Accuride Corp (ACW) SEC Filing 10-Q Quarterly report for the period ending Tuesday, June 30, 2015

FOR IMMEDIATE RELEASE

Accuride Reports Increase in Profitability in Second Quarter 2015

	Second Quarter 2015 results from continuing operations included:

o	Net sales of $185.4 million, up 2.1 percent year-over-year

o	Adjusted EBITDA of $25.9 million, up 11.5 percent year-over-year

o	Net Income of $0.13 per share

	Maintaining 2015 earnings guidance despite reduction in revenue guidance due to Brillion

o	Aftermarket demand for aluminum wheels and Gunite components expected to help offset softer Brillion end markets

EVANSVILLE, Ind. – July 27, 2015 – Accuride Corporation (NYSE: ACW) – a leading supplier of components to the North American commercial vehicle industry – today reported strong financial results for the second quarter ended June 30, 2015, reporting increased year-over-year profitability.

Second Quarter 2015 Results

Second quarter 2015 net sales were $185.4 million, compared with $181.6 million in the same period in 2014, an increase of 2.1 percent, primarily reflecting the impact of stronger industry conditions in the Company's Wheels segment during the quarter.  Accuride's operating income was $14.2 million for the quarter, compared to operating income of $12.3 million in the second quarter of 2014.  The Company reported income from continuing operations of $6.1 million, or $0.13 per share, during the quarter, compared to income from continuing operations of $5.1 million, or $0.11 per share, in 2014.  Second quarter Adjusted EBITDA increased by 11.5 percent year-over-year to $25.9 million, or 14.0 percent of net sales, compared to $23.2 million, or 12.8 percent of net sales, in the same quarter of 2014.  As of June 30, 2015, Accuride had $30.8 million of cash plus $59.4 million in availability under its ABL Credit Facility, for total liquidity of $90.2 million.

Industry Conditions

North American commercial vehicle industry conditions remained robust in the second quarter, with truck and trailer production continuing to increase at a healthy pace.  Class 8, Class 5-7 and Trailer production grew by 20.3 percent, 0.5 percent and 13.4 percent, respectively, over 2014.  Class 8 and Trailer net orders continued to moderate in the quarter, but full-year production is expected to remain strong.  The Class 8 backlog remains high at 42 percent above year-ago levels, while the Trailer backlog is 33 percent above last year.  As a result, few Class 8 OEM production slots remain open for the remainder of the year, and many Trailer makers are completely sold out for 2015.  Demand in the medium duty segment is steady, with backlogs standing 11 percent above year-ago levels.  Fleets are generally optimistic about current industry conditions, despite some driver-shortage constraints.  U.S. freight tonnage is forecasted to steadily increase over the next several years, which will continue to drive future demand for trucks and trailers.

Second Quarter Business Segment Results

Accuride Wheels

Accuride Wheels segment net sales were $114.4 million, up $13.2 million, or 13.1 percent, from the same period in 2014, primarily due to stronger OEM demand and market share gains in the aftermarket.  Wheels' Adjusted EBITDA was $26.1 million, an increase of $5.2 million, or 24.6 percent, from the second quarter of 2014.  Accuride flexed up its expanded aluminum wheel production capacity to accommodate the increase in volume.