American Axle logs third-quarter turnaround to $31.6 million net income

Article by Anita Panait, on November 3, 2013

American Axle & Manufacturing Holdings Inc. logged $31.6 million in net income in the third quarter of 2013, managing a turnaround from $8.2 million in losses in the same period in 2012. The company’s 2013 third-quarter report included a $5.3 million payout for co-founder Richard E. Dauch’s stock-based compensation and other benefits.

The report likewise included a charge of about $500,000 for the proposed settlement of a National Labor Relations Board proceeding in connection with the shutdown of its Detroit Manufacturing Complex and Cheektowaga Manufacturing Facility in 2012.

The company’s third-quarter net income on a per-share basis was 41 cents – far from the First Call consensus estimate of 55 cents a share. The company logged a 17-percent hike in net sales in the third quarter to $820.8 million. Its non-General Motors sales surged 18.1 percent to $234.7 million.

American Axle recently has been subject of scrutiny, as issues with capacity led to delays in the delivery of axles to General Motors, which resulted to a slowdown in the output of the carmaker’s 2014 full-sized pickups. GM's Fort Wayne assembly plant site in Indiana has cut pickup output to 1,300 Chevrolet Silverados and GMC Sierras daily, down from 1,500 units.

A union official at the Fort Wayne plant remarked that the supply of axles from an American Axle’s Silao site in Mexico has failed to keep pace with the planned production rate. American Axle’s Director of Investor Relations, Chris Son, remarked that the company is supplying more axles than contracted by GM, but the restriction is due to an increase in demand of the axles used in GM's V8 trucks.

If you liked the article, share on:

Comments

Recommended

Automobili Lamborghini’s preparations for the production of its first ever sports utility vehicle, the new Lamborghini Urus, has reached new grounds as the Italian carmaker is disclosing plans to construct...
by - May 26, 2017
The upscale version of the GMC Yukon body-on-frame sport utility vehicle – the GMC Yukon Denali – has been refreshed for the 2018 model year. It now sports a new...
by - May 26, 2017
The largest gathering of Volkswagen and Audi cars in Europe is underway, and the German premium carmaker is displaying the third model of its G-Tron range at the 2017 Worthersee...
by - May 26, 2017
Have you been wondering how much you have to produce to acquire a 2018 Mercedes-Benz S-Class Facelift? Wonder no more, as Mercedes-Benz has already divulged the pricing – at least...
by - May 26, 2017
Following the M3’s new facelift earlier this year, BMW is once again bringing something fresh to the table. In its newest offering, a cheaper version of the high performance sedan...
by - May 26, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries