Revenue stagnation is evident as quarterly figures declined from $1.6B in early 2024 to $1.4B by year-end, while gross margins remain constrained within a narrow 8.4% to 13.1% range.
| Metric | TTM | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 |
|---|
| Sales/Revenue | 4.33B | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Revenue Growth % | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Cost of Goods Sold | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| COGS % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Gross Profit | 528.9M | 741.4M | 624.3M | 704.9M | 722.7M | 582.7M | 902.6M | 1.14B | 1.12B | 726.1M | 635.4M | 522.8M | 478.7M | 399.7M | 455.1M | 401.7M | -31.1M | -865.2M | 278.4M | -128.6M | 304.7M | 474.5M | 540.3M | 491.7M | 409.7M | 529.9M | 474.9M | 228.1M |
| Gross Margin % | 12.22% | 12.1% | 10.27% | 12.15% | 14.02% | 12.37% | 13.82% | 15.69% | 17.86% | 18.39% | 16.28% | 14.14% | 14.93% | 13.64% | 17.61% | 17.6% | -2.04% | -41.02% | 8.57% | -4.03% | 9% | 13.18% | 14.67% | 14.13% | 13.19% | 17.26% | 16.08% | 11.18% |
| Gross Profit Growth % | - | 18.76% | -11.43% | -2.46% | 24.03% | -35.44% | -20.85% | 1.9% | 54.12% | 14.27% | 21.54% | 9.21% | 19.76% | -12.17% | 13.29% | 1391.64% | 96.41% | -410.78% | 316.49% | -142.21% | -35.78% | -12.18% | 9.88% | 20.01% | -22.68% | 11.58% | 108.2% | - |
| Operating Expenses | 249.63M | 500M | 477.7M | 461M | 482.1M | 978.7M | 460.1M | 485.1M | 465.4M | 319.2M | 277.3M | 255.2M | 238.4M | 243.3M | 231.7M | 197.6M | 172.7M | 185.4M | 202.8M | 197.4M | 199.6M | 189.7M | 194M | 180.5M | 168.4M | 270.5M | 232.8M | 177.9M |
| OpEx % of Revenue | - | 8.16% | 7.86% | 7.95% | 9.35% | 20.78% | 7.04% | 6.67% | 7.43% | 8.09% | 7.1% | 6.9% | 7.43% | 8.3% | 8.96% | 8.66% | 11.35% | 8.79% | 6.24% | 6.18% | 5.89% | 5.27% | 5.27% | 5.19% | 5.42% | 8.81% | 7.88% | 8.72% |
| Selling, General & Admin | 180.07M | 387.1M | 366.9M | 345.1M | 344.2M | 313.9M | 364.7M | 385.7M | 390.1M | 319.2M | 277.3M | 255.2M | 238.4M | 243.3M | 231.7M | 197.6M | 172.7M | 185.4M | 202.8M | 197.4M | 199.6M | 189.7M | 194M | 180.5M | 164.4M | 162.6M | 143.3M | 106.2M |
| SG&A % of Revenue | - | 6.32% | 6.04% | 5.95% | 6.67% | 6.66% | 5.58% | 5.31% | 6.23% | 8.09% | 7.1% | 6.9% | 7.43% | 8.3% | 8.96% | 8.66% | 11.35% | 8.79% | 6.24% | 6.18% | 5.89% | 5.27% | 5.27% | 5.19% | 5.29% | 5.3% | 4.85% | 5.2% |
| Research & Development | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Operating Income | 133.74M | 241.4M | 146.6M | 243.9M | 240.6M | -396M | 426M | 106.4M | 543M | 380.7M | 358.1M | 267.6M | 240.3M | 156.4M | 223.4M | 204.1M | -203.8M | -1.05B | 75.6M | -326M | 105.1M | 284.8M | 346.3M | 311.2M | 241.3M | 259.4M | 242.1M | 50.2M |
| Operating Margin % | 3.09% | 3.94% | 2.41% | 4.2% | 4.67% | -8.41% | 6.52% | 1.46% | 8.67% | 9.64% | 9.17% | 7.24% | 7.49% | 5.34% | 8.64% | 8.94% | -13.39% | -49.81% | 2.33% | -10.21% | 3.1% | 7.91% | 9.4% | 8.94% | 7.77% | 8.45% | 8.2% | 2.46% |
| Operating Income Growth % | - | 64.67% | -39.89% | 1.37% | 160.76% | -192.96% | 300.38% | -80.41% | 42.63% | 6.31% | 33.82% | 11.36% | 53.64% | -29.99% | 9.46% | 200.15% | 80.6% | -1489.68% | 123.19% | -410.18% | -63.1% | -17.76% | 11.28% | 28.97% | -6.98% | 7.15% | 382.27% | - |
| EBITDA | 478.65M | 711.1M | 633.8M | 736M | 784.9M | 125.9M | 962.9M | 572.8M | 919.9M | 546.1M | 556.5M | 467.5M | 417.3M | 308.6M | 362.8M | 335.7M | -69.1M | -851.1M | 305M | -120M | 290.2M | 455.9M | 509.4M | 457M | 367.9M | 367.3M | 331.6M | 121.9M |
| EBITDA Margin % | 11.06% | 11.61% | 10.43% | 12.68% | 15.22% | 2.67% | 14.74% | 7.88% | 14.68% | 13.83% | 14.26% | 12.65% | 13.01% | 10.53% | 14.03% | 14.7% | -4.54% | -40.35% | 9.39% | -3.76% | 8.57% | 12.67% | 13.83% | 13.13% | 11.84% | 11.97% | 11.23% | 5.97% |
| EBITDA Growth % | -32.68% | 12.2% | -13.89% | -6.23% | 523.43% | -86.92% | 68.1% | -37.73% | 68.45% | -1.87% | 19.04% | 12.03% | 35.22% | -14.94% | 8.07% | 585.82% | 91.88% | -379.05% | 354.17% | -141.35% | -36.35% | -10.5% | 11.47% | 24.22% | 0.16% | 10.77% | 172.03% | - |
| D&A (Non-Cash Add-back) | 341.1M | 469.7M | 487.2M | 492.1M | 544.3M | 521.9M | 536.9M | 466.4M | 376.9M | 165.4M | 198.4M | 199.9M | 177M | 152.2M | 139.4M | 131.6M | 134.7M | 199.5M | 229.4M | 206M | 185.1M | 171.1M | 163.1M | 145.8M | 126.6M | 107.9M | 89.5M | 71.7M |
| EBIT | 179.45M | 248.8M | 177.2M | 240.8M | 294.9M | -412.2M | -315.7M | 125M | 535.6M | 392.4M | 358.1M | 267.6M | 202.2M | 133.1M | 222M | 207.8M | -212.6M | -1.05B | 75.6M | -326M | 105.1M | 284.8M | 346.3M | 311.2M | 241.3M | 259.4M | 242.1M | 50.2M |
| Net Interest Income | 11.21M | -157.9M | -175.5M | -157.5M | -184.3M | -200.7M | -211.5M | -214.3M | -192.7M | -93.4M | -99.2M | -99.9M | -115.9M | -101.6M | -83.9M | -89M | -84.5M | -70.4M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 12.21M | 28.1M | 26.2M | 17M | 10.9M | 11.6M | 5.8M | 2M | 2.9M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 86.8M | 186M | 201.7M | 174.5M | 195.2M | 212.3M | 217.3M | 216.3M | 195.6M | 93.4M | 99.2M | 99.9M | 115.9M | 101.6M | 83.9M | 89M | 84.5M | 70.4M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Pretax Income | 21.37M | 62.8M | -24.5M | 66.3M | 1.2M | -610.3M | -533M | -113.9M | 340M | 299M | 272.7M | 176.7M | 86.3M | 31.5M | 138.1M | 118.8M | -297.1M | -1.12B | 17.6M | -355.5M | 80M | 235.8M | 303.2M | 273.8M | 180.9M | 203.4M | 183.4M | 5.6M |
| Pretax Margin % | 0.49% | 1.03% | -0.4% | 1.14% | 0.02% | -12.96% | -8.16% | -1.57% | 5.43% | 7.57% | 6.99% | 4.78% | 2.69% | 1.07% | 5.34% | 5.2% | -19.53% | -53.16% | 0.54% | -11.14% | 2.36% | 6.55% | 8.23% | 7.87% | 5.82% | 6.63% | 6.21% | 0.27% |
| Income Tax | 48.9M | 27.8M | 9.1M | 2M | -4.7M | -49.2M | -48.9M | -57.1M | 2.5M | 58.3M | 37.1M | 33.7M | -8.2M | -335.2M | 1M | 4.3M | -43.8M | 103.3M | -19.4M | -133M | 24M | 76.3M | 106.1M | 97.7M | 66M | 74.2M | 67.8M | 2.1M |
| Effective Tax Rate % | 228.8% | 44.27% | -37.14% | 3.02% | -391.67% | 8.06% | 9.17% | 50.13% | 0.74% | 19.5% | 13.6% | 19.07% | -9.5% | -1064.13% | 0.72% | 3.62% | 14.74% | -9.21% | -110.23% | 37.41% | 30% | 32.36% | 34.99% | 35.68% | 36.48% | 36.48% | 36.97% | 37.5% |
| Net Income | 606.23K | 35M | -33.6M | 64.3M | 5.9M | -561.1M | -484.1M | -57.5M | 337.1M | 240.7M | 235.6M | 143M | 94.5M | 367.7M | 142.8M | 115.4M | -253.1M | -1.22B | 37M | -222.5M | 56M | 159.5M | 197.1M | 176.1M | 114.9M | 129.2M | 115.6M | 3.5M |
| Net Margin % | 0.01% | 0.57% | -0.55% | 1.11% | 0.11% | -11.91% | -7.41% | -0.79% | 5.38% | 6.1% | 6.04% | 3.87% | 2.95% | 12.55% | 5.52% | 5.05% | -16.63% | -58.05% | 1.14% | -6.97% | 1.65% | 4.43% | 5.35% | 5.06% | 3.7% | 4.21% | 3.91% | 0.17% |
| Net Income Growth % | -97.95% | 204.17% | -152.26% | 989.83% | 101.05% | -15.91% | -741.91% | -117.06% | 40.05% | 2.16% | 64.76% | 51.32% | -74.3% | 157.49% | 23.74% | 145.59% | 79.33% | -3408.92% | 116.63% | -497.32% | -64.89% | -19.08% | 11.92% | 53.26% | -11.07% | 11.76% | 3202.86% | - |
| Net Income (Continuing) | 606.23K | 35M | -33.6M | 64.3M | 5.9M | -561.1M | -484.1M | -56.8M | 337.5M | 240.7M | 235.6M | 143M | 94.5M | 366.7M | 137.1M | 114.5M | -253.3M | -1.22B | 37M | -222.5M | 56M | 159.5M | 197.1M | 176.1M | 114.9M | 129.2M | 115.6M | 3.5M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 2.7M | 2.8M | 2.4M | 4M | 0 | 0 | 0 | 0 | 0 | 5.9M | 11.4M | 300K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.02 | 0.29 | -0.29 | 0.53 | 0.05 | -4.96 | -4.31 | -0.52 | 3.21 | 3.06 | 3.02 | 1.85 | 1.23 | 4.87 | 1.89 | 1.55 | -4.81 | -23.73 | 0.70 | -4.42 | 1.10 | 2.98 | 3.70 | 3.38 | 2.36 | 2.60 | 2.34 | 0.08 |
| EPS Growth % | -33.66% | 200% | -154.72% | 960% | 101.01% | -15.08% | -728.85% | -116.2% | 4.9% | 1.32% | 63.24% | 50.41% | -74.74% | 157.67% | 21.94% | 132.22% | 79.73% | -3490% | 115.84% | -501.82% | -63.09% | -19.46% | 9.47% | 43.22% | -9.23% | 11.11% | 2825% | - |
| EPS (Basic) | - | 0.29 | -0.29 | 0.54 | 0.05 | -4.96 | -4.31 | -0.52 | 3.22 | 3.08 | 3.03 | 1.85 | 1.23 | 4.88 | 1.91 | 1.61 | -4.81 | -23.73 | 0.72 | -4.42 | 1.12 | 3.09 | 3.84 | 3.62 | 2.55 | 2.79 | 2.87 | 0.11 |
| Diluted Shares Outstanding | 34.5M | 117.7M | 116.6M | 115.5M | 114.1M | 113.1M | 112.3M | 111.6M | 102.8M | 76.9M | 76.3M | 75.9M | 75.3M | 74.9M | 75.4M | 74.5M | 52.6M | 51.6M | 52.7M | 50.34M | 50.91M | 53.52M | 53.27M | 52.1M | 48.69M | 49.69M | 49.4M | 43.75M |
| Basic Shares Outstanding | 34.5M | 117.58M | 116.6M | 114.5M | 113.9M | 113.1M | 112.3M | 111.6M | 102.3M | 76.4M | 75.9M | 75.7M | 75.2M | 74.8M | 74.9M | 71.5M | 52.6M | 51.6M | 51.1M | 50.34M | 50M | 51.62M | 51.33M | 48.65M | 45.06M | 46.31M | 40.28M | 31.82M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 85.95% | - | 54.29% | 14.42% | - | - | - | - | - | - |
High debt-to-equity leverage
As reported in recent financial filings, the company's quarterly revenue has trended downward from $1.6B in early 2024 to $1.4B by the end of the year, suggesting that the firm is struggling to maintain volume in a highly competitive and cyclical automotive supply environment.
The consistent decline in top-line performance indicates that the company may be losing market share or facing reduced production schedules from its primary OEM partners. Investors should monitor whether this contraction is a temporary reflection of automotive production cycles or a more permanent erosion of the company's competitive positioning in the driveline market.
Based on the provided income statement data, gross margins have fluctuated within a narrow 8.4% to 13.1% range, highlighting a lack of pricing power and significant exposure to volatile raw material costs that appear to constrain the company's ability to generate meaningful bottom-line profitability.
The inability to consistently expand gross margins suggests that the company's cost structure is heavily burdened by commodity inputs and fixed manufacturing overhead. This lack of margin expansion implies that the firm may be unable to pass through inflationary pressures effectively, leaving it vulnerable to further earnings volatility.
According to the quarterly income statements, operating margins have remained thin, peaking at only 5.4% in 2024Q2, which indicates that the company struggles to achieve meaningful operating leverage even during periods of relatively higher revenue generation compared to its historical baseline.
The tight spread between gross and operating margins suggests that SG&A expenses are not scaling efficiently with revenue, potentially due to the high fixed costs inherent in its manufacturing footprint. This lack of operating leverage warrants further investigation into whether management can successfully optimize its cost base to improve profitability.
As evidenced by the erratic net income figures, which swung from a $20.5M profit in 2024Q1 to a $13.7M loss by 2024Q4, the company's bottom line appears highly sensitive to non-operating items and restructuring charges that obscure the underlying health of the core business operations.
The frequent oscillation between net profit and loss suggests that the company's earnings quality is low, likely impacted by one-time charges or accounting adjustments. Investors should be cautious, as the reported EPS figures may not accurately reflect the company's long-term ability to generate sustainable cash flow.
Based on the reported financial figures, the company's extreme debt-to-equity ratio of 4.86 suggests that the firm is operating with a highly precarious capital structure that leaves it exceptionally vulnerable to interest rate fluctuations and potential credit market tightening in the coming fiscal periods.
Short-sellers would likely focus on the company's limited financial flexibility, which restricts its ability to invest in necessary R&D for the EV transition. This high leverage profile implies that any further deterioration in operating performance could lead to significant liquidity concerns, making the current valuation appear potentially optimistic.
Quick answers to the most common questions about buying AAM stock.
AA Mission Acquisition Corp. (AAM) is profitable, generating $35.0M in net income for the fiscal year ending 2024 with a net profit margin of 0.6%.
AA Mission Acquisition Corp. (AAM) reported an operating income of $241.4M, resulting in an operating profit margin of 3.9%. This margin reflects the operational efficiency of the business before interest and taxes.
AA Mission Acquisition Corp. (AAM) generated $741.4M in gross profit for the year, representing a gross profit margin of 12.1%. This demonstrates the company's core pricing power and production efficiency.