American Axle posts loss on debt refinancing costs
Shares fall more than 10%
 |
Reprints
Print
Respond
DETROIT (Reuters) -- U.S. auto parts supplier American Axle and Manufacturing Holdings Inc. reported a surprise quarterly loss, hurt by restructuring and debt refinancing costs.
Debt refinancing and redemption costs reduced third-quarter earnings by $10.1 million, or 14 cents per share. Restructuring costs of $3.2 million related to plant closures knocked another 4 cents per share off earnings, the company said today.
American Axle reported a net loss of $8.2 million, or 11 cents per share, compared with a profit of $22.6 million, or 33 cents per share, a year earlier.
Excluding special items, the company earned 7 cents per share, which missed analysts' expectations of 33 cents per share by a wide margin. American Axle shares fell 10.4 percent today to close at $10.38 per share.
Total revenue rose 8.5 percent to $702.9 million. Analysts had expected revenue of $686.8 million, according to Thomson Reuters I/B/E/S.
American Axle, which relies on General Motors Co. for about 70 percent of its sales, said non-GM sales in the quarter rose about 14 percent to $198.8 million.
American Axle for years has been trying to reduce its dependence on GM by diversifying its customer base and launching new products. The company set a target in July to reduce its reliance on GM to 50 percent of sales by 2015.
Contact Automotive News
