Dana Incorporated Reports Strong Third-Quarter Results; Eaton Mobility Transaction on Track; Increases Share Repurchases

Higher adjusted earnings accompanied lower quarterly cash flow, while year-to-date share repurchases reached $369 million.

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(Moderate)

Rhea-AI Sentiment

(Positive)How Sentiment works

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Rhea-AI Summary

Dana (NYSE: DAN) reported third-quarter 2026 sales of $2.038 billion, with higher adjusted operating earnings but a loss from continuing operations. Sales rose from $1.917 billion a year earlier. Adjusted EBITDA, earnings before interest, taxes, depreciation and amortization with adjustments, reached $218 million versus $162 million; its margin rose to 10.7% from 8.5%.

Continuing operations lost $10 million, versus $13 million in income, while net income attributable to the parent fell to $15 million from $83 million. Dana repurchased $200 million of shares during the quarter and expects another $100 million in fourth-quarter repurchases. It raised its full-year sales outlook to $7.75–$7.85 billion, leaving other financial targets unchanged. Dana expects the Eaton Mobility transaction to close around the end of first-quarter 2027, with one regulatory approval pending.

18 points · 3 major

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It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.

Rhea-AI Sentiment measures something else, the tone of the wording.

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0 major · 15 points

Hollow bars mark forward-looking points. How the balance works

Positive

Major pointShare repurchases totaled $200 million for approximately 6.6 million shares in third-quarter 2026. 6.8% of market cap
Major pointLong-term debt, net of issuance costs, declined to $839 million from $2.566 billion at year-end 2025.
Major pointNine-month parent-attributable net income rose to $1.097 billion from $135 million in 2025.
Moderate pointThird-quarter sales increased to $2.038 billion from $1.917 billion a year earlier.
Moderate pointThird-quarter adjusted EBITDA rose to $218 million from $162 million; margin increased to 10.7% from 8.5%.
Moderate pointThird-quarter adjusted net income reached $44 million, versus a $5 million adjusted loss a year earlier.
Moderate point. Forward-looking: it has not happened yet and may not happen.Dana expects an additional $100 million of share repurchases in fourth-quarter 2026. 3.4% of market cap
Moderate point. Forward-looking: it has not happened yet and may not happen.Dana raised its 2026 sales outlook approximately $50 million to $7.75–$7.85 billion.
Moderate pointThird-quarter operating earnings before interest and taxes rose to $92 million from $53 million.
Moderate pointNine-month sales increased to $5.916 billion from $5.633 billion in 2025.

8 minor points

Minor pointThird-quarter diluted adjusted EPS improved to $0.41 from a $0.04 adjusted loss a year earlier.
Minor point. Forward-looking: it has not happened yet and may not happen.Dana maintained 2026 adjusted EBITDA guidance of $800–$850 million, with approximately 10.6% implied margin.
Minor point. Forward-looking: it has not happened yet and may not happen.Dana maintained 2026 diluted adjusted EPS guidance of $1.75–$2.25.
Minor point. Forward-looking: it has not happened yet and may not happen.Dana maintained 2026 adjusted free cash flow guidance of $275–$375 million.
Minor pointCost savings reached $60 million year to date.
Minor pointThird-quarter interest expense fell to $20 million from $47 million a year earlier.
Minor pointNine-month continuing-operations loss narrowed to $14 million from $16 million in 2025.
Minor pointNine-month diluted total EPS increased to $10.18 from $0.97 in 2025.

Negative

Moderate pointThird-quarter parent-attributable net income declined to $15 million from $83 million a year earlier.
Moderate pointThird-quarter adjusted free cash flow declined to $66 million from $101 million a year earlier.
Moderate pointThird-quarter income tax expense reached $64 million, versus a $2 million benefit a year earlier.
Moderate pointThird-quarter discontinued-operations income declined to $29 million from $74 million a year earlier.
Minor pointThird-quarter continuing operations lost $10 million, versus $13 million in income a year earlier.

10 minor points

Minor pointThird-quarter diluted continuing-operations EPS fell to a $0.13 loss from $0.07 in earnings.
Minor pointThird-quarter diluted total EPS fell to $0.14 from $0.64 a year earlier.
Minor pointThird-quarter operating cash flow declined to $102 million from $111 million a year earlier.
Minor pointThird-quarter debt extinguishment generated a $24 million loss.
Minor pointEaton Mobility closing remains subject to one pending regulatory approval.
Minor pointCash and equivalents declined to $321 million from $469 million at year-end 2025.
Minor pointShort-term debt increased to $710 million from $615 million at year-end 2025.
Minor pointThird-quarter selling, general and administrative expenses rose to $97 million from $87 million.
Minor pointThird-quarter restructuring charges increased to $5 million from $4 million a year earlier.
Minor pointNine-month diluted continuing-operations loss per share widened to $0.25 from $0.21 in 2025.

Key Figures

Third-quarter sales: $2.04B vs. $1.92B Adjusted EBITDA and margin: $218M; 10.7% vs. $162M; 8.5% Net income from continuing operations: $10M loss vs. $13M income +5 more

Third-quarter sales: $2.04B vs. $1.92B; Third quarter 2026 vs. third quarter 2025
Adjusted EBITDA and margin: $218M; 10.7% vs. $162M; 8.5%; Third quarter 2026 vs. third quarter 2025
Net income from continuing operations: $10M loss vs. $13M income; Third quarter 2026 vs. third quarter 2025
Diluted adjusted EPS: $0.41 vs. adjusted loss per share of $0.04; Third quarter 2026 vs. third quarter 2025
Third-quarter share repurchases: $200M; Repurchased during third quarter 2026
Planned fourth-quarter repurchases: $100M; Planned for fourth quarter 2026
2026 sales guidance: $7.75B–$7.85B; Revised full-year target; sales outlook raised
Eaton Mobility transaction timing and approvals: Around the end of the first quarter of 2027; one approval pending; Nearly all regulatory approvals obtained

Previous Buybacks Reports

1 past event · Latest: Aug 06

Same Type 1 event

Aug 06
Q2 results and buyback

24h Move

-2.5%

Restarted repurchases, spent $44 million and had returned $169 million year-to-date.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

adjusted ebitda, discontinued operations, diluted earnings per share, adjusted free cash flow

4 terms

adjusted ebitda financial

"Adjusted EBITDA for the third quarter was $218 million"

Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.

discontinued operations financial

"including $29 million from discontinued operations"

Discontinued operations are parts of a company that it has decided to sell or shut down, and no longer plans to run in the future. This matters to investors because it helps them understand which parts of the business are ongoing and which are being phased out, providing a clearer picture of the company’s current performance and future prospects. Think of it like a store closing a department—it no longer contributes to sales or profits.

adjusted free cash flow financial

"Adjusted free cash flow was $66 million"

Adjusted free cash flow is the amount of money a company generates from its operations after accounting for essential expenses and investments, like maintaining or upgrading equipment. It shows how much cash is truly available to grow the business, pay debts, or return to shareholders, helping investors see the company's financial health more clearly.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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10/28/2026 - 06:59 AM EDT

Third-Quarter Highlights:

Sales of $2.0 billion, an increase of $121 million versus the third quarter of 2025
Net income of $15 million, including $29 million from discontinued operations and $41 million of debt-extinguishment and net tax charges
Adjusted EBITDA of $218 million; $56 million higher than third quarter of 2025
10.7 percent adjusted EBITDA margin; 220 basis points higher than prior year
Achieved $60 million in cost savings year to date
Repurchased 6.6 million shares, returning $200 million to shareholders
Year-to-date shareholder repurchases of $369 million
Planning an additional ~$100 million of repurchases in the fourth quarter of 2026
Eaton Mobility transaction remains on track to close around the end of the first quarter of 2027
Nearly all regulatory approvals have been obtained with only one pending

MAUMEE, Ohio, Oct. 28, 2026 /PRNewswire/ -- Dana Incorporated (NYSE: DAN) today announced its third-quarter 2026 financial results, delivering strong performance with higher sales and expanding margins.

"Dana delivered strong third-quarter results, reflecting our continued focus on operating the business well and executing our strategy with discipline," said Byron Foster, Chief Executive Officer. "Productivity gains, commercial initiatives, and structural cost reductions are driving meaningful margin improvement as we capitalize on stronger commercial vehicle demand and continue to return capital to shareholders. As we work toward closing the Eaton Mobility transaction, we remain firmly focused on delivering strong performance today while preparing to create an even stronger, more diversified company positioned for long-term growth and shareholder value."

Sales in the third quarter of 2026 totaled $2.04 billion, compared with $1.92 billion in the same period of 2025. The increase was primarily driven by stronger commercial vehicle demand, backlog conversion, and commercial and cost-recovery actions.

Adjusted EBITDA for the third quarter was $218 million, representing a 10.7 percent margin, compared with $162 million, 8.5 percent margin, for the same period in 2025. Cost-savings actions, operational efficiency improvements, and commercial initiatives were the primary drivers of the improvement.

Net loss from continuing operations was $10 million in the third quarter of 2026, compared with net income of $13 million in the same period of 2025. Diluted loss per share from continuing operations was $0.13, compared with diluted earnings per share of $0.07 last year. Significantly improved operating performance and lower net interest expense were more than offset by a $24 million loss on the extinguishment of debt and higher income tax expense, including a $29 million charge related to the settlement of a foreign income tax partially offset by a $12 million benefit associated with post Off-Highway sale restructuring actions.

Adjusted net income improved to $44 million in the third quarter of 2026 from an adjusted net loss of $5 million in the prior-year period, while diluted adjusted earnings per share improved to $0.41 from an adjusted loss per share of $0.04.

Operating cash flow was $102 million in the third quarter of 2026, compared with $111 million in the prior-year period. Adjusted free cash flow was $66 million, compared with $101 million in the prior-year period. Higher earnings from continuing operations and lower one-time costs, net interest and cash taxes partially offset the absence of cash generation from the divested Off-Highway business, higher capital spending, and working capital timing.

Dana today announced an increase in its planned share repurchases ahead of the closing of the Eaton Mobility transaction. During the third quarter, the company repurchased approximately 6.6 million shares for $200 million, bringing year-to-date capital returned to shareholders through share repurchases to $369 million. Dana expects to repurchase an additional $100 million of shares in the fourth quarter of 2026.

"We continue to see compelling strategic and financial benefits from the combination with Eaton Mobility and are confident in the value the transaction will create for our shareholders, customers, and employees," Foster added. "As we move toward closing, we are also maximizing the opportunities available to return capital to shareholders. Our increased fourth-quarter repurchases underscore our confidence in Dana and our commitment to shareholder value."

Dana has revised its full-year guidance, raising its sales outlook by approximately $50 million, reflecting higher demand and recoveries. The company maintained its adjusted EBITDA, diluted adjusted EPS, and adjusted free cash flow guidance.

Revised 2026 Financial Targets

	Revised Guidance
Sales	$7.75 to $7.85 billion
Adjusted EBITDA	$800 to $850 million
Implied adjusted EBITDA margin	~10.6%
Diluted Adjusted EPS	$1.75 to $2.25
Adjusted free cash flow	$275 to $375 million

Dana to Host Conference Call at 9 a.m. Wednesday, October 28
Dana will discuss its third-quarter 2026 results in a conference call at 9 a.m. EDT on Wednesday, October 28. The conference call can be accessed by telephone from both domestic and international locations using the information provided below:

Conference ID: 596 110 089
Participant Toll-Free Dial-In Number: +1 833-461-5787
Participant Toll Dial-In Number: +1 585-542-9983

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.

Cautionary Notes on Forward-Looking Statements
This communication includes "forward-looking statements" within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995, including statements regarding the proposed transaction between Eaton Corporation plc ("Eaton"), Dana Incorporated ("Dana") and Mobility (USA) Corporation ("SpinCo"), as well as statements regarding Dana's business, financial condition and results of operations more generally. These forward-looking statements generally are identified by the words "believe," "project," "expect," "anticipate," "estimate," "forecast," "outlook," "target," "endeavor," "seek," "predict," "intend," "strategy," "plan," "may," "could," "should," "will," "would," "potential," "continue," "ongoing," or the negative thereof or variations thereon or similar terminology generally intended to identify forward-looking statements. All statements, other than historical facts, including, but not limited to, statements regarding Dana's current expectations, estimates and projections about its industry and business, the expected timing and structure of the proposed transaction and financing of the transaction, the ability of the parties to complete the proposed transaction, the expected benefits of the proposed transaction, including future financial and operating results and strategic and synergistic benefits, the tax consequences of the proposed transaction and the combined company's plans, objectives, expectations and intentions, legal, economic and regulatory conditions, and any assumptions underlying any of the foregoing, are forward-looking statements.

These forward-looking statements are based on Dana's current expectations and are subject to risks and uncertainties and are not guarantees of future results. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements. The inclusion of such statements should not be regarded as a representation that such plans, estimates or expectations will be achieved. Important factors that could cause actual results to differ materially from such plans, estimates or expectations include, among others, the ability to complete the proposed transaction on the timeframe or on the terms currently anticipated or at all, including due to a failure to obtain requisite stockholder and/or regulatory approvals; risks related to difficulties, inabilities or delays in integrating the businesses of Dana and SpinCo; the ability to realize the anticipated benefits of the proposed transaction, including estimated combined EBITDA, estimated combined revenue and estimated run-rate cost synergies; potential impact of the proposed transaction on Dana's stock price; restrictions on the conduct of Dana's business prior to and after closing and on its ability to pursue alternatives to the proposed transaction; the possibility that the proposed transaction may be more expensive to complete than anticipated, including as a result of unexpected factors or events, or unforeseen or unknown liabilities; the ability of the combined company to implement its business strategy; the inability of the combined company to retain and hire key personnel; the occurrence of any event that could give rise to termination of the proposed transaction; the risk that stockholder litigation in connection with the proposed transaction or other litigation, settlements or investigations may affect the timing or occurrence of the proposed transaction or result in significant costs of defense, indemnification and liability; risks relating to the ability to obtain financing for the transaction upon acceptable terms or at all; evolving legal, regulatory and tax regimes; changes in general economic and/or industry specific conditions; global economic repercussions related to U.S. and global inflationary pressures and potential recessionary concerns; the risks that the anticipated tax treatment of the proposed transaction is not obtained; the risk of greater than expected difficulty in separating the business of SpinCo from the other businesses of Eaton; risks related to the disruption of management time from ongoing business operations due to the pendency of the proposed transaction, or other effects of the pendency of the proposed transaction on the relationship of any of the parties to the transaction with their employees, customers, suppliers or other counterparties; and other risk factors detailed from time to time in Dana's reports filed with the Securities and Exchange Commission (the "SEC"), including Dana's annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K and other documents filed with the SEC, including documents that will be filed with the SEC in connection with the proposed transaction. The foregoing list of important factors is not exclusive.

Any forward-looking statements speak only as of the date of this communication. Dana does not undertake, and expressly disclaims, any obligation to update any forward-looking statements, whether as a result of new information or development, future events or otherwise, except as required by law. Readers are cautioned not to place undue reliance on any of these forward-looking statements.

Important Information About the Transaction and Where to Find It
In connection with the proposed transaction, SpinCo filed with the SEC a registration statement on Form S-1/S-4 (the "Form S-1/S-4") that constitutes a prospectus with respect to the shares of common stock, par value $0.01 per share, of SpinCo (the "SpinCo shares") to be issued to Eaton shareholders in the proposed exchange offer (the "prospectus/offer to exchange"). Eaton intends to file with the SEC a tender offer statement (the "Schedule TO") with respect to the offer by Eaton to exchange all SpinCo shares for ordinary shares, par value $0.01 per share, of Eaton that are validly tendered and not properly withdrawn prior to the expiration of the exchange offer (if any). In addition, SpinCo filed with the SEC a registration statement on Form S-4 (the "Form S-4") that includes a proxy statement of Dana and that also constitutes a prospectus of SpinCo with respect to the SpinCo shares to be issued in the proposed merger (the "proxy statement/prospectus"). Each of Eaton, SpinCo and Dana may also file other relevant documents with the SEC regarding the proposed transaction.

This document is not a substitute for the Form S-1/S-4, Schedule TO, Form S-4, prospectus/offer to exchange, proxy statement/prospectus or any other document that Eaton, SpinCo or Dana may file with the SEC. INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE REGISTRATION STATEMENTS, THE SCHEDULE TO; THE PROSPECTUS/OFFER TO EXCHANGE, THE PROXY STATEMENT/PROSPECTUS AND ANY OTHER RELEVANT DOCUMENTS THAT MAY BE FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS, CAREFULLY AND IN THEIR ENTIRETY IF AND WHEN THEY BECOME AVAILABLE BECAUSE THEY CONTAIN OR WILL CONTAIN IMPORTANT INFORMATION ABOUT EATON, DANA, SPINCO AND THE PROPOSED TRANSACTION. Investors and security holders will be able to obtain free copies of the Form S-1/S-4, Schedule TO, Form S-4, the prospectus/offer to exchange and the proxy statement/prospectus and other documents containing important information about Eaton, Dana and SpinCo and the proposed transaction, once such documents are filed with the SEC through the website maintained by the SEC at http://www.sec.gov. Copies of the documents filed with, or furnished to, the SEC by Eaton and SpinCo will be available free of charge on Eaton's website at https://www.eaton.com/us/en-us/company/investor-relations.html. Copies of the documents filed with, or furnished to, the SEC by Dana will be available free of charge on Dana's website at https://danaincorporated.gcs-web.com/. The information included on, or accessible through, Eaton or Dana's website is not incorporated by reference into this communication.

Participants in the Solicitation
Eaton, Dana, SpinCo and certain of their respective directors and executive officers may be deemed to be participants in the solicitation of proxies in respect of the proposed transaction. Information about the directors and executive officers of Eaton, including a description of their direct or indirect interests, by security holdings or otherwise, is set forth in Eaton's proxy statement for its 2026 Annual General Meeting of Shareholders, which was filed with the SEC on March 13, 2026. Information about the directors and executive officers of Dana, including a description of their direct or indirect interests, by security holdings or otherwise, is set forth in the Form S-1/S-4 and the Form S-4. Investors should read Form S-1/S-4, Schedule TO, Form S-4, the prospectus/offer to exchange and the proxy statement/prospectus carefully if and when available before making any voting or investment decisions. You may obtain free copies of these documents from Eaton or Dana using the sources indicated above.
No Offer or Solicitation

This communication is not intended to and shall not constitute an offer to sell or the solicitation of an offer to sell or the solicitation of an offer to buy or exchange any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation, sale or exchange would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act or in a transaction exempt from the registration requirements of the Securities Act.

Note Regarding Use of Non-GAAP Financial Measures
In addition to the financial measures presented in accordance with U.S. generally accepted accounting principles ("U.S. GAAP"), this communication includes certain non-GAAP financial measures (collectively, the "Non-GAAP Measures"), such as adjusted EBITDA, adjusted EBITDA margin, adjusted net income (loss) attributable to the parent company, diluted adjusted EPS, and adjusted free cash flow.

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, expenses related to the acquisition of the Eaton Mobility business, 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 net income (loss) attributable to the parent company is a non-GAAP financial measure which we have defined as net income (loss) attributable to the parent company, excluding any discrete income tax items, restructuring charges, expenses related to the acquisition of the Eaton Mobility business, amortization expense and other adjustments not related to our core operations (as used in adjusted EBITDA), net of any associated income tax effects. This measure is considered useful for purposes of providing investors, analysts and other interested parties with an indicator of ongoing financial performance that provides enhanced comparability to net income (loss) attributable to the parent company reported by other companies. Adjusted net income (loss) attributable to the parent company is neither intended to represent nor be an alternative measure to net income (loss) attributable to the parent company reported in accordance with GAAP.

Diluted adjusted EPS is a non-GAAP financial measure which we have defined as adjusted net income (loss) attributable to the parent company divided by adjusted diluted shares. We define adjusted diluted shares as diluted shares as determined in accordance with GAAP based on adjusted net income (loss) attributable to the parent company. This measure is considered useful for purposes of providing investors, analysts and other interested parties with an indicator of ongoing financial performance that provides enhanced comparability to EPS reported by other companies. Diluted adjusted EPS is neither intended to represent nor be an alternative measure to diluted EPS reported in accordance with GAAP.

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 purchase of electric capacity demand rights plus cash paid for Off-Highway business divestiture related activities and cash paid for Eaton Mobility acquisition related activities. 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 unlevered free cash flow is also a non-GAAP financial measure, which we have defined as adjusted free cash flow less cash interest, net.

These Non-GAAP Measures should not be used in isolation or as a substitute or alternative to results determined in accordance with U.S. GAAP. In addition, Dana's and Eaton's definitions of these Non-GAAP Measures may not be comparable to similarly titled non-GAAP financial measures reported by other companies. A reconciliation of these Non-GAAP Measures to the most directly comparable financial measures calculated and reported in accordance with U.S. GAAP can be found in Dana's filings with the SEC, except for financial guidance, projections and other forward-looking information since such a reconciliation is not practicable without unreasonable effort as Dana is unable to reasonably forecast certain amounts that are necessary for such reconciliation. For example, 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 accompanying 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.

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 Maumee, Ohio, USA, Dana reported sales of $7.5 billion in 2025. With a history dating to 1904, the company employs 27,000 people in 24 countries across six continents. Learn more at dana.com.

DANA INCORPORATED
Consolidated Statement of Operations (Unaudited)
For the Three Months Ended September 30, 2026 and 2025

	Three Months Ended
(In millions, except per share amounts)	September 30,
	2026	2025
Net sales	$ 2,038	$ 1,917
Costs and expenses
Cost of sales	1,837	1,751
Selling, general and administrative expenses	97	87
Amortization of intangibles	1	2
Restructuring charges, net	5	4
Other income (expense), net	(6)	(20)
Earnings from continuing operations before interest and income taxes	92	53
Loss on extinguishment of debt	(24)	-
Interest income	4	3
Interest expense	20	47
Earnings from continuing operations before income taxes	52	9
Income tax expense (benefit)	64	(2)
Equity in earnings of affiliates	2	2
Net income (loss) from continuing operations	(10)	13
Net income from discontinued operations	29	74
Net income	19	87
Less: Noncontrolling interests net income from continuing operations	4	4
Net income attributable to the parent company	$ 15	$ 83

Net income (loss) per share available to common stockholders
Basic earnings (loss) per share from continuing operations	$ (0.13)	$ 0.07
Basic earnings per share from discontinued operations	0.27	0.58
Basic earnings per share	$ 0.14	$ 0.65

Diluted earnings (loss) per share from continuing operations	$ (0.13)	$ 0.07
Diluted earnings per share from discontinued operations	0.27	0.57
Diluted earnings per share	$ 0.14	$ 0.64

Weighted-average shares outstanding - Basic	105.5	128.4
Weighted-average shares outstanding - Diluted	105.5	130.8

DANA INCORPORATED
Consolidated Statement of Operations (Unaudited)
For the Nine Months Ended September 30, 2026 and 2025

	Nine Months Ended
(In millions, except per share amounts)	September 30,
	2026	2025
Net sales	$ 5,916	$ 5,633
Costs and expenses
Cost of sales	5,336	5,211
Selling, general and administrative expenses	303	291
Amortization of intangibles	4	6
Restructuring charges, net	20	17
Other income (expense), net	(66)	(31)
Earnings from continuing operations before interest and income taxes	187	77
Loss on extinguishment of debt	(31)
Interest income	14	8
Interest expense	63	130
Earnings (loss) from continuing operations before income taxes	107	(45)
Income tax expense	132	(2)
Equity in earnings of affiliates	11	27
Net loss from continuing operations	(14)	(16)
Net income from discontinued operations	1,124	164
Net income	1,110	148
Less: Noncontrolling interests net income from continuing operations	13	13
Net income attributable to the parent company	$ 1,097	$ 135

Net income (loss) per share available to common stockholders
Basic loss per share from continuing operations	$ (0.25)	$ (0.21)
Basic earnings per share from discontinued operations	10.43	1.18
Basic earnings per share	$ 10.18	$ 0.97

Diluted loss per share from continuing operations	$ (0.25)	$ (0.21)
Diluted earnings per share from discontinued operations	10.43	1.18
Diluted earnings per share	$ 10.18	$ 0.97

Weighted-average shares outstanding - Basic	107.8	139.2
Weighted-average shares outstanding - Diluted	107.8	139.2

DANA INCORPORATED
Consolidated Statement of Comprehensive Income (Unaudited)
For the Three Months Ended September 30, 2026 and 2025

			Three Months Ended
(In millions)			September 30,
			2026	2025
Net income (loss) from continuing operations			$ (10)	$ 13
Other comprehensive income (loss) from continuing operations, net of tax:
	Currency translation adjustments			2
	Hedging gains and losses		(10)	6
	Defined benefit plans			1
		Other comprehensive income (loss) from continuing operations	(10)	9
Total comprehensive income (loss) from continuing operations			(20)	22
Net income from discontinued operations			29	74
Other comprehensive income (loss) from discontinued operations, net of tax:
	Currency translation adjustments			(10)
		Other comprehensive loss from discontinued operations	-	(10)
Total comprehensive income from discontinued operations			29	64
Total comprehensive income			9	86
	Less: Comprehensive income from continuing operations attributable to noncontrolling interests		(4)	(3)
Comprehensive income attributable to the parent company			$ 5	$ 83

DANA INCORPORATED
Consolidated Statement of Comprehensive Income (Unaudited)
For the Nine Months Ended September 30, 2026 and 2025

			Nine Months Ended
(In millions)			September 30,
			2026	2025
Net loss from continuing operations			$ (14)	$ (16)
Other comprehensive income (loss) from continuing operations, net of tax:
	Currency translation adjustments		23	49
	Hedging gains and losses		(16)	47
	Defined benefit plans		(1)	1
		Other comprehensive income from continuing operations	6	97
Total comprehensive income (loss) from continuing operations			(8)	81
Net income from discontinued operations			1,124	164
Other comprehensive income (loss) from discontinued operations, net of tax:
	Currency translation adjustments		179	(2)
	Hedging gains and losses			1
		Other comprehensive income (loss) from discontinued operations	179	(1)
Total comprehensive income from discontinued operations			1,303	163
Total comprehensive income			1,295	244
	Less: Comprehensive income from continuing operations attributable to noncontrolling interests		(13)	(14)
Comprehensive income attributable to the parent company			$ 1,282	$ 230

DANA INCORPORATED
Consolidated Balance Sheet (Unaudited)
As of Setpember 30, 2026 and December 31, 2025

(In millions, except share and per share amounts)			September 30,	December 31,
			2026	2025
Assets
Current assets
Cash and cash equivalents			$ 321	$ 469
Accounts receivable
	Trade, less allowance for doubtful accounts of $11 in 2026 and $15 in 2025		1,298	987
	Other		314	254
Inventories			987	1,015
Other current assets			228	114
Current assets of disposal group held for sale			37	1,029
		Total current assets	3,185	3,868
Intangibles			56	71
Deferred tax assets			500	534
Other noncurrent assets			133	102
Investments in affiliates			114	102
Operating lease assets			166	305
Property, plant and equipment, net			1,916	1,872
Noncurrent assets of disposal group held for sale			8	954
		Total assets	$ 6,078	$ 7,808

Liabilities and equity
Current liabilities
Short-term debt			$ 710	$ 615
Current portion of long-term debt			26	30
Accounts payable			1,317	1,154
Accrued payroll and employee benefits			196	210
Taxes on income			119	75
Current portion of operating lease liabilities			33	41
Other accrued liabilities			403	495
Current liabilities of disposal group held for sale			14	688
		Total current liabilities	2,818	3,308
Long-term debt, less debt issuance costs of $5 in 2026 and $16 in 2025			839	2,566
Noncurrent operating lease liabilities			128	266
Pension and postretirement obligations			239	249
Other noncurrent liabilities			278	337
Noncurrent liabilities of disposal group held for sale				183
		Total liabilities	4,302	6,909
Commitments and contingencies
Parent company stockholders' equity
	Preferred stock, 50,000,000 shares authorized, $0.01 par value,
		no shares outstanding	-	-
	Common stock, 450,000,000 shares authorized, $0.01 par value,
		101,060,529 and 112,284,138 shares outstanding	1	1
	Additional paid-in capital		1,324	1,671
	Retained earnings		1,291	235
	Treasury stock, at cost (2,533,552 and 1,944,700 shares)		(53)	(35)
	Accumulated other comprehensive loss		(847)	(1,032)
		Total parent company stockholders' equity	1,716	840
Noncontrolling interests			60	59
		Total equity	1,776	899
		Total liabilities and equity	$ 6,078	$ 7,808

DANA INCORPORATED
Consolidated Statement of Cash Flows (Unaudited)
For the Three Months Ended September 30, 2026 and 2025

	Three Months Ended
(In millions)	September 30,
	2026	2025
Operating activities
Net income	$ 19	$ 87
Less: Net income from discontinued operations	29	74
Net income (loss) from continuing operations	(10)	13
Depreciation	84	86
Amortization	2	3
Amortization of deferred financings charges	3	1
Redemption premium on debt	20
Earnings of affiliates, net of dividends received	(2)	21
Stock compensation expense	9	8
Deferred income taxes	(10)	(41)
Pension expense, net		(1)
Change in working capital	33	(10)
Change in other noncurrent assets and liabilities	(27)	(43)
Loss on divestiture of ownership interests		(19)
Other, net	10	(46)
Net cash provided by (used in) operating activities from continuing operations	112	(28)
Net cash provided by (used in) operating activities from discontinued operations	(10)	139
Net cash provided by operating activities	102	111

Investing activities
Purchases of property, plant and equipment	(70)	(49)
Proceeds from sale of property, plant and equipment		1
Settlements of undesignated derivatives	(8)	(9)
Other, net		(4)
Net cash used in investing activities from continuing operations	(78)	(61)
Net cash used in investing activities from discontinued operations	(2)	(9)
Net cash used in investing activities	(80)	(70)

Financing activities
Net change in short-term debt	197	(150)
Proceeds from Term A Facility	500	250
Repayment of long-term debt	(483)	(6)
Redemption premium on debt	(20)
Dividends paid to common stockholders	(13)	(13)
Repurchases of common stock	(200)	(182)
Distributions to noncontrolling interests	(8)	(11)
Other, net	(1)
Net cash used in financing activities	(28)	(112)

Net decrease in cash, cash equivalents and restricted cash	(6)	(71)
Cash, cash equivalents and restricted cash − beginning of period	349	501
Effect of exchange rate changes on cash balances	(3)	(1)
Cash, cash equivalents and restricted cash − end of period	$ 340	$ 429

DANA INCORPORATED
Consolidated Statement of Cash Flows (Unaudited)
For the Nine Months Ended September 30, 2026 and 2025

	Nine Months Ended
(In millions)	September 30,
	2026	2025
Operating activities
Net income	$ 1,110	$ 148
Less: Net income from discontinued operations	1,124	164
Net loss from continuing operations	(14)	(16)
Depreciation	250	257
Amortization	7	9
Amortization of deferred financings charges	5	4
Redemption premium on debt	20
Earnings of affiliates, net of dividends received	(10)	(4)
Stock compensation expense	28	31
Deferred income taxes	20	(67)
Pension expense, net	(4)	(1)
Change in working capital	(188)	(212)
Change in other noncurrent assets and liabilities	(50)	(56)
(Gain) loss on divestiture of ownership interests	8	(12)
Noncash electric vehicle program termination charges	59
Other, net	(29)	8
Net cash provided by (used in) operating activities from continuing operations	102	(59)
Net cash provided by (used in) operating activities from discontinued operations	(86)	165
Net cash provided by operating activities	16	106

Investing activities
Purchases of property, plant and equipment	(274)	(153)
Proceeds from sale of property, plant and equipment	2	12
Proceeds from sales of investments	1	57
Settlements of undesignated derivatives	(14)	(15)
Net cash used in investing activities from continuing operations	(285)	(99)
Net cash provided by (used) in investing activities from discontinued operations	2,526	(31)
Net cash provided by (used in) investing activities	2,241	(130)

Financing activities
Net change in short-term debt	(421)	372
Proceeds from Term A Facility	500	250
Repayment of long-term debt	(1,821)	(216)
Redemption premium on debt	(20)
Dividends paid to common stockholders	(39)	(42)
Repurchases of common stock	(369)	(439)
Distributions to noncontrolling interests	(10)	(14)
Payment for mandatorily redeemable noncontrolling interest	(190)
Swap settlements		(14)
Other, net	(26)	(8)
Net cash used in financing activities	(2,396)	(111)

Net decrease in cash, cash equivalents and restricted cash	(139)	(135)
Cash, cash equivalents and restricted cash − beginning of period	486	512
Effect of exchange rate changes on cash balances	(7)	52
Cash, cash equivalents and restricted cash − end of period	$ 340	$ 429

DANA INCORPORATED
Reconciliation of Net Cash Provided By (Used In) Operating Activities to
Adjusted Free Cash Flow (Unaudited)

	Three Months Ended
(In millions)	September 30,
	2026	2025
Net cash provided by operating activities	$ 102	$ 111
Purchases of property, plant and equipment - Continuing operations	(70)	(49)
Purchases of property, plant and equipment - Discontinued operations	(2)	(11)
Proceeds from sale of property, plant and equipment - Continuing operations	-	1
Cash paid for purchase of electrical capacity demand rights	24	-
Cash paid for Off-Highway business divestiture related activities	11	49
Cash paid for Mobility business acquisition related activities	1	-
Adjusted free cash flow	$ 66	$ 101

	Nine Months Ended
(In millions)	September 30,
	2026	2025
Net cash provided by operating activities	$ 16	$ 106
Purchases of property, plant and equipment - Continuing operations	(274)	(153)
Purchases of property, plant and equipment - Discontinued operations	(3)	(33)
Proceeds from sale of property, plant and equipment - Continuing operations	2	12
Cash paid for purchase of leased facilities	88
Cash paid for purchase of electrical capacity demand rights	24
Cash paid for Off-Highway business divestiture related activities	85	61
Cash paid for Mobility business acquisition related activities	1
Adjusted free cash flow	$ (61)	$ (7)

DANA INCORPORATED
Segment Sales and Adjusted EBITDA (Unaudited)
For the Three Months Ended September 30, 2026 and 2025

	Three Months Ended
(In millions)	September 30,
	2026	2025
Sales
Light Vehicle	$ 1,371	$ 1,353
Commercial Vehicle	667	564
Total Sales	$ 2,038	$ 1,917

Adjusted EBITDA
Light Vehicle	$ 151	$ 126
Commercial Vehicle	69	51
Corporate expense and other items, net	(2)	(15)
Adjusted EBITDA	$ 218	$ 162

DANA INCORPORATED
Segment Sales and Adjusted EBITDA (Unaudited)
For the Nine Months Ended September 30, 2026 and 2025

	Nine Months Ended
(In millions)	September 30,
	2026	2025
Sales
Light Vehicle	$ 4,019	$ 3,901
Commercial Vehicle	1,897	1,732
Total Sales	$ 5,916	$ 5,633

Adjusted EBITDA
Light Vehicle	$ 406	$ 306
Commercial Vehicle	200	139
Corporate expense and other items, net	(10)	(43)
Adjusted EBITDA	$ 596	$ 402

DANA INCORPORATED
Reconciliation of Earnings From Continuing Operations Before
Income Taxes to Adjusted EBITDA (Unaudited)
For the Three Months Ended September 30, 2026 and 2025

	Three Months Ended
(In millions)	September 30,
	2026	2025
Earnings from continuing operations before income taxes	$ 52	$ 9
Adjustments related to continuing operations
Loss on extinguishment of debt	24	-
Interest income	(4)	(3)
Interest expense	20	47
Depreciation	84	86
Amortization	2	3
Non-service cost components of pension and OPEB costs	-	3
Restructuring charges, net	5	4
Stock compensation expense	9	8
Strategic transaction expenses	20	6
Gain on sale of property, plant and equipment	-	1
Supplier capacity charge adjustment	-	(2)
Electric vehicle program termination charges	1	-
Foreign exchange gain on unhedged intercompany loans	4	-
Other items	1	-
Adjusted EBITDA	$ 218	$ 162

DANA INCORPORATED
Reconciliation of Earnings (Loss) From Continuing Operations Before
Income Taxes to Adjusted EBITDA (Unaudited)
For the Nine Months Ended September 30, 2026 and 2025

	Nine Months Ended
(In millions)	September 30,
	2026	2025
Earnings (loss) from continuing operations before income taxes	$ 107	$ (45)
Adjustments related to continuing operations
Loss on extinguishment of debt	31	-
Interest income	(14)	(8)
Interest expense	63	130
Depreciation	250	257
Amortization	7	9
Non-service cost components of pension and OPEB costs	4	7
Restructuring charges, net	20	17
Stock compensation expense	28	31
Strategic transaction expenses	40	12
Supplier capacity charge adjustment	-	(21)
Amounts attributable to previously closed/divested operations	1	-
Distressed supplier costs	2	-
Loss on divestiture of ownership interests	8	7
Electric vehicle program termination charges	65	-
Foreign exchange gain on unhedged intercompany loans	(19)	-
Other items	3	6
Adjusted EBITDA	$ 596	$ 402

DANA INCORPORATED
Reconciliation of Net Income (Loss) Attributable to the Parent Company to
Adjusted Net Income Attributable to the Parent Company and
Diluted Adjusted EPS (Unaudited)
For the Three Months Ended September 30, 2026 and 2025

(In millions, except per share amounts)
		Three Months Ended
		September 30,
		2026	2025
Net income attributable to the parent company		$ 15	$ 83
Items impacting income before income taxes:
	Amortization	2	3
	Restructuring charges, net	5	4
	Strategic transaction expenses	20	6
	Supplier capacity commitment charge adjustment		(2)
	Electric vehicle program termination charges	1
	Loss on extinguishment of debt	24
	Foreign exchange gain on unhedged intercompany loans	4
	Net (income) loss from discontinued operations	(29)	(74)
	Other items	(1)
Items impacting income taxes:
	Net income tax benefit on items above	14	(4)
	Income tax expense attributable to various discrete tax matters	(11)	(21)
Adjusted net income (loss) attributable to the parent company		$ 44	$ (5)

Diluted shares - as reported		105.5	130.8
Adjusted diluted shares		107.0	128.4

Diluted adjusted EPS		$ 0.41	$ (0.04)

DANA INCORPORATED
Reconciliation of Net Income Attributable to the Parent Company to
Adjusted Net Income (Loss) Attributable to the Parent Company and
Diluted Adjusted EPS (Unaudited)
For the Nine Months Ended September 30, 2026 and 2025

(In millions, except per share amounts)
		Nine Months Ended
		September 30,
		2026	2025
Net income attributable to the parent company		$ 1,097	$ 135
Items impacting income before income taxes:
	Amortization	7	9
	Restructuring charges, net	20	17
	Strategic transaction expenses	40	12
	Supplier capacity commitment charge adjustment		(21)
	Loss on divestiture of ownership interests	8	7
	Electric vehicle program termination charges	65
	Loss on extinguishment of debt	31
	Amounts attributable to previously closed/divested operation	1
	Distressed supplier costs	2
	Foreign exchange gain on unhedged intercompany loans	(19)
	Net income from discontinued operations	(1,124)	(164)
Items impacting income taxes:
	Net income tax benefit on items above	(48)	(9)
	Income tax expense (benefit) attributable to various discrete tax matters	1	(26)
Adjusted net income (loss) attributable to the parent company		$ 81	$ (40)

Diluted shares - as reported		107.8	139.2
Adjusted diluted shares		109.2	139.2

Diluted adjusted EPS		$ 0.74	$ (0.29)

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SOURCE Dana Incorporated

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

How much stock does Dana plan to repurchase in fourth-quarter 2026?

Dana expects to repurchase an additional $100 million of shares in fourth-quarter 2026. It repurchased approximately 6.6 million shares for $200 million during the third quarter, bringing year-to-date repurchases to $369 million.

When does Dana expect the Eaton Mobility transaction to close?

Dana expects the Eaton Mobility transaction to close around the end of first-quarter 2027. Nearly all regulatory approvals have been obtained, with one approval still pending.

Why did Dana's third-quarter 2026 continuing operations report a loss?

Improved operating performance and lower net interest expense were more than offset by a $24 million debt-extinguishment loss and higher income tax expense. Taxes included a $29 million charge related to a foreign income tax settlement, partly offset by a $12 million benefit associated with restructuring following the Off-Highway sale.

Why did Dana's third-quarter 2026 cash flow decline?

The absence of cash generation from the divested Off-Highway business, higher capital spending and working-capital timing weighed on cash flow. Higher continuing-operations earnings and lower one-time costs, net interest and cash taxes partly offset those effects. Operating cash flow was $102 million, versus $111 million a year earlier.

Dana Incorporated Reports Strong Third-Quarter Results; Eaton Mobility Transaction on Track; Increases Share Repurchases