Strong Financial Performance
Quarterly results exceeded expectations with sales growth of 2%, adjusted EBIT increase of 3%, and adjusted diluted EPS rising by 4%. Free cash flow improved by nearly $400 million.
Improved Full Year Outlook
The company raised its full-year outlook, including higher sales supported by improved light vehicle production and continued launch execution. The full year free cash flow outlook increased by $200 million.
Significant Business Wins
Awarded a complete vehicle assembly business with XPENG, marking the first time a Chinese automaker has chosen Magna's operations in Austria to serve the European market.
Operational Excellence Initiatives
Operational excellence initiatives drove margin improvements, with a 65 basis point positive impact from net operational performance improvements.
Successful Tariff Mitigation
Reached agreements with additional OEMs for recovery of 2025 net tariff exposures, expecting less than a 10 basis point impact to adjusted EBIT margin from tariffs.