EarningsQ2 2026 Earnings Report
MX:MGAN Q2 2026 EPS Results
Actual EPS$33.23
Consensus EPS$28.74
Beat/MissBeat by +$4.50
One Year Ago EPS$25.30
MX:MGAN Q2 2026 Revenue Results
Actual Revenue$193.61B
Expected Revenue$192.24B
Beat/MissBeat by +$1.37B
YoY Revenue Growth+3.26%
Earnings Announcement Details
QuarterQ2 2026
Date07/31/2026
TimeBefore Open
Conference CallFriday, July 31, 2026
MX:MGAN Upcoming Earnings
Magna International's next earnings date is estimated for October 30, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
MX:MGAN Q2 2026 Earnings Call
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Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call conveyed a constructive and confident tone: the company reported strong Q2 financial performance (sales growth, double-digit adjusted EBIT increase, record Q2 EPS, and materially improved free cash flow), upgraded its full-year outlook, and highlighted significant business wins and balance-sheet strength (improved ratings, liquidity, and active share repurchases). Notable near-term headwinds include weaker China production assumptions, earlier-than-expected divestiture-related revenue reductions, discrete commercial items and commodity/mix pressures, and some timing uncertainty around tariff recoveries and one-time tax/recovery items. On balance, management emphasized durable operational-excellence gains and disciplined capital allocation, and the positives appear to materially outweigh the challenges for 2026 execution.Company Guidance
Revenue and Organic Growth
Q2 sales of $11.0B, up ~3% year-over-year; organic sales up ~2% excluding FX; Magna-weighted light vehicle production down ~1% translating to ~3% growth over market consolidated (4% excluding complete vehicles).
Margin Expansion and Profitability
Adjusted EBIT increased 16% to $677M; adjusted EBIT margin expanded 70 basis points to 6.2% in Q2, driven largely by operational excellence and volume-related flow-through.
Record Quarterly EPS
Adjusted EPS rose 29% year-over-year to $1.86 in Q2 — a second-quarter record; full-year adjusted EPS guidance raised to $6.70–$7.30 (midpoint +22% vs prior year).
Strong Cash Generation and Balance Sheet
Operating cash flow of $954M and free cash flow of $617M in Q2 (more than double prior year); raised full-year FCF outlook to $1.8B at midpoint; ended June with ~$1.4B cash and total liquidity ~ $5B; rating agencies affirmed investment-grade ratings and stable outlook; rating-agency leverage ~1.4x.
Capital Returns to Shareholders
Returned $598M to shareholders in Q2, including $465M in share repurchases (7.4M shares repurchased in the quarter) and $133M dividends; ~9M shares remain under NCIB to be repurchased in H2.
Cost and Financial Improvements
Interest expense was ~$15M lower year-over-year; Q2 adjusted tax rate improved to 19.1% (down 140 bps vs prior year), although full-year guide remains 23%.
Book-to-Backlog and New Business Wins
Over 90% of 2028 business already booked; notable program wins include a driver & occupant monitoring system with a European OEM and an 800V 2-speed eDrive with Chery; earned 5 GM Supplier of the Year awards (over 40 in past decade).
Segment Performance
Three of four segments posted higher sales year-over-year; Power & Vision grew ~6% YoY; Vision, Seating and Complete Vehicles posted notable YoY improvements in adjusted EBIT dollars and margins; Body Exteriors & Structures margin at 8.1% (down 10 bps YoY but ahead of expectations).
Operational Discipline and Outlook Upgrade
Management cited continued operational-excellence momentum as primary driver of outperformance; raised and narrowed full-year outlook for adjusted EBIT margin (now 6.3%–6.6%), EPS and free cash flow reflecting confidence in execution.
MX:MGAN Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed