expenses and other 167.6172.4 Current liabilities held-for-sale 30.424.4 Total current liabilities 1,227.41,175.2 Long-term debt, net 2,599.82,576.9 Deferred revenue 38.437.0 Deferred income taxes 13.511.8 Long-term portion of operating lease liabilities 85.889.9 Postretirement benefits and other long-term liabilities 635.7606.3 Total liabilities 4,600.64,497.1 Total stockholders' equity 673.0562.8 Total liabilities and stockholders' equity $ 5,273.6$ 5,059.9 AMERICAN AXLE & MANUFACTURING HOLDINGS, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) Three Months EndedSix Months EndedJune 30,June 30,2025202420252024(in millions) Operating activitiesNet income $ 39.3$ 18.2$ 46.4$ 38.7 Adjustments to reconcile net income to net cash provided by operating activitiesDepreciation and amortization 113.5119.6225.7237.4 Other (60.9)5.0(124.3)(115.5) Net cash provided by operating activities 91.9142.8147.8160.6 Investing activitiesPurchases of property, plant and equipment (57.3)(48.8)(126.6)(96.8) Proceeds from sale of property, plant and equipment 4.40.25.03.3 Acquisition of business, net of cash acquired (0.7)(0.7)(1.3)(1.3) Proceeds from disposition of affiliates ——30.1— Proceeds from government grants —2.0—2.0 Other (4.8)0.6(5.8)(2.1) Net cash used in investing activities (58.4)(46.7)(98.6)(94.9) Financing activitiesNet debt activity (0.8)(39.3)(16.6)(49.4) Other (5.2)(3.2)(13.4)(9.1) Net cash used in financing activities (6.0)(42.5)(30.0)(58.5) Effect of exchange rate changes on cash 9.8(3.5)14.4(7.2) Net increase in cash and cash equivalents 37.350.133.6— Cash and cash equivalents at beginning of period 549.2469.8552.9519.9 Cash and cash equivalents at end of period $ 586.5$ 519.9$ 586.5$ 519.9 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.'s business and operating before interest expense, income taxes and depreciation and amortization (EBITDA) and Adjusted EBITDA(a) Three Months EndedSix Months EndedJune 30,June 30,2025202420252024(in millions) Net income $ 39.3$ 18.2$ 46.4$ 38.7 Interest expense 43.147.986.096.9 Income tax expense 28.117.242.133.1 Depreciation and amortization 113.5119.6225.7237.4 EBITDA 224.0202.9400.2406.1 Restructuring and acquisition-related costs 16.55.036.27.5 Debt refinancing and redemption costs —0.33.30.3 Gain on Business Combination Derivative (46.3)—(68.2)— Impairment charge 8.0—8.0— Loss on equity securities —0.2—0.1 Adjusted EBITDA $ 202.2$ 208.4$ 379.5$ 414.0 Adjusted earnings per share(b) Three Months EndedSix Months EndedJune 30,June 30,2025202420252024 Diluted earnings per share $ 0.32$ 0.15$ 0.38$ 0.32 Restructuring and acquisition-related costs 0.130.040.290.06 Debt refinancing and redemption costs ——0.03— Impairment charge 0.06—0.06— Gain on Business Combination Derivative (0.37)—(0.55)— Tax effect of adjustments 0.07—0.09— Adjusted earnings per share $ 0.21$ 0.19$ 0.30$ 0.38 Adjusted earnings per share are based on weighted average diluted shares outstanding of 124.1 million and 122.0 million for the three months ended June 30, 2025 and 2024 respectively, and 123.3 million and 121.5 million for the six months ended June 30, 2025 and 2024 respectively. 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.'s business and operating cash flow and Adjusted free cash flow(c) Three Months EndedSix Months EndedJune 30,June 30,2025202420252024(in millions) Net cash provided by operating activities $ 91.9$ 142.8$ 147.8$ 160.6 Less: Capital expenditures net of proceeds from the sale of property, plant and equipment and from government grants (52.9)(46.6)(121.6)(91.5) Free cash flow $ 39.0$ 96.2$ 26.2$ 69.1 Cash payments for restructuring and acquisition-related costs 9.71.718.67.4 Adjusted free cash flow $ 48.7$ 97.9$ 44.8$ 76.5 Segment Financial Information Three Months EndedSix Months EndedJune 30,June 30,2025202420252024(in millions) Segment Sales Driveline $ 1,082.1$ 1,124.5$ 2,039.9$ 2,230.9 Metal Forming 598.4653.11,174.21,297.2 Total Sales 1,680.51,777.63,214.13,528.1 Intersegment Sales (144.3)(145.3)(266.6)(288.9) Net External Sales $ 1,536.2$ 1,632.3$ 2,947.5$ 3,239.2 Segment Adjusted EBITDA(a)Driveline $ 148.9$ 151.8$ 274.2$ 309.2 Metal Forming 53.356.6105.3104.8 Total Segment Adjusted EBITDA $ 202.2$ 208.4$ 379.5$ 414.0 Full Year 2025 Financial OutlookThe supplemental data presented below is a reconciliation of certain financial measures which is intended to facilitate analysis of American Axle & Manufacturing Holdings, Inc.'s business and operating performance. Adjusted EBITDALow EndHigh End(in millions) Net income $ 5$ 15 Interest expense 170180 Income tax expense 1040 Depreciation and amortization 460460 Full year 2025 targeted EBITDA 645695 Restructuring-related costs 3535 Dowlais acquisition-related costs 6565 Other, principally Business Combination Derivative (50)(50) Full year 2025 targeted Adjusted EBITDA $ 695$ 745Adjusted Free Cash FlowLow EndHigh End(in millions) Net cash provided by operating activities $ 375$ 415 Capital expenditures net of proceeds from the sale of property, plant and equipment (290)(290) Full year 2025 targeted Free Cash Flow 85125 Cash payments for restructuring-related costs 2525 Cash payments for Dowlais acquisition-related costs 6565 Full year 2025 targeted Adjusted Free Cash Flow $ 175$ 215 ___________ (a) We define EBITDA to be earnings before interest expense, income taxes, depreciation and amortization. Adjusted EBITDA is defined as EBITDA excluding the impact of restructuring and acquisition-related costs, debt refinancing and redemption costs, gains or losses on the derivative associated with our business combination with Dowlais, gains or losses on equity securities, pension curtailment and settlement charges, impairment charges and non-recurring items. 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 banking institutions routinely use EBITDA and Adjusted EBITDA, together with other measures, to measure our operating performance relative to other Tier 1 automotive suppliers. We also use Segment Adjusted EBITDA as the measure of earnings to assess the performance of each segment and determine the resources to be allocated to the segments. EBITDA and Adjusted EBITDA are also key metrics used in our calculation of incentive compensation. 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) We define Adjusted earnings per share to be diluted earnings per share excluding the impact of restructuring and acquisition-related costs, debt refinancing and redemption costs, gains or losses on the derivative associated with our business combination with Dowlais, gains or losses on equity securities, pension curtailment and settlement charges, impairment charges and non-recurring items, including the tax effect thereon. We believe Adjusted earnings per share is a meaningful measure as it is commonly utilized by management and investors in assessing ongoing financial performance that provides improved comparability between periods through the exclusion of certain items that management believes are not indicative of core operating performance and which may obscure underlying business results and trends. Other companies may calculate Adjusted earnings per share differently. (c) 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. Adjusted free cash flow is defined as free cash flow excluding the impact of cash payments for restructuring and acquisition-related costs. We believe free cash flow and Adjusted free cash flow are meaningful measures as they are 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 and Adjusted free cash flow are also key metrics used in our calculation of incentive compensation. Other companies may calculate free cash flow and Adjusted free cash flow differently. View original content to download multimedia: SOURCE American Axle & Manufacturing Holdings, Inc. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Telegraph
06-08-2025
- Automotive
- Telegraph
Starmer urged to scrap ‘impossible' electric car targets
Labour should scrap its ban on the sale of new petrol cars by 2030 amid growing concerns over the shift to electric vehicles, the boss of a British engineering giant has said. Liam Butterworth, the chief executive of London-listed Dowlais, a car parts supplier, has urged Sir Keir Starmer to review the 'impossible' target to ensure the UK isn't out of step with the rest of Europe and America. He said the Government must relax the ban in response to escalating turmoil across the auto industry, which has recently seen UK car production fall to its lowest level since 1952. The crisis has largely been prompted by the stuttering shift to electric vehicles (EVs), with motorists reluctant to abandon petrol and diesel cars because of range anxiety and a lack of charging infrastructure. 'Completely phasing out internal combustion engines by 2030 is going to be a very difficult, if not impossible,' said the boss of Dowlais. 'I think even 2035 would be incredibly challenging. 'It would be helpful if the Government recognised the environment that the automotive sector is operating in and reviewed the targets based on that. 'I am not suggesting we remove them altogether. Of course, the future is electrification. But we should be thinking longer term, and hybrid technology is one way of managing the transition in a more progressive and economically viable manner. 'There is no point in having targets that the industry is never going to achieve. There needs to be a much more gradual transition that takes into account consumer and infrastructure readiness as well as industry economics.' Dowlais produces drive trains, components that transmit power from a car's engine to the wheels. Its products can be found in both EVs and petrol cars. Mr Butterworth claimed the car industry was facing the 'most challenging' period of his 30-year career in the sector, with manufacturers buffeted by the EV transition, supply chain chaos and inflation. Donald Trump's tariffs have also unleashed a fresh wave of chaos, forcing many manufacturers to scale back production.
Yahoo
25-07-2025
- Automotive
- Yahoo
Top M&A legal advisers in automotive revealed for H1 2025
A&O Shearman has emerged as the top legal adviser for mergers and acquisitions (M&A) by deal value in the automotive sector for the first half (H1) of 2025, while CMS and Kirkland & Ellis have taken the lead by deal volume, as per data and analytics firm GlobalData's latest legal advisers league table. A&O Shearman advised on automotive M&A deals worth $2.17bn, securing the top spot by value according to GlobalData's Deals Database. CMS and Kirkland & Ellis, each advising on four deals, have co-led the automotive sector in terms of volume. GlobalData lead analyst Aurojyoti Bose said: 'Kirkland & Ellis was the top adviser by volume in H1 2024 and retained the top spot by this metric in H1 2025 as well. Meanwhile, CMS registered an improvement in its ranking by volume from the third position in H1 2024 to the top position in H1 2025. 'Meanwhile, A&O Shearman's ranking by value jumped from eighth position in H1 2024 to the top position in H1 2025 as there was more than a four-fold jump in the total value of deals advised by it during the period. "This jump in value was driven by its involvement in $1.4bn deal for the acquisition of Dowlais by American Axle & Manufacturing. Apart from leading by value, A&O Shearman also held the fifth position by volume in H1 2025.' Cravath Swaine & Moore, Norton Rose Fulbright, and Slaughter and May shared the second spot by value, each advising on a $1.4bn worth deal. Following closely, Cleary Gottlieb Steen & Hamilton advised on a deal valued at $735m, showcasing their ability to handle significant transactions within the industry. In terms of volume, AZB & Partners and Baker McKenzie were tied for the third position, each firm advising on three deals. They were followed by A&O Shearman advising on two deals. GlobalData's league tables are based on the real-time tracking of thousands of company websites, advisory firm websites and other reliable sources available on the secondary domain. A dedicated team of analysts monitors all these sources to gather in-depth details for each deal, including adviser names. To ensure further robustness to the data, the company also seeks submissions of deals from leading advisers. "Top M&A legal advisers in automotive revealed for H1 2025" was originally created and published by Just Auto, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Malaysian Reserve
15-07-2025
- Automotive
- Malaysian Reserve
RECOMMENDED CASH AND SHARE COMBINATION OF DOWLAIS GROUP PLC WITH AMERICAN AXLE & MANUFACTURING HOLDINGS, INC.
Transaction Update: AAM Stockholders Approve Proposed Combination DETROIT, July 15, 2025 /PRNewswire/ — American Axle & Manufacturing Holdings, Inc. ('AAM'), (NYSE: AXL) today announced that at a special meeting (the 'Special Meeting') of its stockholders ('AAM Stockholders') held in connection with AAM's recommended offer to acquire the entire issued and to be issued share capital of Dowlais Group plc ('Dowlais'), (the 'Combination'), AAM Stockholders approved all proposals related to the Combination as described in AAM's definitive proxy statement on Schedule 14A filed with the U.S. Securities and Exchange Commission (the 'SEC') on June 2, 2025, as amended and supplemented pursuant to Current Reports on Form 8-K filed by AAM with the SEC on June 9, 2025 and July 7, 2025. Dowlais shareholders are expected to vote on the Scheme and Special Resolution at the Court Meeting and General Meeting, respectively, on July 22, 2025. In addition, as announced on May 16, 2025, AAM intends to seek a secondary listing and admission of shares of its common stock, par value $0.01 per share (collectively, 'AAM Shares'), including the new AAM Shares to be issued in connection with the Combination, to trading on the London Stock Exchange. Following the Combination, the combined AAM and Dowlais group will have an expanded and balanced geographic presence across multiple automotive segments supporting ICE, hybrid and electric powertrains and is expected to generate annual revenues of approximately $12 billion on a non-adjusted combined basis. Antitrust and other regulatory approvals continue to progress, and the deal is anticipated to close in the fourth quarter of 2025, subject to Dowlais shareholder approval and the completion of the other remaining conditions. 'We are very pleased that our stockholders recognized the tremendous value creation opportunity in combining these two outstanding automotive suppliers,' said David C. Dauch, Chairman and Chief Executive Officer of AAM, who will serve as the Chairman and Chief Executive Officer of the combined company. 'This milestone brings us one step closer to creating a leading global driveline and metal forming supplier with size and scale to successfully navigate industry shifts and volatility.' AAM will file a Current Report on Form 8-K with the SEC to report the voting results of all proposals put forth at its Special Meeting. More information about the proposed Combination can be found on AAM's investor website at About AAM As a leading global Tier 1 Automotive and Mobility Supplier, AAM (NYSE: AXL) designs, engineers and manufactures Driveline and Metal Forming technologies to support electric, hybrid and internal combustion vehicles. Headquartered in Detroit with over 75 facilities in 16 countries, AAM is Bringing the Future Faster for a safer and more sustainable tomorrow. To learn more, visit About Dowlais Dowlais is a portfolio of market-leading, high-technology engineering businesses that advance the world's transition to sustainable vehicles. Dowlais' businesses comprise GKN Automotive and GKN Powder Metallurgy with over 70 manufacturing facilities in 19 countries across the world, Dowlais is an automotive technology leader delivering precisely engineered products and solutions that drive transformation in our world. Dowlais has LEI number 213800XM8WOFLY6VPC92. For more information visit Forward-Looking Statements In this press 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: global economic conditions, including the impact of inflation, recession or recessionary concerns, or slower growth in the markets in which we operate; reduced purchases of our products by General Motors Company (GM), Stellantis N.V. (Stellantis), Ford Motor Company (Ford) or other customers; our ability to respond to changes in technology, increased competition or pricing pressures; 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; reduced demand for our customers' products (particularly light trucks and sport utility vehicles (SUVs) produced by GM, Stellantis and Ford); our ability to consummate strategic initiatives and successfully integrate acquisitions and joint ventures; risks inherent in our global operations (including tariffs and the potential consequences thereof to us, our suppliers, and our customers and their suppliers, adverse changes in trade agreements, such as the United States-Mexico-Canada Agreement (USMCA), compliance with customs and trade regulations, immigration policies, political stability or geopolitical conflicts, taxes and other law changes, potential disruptions of production and supply, and currency rate fluctuations); supply shortages and the availability of natural gas or other fuel and utility sources in certain regions, labor shortages, including increased labor costs, or price increases in raw material and/or freight, utilities or other operating supplies for us or our customers as a result of pandemic or epidemic illness, geopolitical conflicts, natural disasters or otherwise; a significant disruption in operations at one or more of our key manufacturing facilities; risks inherent in transitioning our business from internal combustion engine vehicle products to hybrid and electric vehicle products; our ability to realize the expected revenues from our new and incremental business backlog; negative or unexpected tax consequences, including those resulting from tax litigation; risks related to a failure of our information technology systems and networks, including cloud-based applications, and risks associated with current and emerging technology threats and damage from computer viruses, unauthorized access, cyber attacks, including increasingly sophisticated cyber attacks incorporating use of artificial intelligence, and other similar disruptions; our suppliers', our customers' and their suppliers' ability to maintain satisfactory labor relations and avoid or minimize work stoppages; cost or 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; an impairment of our goodwill, other intangible assets, or long-lived assets if our business or market conditions indicate that the carrying values of those assets exceed their fair values; 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; risks of environmental issues, including impacts of climate-related events, that could result in unforeseen issues or costs at our facilities, or risks of noncompliance with environmental laws and regulations, including reputational damage; our ability to maintain satisfactory labor relations and avoid work stoppages; our ability to achieve the level of cost reductions required to sustain global cost competitiveness or our ability to recover certain cost increases from our customers; price volatility in, or reduced availability of, fuel; our ability to protect our intellectual property and successfully defend against assertions made against us; adverse changes in laws, government regulations or market conditions affecting our products or our customers' products; our ability or our customers' and suppliers' ability to comply with regulatory requirements and the potential costs of such compliance; changes in liabilities arising from pension and other postretirement benefit obligations; our ability to attract and retain qualified personnel in key positions and functions; and other unanticipated events and conditions that may hinder our ability to compete. These risks and uncertainties related to AAM include factors detailed in the reports AAM files with the SEC, including those described under 'Risk Factors' in its most recent Annual Report on Form 10-K and its Quarterly Reports on Form 10-Q. 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. No Offer or Solicitation This press release is not intended to and shall not constitute an offer to sell or the solicitation of an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote of approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. Investor Contact: David H. LimHead of Investor Relations+1 313 758 Media Contact: Christopher M. SonVice President, Marketing & Communications + 1 313 758 4814
