American Axle & Mfg Hldgs (NYSE:AXL) shares fell behind soon after the opening bell Friday on Q4 earnings news.
American Axle’'s (AAM) sales in the fourth quarter of 2020 were $1.44 billion as compared to $1.43 billion in the fourth quarter of 2019. AAM estimates sales for the fourth quarter of 2020 were unfavorably impacted by COVID-19 by approximately $40 million.
AAM estimates that its sales for the fourth quarter of 2019 were unfavorably impacted by a GM work stoppage by approximately $186 million. In addition, fourth quarter of 2019 sales included $119 million related to the firm’s U.S. iron casting operations, which were sold in December 2019.
AAM's net income in the fourth quarter of 2020 was $36.0 million , or $0.30 per share, as compared to a net loss of $(454.4) million , or $(4.04) per share in the fourth quarter of 2019. AAM's net loss for full year 2020 was $(561.3) million , or $(4.96) per share, as compared to a net loss of $(484.5) million , or $(4.31) per share, for full year 2019.
Said CEO David Dauch, "AAM delivered solid financial results and free cash flow performance in 2020 as we successfully managed our cost structure while benefiting from the production recovery during the second half of this year.
"While last year was certainly challenging, we look forward to a better and brighter year in 2021 which includes launching a number of electrification programs to support our customers, generating strong financial metrics through operational excellence and investing in next generation propulsion technologies."
The company’s market cap stands at $1.3 billion. The stock began Friday down 46 cents, or 4.3%, to $10.11.
