Dana Incorporated Reports Strong First-Quarter Results; Maintains Full-Year Guidance; Announces New Business Win
Rhea-AI Summary
Dana (NYSE:DAN) reported Q1 2026 sales of $1.87 billion, up ~5% year-over-year, and adjusted EBITDA of $171 million (9.2% margin), a $78 million increase versus Q1 2025. The company completed the sale of its Off-Highway business, delivered $35 million in cost savings, repurchased 4.4 million shares for $125 million, and announced a new business win with Stellantis for the RAM Dakota program. Dana maintained full-year guidance: sales $7.3–7.7B, adjusted EBITDA $750–850M, and adjusted free cash flow $250–350M.
Positive
- Sales of $1.87 billion, ~5% year-over-year
- Adjusted EBITDA of $171 million (+$78 million YoY)
- Adjusted EBITDA margin of 9.2% (+400 bps YoY)
- New business win with Stellantis (RAM Dakota) increasing 3-year net new sales backlog to ~$950 million
- Completed sale of Off-Highway business
Negative
- Operating cash flow was a use of $156 million in Q1 2026
- Adjusted free cash flow was a use of $195 million in Q1 2026
News Market Reaction – DAN
On the day this news was published, DAN declined 4.81%, reflecting a moderate negative market reaction. This price movement removed approximately $199M from the company's valuation, bringing the market cap to $3.93B at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Historical Context
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Apr 21 | Dividend declaration | Positive | -0.5% | Quarterly $0.12 dividend on common stock reinstated for shareholders. |
| Apr 14 | Earnings call notice | Neutral | -0.3% | Announcement of Q1 2026 results release and conference call schedule. |
| Mar 25 | Capital Markets Day | Positive | +0.9% | Unveiled Dana 2030 plan with higher sales, margins and buyback targets. |
| Mar 24 | NYSE feature | Neutral | +2.1% | NYSE content highlighted Dana’s Capital Markets Day among market events. |
| Mar 03 | CMD announcement | Positive | -2.9% | Pre-announced March 25 Capital Markets Day focused on Dana 2030 plan. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Recent stock reactions to corporate news have been mixed, with some positive strategic updates aligning with price gains and other constructive items (like dividends and event announcements) seeing mild selling pressure.
Over the last two months, Dana has focused on its long-term Dana 2030 strategy and capital return. A March Capital Markets Day detailed targets near $10 billion in 2030 sales and higher margins, following 2025 sales of $7.5 billion and an 8.1% adjusted EBITDA margin. Subsequent NYSE content and event notices kept attention on the plan. In April, a regular $0.12 dividend was restored. Today’s strong Q1 2026 results and maintained guidance fit this narrative of execution on growth, margin expansion, and shareholder returns.
Key Terms
adjusted ebitda financial
adjusted free cash flow financial
diluted adjusted eps financial
non-gaap financial
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AI-generated analysis. How Rhea-AI works. Not financial advice.
First- Quarter Highlights:
- Sales of
$1.9 billion - Adjusted EBITDA of
$171 million $78 million - 9.2 percent adjusted EBITDA margin; 400 basis points higher than prior year
- Completed sale of the Off‑Highway business
- Achieved
$35 million - Repurchased 4.4 million shares, returning
$125 million - Announced significant new business win
"Dana's long-term strategy is clear and built on actions fully within our control – improving our cost structure and executing with discipline" said R. Bruce
Sales in the first quarter of 2026 totaled
Adjusted EBITDA for the first quarter was
Operating cash flow in the first quarter of 2026 was a use of
Dana announced a new business award with Stellantis for the RAM Dakota program, expanding the company's presence in the compact truck market. The award includes the supply of front drive units and rear axles for an all‑new vehicle platform, with production expected to begin in early 2028. This win increases Dana's three‑year net new sales backlog to approximately
"Dana 2030 establishes ambitious long‑term targets, and our near‑term focus is on translating that vision into sustained execution and performance improvement," said Byron Foster, incoming Chief Executive Officer of Dana Incorporated. "The pace of recent new business wins demonstrates the strength of our product portfolio and reinforces Dana's long‑term growth trajectory. As macro and market conditions begin to improve, we are unlocking incremental operating leverage. At the same time our teams are executing with discipline, improving efficiency, and positioning Dana to deliver increased performance throughout the year."
2026 Financial Targets
Revised Guidance | |
Sales | |
Adjusted EBITDA | |
Implied adjusted EBITDA margin | |
Diluted Adjusted EPS | |
Adjusted free cash flow |
Dana to Host Conference Call at 9 a.m. Wednesday, April 29
Dana will discuss its first quarter 2026 results in a conference call at 9 a.m. EDT on Wednesday, April 29. The conference call can be accessed by telephone from both domestic and international locations using the information provided below:
Conference ID: 9943139
Participant Toll-Free Dial-In Number: (800) 715-9871
Participant Toll Dial-In Number: 1 (646) 307-1963
Audio streaming and slides will be available online via a link provided on the Dana investor website: www.dana.com/investors. Phone registration will be available beginning at 8:30 a.m. EDT.
A webcast replay can be accessed via Dana's investor website following the call.
Non-GAAP Financial Information
Adjusted EBITDA is a non-GAAP financial measure which we have defined as net income (loss) before interest, income taxes, depreciation, amortization, equity grant expense, restructuring expense, non-service cost components of pension and other postretirement benefit costs and other adjustments not related to our core operations (gain/loss on debt extinguishment, pension settlements, divestitures, impairment, etc.). Adjusted EBITDA is a measure of our ability to maintain and continue to invest in our operations and provide shareholder returns. We use adjusted EBITDA in assessing the effectiveness of our business strategies, evaluating and pricing potential acquisitions and as a factor in making incentive compensation decisions. In addition to its use by management, we also believe adjusted EBITDA is a measure widely used by securities analysts, investors and others to evaluate financial performance of our company relative to other Tier 1 automotive suppliers. Adjusted EBITDA should not be considered a substitute for earnings (loss) before income taxes, net income (loss) or other results reported in accordance with GAAP. Adjusted EBITDA may not be comparable to similarly titled measures reported by other companies.
Adjusted free cash flow is a non-GAAP financial measure which we have defined as net cash provided by (used in) operating activities less purchases of property, plant and equipment plus proceeds from sale of property, plant and equipment plus cash paid for purchases of leased facilities plus cash paid for Off-Highway business divestiture related costs. We believe adjusted free cash flow is useful to investors in evaluating the operational cash flow of the company inclusive of the spending required to maintain the operations. Adjusted free cash flow is not intended to represent nor be an alternative to the measure of net cash provided by (used in) operating activities reported in accordance with GAAP. Adjusted free cash flow may not be comparable to similarly titled measures reported by other companies.
Reconciliations of adjusted EBITDA and adjusted free cash flow to the most directly comparable financial measures calculated and presented in accordance with GAAP will be included in our quarterly report on Form 10-Q for the three months ended March 31, 2026. We have not provided a reconciliation of our adjusted EBITDA outlook to the most comparable GAAP measures of net income (loss). Providing net income (loss) guidance is potentially misleading and not practical given the difficulty of projecting event driven transactional and other non-core operating items that are included in net income (loss), including restructuring actions, asset impairments and certain income tax adjustments. The reconciliations of these non-GAAP measures with the most comparable GAAP measures for the historical periods presented are indicative of the reconciliations that will be prepared upon completion of the periods covered by the non-GAAP guidance.
Forward-Looking Statements
Certain statements and projections contained in this news release are, by their nature, forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on our current expectations, estimates, and projections about our industry and business, management's beliefs, and certain assumptions made by us, all of which are subject to change. Forward-looking statements can often be identified by words such as "anticipates," "expects," "intends," "plans," "predicts," "believes," "seeks," "estimates," "may," "will," "should," "would," "could," "potential," "continue," "ongoing," and similar expressions, and variations or negatives of these words. These forward-looking statements are not guarantees of future results and are subject to risks, uncertainties, and assumptions that could cause our actual results to differ materially and adversely from those expressed in any forward-looking statement.
Dana's Annual Report on Form 10-K, subsequent Quarterly Reports on Form 10-Q, recent Current Reports on Form 8-K, and other Securities and Exchange Commission filings discuss important risk factors that could affect our business, results of operations and financial condition. The forward-looking statements in this news release speak only as of this date. Dana does not undertake any obligation to revise or update publicly any forward-looking statement for any reason.
About Dana Incorporated
Dana Incorporated (NYSE: DAN) is a global leader in the design and manufacture of highly efficient propulsion solutions for the light- and commercial‑vehicle markets. Guided by its vision to be the world's best powertrain company, Dana delivers advanced conventional and clean‑energy technologies that help customers improve the performance, efficiency, and durability of their vehicles. The company supplies leading vehicle manufacturers and related aftermarkets with industry‑defining drive systems, electrodynamic technologies, and thermal and sealing solutions.
Headquartered in
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SOURCE Dana Incorporated