DANA Inc Reports Strong 2025 Results and Outlook

By Chris Stiles • Wednesday, January 21 10:46 • Permanent Link

Dana Incorporated, a leading supplier of drivetrain and electrified propulsion systems, has announced its strong preliminary financial results for 2025 along with its outlook for 2026. The company reported sales of approximately $7.5 billion in 2025, with adjusted EBITDA of around $600 million, representing 8 percent of sales. Additionally, Dana completed the sale of its off-highway business at an enterprise value of $2.7 billion and achieved approximately $250 million in cost savings. The company also returned $704 million to shareholders by repurchasing 34 million shares, which represents 23 percent of shares outstanding.

Looking ahead to 2026, Dana has completed $1.9 billion in debt reduction, supported by proceeds from the off-highway sale. The company announced a $750 million three-year new business backlog, with $200 million incremental in 2026. Moreover, Dana raised its cumulative cost savings target to $325 million and increased its 2026 margin guidance range to a midpoint of 10.5 percent.

In terms of preliminary 2026 financial targets, Dana anticipates sales in the range of $7.30 billion to $7.70 billion, adjusted EBITDA between $750 million and $850 million, and adjusted free cash flow ranging from $250 million to $350 million.

R. Bruce McDonald, Chairman and Chief Executive Officer of Dana Incorporated, expressed confidence in the company's strategic commitments, noting that they have reshaped Dana into a more streamlined, higher-margin company with greater financial flexibility. He highlighted the company's strengthened balance sheet, higher-margin new business, and commitment to shareholder returns and operational excellence.

Dana's three-year new business backlog totals $750 million, driven by new program awards, increased content, and expanded vehicle platforms across both the light* and commercial-vehicle segments. The company expects $200 million in incremental new business growth in 2026 from next-generation platforms with global OEMs.

The market has reacted to these announcements by moving the company's shares -0.65% to a price of $27.53. For the full picture, make sure to review DANA Inc's 8-K report.

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