American Axle boosts FY18 revenue view to $7.1B-$7.2B from approx. $7B
Consensus is $7.1B. This sales projection is based on the anticipated launch schedule of programs in AAM's new and incremental business backlog and the assumption that the U.S. Seasonally Adjusted Annual Rate of sales is in the range of 16.8 million to 17.0 million light vehicle units in 2018. AAM is confirming its 2018 Adjusted EBITDA margin target of 17.5% to 18% of sales. AAM is confirming its 2018 Adjusted free cash flow target of approximately 5% of sales. AAM is confirming its previous cost reduction synergy target from the acquisition of Metaldyne Performance Group of $120M by the first quarter by 2019 and increasing the total expected cost reduction synergy target to $140M by 2020.