+3% Adjusted EBIT & Margin ($Millions) • Non-recurring • Volumes & Other Operational Q1 2024 Financial Results Investment-grade ratings from Moody's, S&P, DBRS On-track to be back in target range during 2025 Q1 2024 Results 19 Changed from previous Outlook Updated 2024 Outlook Changed from previous Outlook 1 Adjusted EBIT Margin is the ratio of Adjusted EBIT to Total Sales 2 Income Tax Rate has been calculated using Adjusted EBIT and is based on current tax legislation 3 Adjusted Net Income Attributable to ...

Sales increased 3% to $11.0 billion, compared to a 2% rise in global light vehicle productionDiluted earnings per share and Adjusted diluted earnings per share were $0.03 and $1.08, respectivelyRecorded asset impairments and restructuring totaling $316 million related to FiskerPaid dividends of $134 millionMaintaining 2024 Adjusted EBIT Margin Outlook range of 5.4%-6.0% AURORA, Ontario, May 03, 2024 (GLOBE NEWSWIRE) -- Magna International Inc. (TSX:MG, NYSE:MGA) today reported financial results for the firs ...

Integrated Driver & Occupant Monitoring System is one of 13 PACE Award winners out of 33 finalistsExteriors and seating products secure two of 11 PACEpilot Innovation to Watch recognitionsMagna only company to receive a PACE and multiple PACEpilot Awards AURORA, Ontario, April 30, 2024 (GLOBE NEWSWIRE) -- Magna was named a 2024 Automotive News PACE Award winner and received multiple PACEpilot Innovation to Watch recognitions at the awards ceremony on April 29th. The prestigious PACE Award recognizes automot ...

Wall Street analysts expect Magna (MGA) to post quarterly earnings of $1.28 per share in its upcoming report, which indicates a year-over-year increase of 15.3%. Revenues are expected to be $11.02 billion, up 3.3% from the year-ago quarter.The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.Ahead of a company's earnings disclosure, it is crucial to give du ...

Magna (MGA) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended March 2024. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The earnings report, which is expected to be released on May 3, 2024, might help the stock move higher if these key numbers are better than expectations. ...

On Monday, unusual options activity for Magna (NYSE:MGA) – an auto parts specialist – shot up to the top of the charts. Specifically, total options volume reached 119,018 contracts, up 1,779.92% against its trailing one-month average. Why so much interest in MGA stock? It could be a speculative bet on a resurgence.Analysts are generally skeptical about Magna. Indeed, MGA stock carries a hold rating. Among 12 covering experts, nine of them rate shares exactly that, a hold.However, the average 12-month foreca ...

Slide presentation will be available on our website Investors | Magna prior to the call ...

Financial Performance - Sales increased to $42,797 million in 2023, up from $37,840 million in 2022, representing a 13.1% growth[20] - Net income attributable to Magna International Inc. rose to $1,213 million in 2023, compared to $592 million in 2022, a 104.9% increase[20] - Earnings per share (EPS) for 2023 were $4.24 (basic) and $4.23 (diluted), up from $2.04 (basic) and $2.03 (diluted) in 2022[20] - Comprehensive income attributable to Magna International Inc. was $1,430 million in 2023, up from $369 million in 2022[21] - Net income for 2023 increased to $1,286 million, up from $641 million in 2022, reflecting a significant growth in profitability[23] - Adjusted EBIT for 2023 rose to $2.238 billion, compared to $1.708 billion in 2022, indicating improved profitability[168] - Total sales for 2023 increased to $42.797 billion, up from $37.840 billion in 2022, reflecting growth across all segments[168] - Basic earnings per Common Share in 2023 were $4.24, up from $2.04 in 2022[83] Assets and Liabilities - Total assets grew to $32,255 million in 2023, up from $27,789 million in 2022, a 16.1% increase[22] - Intangible assets, net increased to $876 million in 2023, compared to $452 million in 2022, primarily due to the Veoneer AS acquisition[22] - Goodwill rose to $2,767 million in 2023, up from $2,031 million in 2022, reflecting the Veoneer AS business combination[22] - Long-term debt increased to $4,175 million in 2023, up from $2,847 million in 2022, a 46.6% rise[22] - Retained earnings grew to $9,303 million in 2023, compared to $8,639 million in 2022[22] - Total equity increased to $12,277 million in 2023 from $11,335 million in 2022, driven by higher net income and other comprehensive income[24] - Financial assets totaled $9,253 million in 2023, with cash and cash equivalents at $1,198 million and accounts receivable at $7,881 million[147] - Financial liabilities increased to $13,347 million in 2023 from $10,508 million in 2022, primarily due to a rise in long-term debt to $4,994 million from $3,501 million[147] - Net assets increased to $19.007 billion in 2023, up from $16.083 billion in 2022[170] Acquisitions and Investments - Veoneer AS acquisition contributed 4% of total assets and 2% of sales to the consolidated financial statements as of December 31, 2023[15] - Acquisitions in 2023 amounted to $1,504 million, a substantial increase from $3 million in 2022, highlighting aggressive expansion efforts[23] - Acquisition of Veoneer Active Safety Business for $1,438 million, with a net cash outflow of $1,475 million[88][89] - Investment in Yulu Mobility and establishment of Magna Yuma with a cash contribution of $52 million for a 51% controlling interest[91][92] - Transaction costs related to the acquisition of Veoneer Active Safety Business were $23 million in 2023[77] Cash Flow and Operational Efficiency - Cash provided from operating activities rose to $3,149 million in 2023, compared to $2,095 million in 2022, indicating improved operational efficiency[23] - Fixed asset additions in 2023 totaled $2,500 million, up from $1,681 million in 2022, reflecting increased investment in infrastructure[23] - Dividends paid in 2023 were $522 million, slightly higher than $514 million in 2022, maintaining a stable return to shareholders[23] - Cash and cash equivalents decreased to $1,198 million in 2023 from $1,234 million in 2022[85] - Fixed assets increased to $22,428 million in 2023 from $20,179 million in 2022, with construction in progress expenditures of $2.6 billion[99] - Fixed asset additions totaled $2.500 billion in 2023, with Body Exteriors & Structures accounting for $1.638 billion[168] Segment Performance - Body Exteriors & Structures segment led with $17.511 billion in total sales and $1.304 billion in Adjusted EBIT for 2023[168] - Power & Vision segment reported $14.305 billion in total sales and $668 million in Adjusted EBIT for 2023[168] - General Motors remained the largest customer, contributing $6.162 billion in external revenues for 2023, up from $5.903 billion in 2022[170] - North America accounted for $20.722 billion in external sales in 2023, with the United States contributing $10.855 billion[171] - Europe's external sales reached $16.217 billion in 2023, with Austria leading at $6.926 billion[171] - Asia Pacific external sales grew to $5.316 billion in 2023, with China contributing $4.843 billion[171] Taxes and Deferred Tax Assets - Effective income tax rate decreased to 19.9% in 2023 from 27.0% in 2022, primarily due to research and development tax credits and foreign rate differentials[101] - Foreign income before taxes increased significantly to $1,790 million in 2023 from $935 million in 2022[102] - Current income tax provision rose to $581 million in 2023, with foreign taxes accounting for $557 million of the total[103] - Deferred tax assets increased to $1,265 million in 2023, with tax benefit of loss carryforwards contributing $892 million[104] - Unrecognized tax benefits increased to $220 million in 2023, with $188 million potentially affecting the effective tax rate if recognized[110] Intangible Assets and Goodwill - Intangible assets grew to $1,748 million in 2023, with patents and technology showing the largest increase to $613 million[111] - Goodwill balance increased to $2,767 million in 2023, driven by acquisitions of $670 million in the Power & Vision segment[100] Debt and Financing - Long-term debt increased to $4.175 billion in 2023 from $2.847 billion in 2022, with significant issuances including $300 million Senior Notes due 2026 at 5.980% and $500 million Senior Notes due 2033 at 5.500%[116] - Future principal repayments on long-term debt are estimated to be $819 million in 2024, $693 million in 2025, and $2.125 billion thereafter[117] - Interest expense, net increased to $156 million in 2023 from $81 million in 2022, with interest paid in cash rising to $242 million from $128 million[118] - The company has a $800 million syndicated revolving credit facility extended to June 24, 2024, with no borrowings as of December 31, 2023[114] - Commercial paper programs outstanding totaled $509 million in 2023, with weighted average interest rates of 5.57% for U.S. notes and 4.02% for Euro notes[115] Employee Benefits and Liabilities - Long-term employee benefit liabilities increased to $591 million in 2023 from $548 million in 2022, driven by termination and long-term service arrangements[122] - Defined benefit pension plans showed a net liability of $84 million in 2023, with a projected benefit obligation of $511 million and plan assets at fair value of $427 million[125] - The asset allocation for defined benefit pension plans in 2023 was 67% fixed income securities, 28% equity securities, and 5% cash and cash equivalents[126] - Termination and long-term service arrangements resulted in a net liability of $445 million in 2023, with a projected benefit obligation of $445 million[131] - Retirement medical benefit obligations decreased to 4.8% in 2023 from 5.1% in 2022, with net periodic benefit cost increasing to 5.1% from 3.1%[133] - Projected benefit obligation for retirement medical benefits plans remained stable at $21 million in both 2023 and 2022[133] - Expected employer contributions for 2024 total $31 million, with $13 million for defined benefit pension plans, $17 million for long service arrangements, and $1 million for retirement medical benefits plans[134] - Total expected benefit payments from 2024 to 2028 amount to $259 million, with $45 million in 2024, $46 million in 2025, $50 million in 2026, $55 million in 2027, and $63 million in 2028[134] Risks and Contingencies - The company's global operations expose it to foreign exchange risks, with assets and liabilities translated at year-end exchange rates[31] - Magna's investments in private and publicly traded companies are subject to impairment reviews, with fair value determined using observable price changes[38] - Credit risk exposure from newer electric vehicle-focused customers due to their short operating histories and limited financial resources[157] - Foreign exchange risk managed through hedging programs using foreign exchange forward contracts[158] - Interest rate risk exposure on Term Loan due to variable interest rates, but not on Senior Notes with fixed rates[160] - Potential liability for product recalls: up to $352 million, with customer discretion to debit up to 50% of costs[167] Other Financial Metrics - Total tooling and engineering sales for the year ended December 31, 2023 were $785 million, compared to $731 million in 2022[64] - Research and development costs charged to expense, net of reimbursements, were $862 million in 2023, up from $649 million in 2022[69] - Unbilled accounts receivable balance as of December 31, 2023 was $765 million, compared to $571 million in 2022[66] - Contract liability balance as of December 31, 2023 was $570 million, up from $347 million in 2022[67] - The Company recognized $87 million of previously recorded contract liabilities into revenue during 2023, compared to $130 million in 2022[67] - Other expense, net for 2023 was $388 million, including $201 million in investment-related expenses and $148 million in restructuring costs[74] - Impairments and loss on sale of operations in Russia amounted to $16 million in 2023, compared to $376 million in 2022[74] - Net loss attributable to Magna in 2023 was $173 million, compared to $168 million in 2022[75] - Restructuring charges in 2023 were $117 million in the Power & Vision segment and $31 million in the Body Exteriors & Structures segment[76] - Loss on sale of operations in Russia in 2023 was $16 million, with a net cash outflow of $23 million[78] - Inventories increased to $4,606 million in 2023 from $4,180 million in 2022[94] - Warranty accruals increased to $270 million in 2023, with $85 million in new expenses and $91 million in settlements[113] - Long-term liabilities increased to $475 million in 2023 from $461 million in 2022, driven by a rise in long-term income taxes payable to $167 million from $136 million[135] - The company authorized a Normal Course Issuer Bid to repurchase up to 0.3 million common shares, representing approximately 0.11% of the public float[138] - Accumulated other comprehensive loss improved to $898 million in 2023 from $1,114 million in 2022, with a net unrealized gain of $183 million on translation of net investment in foreign operations[142] - Foreign exchange forward contracts for 2024 include commitments to buy $18 million in Canadian dollars and sell $397 million in U.S. dollars, with weighted average rates of 1.313 and 0.779, respectively[144] - Derivative foreign currency contracts at gross fair value: Assets $82 million, Liabilities $(20) million as of December 31, 2023[148] - Supplier financing program outstanding amount: $132 million as of December 31, 2023[150] - Senior Notes net book value: $4.5 billion, estimated fair value: $4.4 billion as of December 31, 2023[154] - Sales to the six largest customers represented 76% of total sales in 2023, down from 79% in 2022[157] - Balance sheet exposure related to newer electric vehicle-focused customers: approximately $600 million, majority related to Fisker[157] - Adjusted EBIT calculation revised to exclude amortization of acquired intangible assets for better comparability[166]

Magna International Inc. (NYSE:MGA) Q4 2023 Earnings Conference Call February 9, 2024 8:00 AM ET Company Participants Louis Tonelli - Vice President, Investor Relations Swamy Kotagiri - Chief Executive Officer Patrick McCann - Executive Vice President and Chief Financial Officer Conference Call Participants John Murphy - Bank of America Chris McNally - Evercore ISI Tamy Chen - BMO Capital Markets Mark Delaney - Goldman Sachs Tom Narayan - RBC Capital Itay Michaeli - Citigroup Krista Friesen - CIBC Rod Lache ...

Swamy Kotagiri - Chief Executive Officer Patrick McCann - Executive Vice President, Chief Financial Officer Louis Tonelli - Vice President, Investor Relations Magna International Inc. (NYSE:MGA) Q3 2023 Earnings Conference Call November 3, 2023 8:00 AM ET Chris McNally - Evercore Mark Delaney - Goldman Sachs Tom Narayan - RBC Capital Markets Dan Levy - Barclays Colin Langan - Wells Fargo Joseph Spak - UBS Securities James Picariello - BNP Paribas Jonathan Goldman - Scotiabank Michael Glen - Raymond James Gr ...