What share repurchase authorization did Magna approve?

The Board approved a new normal course issuer bid for 25.8 million shares, expected to take effect in November. Magna repurchased 7.9 million shares under its current authorization in Q3 and completed that authorization in October.

Magna International Q3 adjusted EPS rises 38% to $1.83

Q: How did MGA perform in Q3 2026?

MGA reported $10.059 billion in sales, down 4% year over year, and $683 million in adjusted EBIT, up 11%. Adjusted EPS increased 38% to $1.83, while the company generated $950 million in operating cash flow and $584 million in free cash flow.

The updated 2026 outlook raises free cash flow to $1.85 billion–$1.90 billion while narrowing adjusted EBIT margin to 6.3%–6.5%.

Available on EDGAR 10/30/2026 - 03:50 PM EDT Accepted by SEC EDGAR 10/30/2026 - 03:50 PM EDT

Filing Impact

(Moderate)

Filing Sentiment

(Neutral)How Sentiment works

Sentiment and the balance of points

Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.

How Sentiment works How the balance works

Form Type

6-K

Rhea-AI Filing Summary

MAGNA INTERNATIONAL INC. reported third-quarter 2026 sales of $10.059 billion, down 4% year over year, while adjusted EBIT rose 11% to $683 million. Adjusted EBIT margin expanded 90 basis points to 6.8%, and adjusted EPS increased 38% to $1.83. Operating cash flow was $950 million and free cash flow was $584 million.

For 2026, Magna lowered sales expectations to reflect lower expected vehicle production in China and unfavorable program mix. It narrowed its adjusted EBIT margin outlook to 6.3%–6.5% and adjusted EPS outlook to $6.85–$7.15 per share while maintaining the $7 midpoint. It raised free cash flow outlook to $1.85 billion–$1.90 billion, mainly reflecting lower planned capital spending.

Magna completed the Rooftop Systems and North American Lighting divestitures in Q3. The Lighting South America and China business sale is expected to close in Q4, subject to customary closing conditions and regulatory approvals. Its Board approved a new normal course issuer bid for 25.8 million shares, expected to take effect in November; Magna completed the prior buyback authorization in October.

1 point · 0 major

How this balance works

Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.

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.

How the balance works How Sentiment works

0 major · 0 points

How the balance works

Positive

Moderate pointAdjusted EBIT rose 11%; adjusted EPS increased 38% to $1.83.

Negative

None.

Filing Explained

Magna reports repurchasing 7.9 million shares for $529 million in Q3 2026; it also says share repurchases reduced diluted shares outstanding by 6% over the prior 12 months, showing the completed buyback’s scale and share-count effect.

Key Figures

Sales: $10.059 billion Adjusted EBIT: $683 million Adjusted EBIT margin: 6.8% +5 more

8 metrics

Sales $10.059 billion Q3 2026; down 4% year over year

Adjusted EBIT $683 million Q3 2026; up 11% year over year

Adjusted EBIT margin 6.8% Q3 2026; expanded 90 basis points year over year

Adjusted EPS $1.83 per share Q3 2026; increased 38% year over year

Free cash flow $584 million Q3 2026; $12 million above the prior-year quarter

Adjusted EBIT margin outlook 6.3%–6.5% Full-year 2026

Adjusted EPS outlook $6.85–$7.15 per share Full-year 2026; midpoint maintained at $7 per share

Free cash flow outlook $1.85 billion–$1.90 billion Full-year 2026; outlook range raised

Key Terms

Adjusted EBIT, Adjusted EPS, Free Cash Flow, Weighted Growth over Market (GoM), +1 more

5 terms

Adjusted EBIT financial

"Adjusted EBIT was $683 million"

Adjusted EBIT is a company’s operating profit before interest and taxes, but cleaned up by removing one-time or unusual items that can obscure ongoing performance. Investors use it like a tidied-up report card — it aims to show the underlying profitability of the business by excluding irregular gains, losses, or costs so comparisons across periods or companies are clearer and more meaningful for valuing operational strength.

Adjusted EPS financial

"Adjusted EPS rose 38% to $1.83"

Adjusted earnings per share (adjusted eps) is a measure of a company's profit per share that has been modified to exclude certain one-time or unusual items, such as costs from restructuring or asset sales. It provides a clearer picture of the company’s core performance by removing events that may distort the usual earnings. Investors use adjusted eps to better understand a company's ongoing profitability and compare it more accurately over time.

Free Cash Flow financial

"Free Cash Flow $584M"

Free cash flow is the amount of money a company has left over after paying all its expenses and investing in its business, like buying equipment or updating facilities. It shows how much cash is available to reward shareholders, pay down debt, or save for future growth. This helps investors understand if a company is financially healthy and able to grow.

Weighted Growth over Market (GoM) financial

"Weighted Growth over Market (GoM) compares organic sales growth"

normal course issuer bid regulatory

"Ability to repurchase shares for cancellation, including due to normal course issuer bid rules"

A Normal Course Issuer Bid is when a company buys back its own shares from the stock market over time. This usually shows that the company believes its stock is undervalued and wants to support its price, which can be important for investors to watch.

FAQ

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

How did MGA perform in Q3 2026?

MGA reported $10.059 billion in sales, down 4% year over year, and $683 million in adjusted EBIT, up 11%. Adjusted EPS increased 38% to $1.83, while the company generated $950 million in operating cash flow and $584 million in free cash flow.

What is Magna's 2026 financial outlook?

Magna lowered its sales expectations to reflect lower expected vehicle production in China and unfavorable program mix. It narrowed its 2026 adjusted EBIT margin outlook to 6.3%–6.5% and adjusted EPS outlook to $6.85–$7.15 per share, maintaining the $7 midpoint, and raised free cash flow outlook to $1.85 billion–$1.90 billion.

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

Form 6-K: How Foreign Companies Report to the SEC →

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 6-K

Report of Foreign Private Issuer Pursuant to Rule 13a-16 or 15d-16
under the Securities Exchange Act of 1934

For the month of October 2026

Commission File Number 001-11444

MAGNA INTERNATIONAL INC.

(Exact Name of Registrant as specified in its Charter)

337 Magna Drive, Aurora, Ontario, Canada L4G 7K1

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.

Form 20-F ¨ Form 40-F x

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

		MAGNA INTERNATIONAL INC.
		(Registrant)
Date:	October 30, 2026
		By:	/s/ “Jason Wolkove”
			Jason Wolkove,
			Vice-President, Mergers & Acquisitions, Capital Markets and Secretary

EXHIBITS

Exhibit 99.1	Q3 2026 Financial Review

Exhibit 99.2	Q3 2026 Results Webcast Presentation (October 30, 2026)

Exhibit 99.3	Q3 2026 Results Webcast Transcript (October 30, 2026)

Exhibit 99.1

FINANCIAL REVIEW OF MAGNA INTERNATIONAL INC.

(United States dollars in millions, except per share figures) (Unaudited)

Prepared in accordance with U.S. GAAP

		2024															2025															2026
	Note	1st Q			2nd Q			3rd Q			4th Q			TOTAL			1st Q			2nd Q			3rd Q			4th Q			TOTAL			1st Q			2nd Q			3rd Q			TOTAL
VEHICLE VOLUME STATISTICS (in millions)
North America			3.975			4.101			3.713			3.721			15.510			3.689			3.981			3.933			3.700			15.303			3.641			4.062			3.750			11.453
Europe			4.556			4.450			3.705			4.133			16.844			4.220			4.366			3.761			4.382			16.729			4.219			4.454			3.860			12.533
China			6.357			7.073			7.272			9.703			30.405			7.057			7.745			8.143			10.095			33.040			6.289			7.486			7.595			21.370
Rest of World			6.625			6.607			6.684			6.969			26.885			7.024			6.838			6.841			7.651			28.354			7.122			7.295			6.759			21.176
Global			21.513			22.231			21.374			24.526			89.644			21.990			22.930			22.678			25.828			93.426			21.271			23.297			21.964			66.532
Magna Steyr vehicle assembly volumes			0.022			0.019			0.015			0.016			0.072			0.017			0.016			0.015			0.023			0.071			0.025			0.029			0.026			0.080

AVERAGE FOREIGN EXCHANGE RATES
1 Canadian dollar equals U.S. dollars			0.741			0.731			0.733			0.715			0.730			0.697			0.723			0.726			0.717			0.716			0.730			0.723			0.715			0.722
1 euro equals U.S. dollars			1.085			1.076			1.099			1.066			1.082			1.053			1.134			1.169			1.164			1.130			1.171			1.163			1.152			1.162
1 Chinese renminbi equals U.S. dollars			0.139			0.138			0.140			0.139			0.139			0.138			0.138			0.140			0.141			0.139			0.144			0.147			0.148			0.147

CONSOLIDATED STATEMENTS OF INCOME (LOSS)
Sales
Body Exteriors & Structures			4,429			4,465			4,038			4,067			16,999			3,966			4,253			4,147			4,252			16,618			4,079			4,421			4,158			12,658
Power & Vision			3,842			3,926			3,837			3,786			15,391			3,646			3,857			3,854			3,841			15,198			3,881			4,093			3,773			11,747
Seating Systems			1,455			1,455			1,379			1,511			5,800			1,312			1,433			1,520			1,633			5,898			1,340			1,448			1,247			4,035
Complete Vehicles			1,383			1,242			1,159			1,402			5,186			1,276			1,226			1,085			1,261			4,848			1,224			1,160			996			3,380
Corporate & Other			(139	)		(130	)		(133	)		(138	)		(540	)		(131	)		(138	)		(144	)		(139	)		(552	)		(143	)		(142	)		(115	)		(400	)
			10,970			10,958			10,280			10,628			42,836			10,069			10,631			10,462			10,848			42,010			10,381			10,980			10,059			31,420

Costs and expenses
Cost of goods sold			9,642			9,494			8,828			9,073			37,037			8,827			9,127			8,973			9,094			36,021			8,958			9,368			8,433			26,759
Selling, general and administrative			516			523			487			535			2,061			539			565			531			586			2,221			557			585			591			1,733
Equity income			(34	)		(9	)		(13	)		(45	)		(101	)		(20	)		(32	)		(44	)		(47	)		(143	)		(95	)		(45	)		(35	)		(175	)
Adjusted EBITDA			846			950			978			1,065			3,839			723			971			1,002			1,215			3,911			961			1,072			1,070			3,103
Depreciation			377			373			384			376			1,510			369			388			389			401			1,547			403			395			387			1,185
Adjusted EBIT			469			577			594			689			2,329			354			583			613			814			2,364			558			677			683			1,918
Amortization of acquired intangible assets			28			28			28			28			112			26			29			27			29			111			19			17			17			53
Other expense (income), net	1		356			68			(188	)		228			464			53			6			48			629			736			415			24			79			518
Interest expense, net			51			54			54			52			211			50			52			65			42			209			37			37			35			109
Income from operations before income taxes			34			427			700			381			1,542			225			496			473			114			1,308			87			599			552			1,238
Income tax expense			8			99			192			147			446			72			102			140			111			425			88			120			152			360
Net (loss) income			26			328			508			234			1,096			153			394			333			3			883			(1	)		479			400			878
Income attributable to non-controlling interests			(17	)		(15	)		(24	)		(31	)		(87	)		(7	)		(15	)		(28	)		(4	)		(54	)		(11	)		(10	)		(17	)		(38	)
Net (loss) income attributable to Magna International Inc.			9			313			484			203			1,009			146			379			305			(1	)		829			(12	)		469			383			840
Diluted (loss) earnings per common share		$	0.03		$	1.09		$	1.68		$	0.71		$	3.52		$	0.52		$	1.35		$	1.08		$	-		$	2.93		$	(0.04	)	$	1.72		$	1.44		$	3.08
Weighted average number of Common Shares outstanding during the period (in millions):			287.1			287.3			287.3			285.9			286.9			282.0			281.7			281.8			281.2			282.5			278.1			273.2			266.0			273.0

NON-GAAP MEASURES
Adjusted EBITDA			846			950			978			1,065			3,839			723			971			1,002			1,215			3,911			961			1,072			1,070			3,103
Adjusted EBIT	2		469			577			594			689			2,329			354			583			613			814			2,364			558			677			683			1,918
Adjusted Return on Invested Capital	2		7.8	%		9.4	%		9.0	%		11.8	%		9.5	%		5.7	%		9.6	%		9.2	%		13.9	%		9.7	%		9.4	%		12.5	%		12.2	%		11.3	%
Adjusted net income attributable to Magna International Inc.	2		311			389			369			482			1,551			219			407			375			617			1,618			386			508			486			1,380
Adjusted EPS	2	$	1.08		$	1.35		$	1.28		$	1.69		$	5.41		$	0.78		$	1.44		$	1.33		$	2.18		$	5.73		$	1.38		$	1.86		$	1.83		$	5.06
Adjusted weighted average number of Common Shares outstanding during the period (in millions):	2		287.1			287.3			287.3			285.9			286.9			282.0			281.7			281.8			282.7			282.5			279.9			273.2			266.0			273.0

PROFITABILITY RATIOS
Selling, general and administrative /Sales			4.7	%		4.8	%		4.7	%		5.0	%		4.8	%		5.4	%		5.3	%		5.1	%		5.4	%		5.3	%		5.4	%		5.3	%		5.9	%		5.5	%
Adjusted EBIT /Sales			4.3	%		5.3	%		5.8	%		6.5	%		5.4	%		3.5	%		5.5	%		5.9	%		7.5	%		5.6	%		5.4	%		6.2	%		6.8	%		6.1	%
Income (loss) from operations before income taxes /Sales			0.3	%		3.9	%		6.8	%		3.6	%		3.6	%		2.2	%		4.7	%		4.5	%		1.1	%		3.1	%		0.8	%		5.5	%		5.5	%		3.9	%
Effective tax rate
Reported			23.5	%		23.2	%		27.4	%		38.6	%		28.9	%		32.0	%		20.6	%		29.6	%		97.4	%		32.5	%		101.1	%		20.0	%		27.5	%		29.1	%
Excluding Other expense (income) and amortization, net of taxes and valuation allowance adjustments			21.5	%		22.8	%		27.2	%		19.5	%		22.7	%		25.7	%		20.5	%		26.5	%		19.6	%		22.4	%		23.8	%		19.1	%		22.4	%		21.6	%

Q3 2026 Financial Review of Magna International Inc.

Page 1 of 7

Prepared as at 10/29/2026

FINANCIAL REVIEW OF MAGNA INTERNATIONAL INC.

(United States dollars in millions) (Unaudited)

Prepared in accordance with U.S. GAAP

		2024												2025												2026
		1st Q			2nd Q			3rd Q			4th Q			1st Q			2nd Q			3rd Q			4th Q			1st Q			2nd Q			3rd Q
CONSOLIDATED BALANCE SHEETS
FUNDS EMPLOYED
Current assets:
Accounts receivable			8,379			8,219			8,377			7,376			8,198			8,258			8,406			7,593			8,215			8,376			8,298
Inventories			4,511			4,466			4,592			4,151			4,184			4,207			4,233			4,126			3,964			4,009			4,161
Prepaid expenses and other			399			314			303			344			358			333			316			407			405			371			364
Held for sale assets			-			-			-			-			-			-			-			-			316			252			38
			13,289			12,999			13,272			11,871			12,740			12,798			12,955			12,126			12,900			13,008			12,861
Current liabilities:
Accounts payable			7,855			7,639			7,608			7,194			7,376			7,127			7,261			6,895			7,216			7,262			7,080
Accrued salaries and wages			883			862			962			867			893			917			994			888			920			924			995
Other accrued liabilities			2,728			2,650			2,642			2,572			2,723			2,845			2,906			2,745			2,878			3,038			3,259
Income taxes payable (receivable)			132			79			176			192			152			88			109			106			129			121			141
Held for sale liabilities			-			-			-			-			-			-			-			-			296			195			30
			11,598			11,230			11,388			10,825			11,144			10,977			11,270			10,634			11,439			11,540			11,505
Working capital			1,691			1,769			1,884			1,046			1,596			1,821			1,685			1,492			1,461			1,468			1,356
Investments			1,195			1,161			1,165			1,045			1,062			1,129			1,098			1,103			1,289			1,248			1,287
Fixed assets, net			9,545			9,623			9,836			9,584			9,650			9,853			9,707			9,507			9,012			8,851			8,781
Goodwill, other assets and intangible assets			4,646			4,709			4,865			4,532			4,669			4,896			4,876			4,277			4,108			4,054			4,018
Operating lease right-of-use assets			1,733			1,688			1,780			1,941			2,032			2,061			2,024			1,928			1,865			1,805			1,766
Funds employed			18,810			18,950			19,530			18,148			19,009			19,760			19,390			18,307			17,735			17,426			17,208
FINANCING
Net debt and leases:
Cash and cash equivalents			(1,517	)		(999	)		(1,061	)		(1,247	)		(1,059	)		(1,536	)		(1,327	)		(1,612	)		(1,605	)		(1,430	)		(1,378	)
Short-term borrowings			838			848			828			271			614			349			433			-			136			-			-
Long-term debt due within one year			824			65			65			708			1,005			706			33			27			20			20			709
Long-term debt			4,549			4,863			4,916			4,134			3,892			4,984			4,967			4,685			4,643			4,608			3,921
Current portion of operating lease liabilities			306			306			319			293			305			318			323			328			328			321			318
Operating lease liabilities			1,407			1,378			1,458			1,662			1,742			1,759			1,722			1,649			1,573			1,520			1,483
			6,407			6,461			6,525			5,821			6,499			6,580			6,151			5,077			5,095			5,039			5,053
Long-term employee benefit liabilities			584			564			571			533			552			574			573			554			530			519			521
Other long-term liabilities			471			507			339			396			349			267			298			399			426			385			362
Deferred tax assets, net			(576	)		(592	)		(592	)		(542	)		(557	)		(564	)		(567	)		(562	)		(588	)		(625	)		(640	)
			479			479			318			387			344			277			304			391			368			279			243
Shareholders' equity			11,924			12,010			12,687			11,940			12,166			12,903			12,935			12,839			12,272			12,108			11,912
			18,810			18,950			19,530			18,148			19,009			19,760			19,390			18,307			17,735			17,426			17,208

ASSET UTILIZATION RATIOS
Days in accounts receivable			68.7			67.5			73.3			62.5			73.3			69.9			72.3			63.0			71.2			68.7			74.2
Days in accounts payable			73.3			72.4			77.6			71.4			75.2			70.3			72.8			68.2			72.5			69.8			75.6
Inventory turnover - cost of goods sold			8.5			8.5			7.7			8.7			8.4			8.7			8.5			8.8			9.0			9.3			8.1
Working capital turnover			25.9			24.8			21.8			40.6			25.2			23.4			24.8			29.1			28.4			29.9			29.7
Total asset turnover			2.3			2.3			2.1			2.3			2.1			2.2			2.2			2.4			2.3			2.5			2.3

CAPITAL STRUCTURE
Net debt and leases			34.1	%		34.1	%		33.4	%		32.1	%		34.2	%		33.3	%		31.7	%		27.7	%		28.7	%		28.9	%		29.4	%
Long-term employee benefit liabilities, other long-term liabilities & deferred tax liabilities, net			2.5	%		2.5	%		1.6	%		2.1	%		1.8	%		1.4	%		1.6	%		2.1	%		2.1	%		1.6	%		1.4	%
Shareholders' equity			63.4	%		63.4	%		65.0	%		65.8	%		64.0	%		65.3	%		66.7	%		70.1	%		69.2	%		69.5	%		69.2	%
			100.0	%		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%
Adjusted Debt to Adjusted EBITDA	2		1.98	x		1.91	x		1.93	x		1.75	x		1.92	x		2.03	x		1.88	x		1.59	x		1.50	x		1.42	x		1.40	x
Debt to total capitalization			39.9	%		38.3	%		37.4	%		37.2	%		38.3	%		38.6	%		36.6	%		34.3	%		35.3	%		34.8	%		35.1	%

Q3 2026 Financial Review of Magna International Inc.

Page 2 of 7

Prepared as at 10/29/2026

FINANCIAL REVIEW OF MAGNA INTERNATIONAL INC.

(United States dollars in millions) (Unaudited)

Prepared in accordance with U.S. GAAP

		2024										2025										2026
	Note	1st Q		2nd Q		3rd Q		4th Q		TOTAL		1st Q		2nd Q		3rd Q		4th Q		TOTAL		1st Q		2nd Q		3rd Q		TOTAL
CONSOLIDATED STATEMENTS OF CASH FLOWS
Operating activities
Net income		26		328		508		234		1,096		153		394		333		3		883		(1	)	479		400		878
Items not involving current cash flows		565		353		277		662		1,857		394		368		454		1,152		2,368		638		382		406		1,426
		591		681		785		896		2,953		547		762		787		1,155		3,251		637		861		806		2,304
Changes in operating assets and liabilities		(330	)	55		(58	)	1,014		681		(470	)	(135	)	125		827		347		40		93		144		277
Cash provided from operating activities		261		736		727		1,910		3,634		77		627		912		1,982		3,598		677		954		950		2,581

Investment activities
Fixed asset additions		(493	)	(500	)	(476	)	(709	)	(2,178	)	(268	)	(246	)	(267	)	(532	)	(1,313	)	(219	)	(269	)	(307	)	(795	)
Increase in investments, other assets and intangible assets		(125	)	(170	)	(115	)	(207	)	(617	)	(148	)	(94	)	(100	)	(157	)	(499	)	(168	)	(77	)	(75	)	(320	)
Proceeds from dispositions		87		57		38		37		219		26		14		27		54		121		82		9		16		107
Investment in Public and Private Equity Investments		(23	)	2		(1	)	10		(12	)	(1	)	(3	)	(2	)	(2	)	(8	)	(1	)	(4	)	-		(5	)
Proceeds from divestitures, net of funding provided	1(f), 1(g)	4		-		78		-		82		-		-		-		-		-		-		(31	)	33		2
Business combinations		(30	)	(56	)	-		-		(86	)	(4	)	4		(1	)	-		(1	)	-		-		-		-
Cash used for investment activities		(580	)	(667	)	(476	)	(869	)	(2,592	)	(395	)	(325	)	(343	)	(637	)	(1,700	)	(306	)	(372	)	(333	)	(1,011	)

Financing activities
Net issues (repayments) of debt		757		(416	)	(47	)	(513	)	(219	)	322		341		(583	)	(747	)	(667	)	135		(141	)	(2	)	(8	)
Common Shares issued on exercise of stock options		30		-		-		-		30		-		-		-		2		2		86		21		-		107
Repurchase of Common Shares		(3	)	(2	)	-		(202	)	(207	)	(51	)	-		-		(86	)	(137	)	(440	)	(465	)	(529	)	(1,434	)
Tax withholdings on vesting of equity awards		(4	)	(1	)	-		(3	)	(8	)	(4	)	-		-		(1	)	(5	)	(9	)	(3	)	-		(12	)
Acquisition of non-controlling interest		-		-		-		-		-		-		-		(40	)	(82	)	(122	)	-		-		-		-
Dividends paid to non-controlling interests		-		(26	)	(10	)	(10	)	(46	)	-		(25	)	(15	)	(19	)	(59	)	-		(32	)	(29	)	(61	)
Dividends paid		(134	)	(134	)	(138	)	(133	)	(539	)	(136	)	(137	)	(136	)	(135	)	(544	)	(135	)	(133	)	(129	)	(397	)
Cash provided from (used for) financing activities		646		(579	)	(195	)	(861	)	(989	)	131		179		(774	)	(1,068	)	(1,532	)	(363	)	(753	)	(689	)	(1,805	)

Effect of exchange rate changes on cash, cash equivalents and restricted cash equivalents		(8	)	(8	)	6		6		(4	)	(1	)	(4	)	(4	)	8		(1	)	8		(4	)	9		13
Net increase (decrease) in cash, cash equivalents and restricted cash equivalents during the period		319		(518	)	62		186		49		(188	)	477		(209	)	285		365		16		(175	)	(63	)	(222	)
Cash, cash equivalents and restricted cash equivalents, beginning of period	4	1,198		1,517		999		1,061		1,198		1,247		1,059		1,536		1,327		1,247		1,612		1,628		1,453		1,612
Cash, cash equivalents and restricted cash equivalents, end of period		1,517		999		1,061		1,247		1,247		1,059		1,536		1,327		1,612		1,612		1,628		1,453		1,390		1,390

NON-GAAP MEASURES
Free Cash Flow	2	(270	)	123		174		1,031		1,058		(313	)	301		572		1,347		1,907		372		617		584		1,573

Q3 2026 Financial Review of Magna International Inc.

Page 3 of 7

Prepared as at 10/29/2026

FINANCIAL REVIEW OF MAGNA INTERNATIONAL INC.

(United States dollars in millions, except per share figures) (Unaudited)

Prepared in accordance with U.S. GAAP

This Analyst should be read in conjunction with the audited consolidated financial statements for the year ended December 31, 2025.

Note 1:	OTHER EXPENSE (INCOME), NET

	Other expense (income), net consists of significant items such as: impairment charges; restructuring costs generally related to significant plant closures or consolidations; net losses (gains) on investments; gains or losses on disposal of facilities or businesses; and other items not reflective of on-going operating profit or loss. Other expense (income), net consists of:

		2024									2025							2026
		1st Q	2nd Q		3rd Q			4th Q	TOTAL		1st Q	2nd Q		3rd Q	4th Q		TOTAL	1st Q		2nd Q		3rd Q		TOTAL
Loss on assets held for sale	[a]	-	-			-		-	-		-	-		-	-		-	485		11		5		501
Restructuring activities	[b]	38	55			-		94	187		44	13		46	15		118	26		15		83		124
Impacts related to Fisker Inc. [“Fisker”]	[c]	316	19			(189	)	52	198		-	-		-	-		-	-		(2	)	(4	)	(6	)
Investment revaluations, (gains) losses on sales, and impairments	[d]	2	3			1		3	9		9	(7	)	2	(1	)	3	(96	)	-		(5	)	(101	)
Impairments	[e]	-	-			-		79	79		-	-		-	615		615	-		-		-		-
Gain on business combination	[f]	-	(9	)		-		-	(9	)	-	-		-	-		-	-		-		-		-
		356	68			(188	)	228	464		53	6		48	629		736	415		24		79		518

[a]		Loss on assets held for sale

		The Company concluded that the assets and liabilities of the Lighting and Rooftop Systems businesses met the criteria to be classified as held for sale as of March 31, 2026, and recognized an impairment loss of $485 million in the first quarter. In the second quarter, the loss of $11 million comprised an impairment loss of $13 million, partially offset by a $2 million gain on the sale of the Lighting Europe business, which closed on June 29, 2026. In the third quarter, the loss of $5 million comprised an impairment loss of $4 million and a $3 million loss on the sale of the Lighting North America business, partially offset by a $2 million gain on the sale of the Rooftop Systems business. Both third-quarter sales closed on August 4, 2026.

		The sale of the Lighting South America and China business is expected to close during the fourth quarter of 2026, subject to customary closing conditions and regulatory approvals.

[b]

Restructuring activities

	2024					2025						2026
	1st Q	2nd Q	3rd Q	4th Q	TOTAL	1st Q	2nd Q	3rd Q	4th Q		TOTAL	1st Q	2nd Q	3rd Q	TOTAL
Power & Vision	-	55	-	49	104	11	13	34	(7	)	51	5	5	76	86
Complete Vehicles	26	-	-	29	55	33	-	12	13		58	21	-	-	21
Seating Systems	-	-	-	-	-	-	-	-	-		-	-	10	-	10
Body Exteriors & Structures	12	-	-	16	28	-	-	-	9		9	-	-	7	7
	38	55	-	94	187	44	13	46	15		118	26	15	83	124

Restructuring charges generally related to significant plant closures and consolidations primarily in Europe and to a lesser extent in North America and Asia Pacific. During the third quarter of 2025 and the second quarter of 2026, the Company's Power & Vision segment recognized equity losses of $10 million and $3 million, respectively, associated with its share of significant rightsizing activities at an equity method investee. During the second quarters of 2025 and 2024, the Company recorded $6 million and $35 million, respectively, of restructuring charges associated with its acquisition of the Veoneer Active Safety Business [“Veoneer AS”].

[c]		Impacts related to Fisker Inc. [“Fisker”]

		During 2023 and 2024, the Company recorded impairment charges on its Fisker related net assets, including its Fisker warrants, which were received in connection with the agreements with Fisker for platform sharing, engineering and manufacturing of the Fisker Ocean SUV. The Company also recorded additional restructuring charges during the first quarter of 2024 related to its Fisker related assembly operations. In the course of such bankruptcy proceedings, the Company terminated its manufacturing agreement for the Fisker Ocean SUV and recognized the remaining $196 million of deferred revenue into income.

		During the second and third quarter of 2026, the Company recognized a gain of $2 million and $4 million, respectively, related to the settlement of claims associated with Fisker's bankruptcy.

	2024							2025					2026
	1st Q	2nd Q	3rd Q		4th Q	TOTAL		1st Q	2nd Q	3rd Q	4th Q	TOTAL	1st Q	2nd Q		3rd Q		TOTAL
Impairment of Fisker related net assets	261	19	7		43	330		-	-	-	-	-	-	(2	)	(4	)	(6	)
Impairment of Fisker warrants	33	-	-		-	33		-	-	-	-	-	-	-		-		-
Additional restructuring related to Complete Vehicles	22	-	-		9	31		-	-	-	-	-	-	-		-		-
Recognition of related deferred revenue	-	-	(196	)	-	(196	)	-	-	-	-	-	-	-		-		-
	316	19	(189	)	52	198		-	-	-	-	-	-	(2	)	(4	)	(6	)

[d]

Investment revaluations, (gains) losses on sales, and impairments

	2024							2025							2026
	1st Q	2nd Q	3rd Q	4th Q		TOTAL		1st Q	2nd Q		3rd Q	4th Q		TOTAL	1st Q		2nd Q	3rd Q		TOTAL
(Gains) and losses related to revaluation and disposition	2	3	1	(10	)	(4	)	9	(7	)	-	(1	)	1	(110	)	-	(5	)	(115	)
Non-cash impairment charges	-	-	-	13		13		-	-		2	-		2	14		-	-		14
	2	3	1	3		9		9	(7	)	2	(1	)	3	(96	)	-	(5	)	(101	)

The Company revalues its public and private equity investments and certain public company warrants every quarter. The gains and losses related to this revaluation, as well as gains and losses on disposition, are primarily recorded in Corporate. The non-cash impairment charges on private equity investments are primarily recorded in Corporate. During the first quarter of 2026, the Company recorded an unrealized gain of $108 million resulting from the revaluation of its existing private equity investment in Waymo LLC ("Waymo") following Waymo's completion of a new financing round.

[e]		Impairments

		During 2025, the Company concluded that indicators of impairment were present for finite-lived intangible assets and goodwill in the Electronics reporting unit within the Power & Vision segment and recorded $591 million impairment. During 2025, the Company also recorded an impairment charge of $24 million on fixed assets and other assets at a European facility in its Body Exteriors & Structures segment. During 2024, the Company recorded an impairment charge of $79 million on fixed assets, right of use assets and intangible assets at two European facilities in its Power & Vision segment.

[f]		Gain on business combination

		During 2024, the Company acquired a business in the Body Exteriors & Structures segment for $5 million, resulting in a bargain purchase gain of $9 million.

Q3 2026 Financial Review of Magna International Inc.

Page 4 of 7

Prepared as at 10/29/2026

Note 2:	NON-GAAP MEASURES

	The Company presents Adjusted EBIT (Earnings before interest, taxes, Other expense (income), net and amortization of acquired intangible assets); Adjusted Net Income (Net Income before Other expense (income), net, net of tax excluding significant income tax valuation allowance adjustments, and amortization of acquired intangible assets); Adjusted Diluted Earnings per Share ("Adjusted EPS"); Adjusted EBIT as a percentage of sales; Free Cash Flow; Adjusted Return on Invested Capital; and Adjusted Debt to Adjusted EBITDA. The Company presents these financial figures because such measures are widely used by analysts and investors in evaluating the operating performance of the Company. However, such measures do not have any standardized meaning under U.S. generally accepted accounting principles and may not be comparable to the calculation of similar measures by other companies.

	The following table reconciles Income from operations before income taxes to Adjusted EBIT:

	2024						2025					2026
	1st Q	2nd Q	3rd Q		4th Q	TOTAL	1st Q	2nd Q	3rd Q	4th Q	TOTAL	1st Q	2nd Q	3rd Q	TOTAL
Income from operations before income taxes	34	427	700		381	1,542	225	496	473	114	1,308	87	599	552	1,238
Exclude:
Amortization of acquired intangible assets	28	28	28		28	112	26	29	27	29	111	19	17	17	53
Other expense (income), net	356	68	(188	)	228	464	53	6	48	629	736	415	24	79	518
Interest expense, net	51	54	54		52	211	50	52	65	42	209	37	37	35	109
Adjusted EBIT	469	577	594		689	2,329	354	583	613	814	2,364	558	677	683	1,918

The following table shows the calculation of Adjusted Return on Invested Capital:

	2024										2025										2026
	1st Q		2nd Q		3rd Q		4th Q		FY		1st Q		2nd Q		3rd Q		4th Q		FY		1st Q		2nd Q		3rd Q		TOTAL
Net (loss) income	26		328		508		234		1,096		153		394		333		3		883		(1	)	479		400		878
Add (deduct):
Interest expense, net	51		54		54		52		211		50		52		65		42		209		37		37		35		109
Amortization of acquired intangible assets	28		28		28		28		112		26		29		27		29		111		19		17		17		53
Other expense (income), net	356		68		(188	)	228		464		53		6		48		629		736		415		24		79		518
Tax effect on Interest expense, net, Amortization of acquired intangible assets and Other expense, net	(93	)	(32	)	30		(38	)	(133	)	(19	)	(18	)	(22	)	(48	)	(107	)	(45	)	(9	)	(1	)	(55	)
Adjustments to Deferred Tax Valuation Allowances	-		-		-		51		51		-		-		-		-		-		-		-		-		-
Adjusted After-tax operating profits	368		446		432		555		1,801		263		463		451		655		1,832		425		548		530		1,503

Total Assets	32,678		31,986		32,790		31,039				32,074		33,175		32,907		31,417				31,660		31,292		30,985
Excluding:
Cash and cash equivalents	(1,517	)	(999	)	(1,061	)	(1,247	)			(1,059	)	(1,536	)	(1,327	)	(1,612	)			(1,605	)	(1,430	)	(1,378	)
Deferred tax assets	(753	)	(807	)	(811	)	(819	)			(862	)	(902	)	(920	)	(864	)			(881	)	(896	)	(894	)
Less Current Liabilities	(13,566	)	(12,449	)	(12,600	)	(12,097	)			(13,068	)	(12,350	)	(12,059	)	(10,989	)			(11,923	)	(11,881	)	(12,532	)
Excluding:
Short-term borrowing	838		848		828		271				614		349		433		-				136		-		-
Long-term debt due within one year	824		65		65		708				1,005		706		33		27				20		20		709
Current portion of operating lease liabilities	306		306		319		293				305		318		323		328				328		321		318
Invested Capital	18,810		18,950		19,530		18,148				19,009		19,760		19,390		18,307				17,735		17,426		17,208

Adjusted After-tax operating profits	368		446		432		555		1,801		263		463		451		655		1,832		425		548		530		1,503
Average Invested Capital	18,871		18,880		19,240		18,839		18,875		18,579		19,385		19,575		18,849		18,923		18,021		17,581		17,317		17,669
Adjusted Return on Invested Capital	7.8	%	9.4	%	9.0	%	11.8	%	9.5	%	5.7	%	9.6	%	9.2	%	13.9	%	9.7	%	9.4	%	12.5	%	12.2	%	11.3	%

Q3 2026 Financial Review of Magna International Inc.

Page 5 of 7

Prepared as at 10/29/2026

Note 2:	NON-GAAP MEASURES (Continued)

	The following table reconciles Net income attributable to Magna International Inc. to Adjusted net income attributable to Magna International Inc.:

		2024								2025							2026
		1st Q	2nd Q		3rd Q		4th Q	TOTAL		1st Q	2nd Q		3rd Q	4th Q		TOTAL	1st Q		2nd Q		3rd Q		TOTAL
Net (loss) income attributable to Magna International Inc.		9	313		484		203	1,009		146	379		305	(1	)	829	(12	)	469		383		840
Exclude:
Amortization of acquired intangible assets		22	23		22		22	89		21	24		22	26		93	17		16		16		49
Loss on assets held for sale		-	-		-		-	-		-	-		-	-		-	452		11		11		474
Impairments		-	-		-		79	79		-	-		-	578		578	-		-		-		-
Restructuring activities		32	45		-		82	159		44	9		46	15		114	25		14		83		122
Investment revaluations, (gains) losses on sales, and impairments		1	2		3		6	12		8	(5	)	2	(1	)	4	(96	)	-		(4	)	(100	)
Impacts related to Fisker Inc. [“Fisker”]		247	15		(140	)	39	161		-	-		-	-		-	-		(2	)	(3	)	(5	)
Gain on business combination		-	(9	)	-		-	(9	)	-	-		-	-		-	-		-		-		-
Adjustments to Deferred Tax Valuation Allowance	[i]	-	-		-		51	51		-	-		-	-		-	-		-		-		-
Adjusted net income attributable to Magna International Inc.		311	389		369		482	1,551		219	407		375	617		1,618	386		508		486		1,380

The following table reconciles diluted (loss) earnings per common share to Adjusted EPS [iv]:

		2024													2025											2026
		1st Q		2nd Q			3rd Q			4th Q		TOTAL			1st Q		2nd Q			3rd Q		4th Q		TOTAL		1st Q			2nd Q			3rd Q			TOTAL
Diluted (loss) earnings per common share		$	0.03	$	1.09		$	1.68		$	0.71	$	3.52		$	0.52	$	1.35		$	1.08	$	-	$	2.93	$	(0.04	)		1.72			1.44		$	3.08
Exclude:
Amortization of acquired intangible assets			0.08		0.08			0.08			0.08		0.31			0.08		0.08			0.08		0.09		0.34		0.06			0.06			0.06			0.18
Loss on assets held for sale			-		-			-			-		-			-		-			-		-		-		1.61			0.04			0.04			1.74
Impairments			-		-			-			0.28		0.28			-		-			-		2.04		2.05		-			-			-			-
Restructuring activities			0.11		0.15			-			0.29		0.55			0.15		0.03			0.16		0.05		0.40		0.09			0.05			0.32			0.45
Investment revaluations, (gains) losses on sales, and impairments			-		0.01			0.01			0.01		0.04			0.03		(0.02	)		0.01		-		0.01		(0.34	)		-			(0.02	)		(0.37	)
Impacts related to Fisker Inc. [“Fisker”]			0.86		0.05			(0.49	)		0.14		0.56			-		-			-		-		-		-			(0.01	)		(0.01	)		(0.02	)
Gain on business combination			-		(0.03	)		-			-		(0.03	)		-		-			-		-		-		-			-			-			-
Adjustments to Deferred Tax Valuation Allowance	[i]		-		-			-			0.18		0.18			-		-			-		-		-		-			-			-			-
Adjusted EPS		$	1.08	$	1.35		$	1.28		$	1.69	$	5.41		$	0.78	$	1.44		$	1.33	$	2.18	$	5.73	$	1.38		$	1.86		$	1.83		$	5.06

[i]

Adjustments to Deferred Tax Valuation Allowance

			The Company records quarterly adjustments to the valuation allowance against its deferred tax assets and liabilities in continents like North America, Europe, Asia, and South America. The net effect of these adjustments is an increase to income tax expense in the fourth quarter of 2024.

	The following table reconciles Diluted weighted average number of Common Shares outstanding to Adjusted Diluted weighted average number of Common Shares outstanding:

		2024					2025					2026
		1st Q	2nd Q	3rd Q	4th Q	TOTAL	1st Q	2nd Q	3rd Q	4th Q	TOTAL	1st Q	2nd Q	3rd Q	TOTAL
Diluted weighted average number of Common Shares outstanding during the period (in millions):		287.1	287.3	287.3	285.9	286.9	282.0	281.7	281.8	281.2	282.5	278.1	273.2	266.0	273.0
Adjusted Dilutive impact of stock option and share awards	[ii]	-	-	-	-	-	-	-	-	1.5	-	1.8	-	-	-
Adjusted Diluted weighted average number of Common Shares outstanding during the period (in millions):		287.1	287.3	287.3	285.9	286.9	282.0	281.7	281.8	282.7	282.5	279.9	273.2	266.0	273.0

[ii]

For the first quarter of 2026 and fourth quarter of 2025, the Company generated Adjusted Net Income attributable to Magna International Inc. while reporting a net loss attributable to Magna International Inc. As a result, certain stock-based compensation awards have a dilutive effect for adjusted EPS and are included in the adjusted diluted weighted average number of Common Shares.

Q3 2026 Financial Review of Magna International Inc.

Page 6 of 7

Prepared as at 10/29/2026

Note 2:	NON-GAAP MEASURES (Continued)

	The following table shows the calculation of Rating Agency Adjusted Debt to Adjusted EBITDA:

		2024								2025								2026
		1st Q		2nd Q		3rd Q		4th Q		1st Q		2nd Q		3rd Q		4th Q		1st Q		2nd Q		3rd Q
Debt and leases per balance sheet		7,924		7,460		7,586		7,068		7,558		8,116		7,478		6,689		6,700		6,469		6,431
Long-Term Employee Benefit Liabilities	[iii]	125		125		125		127		127		127		127		131		131		131		131
Adjusted Debt	[A]	8,049		7,585		7,711		7,195		7,685		8,243		7,605		6,820		6,831		6,600		6,562

Rolling four quarter Adjusted EBITDA		3,718		3,699		3,704		3,839		3,716		3,737		3,761		3,911		4,149		4,250		4,318
Capitalized operating lease expense	[iii]	353		353		353		410		410		410		410		428		428		428		428
Pension adjustment	[iii], [iv]	4		4		4		(20	)	(20	)	(20	)	(20	)	2		2		2		2
Interest income	[iii]	86		86		86		98		98		98		98		66		66		66		66
Rolling four quarter cash portion of other expense, net		(94	)	(161	)	(149	)	(219	)	(203	)	(161	)	(196	)	(106	)	(90	)	(88	)	(127	)
	[B]	4,067		3,981		3,998		4,108		4,001		4,064		4,053		4,301		4,555		4,658		4,687

Adjusted Debt to Adjusted EBITDA	[A] / [B]	1.98	_x	1.91	_x	1.93	_x	1.75	_x	1.92	_x	2.03	_x	1.88	_x	1.59	_x	1.50	_x	1.42	_x	1.40	_x

	[iii]	The long-term employee benefit liabilities, capitalized operating lease expense, interest income and pension adjustment figures included in the Adjusted EBITDA calculations are based on the annual figures for the years ended December 31, 2025, December 31, 2024, and December 31, 2023, respectively.
	[iv]	Pension adjustment calculated as Net Periodic Pension Benefit Cost less Current Service Cost for defined benefit pension plans.

The following table reconciles cash provided from operating activities to Free Cash Flow:

	2024										2025										2026
	1st Q		2nd Q		3rd Q		4th Q		TOTAL		1st Q		2nd Q		3rd Q		4th Q		TOTAL		1st Q		2nd Q		3rd Q		TOTAL
Cash provided from operating activities	261		736		727		1,910		3,634		77		627		912		1,982		3,598		677		954		950		2,581
Add (deduct):
Fixed asset additions	(493	)	(500	)	(476	)	(709	)	(2,178	)	(268	)	(246	)	(267	)	(532	)	(1,313	)	(219	)	(269	)	(307	)	(795	)
Increase in investments, other assets and intangible assets	(125	)	(170	)	(115	)	(207	)	(617	)	(148	)	(94	)	(100	)	(157	)	(499	)	(168	)	(77	)	(75	)	(320	)
Proceeds from dispositions	87		57		38		37		219		26		14		27		54		121		82		9		16		107
Free Cash Flow	(270	)	123		174		1,031		1,058		(313	)	301		572		1,347		1,907		372		617		584		1,573

Note 3:

SEGMENTED INFORMATION

	2024										2025										2026
	1st Q		2nd Q		3rd Q		4th Q		TOTAL		1st Q		2nd Q		3rd Q		4th Q		TOTAL		1st Q		2nd Q		3rd Q		TOTAL
Body Exteriors & Structures
Sales	4,429		4,465		4,038		4,067		16,999		3,966		4,253		4,147		4,252		16,618		4,079		4,421		4,158		12,658
Adjusted EBIT	298		341		273		371		1,283		230		347		305		465		1,347		274		360		387		1,021
Adjusted EBIT as a percentage of sales	6.7	%	7.6	%	6.8	%	9.1	%	7.5	%	5.8	%	8.2	%	7.4	%	10.9	%	8.1	%	6.7	%	8.1	%	9.3	%	8.1	%
Power & Vision
Sales	3,842		3,926		3,837		3,786		15,391		3,646		3,857		3,854		3,841		15,198		3,881		4,093		3,773		11,747
Adjusted EBIT	98		198		279		235		810		124		162		236		166		688		252		245		287		784
Adjusted EBIT as a percentage of sales	2.6	%	5.0	%	7.3	%	6.2	%	5.3	%	3.4	%	4.2	%	6.1	%	4.3	%	4.5	%	6.5	%	6.0	%	7.6	%	6.7	%
Seating Systems
Sales	1,455		1,455		1,379		1,511		5,800		1,312		1,433		1,520		1,633		5,898		1,340		1,448		1,247		4,035
Adjusted EBIT	52		53		51		67		223		(30	)	42		62		136		210		25		51		28		104
Adjusted EBIT as a percentage of sales	3.6	%	3.6	%	3.7	%	4.4	%	3.8	%	-2.3	%	2.9	%	4.1	%	8.3	%	3.6	%	1.9	%	3.5	%	2.2	%	2.6	%
Complete Vehicles
Sales	1,383		1,242		1,159		1,402		5,186		1,276		1,226		1,085		1,261		4,848		1,224		1,160		996		3,380
Adjusted EBIT	27		20		27		56		130		44		28		29		50		151		32		37		33		102
Adjusted EBIT as a percentage of sales	2.0	%	1.6	%	2.3	%	4.0	%	2.5	%	3.4	%	2.3	%	2.7	%	4.0	%	3.1	%	2.6	%	3.2	%	3.3	%	3.0	%
Corporate and other
Intercompany eliminations	(139	)	(130	)	(133	)	(138	)	(540	)	(131	)	(138	)	(144	)	(139	)	(552	)	(143	)	(142	)	(115	)	(400	)
Adjusted EBIT	(6	)	(35	)	(36	)	(40	)	(117	)	(14	)	4		(19	)	(3	)	(32	)	(25	)	(16	)	(52	)	(93	)

Total
Sales	10,970		10,958		10,280		10,628		42,836		10,069		10,631		10,462		10,848		42,010		10,381		10,980		10,059		31,420
Adjusted EBIT	469		577		594		689		2,329		354		583		613		814		2,364		558		677		683		1,918
Adjusted EBIT as a percentage of sales	4.3	%	5.3	%	5.8	%	6.5	%	5.4	%	3.5	%	5.5	%	5.9	%	7.5	%	5.6	%	5.4	%	6.2	%	6.8	%	6.1	%

Note 4:	CASH, CASH EQUIVALENTS AND RESTRICTED CASH EQUIVALENTS

	A reconciliation of Cash and cash equivalents and Restricted cash equivalents (included in prepaid expenses) to Total cash, cash equivalents and restricted cash equivalents is as follows:

	2024				2025				2026
	1st Q	2nd Q	3rd Q	4th Q	1st Q	2nd Q	3rd Q	4th Q	1st Q	2nd Q	3rd Q
Cash and cash equivalents	1,517	999	1,061	1,247	1,059	1,536	1,327	1,612	1,605	1,430	1,378
Restricted cash equivalents included in prepaid expenses	-	-	-	-	-	-	-	-	23	23	12
Total cash, cash equivalents and restricted cash equivalents	1,517	999	1,061	1,247	1,059	1,536	1,327	1,612	1,628	1,453	1,390

Q3 2026 Financial Review of Magna International Inc.

Page 7 of 7

Prepared as at 10/29/2026

Exhibit 99.2

October 30, 2026 Q3 2026 Results 1 Q3 2026 Results Webcast 30OCT26

Vice President, Investor Relations Louis Tonelli 2 Q3 2026 Results Webcast 30OCT26

Q3 2026 Results Webcast 30OCT26 3 Forward - Looking Statements Certain statements in this presentation constitute "forward - looking information" or "forward - looking statements" (collectively, "forward - looking statements") . Any such forward - looking statements are intended to provide information about management's current expectations and plans and may not be appropriate for other purposes . Forward - looking statements may include financial and other projections, as well as statements regarding our future plans, strategic objectives or economic performance, or the assumptions underlying any of the foregoing, and other statements that are not recitations of historical fact . We use words such as "may", "would", "could", "should", "will", "likely", "expect", "anticipate", "assume", "believe", "intend", "plan", "aim", "forecast", "outlook", "project", "potential", "estimate", "target" and similar expressions suggesting future outcomes or events to identify forward - looking statements . The following table identifies the material forward - looking statements contained in this presentation, together with the material potential risks that we currently believe could cause actual results to differ materially from such forward - looking statements . Shareholder, potential investors and other readers should also consider all of the risk factors which follow below the table : Material Potential Risks Related to Applicable Forward - Looking Statement Material Forward - Looking Statement Tariffs and/or other actions that erode free trade agreements Production deferrals, cancellations and volume reductions Production and supply disruptions Commodities prices Availability and relative cost of skilled labour Light vehicle sales levels, including due to : - A decline in consumer confidence - Economic uncertainty - Elevated interest rates and availability of consumer credit - Deteriorating vehicle affordability Light Vehicle Production Pace of EV adoption, including North American electric vehicle program deferrals, cancellations and volume reductions Shifts in market shares among OEMs, vehicles and/or vehicle segments Shifts in consumer "take rates" for products we sell Relative currency values Same risks as for Light Vehicle Production above Alignment of our product mix with production demand Supply disruptions, including as a result of semiconductor and memory (DRAM) chip shortages Customer concentration Total Sales Segment Sales Restructuring costs and/or impairment charges Inflation Ability to secure cost recoveries Price concessions Commodity cost volatility Scrap steel price volatility Same risks as for Total Sales and Segment Sales above Execution of critical program launches Operational underperformance Product warranty/recall risks Production inefficiencies Unmitigated incremental tariff costs Adjusted EBIT Margin Adjusted Diluted EPS Free Cash Flow Legal and regulatory proceedings Changes in law Same risks as Adjusted EBIT Margin above Risks related to conducting business through joint ventures Risks of doing business in foreign markets Equity Income Same risks impacting Free Cash Flow above Ability to repurchase shares for cancellation, including due to normal course issuer bid rules, trading blackouts, and other factors Share Repurchases Weighted Average Diluted Shares Outstanding

Q3 2026 Results Webcast 30OCT26 4 Forward - Looking Statements (cont.) Forward - looking statements are based on information currently available to us and are based on assumptions and analyses made by us in light of our experience and our perception of historical trends, current conditions and expected future developments, as well as other factors we believe are appropriate in the circumstances . While we believe we have a reasonable basis for making any such forward - looking statements, they are not a guarantee of future performance or outcomes . In addition to the factors in the table on the preceding slide, whether actual results and developments conform to our expectations and predictions is subject to a number of risks, assumptions, and uncertainties, many of which are beyond our control, and the effects of which can be difficult to predict, including, without limitation : M&A Risks inherent merger and acquisition risks; acquisition integration and synergies; Other Business Risks joint ventures; intellectual property; risks of doing business in foreign markets; tax risks; relative foreign exchange rates; returns on capital investments; financial flexibility; credit ratings changes; stock price fluctuation; Legal, Regulatory and Other Risks legal and regulatory proceedings; and changes in laws. Supply Chain Risks supply chain disruptions; regional energy supply and pricing; financial condition of supply base; supplier claims; Manufacturing/Operational Risks product launch; operational underperformance; restructuring costs; impairments; skilled labour attraction/retention; Pricing Risks quote/pricing assumptions; customer pricing pressure/contractual arrangements; commodity price volatility; scrap steel/aluminum price volatility; Warranty/Recall Risks repair/replacement costs; warranty provisions; product liability; IT Security/Cybersecurity Risks IT/cybersecurity breach; product cybersecurity breach; risks related to the use of artificial intelligence; Macroeconomic, Geopolitical and Other Risks geopolitical crises and military conflicts; threats to free trade agreements; international trade disputes; planning and forecasting challenges; interest rates and availability of consumer credit; Risks Related to the Automotive Industry pace of EV adoption; North American EV program deferrals, cancellations and volume reductions; economic cyclicality; regional production volumes; deteriorating vehicle affordability; intense competition; Strategic Risks evolution of the vehicle; evolving business risk profile; technology and innovation; investments in mobility and technology companies; Customer - Related Risks customer concentration; market shifts; evolving OEM competitive landscape; dependence on outsourcing; consumer take rate shifts; nature of customer blanket purchase orders; potential OEM production - related disruptions; In evaluating forward - looking statements or forward - looking information, we caution shareholders, potential investors and other readers not to place undue reliance on any forward - looking statement. Additionally, you should specifically consider the various factors which could cause actual events or results to differ materially from those indicated by such forward - looking statements, including the risks, assumptions and uncertainties above which are: discussed under the “Industry Trends and Risks” heading of our Management’s Discussion and Analysis; and set out in our Annual Information Form filed with securities commissions in Canada, our annual report on Form 40 - F filed with th e United States Securities and Exchange Commission, and subsequent filings. You should also consider discussion of our risk mitigation activities with respect to certain risk factors, which can be also fo und in our Annual Information Form. Additional information about Magna, including our Annual Information Form, is available through the System for Electronic Data Analysis and Retrieval + (SEDAR+) at www.sedarplus.ca , as well as on the United States Securities and Exchange Commission’s Electronic Data Gathering, Analysis and Retrieval Syst em (EDGAR), which can be accessed at www.sec.gov .

Today's discussion excludes the impact of other expense (income), net ("Unusual Items") and amortization of acquired intangible assets. Please refer to the reconciliation of Non - GAAP measures in our press release dated October 30, 2026 for further information. "Organic", in the context of sales movements, means "excluding the impact of foreign exchange, acquisitions and divestitures". Weighted Sales Growth over Market (GoM) compares Magna organic sales growth (%) to vehicle production change (%) after applying Magna - specific geographic sales weighting, excluding Complete Vehicles, to regional production. All amounts are in U.S. Dollars Reminders 5 Q3 2026 Results Webcast 30OCT26

President & Chief Executive Officer Swamy Kotagiri 6 Q3 2026 Results Webcast 30OCT26

Key Takeaways 7 Strong Q3 results, with continued margin expansion driven by disciplined execution 1 • Sales down 4%, weighted Growth over Market of +0.5% (+1.0% ex - CV) • Adjusted EBIT up 11% , Adjusted EBIT margin expanded 90 bps to 6.8% • Adjusted EPS rose 38% to $1.83 • Continuing operational excellence across the Company • Favourable commercial items in Q3, including some timing from Q4 Q3 2026 Results Webcast 30OCT26

Key Takeaways 8 Solid free cash flow reflects further improved operating performance 2 • Generated operating cash flow of $950 million and free cash flow of $584 million in Q3 • Ended Q3 with strong balance sheet, including $1.4 billion in cash • Strong cash generation and investment - grade balance sheet provide financial flexibility Q3 2026 Results Webcast 30OCT26

Key Takeaways 9 Updated Outlook reflects ongoing confidence in margin, EPS and cash flow trajectory 3 • Updating sales range to reflect lower expected vehicle production in China, unfavourable program mix • Narrowing FY 2026 Outlook range for Adj. EBIT margin ( 6.3% to 6.5% ) • Maintaining midpoint of FY 2026 Outlook range for Adj. EPS ( $6.85 – $7.15 ) • Raising FY 2026 Outlook range for Free Cash Flow ( $1.85B – $1.90B ) Q3 2026 Results Webcast 30OCT26

Key Takeaways 10 Executing our proven capital allocation framework 4 • Continue to invest in business to support profitable growth • Returned $658 million in capital to shareholders in Q3, through dividends and share repurchases • Completed existing buyback authorization (NCIB) in October; Board approved new NCIB • Closed Rooftop Systems and North American Lighting divestitures Q3 2026 Results Webcast 30OCT26

Q3 2026 Results Webcast 30OCT26 11 Launching Complete Vehicle Programs Globally Arcfox (Asia) • Complete vehicle production in Zhenjiang, China • Launching the all - new Alpha T7 • Fifth ARCFOX model produced within the joint venture COEMs (Europe) • Assembly in Graz, Austria of in total 6 vehicles for customers XPENG and GAC • XPENG: G9L launching as fourth model in Graz • GAC: AION UT launched in 2026 Waymo (North America) • Launch and ramp - up of two new vehicles for upfitting in Mesa, Arizona

Q3 2026 Results Webcast 30OCT26 12 Awarded New Business Actuator for SmartLatch System Launches 2027 Transfer Case, Rear Drive Module and Front Drive Unit Launches 2028

Q3 2026 Results Webcast 30OCT26 13 Multiple Innovation Award Finalists DHD Duo Hybrid Drive Battery Enclosure with OptiForm Endcaps Bio - Based Foam Seating Front - End EV Architecture Collaborative Laser Inspection Station

EVP & Chief Financial Officer Phil Fracassa 14 Q3 2026 Results Webcast 30OCT26

Q3 2026 Results Webcast 30OCT26 15 Q3 2026 Performance Highlights Consolidated Sales $10.1B Weighted GoM 1 of +0.5% (+1.0% excl. Complete Vehicles) - 4% Adjusted EPS $1.83 +38% 1 Weighted Growth over Market (GoM) compares organic sales growth (%) to vehicle production change (%) after applying Magna geo gra phic sales weighting, excluding Complete Vehicles, to regional production 2 Free Cash Flow (FCF) is Cash from Operations plus Proceeds from normal course Dispositions of fixed and other assets minus Fi xed Asset Additions and Increase in Investment in other assets Adjusted EBIT 6.8% +90 bps $683M +11% Free Cash Flow 2 $584M +$12M

Q3 2026 Financial Results 16 1 Weighted Sales Growth over Market (GoM) compares Magna organic sales growth (%) to vehicle production change (%) after applying Magna - specific geographic sales weighting, excluding Complete Vehicles, to regional production 2 "Other" i ncludes customer price increases to recover certain higher input costs and tariffs, the net impact of commercial items, and net customer price concessions Q3 2026 LV Production - 5% North America +3% Europe - 7% China - 3% Global - 2.6% Magna Weighted Weighted Sales GoM 1 : +0.5% (+1.0% excl. Complete Vehicles) Consolidated Sales ($Millions) - 4% 10,462 - 150 - 74 - 165 - 14 10,059 Q3 2025 Volumes, Launches & Other Complete Vehicles excl. FX Divestitures Foreign Exchange Q3 2026 2 (Organic: - 2.1%) Q3 2026 Results Webcast 30OCT26

• Operational, Volumes & Other (+120 bps) Net impact of commercial items (+) Benefits of operational excellence initiatives, net of normal course customer price concessions (+) Benefits of prior restructuring actions (+) Divestitures of Lighting and Rooftop Systems businesses (+) Lower organic sales and related mix impacts ( - ) Net transactional foreign exchange losses ( - ) Higher profit sharing/incentive compensation ( - ) • Tariffs (+30 bps) Lower costs, net of recoveries (+) • Commodity Costs ( - 50 bps) • Equity Income ( - 10 bps) 17 Q3 2026 Financial Results 1.20% 0.30% - 0.50% - 0.10% 5.9% 6.8% Q3 2025 Operational, Volumes & Other Tariffs Commodity Costs Equity Income Q3 2026 $683 $613 Adjusted EBIT & Margin ($Millions and %) Note: bps changes are approximate Q3 2026 Results Webcast 30OCT26

18 Q3 2026 Financial Results Change Q3 2026 Q3 2025 ($Millions, except per share data) (403) 10,059 10,462 Sales 70 683 613 Adjusted EBIT 30 35 65 Interest Expense 100 648 548 Adjusted Pre - Tax Income - (145) (145) Adjusted Income Taxes 11 (17) (28) Income Attributable to Non - Controlling Interests 111 486 375 Adjusted Net Income Attributable to Magna (15.8) 266.0 281.8 Diluted Shares Outstanding (millions of shares) 0.50 1.83 1.33 Adjusted EPS ($) 26.5% 22.4% 5.9% 6.8% Q3 2026 Results Webcast 30OCT26

Q3 2026 Segment Performance Q3 2025 Q3 2026 Seating Power & Vision Complete Vehicles Body Exteriors & Structures $4,147 $4,158 $0,000 $0,500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 $4,000 $4,500 $305 $387 7.4% 9.3% 0.0 0.1 0.1 0.2 0.2 0.3 0.3 $0 $50 $100 $150 $200 $250 $300 $350 $400 $450 Sales - % Adj. EBIT +27% $1,520 $1,247 $0 $200 $400 $600 $800 $1,000 $1,200 $1,400 $1,600 $1,800 $62 $28 4.1% 2.2% 0.0 0.0 0.0 0.1 0.1 0.1 0.1 0.1 0.2 0.2 $0 $10 $20 $30 $40 $50 $60 $70 Sales - 18% Adj. EBIT - 55% $3,854 $3,773 $0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 $4,000 $4,500 $5,000 $236 $287 6.1% 7.6% 0.0 0.1 0.1 0.2 0.2 0.3 0.3 $0 $50 $100 $150 $200 $250 $300 $350 $400 Sales - 2% Adj. EBIT +22% $1,085 $996 $0 $200 $400 $600 $800 $1,000 $1,200 $1,400 $1,600 $1,800 $29 $33 2.7% 3.3% 0.0 0.0 0.0 0.1 0.1 0.1 0.1 0.1 $0 $10 $20 $30 $40 $50 $60 Sales - 8% Adj. EBIT +14% +190 bps - 190 bps +150 bps ($Millions) 19 +60 bps Q3 2026 Results Webcast 30OCT26 Q3’26 reflects Lighting and Rooftop Systems divestitures ( - $165M or - 4%) Q3’26 reflects impact of Ford Louisville and BMW Spartanburg plant changeovers

20 Q3 2026 Free Cash Flow Free Cash Flow 1 ($Millions) 572 584 0 100 200 300 400 500 600 700 Q3 2025 Q3 2026 1 Free Cash Flow (FCF) is Cash from Operations plus Proceeds from normal course Dispositions of fixed and other assets minus Fixed Asset Additions and Increase in Investment in other assets Key uses of cash: (129) (136) Dividends paid (529) - Repurchase of Common Shares Q3 2026 Q3 2025 ($Millions) 806 787 Cash from Operations Before Changes in Operating Assets & Liabilities 144 125 Changes in Operating Assets & Liabilities 950 912 Cash from Operations (307) (267) Fixed Asset Additions (75) (100) Increase in Investments, Other Assets and Intangible Assets 16 27 Proceeds from Normal Course Dispositions (366) (340) Investment Activities 584 572 Free Cash Flow 1 Q3 2026 Results Webcast 30OCT26

Maintaining Strong Balance Sheet and Financial Flexibility 21 Leverage Metrics 1 (LTM, 30SEP26) ($millions) 0.75x Net Debt to Adjusted EBITDA (Net Leverage) 1.40x Rating Agency Leverage Total Liquidity (30SEP26) ($millions) 1,378 Cash and Cash Equivalents 3,500 Available Term & Operating Lines of Credit 4,878 Total Liquidity Long - Standing Investment - Grade Ratings with Moody’s and S&P • Strong liquidity of $4.9B, including $1.4B cash • Net leverage 0.75x and rating agency leverage 1.40x at quarter end, both lower than expected on strong cash flow • Company well - positioned to continue significant share repurchases • Board approved new NCIB stock buyback authorization for next 12 months (up to 10% of public float) Q3 2026 Results Webcast 30OCT26 1 Detailed calculations for Leverage Metrics including in appendix

22 Updated 2026 Macro Assumptions October 2026 July 2026 Macro Assumptions: Light Vehicle Production: (millions of units) 15.0 15.0 • North America 16.8 16.8 • Europe 30.4 31.2 • China Foreign Exchange Rates: 0.719 0.713 • 1 CDN dollar equals USD 1.156 1.153 • 1 EURO equals USD 0.147 0.146 • 1 RMB equals USD Q3 2026 Results Webcast 30OCT26

23 Updated 2026 Outlook – Summary October 2026 July 2026 $41.2 – $42.0B $41.3 – $42.5B Sales 6.3% – 6.5% 6.3% – 6.6% Adjusted EBIT Margin % 1 $6.85 – $7.15 $6.70 – $7.30 Adjusted EPS 2 $1.85 – $1.90B $1.75 – $1.85B Free Cash Flow 3 1 Adjusted EBIT Margin is the ratio of Adjusted EBIT to Sales 2 Adjusted EPS represents Net Income excluding Other expense (income), net / Diluted weighted average number of shares outstand in g 3 Free Cash Flow (FCF) is Cash from Operations plus Proceeds from normal course Dispositions of fixed and other assets minus Fi xed Asset Additions and Increase in Investments, Other assets and Intangibles • Updating Sales Outlook to reflect lower expected light vehicle production in China and unfavourable program mix • Narrowing Adj. EBIT margin range • Maintaining midpoint of Adj. EPS range • Increasing FCF Outlook range • Repurchased remaining 1.3M shares under NCIB in October Other Key Assumptions : ~$1.5B $1.5 – $1.6B Capital Spending ( CapEx ) ~$200M $190 – $210M Equity Income (incl. in Adj. EBIT margin) ~$150M ~$160M Interest Expense (net) ~22% ~23% Adjusted Income Tax Rate ~270M ~270M Diluted shares outstanding (FY avg.) Q3 2026 Results Webcast 30OCT26

President & Chief Executive Officer Swamy Kotagiri 24 Q3 2026 Results Webcast 30OCT26

• Delivered meaningful Adjusted EBIT Margin and Adjusted EPS growth • Generated solid free cash flow, reinforcing the quality and sustainability of earnings Strong Q3 2026 with margin expansion, EPS growth and cash generation In Summary Q3 2026 Results Webcast 30OCT26 25

• Updated 2026 outlook, reflecting confidence in ongoing operating performance • Continued focus on margin expansion, EPS growth and strong free cash flow • Executing a disciplined capital allocation strategy, including significant return of capital • Completed previous NCIB program, Board approved new NCIB Positioned for continued margin expansion, EPS growth and shareholder returns In Summary Q3 2026 Results Webcast 30OCT26 26

Wednesday, November 11, 2026 New York, NY Magna Investor Day 27 Q3 2026 Results Webcast 30OCT26

28 Q&A Q3 2026 Results Webcast 30OCT26

29 Q3 2026 Results Appendix Q3 2026 Results Webcast 30OCT26

30 Q3 2026 Reconciliation of Reported Results Adjusted (2) (1) Reported Excluding: (1) Other Expense (Income), Net and (2) Amortization of Acquired Intangible Assets $Millions, except for share figures $ 648 $ 17 $ 79 $ 552 Income Before Income Taxes 6.4% 5.5% % of Sales $ 145 $ 1 $ (8) $ 152 Income Tax Expense 22.4% 27.5% % of Pretax $ (17) $ - $ - $ (17) Income Attributable to Non - Controlling Interests $ 486 $ 16 $ 87 $ 383 Adjusted Net Income Attributable to Magna 1 $ 1.83 $ 0.06 $ 0.33 $ 1.44 Adjusted Diluted Earnings Per Share 1 Adjusted Net Income Attributable to Magna represents Net Income excluding Other expense (income), net and Amortization of Acquired Int ang ible Assets Q3 2026 Results Webcast 30OCT26

31 Q3 2025 Reconciliation of Reported Results Adjusted (2) (1) Reported Excluding: (1) Other Expense (Income), Net and (2) Amortization of Acquired Intangible Assets $Millions, except for share figures $ 548 $ 27 $ 48 $ 473 Income Before Income Taxes 5.2% 4.5% % of Sales $ 145 $ 5 $ - $ 140 Income Tax Expense 26.5% 29.6% % of Pretax $ (28) $ - $ - $ (28) Income Attributable to Non - Controlling Interests $ 375 $ 22 $ 48 $ 305 Adjusted Net Income Attributable to Magna 1 $ 1.33 $ 0.08 $ 0.17 $ 1.08 Adjusted Diluted Earnings Per Share 1 Adjusted Net Income Attributable to Magna represents Net Income excluding Other expense (income), net and Amortization of Acquired Int ang ible Assets Q3 2026 Results Webcast 30OCT26

32 Q3 2025 vs Q3 2026 Sales Performance vs Market Performance vs Weighted Global Production (Weighted GoM) Organic 1 Reported 3.2% 0.6% 0.3% Body Exteriors & Structures 4.4% 1.8% (2.1%) Power & Vision (15.4%) (18.0%) (18.0%) Seating Systems (4.2%) (6.8%) (8.2%) Complete Vehicles 0.5% (2.1%) (3.9%) TOTAL SALES (3.1%) Unweighted Production Growth (2.6%) Weighted Production Growth 2 1 Organic Sales represents sales excluding acquisitions net of divestitures and FX movements 2 Calculated by applying Magna geographic sales weighting, excluding Complete Vehicles, to regional production Q3 2026 Results Webcast 30OCT26

33 Q3 2025 vs Q3 2026 Segment Impact on Adjusted EBIT % of Sales Adjusted EBIT as a Percentage of Sales Adjusted EBIT Sales ($Millions) 5.9% $ 613 $ 10,462 3 rd Quarter of 2025 Increase (Decrease) Related to: 0.8% $ 82 $ 11 Body Exteriors & Structures 0.5% $ 51 $ (81) Power & Vision (0.2%) $ (34) $ (273) Seating Systems 0.1% $ 4 $ (89) Complete Vehicles (0.3%) $ (33) $ 29 Corporate and Other 6.8% $ 683 $ 10,059 3 rd Quarter of 2026 Q3 2026 Results Webcast 30OCT26

34 Q3 2025 vs Q3 2026 Geographic Sales Q3 2025 Q3 2026 China China Production (7%) $1.3B $1.2B $0.00B $0.20B $0.40B $0.60B $0.80B $1.00B $1.20B $1.40B $1.60B $1.80B $2.00B $5.3B $5.0B $0.0B $1.0B $2.0B $3.0B $4.0B $5.0B $6.0B North America Production (5%) $3.8B $3.8B $0.0B $1.0B $2.0B $3.0B $4.0B $5.0B $6.0B Europe Production 3% $157M $159M $0M $20M $40M $60M $80M $100M $120M $140M $160M $180M Asia Production 1% South America Production 9% ROW Production (8%) Rest of World 1 1 Rest of World represents Asia (excluding China) plus all other regions not included in other categories. Q3 2026 Results Webcast 30OCT26

35 Segment Outlook July 2026 Oct. 2026 8.4 - 8.7% 8.4 - 8.6% Adjusted EBIT Margin % Body Exteriors & Structures July 2026 Oct. 2026 16.6 - 17.1 16.7 - 16.9 Sales ($Billions) July 2026 Oct. 2026 6.6 - 6.9% 6.7 - 6.9% Power & Vision July 2026 Oct. 2026 15.4 - 15.7 15.4 - 15.6 July 2026 Oct. 2026 3.2 - 3.5% 3.1 - 3.3% Seating July 2026 Oct. 2026 5.4 - 5.6 5.2 - 5.4 July 2026 Oct. 2026 2.8 - 3.1% 2 .9 - 3.1% Complete Vehicles July 2026 Oct. 2026 4.3 - 4.5 4.4 - 4.6 Q3 2026 Results Webcast 30OCT26

36 Leverage Ratios as of September 30, 2026 Rating Agency Debt/EBITDA 1 Net Debt/ Adj. EBITDA ($Millions) $ - $ (1,378) Cash and Cash Equivalents 4,630 4,630 ST and LT Debt per Balance Sheet 1,932 - Leases and Other Credit Rating Agency Adjustments $ 6,562 $ 3,252 Net Debt / Rating Agency Debt $ 4,318 $ 4,318 LTM Adjusted EBITDA 369 - Credit Rating Agency Adjustments $ 4,687 $ 4,318 Adjusted EBITDA / Rating Agency EBITDA 1.40x 0.75x Leverage at September 30, 2026 1 "Rating Agency" Debt/EBITDA reflects estimated Moody's adjustments and resulting calculation as of September 30, 2026 Q3 2026 Results Webcast 30OCT26

37 Q3 2026 Results Webcast 30OCT26

Exhibit 99.3

MAGNA INTERNATIONAL INC. THIRD QUARTER 2026 RESULTS WEBCAST 26OCT30

DISCLAIMER:

This transcript is derived from a recording of the webcast. While efforts have been made to transcribe accurately, the following transcription may still contain inaccuracies, errors, or omissions. Readers are advised to refer to the webcast itself together with additional information about Magna, including in our Annual Information Form filed with securities commissions in Canada, our annual report on Form 40-F with the United States Securities and Exchange Commission, and subsequent filings, available through the System for Electronic Data Analysis and Retrieval+ (SEDAR+) at www.sedarplus.ca, as well as on the United States Securities and Exchange Commission’s Electronic Data Gathering, Analysis, and Retrieval System (EDGAR), which can be accessed at www.sec.gov.

CORPORATE SPEAKERS:

Louis Tonelli

Magna International Inc.; VP of Investor Relations

Swamy Kotagiri

Magna International Inc.; President, Chief Executive Officer & Director

Phil Fracassa

Magna International Inc.; Executive Vice-President, Chief Financial Officer

PARTICIPANTS:

Dan Levy

Barclays Bank; Analyst

James Picariello

BNP Paribas; Analyst

Tamy Chen

BMO Capital Markets; Analyst

Alexander Perry

BofA Securities; Analyst

Tom Norian

RBC Capital Markets; Analyst

Jonathan Goldman

Scotiabank Global Banking and Markets

Rajat Gupta

JPMorgan Chase & Co; Analyst

Joseph Spak

UBS; Analyst

Brian Morrison

TD Cowen; Analyst

Mark Delaney

Goldman Sachs Group, Inc.; Analyst

MAGNA INTERNATIONAL INC. THIRD QUARTER 2026 RESULTS WEBCAST 26OCT30

PRESENTATION:

Operator^ Hello, everyone. Thank you for joining us. And welcome to Magna International Third Quarter Fiscal Year 2026 Financial Results Conference Call. (Operator Instructions)

I will now hand the conference over to Louis Tonelli, Vice President of Investor Relations. Please go ahead.

Louis Tonelli^ Thanks, Operator. Hello everyone. And welcome to our conference call covering our Q3 2026 results.

Joining me today are Swamy Kotagiri and Phil Fracassa.

Yesterday, our Board of Directors met and approved our financial results for the third quarter of 2026 and our updated outlook.

We issued a press release this morning outlining both of these. You'll find today's press release, conference call webcast, the slide presentation that go along with the call and our updated quarterly financial review all in the Investor Relations section of our website at magna.com.

Before we get started, just as a reminder, the discussion today may contain forward-looking information or forward-looking statements within the meaning of applicable securities legislation. Such statements involve certain risks, assumptions and uncertainties which may cause the company's actual or future results and performance to be materially different from those expressed or implied in these statements.

Please refer to today's press release for a complete description of our safe harbor disclaimer.

Please also refer to the reminder slides included in our presentation that relates to our commentary today.

With that, I'll pass it over to Swamy.

Swamy Kotagiri^ Thank you, Louis. Good morning everyone. And thank you for joining us today. We appreciate your time and interest. Let's get started.

I am pleased with our performance this quarter. We delivered another strong quarter with continued margin expansion, reflecting disciplined execution and progress across a number of areas.

In the quarter, sales were down 4%, reflecting lower light vehicle production and our previously announced dispositions. However weighted organic growth over market was positive.

Adjusted EBIT was up 11%, while adjusted EBIT margin expanded 90 basis points to 6.8%, and adjusted EPS rose 38% to $1.83. These results reflect continued progress in our operational excellence initiatives and success in resolving commercial items including some pull forward from Q4.

MAGNA INTERNATIONAL INC. THIRD QUARTER 2026 RESULTS WEBCAST 26OCT30

Most notably, we continue to see improvement in the underlying operating performance of the business. Our strong free cash flow is further evidence of the continued improvement in our operating performance and the cash-generating capability of the business.

During the quarter, we generated $950 million in operating cash flow and $584 million in free cash flow. And we ended the quarter with leverage well within our targeted range and $1.4 billion in cash on hand which provides continued financial flexibility.

Supported by our strong year-to-date performance, we updated our full year 2026 outlook. We lowered our sales expectations to reflect reduced vehicle production in China and unfavorable program mix and narrowed our range for adjusted EBIT margin. However we maintained the midpoint of our outlook range for adjusted EPS.

In addition, we raised our outlook range for free cash flow, again, reflecting our year-to-date momentum and confidence in our cash flow trajectory. Together, these updates demonstrate our ability to absorb lower production and still deliver improved profitability and cash generation.

We remain steadfast in executing our proven cash allocation framework. We continue to invest in our business to support further profitable organic growth while returning significant capital to shareholders.

During the quarter, we returned $658 million to shareholders including $529 million through share repurchases. We completed our existing buyback authorization in October, repurchasing the remaining 1.3 million shares and our Board approved a new NCIB for 25.8 million shares.

And lastly, we closed on the sales of our rooftop and North American lighting businesses in Q3 and expect to complete the remaining divestitures in the fourth quarter.

I would like to take a moment to highlight our Complete Vehicle segment which is ramping up business globally and demonstrating the value of our flexible vehicle manufacturing model.

In Mesa, Arizona, we are launching and ramping up two new vehicle programs for Waymo in our existing upfitting facility.

In Graz, Austria, we assembled six vehicles in total for XPeng and GAC. We are launching the G9L, our fourth model in Graz supporting Xpeng’s European localization strategy.

We also produced two GAC models including the Aion UT launched earlier this year.

MAGNA INTERNATIONAL INC. THIRD QUARTER 2026 RESULTS WEBCAST 26OCT30

And in China, our joint venture is ramping up production of all new Alpha T7, the fifth Arcfox model produced by the joint venture.

These programs demonstrate our ability to support new and established customers across regions through flexible state-of-the-art manufacturing. They are also generating discussions with additional customers and creating opportunities to bring more Magna systems content to new vehicle programs.

We also continue to win new business across our core product areas. We were awarded a transfer case rear-drive module and front-drive unit for a North American-based global OEM. This new program which launches in 2028, adds to our leading market position in 4-wheel drive.

We were also awarded incremental actuator content for a smart latch system, we currently supply to a North America-based global OEM.

The global program launches in 2027 spans our three key markets and supports new global regulation requirements. The wins reinforce Magna's strong technology position in leading product areas.

Lastly, our commitment to innovation continues to be recognized by the industry. Three of our technologies are finalists for Automotive News, PACE awards, and two are finalists for PACE Pilot awards. Winners will be announced in November.

These finalists span a number of our capabilities demonstrating our strong position across our portfolio.

With that, I'll turn the call over to Phil.

Phil Fracassa^ Thanks, Swamy. And good morning, everyone.

I'm going to begin on Slide 15 with a summary of our strong third quarter results.

Sales were $10.1 billion in the quarter, down approximately 4% from last year. Adjusted EBIT margin improved 90 basis points to 6.8%. Adjusted earnings increased 38% to $1.83 per share. And free cash flow was strong at $584 million. Each of these metrics exceeded our expectations and continued the momentum we saw in the first six months of the year.

Now I'll take you through some of the details.

Let's start with sales on Slide 16.

MAGNA INTERNATIONAL INC. THIRD QUARTER 2026 RESULTS WEBCAST 26OCT30

As I mentioned, third quarter sales were down about 4% overall compared to last year. Excluding divestitures and foreign currency translation, sales declined 2.1% organically. By comparison, global light vehicle production declined about 3% in the quarter.

On a Magna-weighted basis, we estimate light vehicle production was down 2.6%. This translates to a positive growth over market for Magna of about 0.5% on a consolidated basis and 1% excluding complete vehicles.

Looking at the sales walk, volumes, launches and other reduced sales by $150 million. The decrease mainly reflects lower light vehicle production, the end of production on certain programs including the Ford Escape and normal course customer price concessions. These factors were offset partially by new program launches including the Jeep Cherokee and the Mercedes-Benz GLB and GLC.

Complete vehicle sales declined $74 million organically despite higher unit volumes. The higher volumes were driven by new programs Xpeng and GAC in Graz, where sales are recognized on a value-added basis.

Volumes with other customers, where sales are generally recognized on a full cost basis, declined year-over-year, including end of production for the BMW Z4 and Toyota Supra. This mix shift resulted in net lower assembly sales dollars but at higher margins.

Engineering revenue was also lower, in line with our expectations. The rooftop systems and completed lighting divestitures reduced sales by $165 million in the quarter.

And lastly, foreign currency translation reduced sales by $14 million, reflecting a net stronger U.S. dollar.

Now let's move to EBIT on Slide 17.

Third quarter adjusted EBIT was $683 million, an increase of $70 million or 11% versus last year. Adjusted EBIT margin was 6.8%, an improvement of 90 basis points.

Operational, volumes and other contributed about 120 basis points to margin in the quarter. The improvement mainly reflects net favorable commercial items, and the impact of operational excellence initiatives, net of normal course customer price concessions.

We also benefited from prior restructuring actions as well as the divestitures which were running at margins below (inaudible). These factors were offset partially by lower earnings on reduced organic sales volumes, unfavorable net foreign exchange impacts and higher profit sharing and incentive compensation.

In addition, lower net tariff costs contributed approximately 30 basis points to margins.

MAGNA INTERNATIONAL INC. THIRD QUARTER 2026 RESULTS WEBCAST 26OCT30

Costs were slightly lower, and we're getting recoveries faster than we did last year.

While the tariff situation continues to evolve, we currently expect that our full year net tariff headwind will be similar to what we experienced last year.

Higher commodity costs reduced margins by about 50 basis points. As we have noted in prior quarters, we continue to experience inflation across several key commodities. While this was a headwind in the quarter, we do expect to substantially mitigate or recover these increased costs over time.

Lower equity income reduced margins by around 10 basis points. This mainly reflects the impact of lower sales, unfavorable product mix and higher income tax expense at certain affiliates accounted for under the equity [method].

Looking below the EBIT line on Slide 18.

Interest expense was $30 million lower than last year. The improvement was driven by some discrete interest expense last year that did not recur as well as reduced seasonal short-term borrowings supported by our strong cash flow.

Our third quarter adjusted tax rate was 22.4%, an improvement of 410 basis points versus last year and better than our expectations.

For the full year, we now expect an adjusted tax rate of approximately 22%. And third quarter adjusted EPS increased 38% to $1.83, reflecting the higher net income and a 6% reduction in diluted shares outstanding from share repurchases completed over the past 12 months.

Next, let's take a brief look at our business segment performance which is summarized on Slide 19.

We were impacted by lower global light vehicle production across the business.

In Power & Vision, Reported sales also reflect the rooftop and completed lighting divestitures. Excluding divestitures and foreign currency translation, PV sales increased approximately 2% organically in the quarter.

In Seating, sales were negatively impacted by a major changeover at Ford's Louisville plant as well as retooling at BMW Spartanburg plant for upcoming planned program launches.

And in complete vehicles, sales declined 8% as expected despite higher unit volumes as lower sales on full cost programs and lower engineering revenue were only partially offset by new value-added programs and higher margins with Chinese OEMs in Graz.

MAGNA INTERNATIONAL INC. THIRD QUARTER 2026 RESULTS WEBCAST 26OCT30

Turning to EBIT.

On the Exteriors & Structures, Power & Vision, and Complete vehicles all posted notable year-over-year improvements in adjusted EBIT dollars and margins, reflecting strong operational execution.

P&V also benefited on the margin line from the divestitures and complete vehicles benefited from favorable mix.

And in Seating, margins were down as expected, mainly reflecting the decline in sales for the program changeovers I mentioned earlier.

Now let's look at cash flow on Slide 20.

In the third quarter, we generated $950 million in cash from operations, an increase of $38 million from last year, driven by higher earnings and improved working capital.

Investment activities in the quarter included $307 million in CapEx and $75 million for investments, other assets and intangibles, offset partially by proceeds from normal course asset disposals.

Netting everything out, we generated free cash flow of $584 million in the quarter which was slightly above last year and ahead of our expectations.

We continue to return cash to shareholders in the third quarter with $129 million in dividends, along with $529 million through share repurchases.

During the quarter, we repurchased 7.9 million shares under our current NCIB buyback authorization which left us with just over 1 million shares remaining at the end of September.

As of today, we will have repurchased all remaining shares. That's a total of over 25 million shares over the past 12 months. And as Swamy mentioned, yesterday, our Board approved a new NCIB buyback authorization which is expected to take effect in November.

Turning to Slide 21.

Our balance sheet and capital structure remain strong. At the end of September, we had close to $5 billion in total liquidity including $1.4 billion of cash on hand. This is despite the significant return of capital during the first nine months of the year.

MAGNA INTERNATIONAL INC. THIRD QUARTER 2026 RESULTS WEBCAST 26OCT30

Looking at leverage.

Our net debt to adjusted EBITDA was under 1x, and our rating agency leverage was 1.4x at quarter end. These are both within our targeted ranges which provides significant financial flexibility and puts Magna in a great position to continue investing in the business and returning capital to shareholders.

Next, let me cover the macro assumptions underpinning our current outlook on Slide 22.

Compared to our July outlook, we've reduced our China production estimate by 800,000 units. We also updated our foreign currency assumptions to reflect recent exchange rates. Our full year outlook now assumes a slightly stronger Canadian dollar, euro and Chinese yuan relative to the U.S. dollar.

Moving to Slide 23.

We are revising our full year sales outlook primarily to reflect our assumption through lower vehicle production in China and unfavorable program mix compared to our previous outlook.

Despite the lower sales outlook, we continue to expect strong year-over-year margin expansion. We are narrowing our outlook for adjusted EBIT margin to a range of between 6.3% and 6.5%. Our midpoint of 6.4% represents an improvement of 80 basis points from last year on slightly lower sales at the midpoint.

We are also narrowing our adjusted EPS outlook to a range of between $6.85 and $7.15 per share. The midpoint which is unchanged at $7 per share, represents an increase of 22% versus last year.

And finally, we are raising our free cash flow outlook to between $1.85 billion and $1.9 billion, an increase of $75 million at the midpoint, mainly reflecting lower planned capital spending. The updated outlook represents free cash conversion of approximately 100% of adjusted net income.

With respect to other key assumptions, we expect CapEx to be approximately $1.5 billion compared to our previous range of $1.5 billion to $1.6 billion.

We're planning for slightly lower interest expense and we expect a lower adjusted tax rate of approximately 22% compared to 23% previously reflecting a more favorable mix of earnings.

And finally, our assumptions for equity income at the midpoint and diluted shares remain unchanged.

That's it for the financial review. And now I'll turn it back to Swamy to wrap things up. Swamy?

Swamy Kotagiri^ Thank you, Phil. Before we take your questions, let me summarize.

MAGNA INTERNATIONAL INC. THIRD QUARTER 2026 RESULTS WEBCAST 26OCT30

We delivered a strong third quarter with meaningful growth in adjusted EBIT margin and adjusted EPS. Just as importantly, we generated strong free cash flow, reinforcing the quality and sustainability of our earnings. These results reflect the continued progress we are making through disciplined execution and operational excellence across the company.

Looking ahead, our updated 2026 outlook reflects our confidence in Magna's ongoing operating performance. We remain focused on sustaining our momentum in margin expansion, earnings growth and free cash flow, while continuing to execute our disciplined capital allocation strategy.

We completed our previous share repurchase program, and the Board has approved a new authorization. This positions us to continue returning significant capital to shareholders while investing in the business.

Overall, we believe Magna is well positioned to deliver continued margin expansion, EPS growth and attractive shareholder returns.

We hope to see many of you in November at our investor event in New York City, where we will go into detail on our strategy, key initiatives and long-term financial outlook.

Thanks for your attention. Now operator, let's open it up for questions.

QUESTION & ANSWER:

Operator^ (Operator Instructions) Your first question comes from the line of James Picariello from BNP Paribas.

James, we will return momentarily. Your next question comes from the line of Dan Levy from Barclays.

Dan Levy^ First, just wondering if you could unpack maybe some of the items within the quarter, you said there was timing of commercial recoveries. Maybe you could just outline a bit more the magnitude of those? And maybe just give us a little more sense those were for commodities, if those are for vehicle programs? And then what's onetime versus maybe the right sort of on a run rate basis going forward, the right way to think of it?

Swamy Kotagiri^ Yes. Maybe I'll start off with the high level and Phil can jump in with some of the details.

The commercial and tariff recoveries benefited Q3 and some favorable commercial items moved forward from Q4. But I would say that's not the full explanation of the full improvement. We delivered meaningful productivity and efficiency gains, operational excellence benefits and restructuring benefits which helped absorb significant commodity pressures.

MAGNA INTERNATIONAL INC. THIRD QUARTER 2026 RESULTS WEBCAST 26OCT30

So if I had to summarize it, I would say, timing helped the quarter, but the underlying operating performance is what helped the improvement and will serve as a trajectory going forward.

Phil Fracassa^ Yes. The only thing I would add there, Dan, is you're right, the operational volume and other bucket, if you will, added 120 basis points overall to margins.

The two biggest positives would have been commercial and operational excellence. Swamy talked about the operational excellence. As we've said many times, we're still in the early innings there and expect that momentum to continue.

On commercial, I would say it was in that particular bucket, it was probably a combination of volume-related commercial and some commodity-related commercial, although commodities was a net headwind in the quarter. We actually show that in the different buckets. So it was mainly commercial related -- or volume-related, commercial some pull ahead from Q4.

The only thing I would say is we still expect margins in Q4 despite the pull ahead into Q3, still expect margins in Q4 to step up from Q3 despite lower volume, despite commodity cost, despite actually commercial probably flipping negative on us in Q4.

So we do believe the margin performance when you peel it all back, is sustainable. And as we've said before, we think the midpoint of the full year guide when you look at 6.4%, the midpoint, we do believe that is a structural jumping off point as we head into 2027.

Dan Levy^ And just to clarify, within that, the commodity cost that you said was a net headwind. Is the view, I assume, over time is that you should get full recovery to make it EBIT dollar neutral. And so it's just a matter of the timing. Is that correct?

Phil Fracassa^ Yes. That is correct. We signaled it probably last quarter, was modest impact in Q2. It stepped up in Q3 to the 50 basis points that you see. We're expecting probably a comparable headwind, maybe even a little bit higher in Q4. And it is a timing issue.

It really is across think of DRAM and related electronic components, you can think of resins and some aluminum that we buy from Tier 2s and the like that's embedded in components, if you will. And that is where we -- it does take some time to get recoveries from customers.

I would tell you, we've gotten some 50 bps you see as sort of the net headwind for the quarter. Conversations, I would say, are constructive.

But what we don't recover this year, the plan would be to substantially mitigate or recover in 2027.

MAGNA INTERNATIONAL INC. THIRD QUARTER 2026 RESULTS WEBCAST 26OCT30

Dan Levy^ Great. As a follow-up, one of the automakers mentioned on their call that for one of their new vehicles, they want to bring castings in-house. And we've heard this from others as well this idea to do sort of gate casting.

So BES, obviously you've got some big customer relationships there, and it's pretty chunky content. Maybe you could just talk about the trend by some of the automakers to bring some of the casting in-house and whether that's at all a risk to you?

Swamy Kotagiri^ The simple answer, Dan, no. The reason I say that is as we continue to have conversations with various customers, actually in all regions of the world, North America, Europe and China.

If anything, we are continuing to see more interest in our capability and bringing forward some inventive or innovative ideas on doing castings on a pretty large scale, right, in the 6,000, 7,000 ton type machines. And some of the technologies we are bringing which we got PACE Awards last time in terms of the alloy development in terms of joining technologies and so on.

And we're able to show some solutions there where two or three castings which bring together significant consolidation of parts, but at the same time take into account reparability and maintenance and so on and so forth.

So all in all, a lot of interest, we are not seeing any negative influence. We are actually pretty enthusiastic about that process and product.

Operator^ Your next question comes from the line of James Picariello from BNP Paribas.

James Picariello^ All right. Second time is a charm, sorry about that.

So I know we're going to get all the details we want in just two weeks at the Investor Day. But as we think about free cash flow and consider the strength in Magna's free cash flow and buyback commitment. Can you confirm the amount of EV recoveries in the outlook, in the free cash flow outlook for this year? And just high level, how you're thinking about the puts and takes for the trajectory into next year?

Phil Fracassa^ Yes. Sure, James.

I would -- we talked in the first quarter that we had a large EV recovery from a North American OEM, and we had talked at that time that it was north of $450 million. We got probably a little bit more in Q3.

So as we're sitting here today, I'd probably round the number to about $500 million in the year. And again, some of the -- and that would have been sort of cash received. We do have some go-forward impacts as well.

MAGNA INTERNATIONAL INC. THIRD QUARTER 2026 RESULTS WEBCAST 26OCT30

But as we look at the free cash flow, it's been very strong earnings, very good working capital management. And then obviously CapEx coming in at the full year guided around kind of 3.6%-ish of sales. So feel really good about the free cash flow not only in 2026. I'll talk about go forward in a moment.

But balance sheet is in great shape. So we ended the quarter with great liquidity, the balance sheet is in really good shape. We renewed the NCIB. So we feel really good about the cash generation of the business and the ability to continue returning significant capital to shareholders moving forward.

And as you step forward to 2027, obviously those recoveries won't repeat, but the combination of stronger earnings, again, continued focus on working capital and CapEx. We do believe the free cash flow of the business will remain strong, and we'll continue to be supportive of everything we want to do.

James Picariello^ Got it. That's great to hear.

And then the Power & Vision, the growth over market was a clear positive again this quarter, with the full year guide implying another strong showing for the fourth. Can you speak to any key factors driving this improvement either from a product or a favorable customer mix perspective? Or is the growth mainly driven by new business backlog contribution? Just any color on the Power & Vision growth inflection would be helpful.

Swamy Kotagiri^ I think you have summarized it, Power & Vision, as you saw, declined 2% in the sales side of things including the divestiture effects, and the margin improved about 150 basis points and standing at 6.6%.

The improvement in this case or in this segment definitely was less about commercial recoveries and more about strong operational execution. I would say it's continued traction from our operational excellence initiatives, and it's truly becoming foundational, and we are starting to see that.

It's definitely a trajectory going forward. And I don't think there is any one particular product that stands out. Definitely, the launches of some of the programs that we've been working being a normal cadence and normal run rates definitely helps. And the discipline in engineering and launches is the other third.

So all in all, I would sum it up as the different headings under the operational excellence is what's giving us the jump in the profitability.

James Picariello^ Yes. No. It's great to see that low to mid-single-digit core growth.

MAGNA INTERNATIONAL INC. THIRD QUARTER 2026 RESULTS WEBCAST 26OCT30

Operator^ Your next question comes from the line of Tamy Chen from BMO Capital Markets.

Tamy Chen^ First, I just want to start on the Seating side. Can you remind us again, in North America, I think there is the fairly sizable replacement or a refresh program that will come. When do you launch that?

And when we think about overall Seating margins as we go towards that launch, like is this refresh or a new program meaningful enough to potentially move those segment margins back to pre-pandemic? Is that how we could think about it?

Swamy Kotagiri^ I think a couple of things, right? The program change over at Ford Louisville and BMW Spartanburg, are the ones that are having impact. As they come back into come back online, you'll see the Seating -- come back to what I would call the normal cadence.

If you look at it from last year to how we've been progressing, we are satisfied and seeing what we expected there other than the program changeovers. And the October full year margin outlook is 3.1% to 3.3%, right? So if you take the midpoint 3.2%, that's in line with what we've been talking about.

And with the program launches coming in play and the one big program that you mentioned, will be fully launched by this time next year. It started now and it's phasing, right? And we feel pretty confident in how the launch is going, how the economics are working out. And when all of this comes back, I would say kind of go back to what I always said about seeing good returns business. We are seeing the trajectory we wanted.

So this quarter seems a little bit off, but that's because of the changeovers. All in all, it's following the trajectory we had in plan.

Phil Fracassa^ Yes. The only thing I would add is that we'll still -- it's still more of the impact of the BMW because that's sort of launching kind of as we speak, but we'll feel it's more in ‘27, whereas Ford Louisville will be sort of mid-next year. So that will be kind of a midyear ramp, if you will.

But as Swamy said, the margin this quarter, while they were down year-over-year, we're actually better than we anticipated coming into the quarter because obviously that's a lot of volume to lose albeit it's temporary, if you will. But the team did a great job on operational excellence and some commercial items to kind of protect margins and moving forward.

As Swamy said, with the new economics and the volumes coming back, we feel really good about the ability of seating margins to get back where they were.

Tamy Chen^ Good to hear. Got it. And my follow-up question is the bigger picture, I think you'll talk more about it at the Investor Day as well. But curious if you can give any insights right now.

MAGNA INTERNATIONAL INC. THIRD QUARTER 2026 RESULTS WEBCAST 26OCT30

Your overall operational excellence journey. If you had to describe what inning do you think we're at? What's still to come? I think one of the areas is your Factory of the Future, just continuing to roll out in more facilities. So if you can give any sort of numbers to help us assess how far along? And how much more there is to come from there.

Swamy Kotagiri^ Tamy. At the Investor Day, you'll definitely hear from us about a little bit more detail on how our strategy is evolving. We'll talk about our growth over market priorities and definitely more color on the operational excellence initiatives.

I won't put a number on it, but I would still say it's early innings. We are enthused about -- and you've seen the traction of what -- shout out to the Magna team, everybody on the shop floor, they're sticking to it, doing it. So with all gratitude towards them, we still feel pretty good about how we're doing. And then we'll also obviously touch on the medium- to long-term financial framework when we come to the Investor Day.

Operator^ Your next question comes from the line of Alex Perry from Bank of America.

Alexander Perry^ I guess first, I just wanted to ask a little bit more about the change in the guide for this year. Specifically on China, is there any visibility on China improving? How conservative is -- would you say the outlook is at this point with the volatility and visibility you have in that region? And then maybe just walk us through how China sort of varies versus the other regions in terms of the visibility profile given some of the fragmentation there in the market?

Swamy Kotagiri^ Alex, as you said, China is pretty dynamic in terms of local consumption versus exports, the dynamics between the Chinese OEMs and the Western OEMs and so on.

From our perspective, China vehicle production declined 7% in Q3, and our impact was roughly about 10%. And if you peel the onion back a little bit, you'll see that the three German OEMs groups collectively declined approximately 28% in the quarter.

So contextually, Magna, when we started, we had a much bigger share with the Western OEMs. But over the last decade, I would say we've grown at 10%-plus CAGR in China. And today, we are about 65% business revenue is with the Chinese OEMs in China.

So we have evolved pretty well. We continue to grow in the long term, pretty good. It's an important market for us.

And from a financial metrics, I would say we are satisfied and continue to be good and accretive. It's a little bit lumpy is how I would characterize it, but our focus remains on the right customers, platforms, products and definitely returns.

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Alexander Perry^ Really helpful. And then I wanted to ask a little bit about what you're doing with some of the AV players. So maybe help us think about contextualizing the size of the Waymo business, what you're doing there. Could that become significant over time? And then are you targeting other robotaxi and AV players that are trying to integrate a lot of pieces in the various tech stacks?

Swamy Kotagiri^ Yes. I think generally, AV is the -- first of all, I think from a component systems perspective, we've been pretty clear that our focus really is on, call it, the driver assist systems, right? And if there is alignment in terms of our product strategy where we can support the AV players in sensors and systems and so on, absolutely, yes, and we continue to explore that opportunity.

Specifically with Waymo, it's our complete vehicle group that has brought value in terms of the upfitting for Waymo. And as we talked about, we are adding more models there. That model will continue to be explored in other areas, but with other customers and other regions.

But again, it's got to be something long term, something that's more partnership and value driven. But we continue to look at it, but we are very, call it, disciplined and cautious in how we go about it.

Operator^ Your next question comes from the line of Tom Norian from RBC Capital Markets.

Tom Norian^ The first one is on European capacity. It looks like you took a charge in P&V, $76 million in Q3, just curious what was behind that? We know Jim Farley on the Ford call was saying that Europe has just too much capacity. And then this is coupled with Chinese export coming into Europe.

So curious if you expect to see more capacity cuts in Europe at P&V in Europe or perhaps in other segments? And then I have a follow-up.

Swamy Kotagiri^ I think like we've been talking about, call it, consolidation, restructuring closures, all of it over the last four years, and we've done that with 41-plus divisions. A significant portion of that was in Europe.

My point being, it's been a continuing journey. So we have been flexing from the times when Europe saw like 21 million, 21.5 million units to the current 17 million plus units. So we work along with it. We still are very careful and continue to watch it.

I feel pretty comfortable. Again, this is part of the operational excellence, right, being able to react quickly, be agile and be resilient. So there's a little bit more work but nothing that I would call a heavy lift from Magna perspective for Europe.

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Tom Norian^ Okay. And then on the buyback plan that I think is 10% of the [float] through, I think, November next year. Your leverage is quite low. I know we'll hear more on the Investor Day on this. But the implication is potentially that you're maybe leaving some room for M&A and reinvesting in the business, perhaps in some nonautomotive areas.

Again, I don't want to steal the thunder here, but is that a fair assumption to make that the buyback plan, which is big, but it is maybe potentially leaving some room for other things, too?

Swamy Kotagiri^ So I think for us, the capital allocation principles were pretty straightforward. So I think focused really on the organic profitable growth that remains very disciplined in terms of going after programs and how we grow.

As I said before, Tom, and I think it still holds we are pretty happy with the portfolio the way we have it today. I don't really see a significant or transformative M&A could we see some small tuck-ins that would help our strategy, yes. So it would be looking at externalities that dynamics of their economic conditions and so on and so forth, maintain our financial flexibility and leverage ratios. And the rest, I think, would be share buybacks and dividends as we see it, as we have done.

Phil Fracassa^ Tom, I would only add that I would probably look at it a little bit different. So we had 10% available to buyback this year, and we've bought back the entire 10%. We have been able to take leverage down. We have been working to bring our leverage down within our range. We're slightly below the top end of our targeted range.

We don't feel a need to certainly delever from here. And I do think it puts us -- if anything, puts us in great position as we look ahead to next year from a capital return standpoint. And as Swamy said, continue to invest in the business and then maybe a tuck-in here or there.

But I do feel like the balance sheet capacity we have, we certainly -- we certainly intend to put it to use similar to what we did this year.

Operator^ Your next question comes from the line of Jonathan Goldman from Scotiabank.

Jonathan Goldman^ Could you just remind us if you've updated your expectations for growth over market this year?

Phil Fracassa^ Yes. Great question, Jonathan.

So given the updates to the volumes that we made in this current outlook, in the quarter, we were slightly above 1%, growth over market, roughly 1%, excluding complete vehicles.

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Right now for the full year, we're probably looking at closer to flattish all in and up 1%, excluding complete vehicles. So a little bit little bit down from what we would have guided to last quarter, mainly as a result of the updated volume estimates.

And then as we peel the onion back in terms of programs that we're on, Swamy talked about the dynamic in China and then as well as we do -- we did have a customer in North America and a customer in Europe add some planned downtime in the fourth quarter where we do have quite a bit of content with those customers. So as we kind of pulled it all together, it did bring it down.

But if you take a step back, as we've said all along, really, the downtime and some of the impacts in China. China is going to move around a little bit. The downtime is really temporary, if you will.

We still feel really good about our ability to generate positive growth over market. We've talked about low to mid-single digits in the past. It's not going to be that number every quarter or every year, but really nothing has changed in terms of our long-term view on that.

Jonathan Goldman^ And that's a good dovetail to my next question. Maybe by this point in the year, would you describe your level of visibility on Q4 production? And do you have any early reads on light vehicle production, the environment based on some of the commentary you're talking about downtime and kind of that something coming back and kind of the macro environment you're seeing in your various regions?

Swamy Kotagiri^ Yes. I think as we go through the planning process as we're going through right now for 27, we consider, call it, the tribal knowledge of the programs that we have, obviously discussions with the customers and looking at the outside -- kind of seems to be a little bit softer.

We haven't gotten a final answer to that yet. We'll get through the planning process and know it. And that's how we are going into it planning. But we will get back a little bit more detail, Jonathan, when we come into February, right? Right now, it will be premature to put numbers on it.

But I would say our biggest focus is assuming a flattish market and how do we continue the momentum we have in our self-help or operational initiatives. And that's what I think will give us the confidence, right, of moving forward. So more color to come.

Jonathan Goldman^ No. That's fair and definitely see the progress from the operational excellence is coming through.

And I guess related to that, if I can squeeze one more in on free cash flow. I think it's going to be the second year in a row, you're doing close to $2 billion, maybe $1.875 billion, $1.9 billion. Is there anything that sticks out that's unusual in this year, last year? Or should this be kind of like the go-forward run rate free cash flow conversion and maybe upside if you're able to squeeze more out on the operational excellence.

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Phil Fracassa^ Yes. No, great question, Jonathan.

So if you look at last year and this year free cash flow, we're quite good in both years, over 100% conversion on adjusted net income last year and the midpoint of the guide would imply right around 100% conversion on adjusted net income this year. So really strong performance.

We did have some recoveries last year related to some EV investments. We had some -- we did have some recoveries, as I talked about earlier, this year.

But moving forward, as we've talked about with earnings growth, strong working capital management and discipline around CapEx. We do expect a strong free cash flow to continue. It's a little early to talk about 2027. But even with those recoveries not recurring, we do expect to continue to generate strong conversion on net income, strong free cash flow which should be very supportive of our capital allocation strategy.

Operator^ Your next question comes from the line of Rajat Gupta from JPMorgan.

Rajat Gupta^ I just -- I wanted to follow up on the AV and robo-taxi opportunity. We keep hearing a lot from both Western and Chinese OEMs about insourcing a lot of the work, particularly the higher value software there, et cetera. I'm curious as your conversations have progressed on the opportunity.

What has changed versus what has been intact in terms of where you're playing across that ADAS stack, and are there any opportunities either from an M&A side that can help you enhance your stack in the future. Just curious what's the latest there? I have a quick follow-up.

Swamy Kotagiri^ I think the way -- again, I've said we kind of looked at domain as driver assist systems, and call it, full autonomy.

As you look into the story of the driver assist depending on who we talk to, let's say, the in generic terms, L3 or L3++ scenario. There's a lot of discussions, as you said. And it depends on the region and also depends on the type of the vehicle, whether you have sensors that have edge compute and that architecture there, some which are talking about zonal architecture, and then there are some which is complete central compute.

If you sit back and look at it from the ability to provide either edge compute or sensors that support the central or zonal architecture, I would say we are pretty well positioned in being able to support that. Not just giving them the pieces of it, but actually the integration of all of these systems put together and be able to provide a feature that our customers want and ultimately the consumers want, I think we're in a decent place.

MAGNA INTERNATIONAL INC. THIRD QUARTER 2026 RESULTS WEBCAST 26OCT30

We have to be a little disciplined, like you said, until there is a little bit of a clearer path on which way it goes and it's different by regions and what the chip strategies are. So I think they're a little bit cautious at this point in time.

I would be focused on continuing to expand our strength rather than look at any inorganic activity at this point in time.

We feel pretty good where we are. We'll stay disciplined and focused, and be deliberate on the customers and programs we pick, and we're watching.

Rajat Gupta^ Understood. That's helpful. And then just wanted to follow up on the commodities headwind. I'm curious versus the prior outlook, how much higher is the margin headwind from commodities? And within that, what parts are just indexed and easily recoverable versus -- which is what you might have to offset with more internal initiatives?

Phil Fracassa^ This is Phil. So I would say it definitely got worse since the last outlook. I don't have the exact number, but certainly incrementally worse, both in Q3 and Q4 versus the prior outlook. And obviously, we actually are doing a little bit better on operational excellence which is helping to mitigate that a little bit.

But when you take a step back, you look across key commodities, steel and aluminum were pretty well covered with resale programs with customers or index pass-throughs, if you will. We do have some exposure on aluminum from Tier 2s, if it's embedded in components and the like.

On resins, we've said we have about 40% that's protected through indexes, the rest we would have to negotiate commercially with the customer to get recoveries for.

And then the bigger thing that really is continuing to escalate probably the biggest driver behind what we saw in the second half has been the DRAM and the related electronic components, whether it's the boards and the like, we're seeing increases there as well and on most of that, the vast majority of that is where we have to negotiate with our customers for recoveries.

And as I've said, that's ongoing. We've actually secured some already. The conversations have been real constructive. But the headwind we saw in Q3, we'd expect another headwind, I would say, of a, call it, similar size in Q4 and then obviously work to recover or mitigate the impact of those items as we move into next year.

Operator^ Your next question comes from the line of Joe Spak from UBS.

Joseph Spak^ Maybe, Phil, if we could just sort of recap. I mean you sort of made the 6% and 6.4% sort of jumping off point and like we could all make our own volume assumptions. And then you talked about operational excellence which is still in the early innings, but that some of that might get eaten away by the inflation headwinds.

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I guess the question is really on that operational excellence. I think you were targeting 35 to 40 [basis points] this year and Swamy, you still sort of said it's early innings, but isn't -- and correct me if I'm wrong, but isn't some of the like the new contracts rolling on versus the old ones rolling off like part of that operational excellence? And shouldn't we -- are we through most of that? Or is there still more just more favorable contracts that still continue along that still support that operational excellence?

Swamy Kotagiri^ So Joe, I'll make a few points.

No. It's not just the new economics. When we talk about operational excellence, this is on top of that. And I don't think it's the right way to characterize that whatever we do is being eaten away by inflation. I think some of the inflation is the recoveries and the economics that we talked about.

On the other hand, what we talk about operational excellence is the self-help activities, right. So the rest -- at least the way we are looking at it is from last year to this year, about 1.5% less of revenue and about 80 basis points better in margin, right? So and that will continue, what I said was 35 to 40 basis points is what we said last time.

We're kind of tracking more towards 50 this year from the margin benefit. And if you ask me, like Phil said, if you take the midpoint of 6.4% on a flattish production environment, I would venture to say it's very likely for us to look at another 35 to 40 basis points going into next year on operational excellence.

Now you talked about externalities. That's anybody's guess, right? Production mix, interest rates, yes, that's industry driven.

So we are really focused on what can we do that's in our control, and that's what I'm talking about.

Joseph Spak^ Yes. Absolutely. That's helpful.

And then Phil, maybe just one point on the NCIB. I think last year, when you renewed it, there was some commentary about a commitment to sort of fully execute. Can we assume that again? Or is this a little bit play by ear as to sort of how much of that authorization you'll attack this year?

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Phil Fracassa^ Yes. No. Thanks, Joe.

What I would say is we -- you're right, back in February, we did indicate our intention to exhaust the current NCIB which we've done. We put the new one in place, it will take effect in a week or two.

I'm probably a little bit early to talk specifically about it. But as I said earlier, when we think about strong free cash flow and our expectation for that to continue. And the balance sheet being in great shape, I mean we are in a great position to continue to buy back a substantial amount of shares. And I would expect that we will have buybacks certainly in the fourth quarter that we'll be talking about next call if you will.

But in terms of being more specific in that, it's probably a little early and probably have some more to come on that.

Joseph Spak^ Okay. If I could squeeze one quick one in. Like just, your fourth quarter at the midpoint of the range, right, we could all sort of calculate that. But it is still like plus or minus like 9% on either side which are two months left seems a little bit wide. So any color commentary about just sort of how we should expect the year to finish up?

Phil Fracassa^ Yes. I mean I think you're right, we narrowed the adjusted EBIT margin down to 6.3% to 6.5% which probably 20 basis points on the full year with one quarter to go, it was maybe a little bit wide.

But again, I think we feel -- I would say, feel very confident in our ability to land in that range. And I would focus -- I would probably focus mainly on the midpoint of that range, plus or minus.

And yes, and I think when you think about the headwinds that got layered into the fourth quarter between volumes between mix, between commodity costs, et cetera, I think we feel really confident in the full year guide.

And the midpoint would imply roughly 7.3% margins in Q4 which is a step-up from Q3 despite incremental headwinds and then down only 20 bps from last year and you remember last year was a bit of a tough comp given the significant recoveries we got last year that we don't expect to recur.

Operator^ Your next question comes from the line of Brian Morrison from TD Cowen.

Brian Morrison^ I just have a couple of housekeeping. Phil or Swamy, can you just remind me what the complete vehicle assembly theoretical capacities in Europe. I think it was like 150,000 units several years back. And what is the volume capacity in Arizona and Asia?

And then second question, just quickly for housekeeping. Why the increase in the value of the euro in your updated guide? I realize that most of the year is over, but at $1.11 now directionally a little bit surprised it went up.

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Swamy Kotagiri^ You're right about the (inaudible) approximately 150,000 units, right, in our Europe facility. One in Arizona, it's not based on paint and body shop and so on. So it's flexible, I would say.

So it's just based on a little bit of footprint, but could be very agile. It's not as asset heavy or capital intensive. So that could flex pretty easily. So it's not constrained by anything.

Phil Fracassa^ And then on the currency, Brian, I would say -- I would just add, we generally tend to snap the line kind of at the end of the quarter, and that's kind of what we did this time around currency is going to move around.

You're right, the dollar euro probably sitting in probably $1.12 today, if you will. So a little bit little bit weaker than what we had guided.

But my experience, I think we consistently let this snap the line at the end of the quarter, and that's kind of what we did in this case.

Swamy Kotagiri^ And Brian, just to add one other thing in China, the complete vehicle assembly capacity is roughly about 180,000 just to complete the picture.

Operator^ Your next question comes from the line of Mark Delaney from Goldman Sachs.

Mark Delaney^ I'm looking forward to seeing you soon at the Investor Day.

I had another one on complete vehicles. I think EBIT for [Q] '26 for your current guidance is relatively flat year-on-year. Given all the work Magna is doing in AV upfitting as well as the growing business you're speaking about with the Chinese OEMs including in Europe, can you help contextualize what that all means for the ability to grow complete vehicles EBIT from here?

Phil Fracassa^ Yes. Sure. Sure, Mark.

So basically, what we're seeing in complete vehicles, obviously, this year has been impacted by lower engineering revenue has certainly been the negative. But on the positive side, the launches that we've seen with Chinese OEMs in Graz have gone very well. Those contracts are on a value-added basis. And that's really the model we're going to work going forward and complete vehicles is more on a value-added basis.

So the margins will be higher, revenue dollars will be a little bit lower. That's what's giving you the dynamic of lower revenue but higher margins, if you will.

MAGNA INTERNATIONAL INC. THIRD QUARTER 2026 RESULTS WEBCAST 26OCT30

But moving forward, again, I do see -- we do see a path for continued growth in complete vehicles, whether it's Graz, in Arizona with the AV business, in Asia with some of the work we do there. And then again, with new programs coming in on value add, coupled with operational excellence and continuing to try to get better economics on programs that we launch. We do continue to see, I would say, upside on the margin in complete vehicles from here.

Mark Delaney^ Helpful color, Phil. My other question was on the BES business. Just wondering, you already mentioned the role Magna can play with castings and bringing innovative ideas there to OEMs. Could you also clarify whether you're seeing any change in how much stamping business may be available and how Magna can bring value to OEMs as one of the large European OEMs to speak about doing more in-house stampings on their earnings call this week.

Swamy Kotagiri^ Mark, to be short and simple, we are not seeing anything significant. I think it's one of our core groups, long-standing, and we continue to have discussions and inquiries from customers. I would say if there is a big program or if there is any consolidation, if there is any issues, we typically see customers reach out to us.

So I would say we definitely have a seat at the table, and we haven't seen, call it, any negative impact on the type of insourcing that if anything. We are one of the -- if not the only one that can do some of the things that OEMs do and they depend and ask us to be partners with them. So I'm pretty comfortable and optimistic about continuing that.

Operator^ At this time, there are no further questions. I would like to turn the call back to Louis Tonelli for closing remarks.

Louis Tonelli^ Okay. Thanks, everyone, for listening today. If you have any follow-up questions, please don't hesitate to reach out to me. Thank you for your interest in Magna. And have a great day.

Operator^ This concludes today's call. Thank you all for attending. You may now disconnect.

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