American Axle Cuts FY19 Sales Outlook - Quick Facts

(RTTNews) - While reporting financial results for the third quarter on Friday, American Axle & Manufacturing Holdings, Inc. or AAM (AXL) lowered its sales guidance for the full-year 2019.

The company said this is a result of the expected impact of the GM work stoppage on its full year sales, which is estimated to be about $250 million, and also the impact of lower metal market passthroughs and foreign currency translation of about $50 million. It also assumes a full year of financial results from our U.S. iron casting operations.

For fiscal 2019, the company now projects sales to be about $6.6 billion, down from the previous forecast range of $6.9 billion to $7.0 billion.

On average, analysts polled by Thomson Reuters expect the company to report sales of $6.79 billion for the year.

"The strong free cash flow generated during the quarter, along with the announced sale of our U.S. iron casting operations, position us to continue to deliver on our commitment to reduce debt and strengthen our financial profile," said AAM's Chairman and Chief Executive Officer David Dauch.