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Side-by-side financial comparison of AMERICAN AXLE & MANUFACTURING HOLDINGS INC (AXL) and WATSCO INC (WSO). Click either name above to swap in a different company.
WATSCO INC is the larger business by last-quarter revenue ($1.6B vs $1.4B, roughly 1.1× AMERICAN AXLE & MANUFACTURING HOLDINGS INC). WATSCO INC runs the higher net margin — 4.5% vs -5.4%, a 10.0% gap on every dollar of revenue. On growth, AMERICAN AXLE & MANUFACTURING HOLDINGS INC posted the faster year-over-year revenue change (0.2% vs -10.0%). WATSCO INC produced more free cash flow last quarter ($388.5M vs $54.7M). Over the past eight quarters, WATSCO INC's revenue compounded faster (0.4% CAGR vs -7.2%).
American Axle & Manufacturing, Inc. (AAM), headquartered in Detroit, Michigan, is an American manufacturer of automobile driveline and drivetrain components and systems.
Watsco, Inc. is a distributor of air conditioning, heating and refrigeration equipment, and related parts and supplies (HVAC/R) in the United States. Watsco was founded more than 60 years ago as a manufacturer of parts, components, and tools used in the HVAC/R industry. In 1989, the company shifted from manufacturing to distribution, by acquiring Gemaire Distributors Inc., a South Florida-based Rheem distributor.
AXL vs WSO — Head-to-Head
Income Statement — Q4 FY2025 vs Q4 FY2025
| Metric | | |
|---|---|---|
| Revenue | $1.4B | $1.6B |
| Net Profit | $-75.3M | $71.7M |
| Gross Margin | 10.2% | 27.1% |
| Operating Margin | -2.4% | 6.4% |
| Net Margin | -5.4% | 4.5% |
| Revenue YoY | 0.2% | -10.0% |
| Net Profit YoY | -449.6% | -25.9% |
| EPS (diluted) | $-0.62 | $1.82 |
Green = leading value per metric. Periods may differ when fiscal calendars don't align.
8-Quarter Revenue & Profit Trend
Side-by-side quarterly history. Quarters aligned by calendar period so offset fiscal years line up.
| Q4 25 | $1.4B | $1.6B | ||
| Q3 25 | $1.5B | $2.1B | ||
| Q2 25 | $1.5B | $2.1B | ||
| Q1 25 | $1.4B | $1.5B | ||
| Q4 24 | $1.4B | $1.8B | ||
| Q3 24 | $1.5B | $2.2B | ||
| Q2 24 | $1.6B | $2.1B | ||
| Q1 24 | $1.6B | $1.6B |
| Q4 25 | $-75.3M | $71.7M | ||
| Q3 25 | $9.2M | $161.6M | ||
| Q2 25 | $39.3M | $183.6M | ||
| Q1 25 | $7.1M | $80.1M | ||
| Q4 24 | $-13.7M | $96.8M | ||
| Q3 24 | $10.0M | $171.0M | ||
| Q2 24 | $18.2M | $181.4M | ||
| Q1 24 | $20.5M | $87.0M |
| Q4 25 | 10.2% | 27.1% | ||
| Q3 25 | 12.6% | 27.5% | ||
| Q2 25 | 13.1% | 29.3% | ||
| Q1 25 | 12.3% | 28.1% | ||
| Q4 24 | 11.2% | 26.7% | ||
| Q3 24 | 11.4% | 26.2% | ||
| Q2 24 | 13.3% | 27.1% | ||
| Q1 24 | 12.4% | 27.5% |
| Q4 25 | -2.4% | 6.4% | ||
| Q3 25 | 3.2% | 11.4% | ||
| Q2 25 | 3.6% | 13.2% | ||
| Q1 25 | 3.0% | 7.3% | ||
| Q4 24 | 2.6% | 7.8% | ||
| Q3 24 | 2.8% | 11.6% | ||
| Q2 24 | 5.3% | 12.6% | ||
| Q1 24 | 4.8% | 8.1% |
| Q4 25 | -5.4% | 4.5% | ||
| Q3 25 | 0.6% | 7.8% | ||
| Q2 25 | 2.6% | 8.9% | ||
| Q1 25 | 0.5% | 5.2% | ||
| Q4 24 | -1.0% | 5.5% | ||
| Q3 24 | 0.7% | 7.9% | ||
| Q2 24 | 1.1% | 8.5% | ||
| Q1 24 | 1.3% | 5.6% |
| Q4 25 | $-0.62 | $1.82 | ||
| Q3 25 | $0.07 | $3.98 | ||
| Q2 25 | $0.32 | $4.52 | ||
| Q1 25 | $0.06 | $1.93 | ||
| Q4 24 | $-0.11 | $2.42 | ||
| Q3 24 | $0.08 | $4.22 | ||
| Q2 24 | $0.15 | $4.49 | ||
| Q1 24 | $0.17 | $2.17 |
Balance Sheet & Financial Strength
Snapshot of each company's liquidity, leverage and book value from the latest quarter.
| Metric | | |
|---|---|---|
| Cash + ST InvestmentsLiquidity on hand | $708.9M | $733.3M |
| Total DebtLower is stronger | $4.0B | $361.6M |
| Stockholders' EquityBook value | $640.0M | $2.8B |
| Total Assets | $6.7B | $4.4B |
| Debt / EquityLower = less leverage | 6.31× | 0.13× |
8-quarter trend — quarters aligned by calendar period.
| Q4 25 | $708.9M | $733.3M | ||
| Q3 25 | $714.1M | $524.3M | ||
| Q2 25 | $586.5M | $293.0M | ||
| Q1 25 | $549.2M | $431.8M | ||
| Q4 24 | $552.9M | $781.9M | ||
| Q3 24 | $542.5M | $550.0M | ||
| Q2 24 | $519.9M | $424.9M | ||
| Q1 24 | $469.8M | $478.9M |
| Q4 25 | $4.0B | $361.6M | ||
| Q3 25 | $2.6B | $340.8M | ||
| Q2 25 | $2.6B | $338.7M | ||
| Q1 25 | $2.6B | $346.4M | ||
| Q4 24 | $2.6B | $337.2M | ||
| Q3 24 | $2.6B | $321.0M | ||
| Q2 24 | $2.7B | $307.1M | ||
| Q1 24 | $2.7B | $306.3M |
| Q4 25 | $640.0M | $2.8B | ||
| Q3 25 | $718.4M | $2.8B | ||
| Q2 25 | $673.0M | $2.8B | ||
| Q1 25 | $596.3M | $2.7B | ||
| Q4 24 | $562.8M | $2.7B | ||
| Q3 24 | $616.3M | $2.7B | ||
| Q2 24 | $609.6M | $2.6B | ||
| Q1 24 | $621.4M | $2.5B |
| Q4 25 | $6.7B | $4.4B | ||
| Q3 25 | $5.3B | $4.6B | ||
| Q2 25 | $5.3B | $4.7B | ||
| Q1 25 | $5.1B | $4.5B | ||
| Q4 24 | $5.1B | $4.5B | ||
| Q3 24 | $5.3B | $4.5B | ||
| Q2 24 | $5.3B | $4.4B | ||
| Q1 24 | $5.4B | $4.4B |
| Q4 25 | 6.31× | 0.13× | ||
| Q3 25 | 3.61× | 0.12× | ||
| Q2 25 | 3.86× | 0.12× | ||
| Q1 25 | 4.38× | 0.13× | ||
| Q4 24 | 4.58× | 0.13× | ||
| Q3 24 | 4.28× | 0.12× | ||
| Q2 24 | 4.42× | 0.12× | ||
| Q1 24 | 4.40× | 0.12× |
Cash Flow & Capital Efficiency
How much cash each business actually produces after reinvestment. Cash flow is harder to manipulate than net income.
| Metric | | |
|---|---|---|
| Operating Cash FlowLast quarter | $120.5M | $399.8M |
| Free Cash FlowOCF − Capex | $54.7M | $388.5M |
| FCF MarginFCF / Revenue | 4.0% | 24.6% |
| Capex IntensityCapex / Revenue | 4.8% | 0.7% |
| Cash ConversionOCF / Net Profit | — | 5.57× |
| TTM Free Cash FlowTrailing 4 quarters | $155.1M | $535.1M |
8-quarter trend — quarters aligned by calendar period.
| Q4 25 | $120.5M | $399.8M | ||
| Q3 25 | $143.3M | $354.9M | ||
| Q2 25 | $91.9M | $-7.4M | ||
| Q1 25 | $55.9M | $-177.6M | ||
| Q4 24 | $151.2M | $378.9M | ||
| Q3 24 | $143.6M | $232.8M | ||
| Q2 24 | $142.8M | $57.7M | ||
| Q1 24 | $17.8M | $103.7M |
| Q4 25 | $54.7M | $388.5M | ||
| Q3 25 | $79.2M | $346.1M | ||
| Q2 25 | $34.6M | $-14.3M | ||
| Q1 25 | $-13.4M | $-185.2M | ||
| Q4 24 | $73.2M | $370.9M | ||
| Q3 24 | $70.4M | $223.0M | ||
| Q2 24 | $94.0M | $51.3M | ||
| Q1 24 | $-30.2M | $97.9M |
| Q4 25 | 4.0% | 24.6% | ||
| Q3 25 | 5.3% | 16.7% | ||
| Q2 25 | 2.3% | -0.7% | ||
| Q1 25 | -0.9% | -12.1% | ||
| Q4 24 | 5.3% | 21.1% | ||
| Q3 24 | 4.7% | 10.3% | ||
| Q2 24 | 5.8% | 2.4% | ||
| Q1 24 | -1.9% | 6.3% |
| Q4 25 | 4.8% | 0.7% | ||
| Q3 25 | 4.3% | 0.4% | ||
| Q2 25 | 3.7% | 0.3% | ||
| Q1 25 | 4.9% | 0.5% | ||
| Q4 24 | 5.6% | 0.5% | ||
| Q3 24 | 4.9% | 0.5% | ||
| Q2 24 | 3.0% | 0.3% | ||
| Q1 24 | 3.0% | 0.4% |
| Q4 25 | — | 5.57× | ||
| Q3 25 | 15.58× | 2.20× | ||
| Q2 25 | 2.34× | -0.04× | ||
| Q1 25 | 7.87× | -2.22× | ||
| Q4 24 | — | 3.91× | ||
| Q3 24 | 14.36× | 1.36× | ||
| Q2 24 | 7.85× | 0.32× | ||
| Q1 24 | 0.87× | 1.19× |
Financial Flow Comparison
Revenue → gross profit → operating profit → net profit for each company.
Revenue Breakdown by Segment
AXL
| Driveline | $748.4M | 54% |
| Other | $345.7M | 25% |
| Metal Forming | $289.8M | 21% |
WSO
Segment breakdown not available.
