American Axle's quarterly revenue up 13 pct, shares rise

Reuters

Feb 7 (Reuters) - American Axle & Manufacturing Holdings Inc posted a 13 percent increase in quarterly revenue as demand for auto parts rose, sending its shares up as much as 6 percent.

The company, which counts General Motors Co as its largest customer, said it expects a boost in sales from supplying parts used in GM's SUVs and pickup trucks and Chrysler's pickups.

American Axle, which makes axles and other drivetrain parts for trucks and larger vehicles, said it expects 2014 U.S. light-vehicle sales to increase to about 16 million units from 15.6 million in 2013.

The company, whose results have been weighed by restructuring charges in the past year, said it was targeting a free cash flow of about $100 million in 2014, significantly higher than the $4.3 million it reported for 2013.

Detroit-based American Axle, which stood by its 2014 revenue forecast, reported net income of $29.8 million, or 39 cents per share, for the fourth quarter. The results include $25.6 million, or 32 cents per share, of debt refinancing and redemption costs.

In the same quarter last year, American Axle reported net income of $319.9 million, or $4.21 per share, which included a $337.5 million tax benefit.

The company, which receives about two-thirds of its revenue from General Motors Co, said non-GM sales rose 37 percent to $280.1 million in the quarter ended Dec. 31.

Revenue rose 13 percent to $831.3 million.

American Axle shares were up 6 percent at $19.48 on the New York Stock Exchange on Friday afternoon.

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