The business likewise described its outlook for the year ahead, matching an incomes view above expectations with a decreased sales projection.
Quarterly Metrics
The business reported fourth-quarter adjusted revenues per share of $2.18, beating the expert agreement price quote of $1.79. Quarterly sales of $10.84 billion (+2% year over year) outmatched the Street view of $10.495 billion.
Quarterly incomes increased in spite of a 1% decrease in international light lorry production.
Magna International stated that the greater sales mainly show increased production on particular continuous programs and the launch of brand-new programs, consisting of the Ford Exploration and Lincoln Navigator, Xiaomi YU7, and Jetour Zongheng G700.
Noted U.S. dollar sales likewise gained from a net conditioning of foreign currencies versus the U.S. dollar, which included $355 million. In addition, net consumer healings assisted mainly balanced out greater tariff expenses sustained throughout the year.
Changed EBIT increased 18% to $814 million, with Changed EBIT margin broadening 100 basis indicate 7.5%
In the 4th quarter of 2025, Magna International produced money from operations of $1.98 billion. Free Capital was $1.35 billion in the duration.
Dividend
The company stated a fourth-quarter dividend of $0.495 per Typical Share. This represents a 2% greater dividend. The dividend is payable on March 13,
Outlook
Magna International anticipated financial 2026 adjusted revenues of $6.25 to $7.25 per share, compared to experts’ price quote of $5.99.
The business reduced its financial 2026 sales outlook to $41.9 billion to $43.5 billion from its previous projection of $48.8 billion to $51.2 billion. Experts were anticipating $42.141 billion in sales.
The business predicts an adjusted EBIT Margin of 6% -6.6%.
” With capital costs anticipated to stay listed below historic levels, we expect continued strong Free Capital, which we plan to release utilizing our enduring capital allotment structure, consisting of buying the staying shares offered under our present buyback permission, stated Swamy Kotagiri, Magna’s Ceo.
MGA Rate Action: Magna International shares were up 20.56% at $69.70 at the time of publication on Friday. The stock is trading at a brand-new 52-week high, according to Benzinga Pro information.
Image by Grzegorz Czapski through Shutterstock