Magna Reports Q4 Sales of $10.8B, Adjusted EPS Rises 29% to $2.18
Magna posted Q4 sales of $10.8B (+2%) and delivered adjusted EPS of $2.18, up 29%, alongside an 18% increase in adjusted EBIT to $814M despite a $591M Electronics impairment. The board boosted the quarterly dividend to $0.495 and forecasts 2026 sales of $41.9B-$43.5B with EPS of $6.25-$7.25.
1. Q4 2025 Financial Performance
Magna posted Q4 sales of $10.8B, up 2%, with adjusted EBIT of $814M (up 18%) and a 7.5% margin. Adjusted EPS rose to $2.18, a 29% increase, offsetting a $591M non-cash impairment in its Electronics segment.
2. 2025 Full-Year Results
Magna generated $42B in sales for 2025, with operating activities producing $3.6B in cash. Strategic productivity improvements and new program launches underpinned the strong cash generation.
3. Dividend Increase and Cash Generation
The board approved raising the quarterly dividend to $0.495 per share, marking the 16th consecutive year of dividend growth and underscoring management’s commitment to shareholder returns.
4. Guidance for 2026
For 2026, Magna forecasts sales between $41.9B and $43.5B, an adjusted EBIT margin of 6.0%–6.6%, and adjusted EPS of $6.25–$7.25. Capital expenditures are expected at $1.5B–$1.6B, with free cash flow projected at $1.6B–$1.8B.