Dana Incorporated reported full‑year 2025 results that showed revenue of $7.5 billion, a slight decline from $7.7 billion in 2024, but an adjusted EBITDA of $610 million, up from $395 million a year earlier. The adjusted EBITDA margin expanded to 8.1% from 5.1% in 2024, reflecting the company’s successful cost‑saving initiatives and a shift toward higher‑margin light‑vehicle products.
In the fourth quarter, Dana generated $1.9 billion in revenue, beating the consensus estimate of $1.8 billion, and reported adjusted EBITDA of $208 million versus $84 million in Q4 2024. The revenue beat was driven by stronger demand in the light‑vehicle segment, while the EBITDA increase was largely a result of disciplined cost control and a more favorable product mix.
Dana’s $325 million cost‑reduction program is on track, with $248 million of savings realized in 2025 and the remaining balance slated for completion in 2026. The program has already contributed to margin expansion and has freed capital that the company plans to return to shareholders.
For 2026, Dana reaffirmed its sales guidance of $7.30 billion to $7.70 billion and adjusted EBITDA guidance of $750 million to $850 million. Management expects to finish the cost‑reduction program and deliver adjusted EBITDA margins in the 10‑11% range, while also targeting $10 billion in sales and 14‑15% margin by 2030.
"Over the past year, Dana made incredible progress on every one of our strategic priorities — from successfully completing the Off‑Highway separation to realizing significant cost efficiencies across the enterprise. These actions have reshaped Dana into a more focused, more resilient organization with improved margins and enhanced financial agility. In 2026, we remain on track to finalize the balance of our $325 million cost‑reduction initiative, deliver adjusted EBITDA margins in the 10 to 11 percent range with a stronger balance sheet, a richer mix of higher‑margin programs, a continued focus on disciplined execution and an ongoing commitment to significant capital return in the years ahead." R. Bruce McDonald, Chairman and CEO. "In 2030, the company expects to generate approximately $10 billion in sales, reflecting a 33 percent increase over its 2026 outlook. We are also targeting a significant expansion in profitability, with adjusted EBITDA margins projected to reach 14 to 15 percent—a 45 percent improvement versus our 2026 guidance—and adjusted free cash flow margins of roughly 6 percent, representing a 50 percent increase." Byron Foster, Senior Vice President and President, Light Vehicle Systems.
The market reaction was mild and positive, driven by the revenue beat, the significant margin expansion, and the company’s reaffirmation of a strong 2026 outlook and ambitious 2030 targets.
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