Magna Half-Year Report 2023
HIGHLIGHTS
Comparing the second quarter of 2023 to the second quarter of 2022:
- Global light vehicle production increased 15%, including 14%, 13% and 21% higher production in North America, Europe and China, respectively.
- Total sales increased 17% to $11.0 billion, largely reflecting higher global vehicle production, the launch of new programs and higher complete vehicle assembly sales. These were partially offset by the net weakening of foreign currencies against the U.S. dollar.
- Diluted earnings per share were $1.18 and Adjusted diluted earnings per share(1) increased $0.67 or 81% to $1.50 primarily due to earnings on higher sales including higher margins as a result of a focus on operational excellence and cost initiatives.
- Cash from operating activities increased $126 million to $547 million.
In addition, in the second quarter of 2023:
- We completed the acquisition of the Veoneer Active Safety Business [“Veoneer AS”]. The transaction broadens our Active Safety portfolio with complementary products, customers, geographies, engineering and software resources.
- We were awarded significant new business, including:
- Battery enclosures, truck frames and complete seats on Ford’s second-generation electric pick-up truck.
- Replacement vehicle assembly business on the Mercedes-Benz G-Class, continuing a 40+ year history of producing the vehicle in our facility in Graz, Austria.
Sales increased 17% or $1.62 billion to $10.98 billion for the second quarter of 2023 compared to $9.36 billion for the second quarter of 2022 primarily due to:
- the launch of new programs during or subsequent to the second quarter of 2022;
- higher global light vehicle production;
- higher complete vehicle assembly sales;
- acquisitions, net of divestitures, subsequent to the second quarter of 2022, which increased sales by $87 million; and
- customer price increases to recover certain higher production input costs.
