Dauch Corporation · NYSE:DCH
Dauch — American Axle & Manufacturing Holdings — Q1 2024 Earnings Presentation
21 slides from Dauch's earnings presentation, May 3, 2024
Slide 1: First Quarter 2024 Earnings Call
First Quarter 2024 Earnings Call
Slide 2: Forward-Looking Statements
Forward-Looking Statements In this presentation, 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 199
Slide 3: 1Q 2024 AAM Financial Highlights
1Q 2024 AAM Financial Highlights $1.61B $205.6M $(21.4)M Quarterly First Quarter Adjusted Free Sales Adjusted EBITDA Cash Flow Use (12.8% margin) AAM Delivered Solid Performance * For definitions of Adjusted EBITDA and Adjusted Free Cash Flow and non-GAAP reconciliations, please see the attached app
Slide 4: Business Update
Business Update XPENG DiDi EV Component Wins AAM (in partnership with Inovance) AAM to supply various electric to provide XPENG DiDi with 3-in-1 vehicle components for multiple electric drive units. Start of luxury OEM customers. production to begin later this year. 4
Slide 5: 2023 Sustainability Report
2023 Sustainability Report Report Highlights • Published new sustainability report in April 2024 • Achieved ISO 50001 certification at all manufacturing facilities • Introduced a new Cybersecurity Awareness program, #AAMSecure • Received 21 quality performance awards • Exceeded our 2023 U.S. renewab
Slide 6: 2024 Financial Outlook
2024 Financial Outlook (as of May 3, 2024) 2024 Financial Targets Full Year Sales $6.05 to $6.35 billion Adjusted EBITDA $685 to $750 million Adjusted Free Cash Flow $200 to $240 million • These targets are based on North American light vehicle production of ~15.8 million units, current customer pro
Slide 7: 1Q Financial Results
1Q Financial Results Three Months Ended March 31, 2024 2023 (dollars in millions, except per share data) Difference Net sales $ 1,606.9 $ 1,493.9 $ 113.0 Gross profit $ 198.5 $ 160.6 $ 37.9 Gross margin 12.4% 10.8% 1.6% Selling, general and administrative expenses $ 98.3 $ 98.3 $ - SG&A as a % of sa
Slide 8: 1Q 2024 Revenue Walk (Yr/Yr)
1Q 2024 Revenue Walk (Yr/Yr) $ in millions $114 $1,601 $6 $1,607 $1,494 ($7) 1Q 2023 Sales Pricing Volume, Mix 1Q 2024 Metal Markets 1Q 2024 Sales & Other Sales Subtotal & FX Note: chart not to scale 8
Slide 9: 1Q 2024 Adjusted EBITDA Walk
1Q 2024 Adjusted EBITDA Walk $ in millions $8 $213 $6 $206 $31 ($7) $175 ($7) 1Q 2023 Pricing Volume, Mix R&D Net inflation, 1Q 2024 Metal Markets 1Q 2024 Adjusted EBITDA & Other Performance Adjusted EBITDA & FX Adjusted EBITDA & Other Subtotal Note: chart not to scale 9
Slide 10: Adjusted Free Cash Flow and Credit Profile
Adjusted Free Cash Flow and Credit Profile Cash Flow and Debt Metrics 1Q 2024 Adjusted Free Cash Flow $(21.4) million Net Debt $2.3 billion Net Leverage Ratio 3.2x Liquidity ~$1.4 billion AAM Maintains Strong Liquidity Note: For definitions and reconciliations of non-GAAP financial measures, please
Slide 11: Supplemental Data
Supplemental Data
Slide 12: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures In addition to the results reported in accordance with accounting principles generally accepted in the United States of America (GAAP) included within this presentation, we have provided certain information, which includes non-GAAP financial measures. Such informa
Slide 13: EBITDA and Adjusted EBITDA Reconciliation
Supplemental Data* EBITDA and Adjusted EBITDA Reconciliation ($ in millions) Three Months Ended March 31, 2024 2023 Net income (loss) $ 20.5 $ (5.1) Interest expense 49.0 50.5 Income tax expense 15.9 - Depreciation and amortization 117.8 124.9 EBITDA 203.2 170.3 Restructuring and acquisition-related
Slide 14: EBITDA and Adjusted EBITDA for the Trailing Twelve Months
Supplemental Data* EBITDA and Adjusted EBITDA for the Trailing Twelve Months Ended March 31, 2024 ($ in millions) Trailing Twelve Quarter Ended Months Ended June 30, September 30, December 31, March 31, March 31, 2023 2023 2023 2024 2024 Net income (loss) $ 8.0 $ (17.4) $ (19.1) $ 20.5 $ (8.0) Inter
Slide 15: Adjusted Earnings (Loss) Per Share Reconciliation
Supplemental Data* Adjusted Earnings (Loss) Per Share Reconciliation Three Months Ended March 31, 2024 2023 Diluted earnings (loss) per share $ 0.17 $ (0.04) Restructuring and acquisition-related costs 0.02 0.04 Unrealized loss (gain) on equity securities - - Tax effect of adjustments (0.01) (0.01)
Slide 16: Free Cash Flow and Adjusted Free Cash Flow Reconciliation
Supplemental Data* Free Cash Flow and Adjusted Free Cash Flow Reconciliation ($ in millions) Three Months Ended March 31, 2024 2023 Net cash provided by operating activities $ 17.8 $ 32.1 Capital expenditures net of proceeds from the sale of property, plant and equipment (44.9) (46.2) Free cash flow
Slide 17: Net Debt and Net Leverage Ratio
Supplemental Data* Net Debt and Net Leverage Ratio ($ in millions) March 31, 2024 Current portion of long term debt $ 25.0 Long-term debt, net 2,735.0 Total debt, net 2,760.0 Less: Cash and cash equivalents 469.8 Net debt at end of period 2,290.2 Adjusted LTM EBITDA $ 723.5 Net Leverage Ratio 3.2x *
Slide 18: Segment Financial Information
Supplemental Data* Segment Financial Information ($ in millions) Three Months Ended March 31, 2024 2023 Segment Sales Driveline $ 1,106.4 $ 1,013.8 Metal Forming 644.1 619.1 Total Sales 1,750.5 1,632.9 Intersegment Sales (143.6) (139.0) Net External Sales $ 1,606.9 $ 1,493.9 Segment Adjusted EBITDA
Slide 19: 2024 Targeted Adjusted EBITDA and Adjusted Free Cash Flow Reconciliation
Supplemental Data* Adjusted EBITDA Adjusted Free Cash Flow Low End High End Low End High End (in millions) (in millions) Net Income (loss) $ (10) $ 30 Net cash provided by operating activities $ 445 $ 485 Interest expense 195 195 Capital expenditures net of proceeds from the sale of property, (265)
Slide 20: Definition of Non-GAAP Measures
Definition of Non-GAAP Measures EBITDA and Adjusted EBITDA 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 c
Slide 21: www.aam.com
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