Operating cash flow of $932.8 million in 2026Q3 was 2.48 times net income, but free cash flow margin swung from -1.9% to 13.2% over the period, with much of the strength driven by working capital rather than durable earnings growth.
Magna International Inc. (MGA) cash flow statement — 30-year operating, investing & financing cash flows
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Jul'97 | Jul'96 |
|---|
| Cash from Operations | 4.55B | 3.6B | 3.63B | 3.15B | 2.1B | 2.94B | 3.28B | 3.96B | 3.72B | 3.33B | 3.39B | 2.33B | 2.79B | 2.57B | 2.21B | 1.21B | 1.87B | 527M | 1.05B | 1.59B | 1.6B | 1.7B | 1.41B | 1.22B | 1.46B | 1.03B | 655M | 750M | 184M | 496.4M | 216.1M |
| Operating CF Margin % | - | 8.42% | 8.48% | 7.36% | 5.54% | 8.11% | 10.04% | 10.04% | 9.11% | 8.55% | 9.29% | 7.26% | 7.62% | 7.37% | 7.15% | 4.21% | 7.77% | 3.03% | 4.45% | 6.11% | 6.6% | 7.44% | 6.81% | 7.92% | 11.26% | 9.33% | 6.23% | 8.01% | 5.42% | 8.9% | 5.07% |
| Operating CF Growth % | 837.42% | -0.99% | 15.4% | 50.31% | -28.74% | -10.31% | -17.22% | 6.51% | 11.69% | -1.68% | 45.2% | -16.48% | 8.77% | 16.36% | 82.31% | -35.36% | 255.22% | -50% | -33.84% | -0.19% | -6.01% | 20.77% | 15.63% | -16.71% | 41.89% | 57.1% | -12.67% | 307.61% | -62.93% | 129.71% | -31.61% |
| Net Income | 820.8M | 883M | 1.1B | 1.29B | 641M | 1.55B | 677M | 1.63B | 2.33B | 2.25B | 2.07B | 1.94B | 1.88B | 1.54B | 1.43B | 1.01B | 973M | -493M | 71M | 663M | 528M | 639M | 692M | 589M | 554M | 580M | 598M | 430M | 137M | 437.8M | 224.9M |
| Depreciation & Amortization | 2.04B | 1.93B | 1.93B | 1.75B | 1.42B | 1.51B | 1.37B | 1.34B | 1.28B | 1.36B | 1.18B | 802M | 890M | 1.06B | 801M | 686M | 661M | 737M | 873M | 872M | 790M | 711M | 598M | 505M | 445M | 425M | 392M | 362M | 126M | 168.4M | 138.5M |
| Stock-Based Compensation | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 40M | 40M | 42M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | -90.03M | -41M | -110M | -261M | -202M | -76M | 17M | 7M | 31M | -3M | 22M | -7M | 94M | -100M | -46M | -76M | 0 | 56M | -131M | -123M | -92M | -12M | 79M | 63M | 9M | 39M | 52M | 7M | 12M | 16.4M | 10.6M |
| Other Non-Cash Items | 640.9M | 484M | 39M | 155M | 559M | 140M | 593M | 624M | 230M | -49.15M | 32.32M | -39M | 184M | 327M | 104M | 230M | 61M | 1.11B | 535M | 171M | 226M | 199M | 110M | 27M | 125M | 48M | 26M | 19M | 6M | -100K | 5.9M |
| Working Capital Changes | 1.1B | 347M | 681M | 221M | -322M | -189M | 625M | 352M | -153M | -232M | 81M | -344M | -245M | -127M | 72M | -631M | 177M | -94M | -275M | -94M | 157M | 158M | -95M | -82M | 248M | 6M | -336M | -79M | -97M | -4.2M | -163.6M |
| Change in Receivables | 861M | 835M | 454M | -819M | -913M | 114M | -42M | 629M | -351M | -297M | -446M | -410M | -767M | -584M | -46M | -909M | -611M | -40M | 0 | 0 | 0 | 0 | -313M | 0 | -215M | -116M | -126M | -161M | 0 | 0 | 0 |
| Change in Inventory | -132.55M | 248M | 153M | -196M | -448M | -653M | 37M | 104M | -92M | -362M | -159M | -241M | -343M | -141M | -315M | -282M | -178M | 17M | -124M | -97M | 60M | -83M | -82M | -37M | 83M | -104M | -135M | 4M | -20M | -66.7M | -36.2M |
| Change in Payables | -56.88M | -697M | -357M | 609M | 812M | 160M | 274M | -519M | 265M | 494M | 562M | 139M | 677M | 329M | 249M | 475M | 579M | 241M | 0 | 0 | 0 | 0 | 308M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -1.64B | -1.7B | -2.59B | -4.5B | -2.04B | -2.28B | -1.4B | -434M | -2.28B | -2.13B | -4.27B | -1.29B | -1.62B | -1.21B | -1.81B | -1.27B | -744M | -876M | -1.06B | -868M | -1.11B | -1.05B | -1.27B | -1B | -1.18B | -514M | -403M | -987M | -547M | -607.4M | -350.3M |
| Capital Expenditures | -1.66B | -1.31B | -2.18B | -2.55B | -1.68B | -1.41B | -1.15B | -1.44B | -1.65B | -1.86B | -1.81B | -1.59B | -1.59B | -1.17B | -1.27B | -1.24B | -784M | -629M | -739M | -741M | -793M | -848M | -859M | -801M | -898M | -525M | -653M | -873M | -528M | -524.2M | -240.7M |
| CapEx % of Revenue | 3.98% | 3.07% | 5.08% | 5.95% | 4.44% | 3.9% | 3.51% | 3.65% | 4.04% | 4.77% | 4.96% | 4.95% | 4.33% | 3.36% | 4.13% | 4.3% | 3.25% | 3.62% | 3.12% | 2.84% | 3.28% | 3.72% | 4.16% | 5.22% | 6.92% | 4.76% | 6.21% | 9.33% | 15.55% | 9.39% | 5.65% |
| Acquisitions | -19.01M | -1M | -86M | -1.38B | 121M | -449M | 208M | 1.39B | -145M | 332M | -1.79B | 359M | 144M | 154M | -419M | 48M | 181M | -20M | -158M | -46M | -284M | -187M | -338M | -41M | -135M | -40M | -68M | -211M | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 449.09M | 121M | 301M | 0 | 6M | -31M | -108M | -416M | -223M | -283M | -332M | 104M | -167M | -163M | -106M | -84M | -141M | -227M | -166M | -81M | 65M | -16M | -77M | -160M | -184M | 0 | 0 | 0 | 0 | -338.6M | -124.1M |
| Cash from Financing | -2.86B | -1.53B | -989M | 1.34B | -1.73B | -1.11B | 81M | -2.95B | -1.44B | -1.55B | -1.02B | 741M | -1.38B | -1.3B | -216M | -457M | -355M | -1.16B | 89M | 44M | -386M | -426M | -255M | 2M | 33M | -222M | -240M | 400M | 164M | -42.1M | 626M |
| Debt Issued (Net) | -754.98M | -667M | -219M | 1.93B | -391M | -167M | 683M | -1.23B | 1M | 112M | 251M | 1.53B | 670M | -40M | 81M | 133.12M | -57M | -1.14B | 476M | -51M | -251M | -280M | -117M | 139M | -129M | -244M | -80M | 248M | 182M | -80M | 277M |
| Equity Issued (Net) | -1.4B | -135M | -207M | -13M | -780M | -517M | -203M | -1.29B | -1.85B | -1.27B | -904M | -515M | -1.78B | -1.02B | -40M | -348M | -285.07M | 2M | -247M | 245.79M | 28M | 21M | -274M | 58M | 83M | 211M | 4M | 275M | 0 | 45M | 331M |
| Dividends Paid | -529.91M | -544M | -539M | -522M | -514M | -514M | -467M | -449M | -448M | -400M | -385M | -354M | -316M | -284M | -252M | -236M | -100M | -21M | -140M | -131M | -163M | -166M | -161M | -147M | -143M | -137M | -123M | -90M | -18M | -65M | -50.8M |
| Share Repurchases | -1.51B | -137M | -207M | -13M | -780M | -517M | -203M | -1.29B | -1.85B | -1.28B | -913M | -515M | -1.78B | -1.02B | -40M | -407M | -334.82M | 0 | -247M | -1.33B | 0 | 0 | -300M | 0 | -2M | 0 | 0 | 0 | 0 | 0 | -100K |
| Other Financing | -174.44M | -186M | -24M | -54M | -48M | 92M | 68M | 17M | 851M | 5M | 18M | 76M | 51M | 44M | -5M | -6.12M | -1.93M | -1M | 0 | -19.79M | 0 | -1M | 322M | -22M | -27M | -42M | -41M | -33M | 0 | -19M | 63M |
| Net Change in Cash | 60.7M | 365M | 49M | -36M | -1.71B | -426M | 1.98B | 590M | -37M | -329M | -1.89B | 1.61B | -301M | 32M | 197M | -556M | 771M | -1.42B | -197M | 1.07B | 203M | 163M | -9M | 407M | 337M | 270M | -12M | 148M | -183M | -153.1M | 491.8M |
| Free Cash Flow | 2.88B | 2.29B | 1.46B | 601M | 414M | 1.53B | 2.13B | 2.52B | 2.07B | 1.47B | 1.58B | 741M | 1.21B | 1.4B | 932M | -26M | 1.09B | -102M | 315M | 852M | 803M | 850M | 547M | 415M | 562M | 504M | 2M | -123M | -344M | -27.8M | -24.6M |
| FCF Margin % | 6.89% | 5.35% | 3.4% | 1.4% | 1.09% | 4.21% | 6.53% | 6.39% | 5.07% | 3.78% | 4.33% | 2.31% | 3.29% | 4.01% | 3.02% | -0.09% | 4.51% | -0.59% | 1.33% | 3.27% | 3.32% | 3.73% | 2.65% | 2.7% | 4.33% | 4.57% | 0.02% | -1.31% | -10.13% | -0.5% | -0.58% |
| FCF Growth % | 41.56% | 56.94% | 142.26% | 45.17% | -72.89% | -28.41% | -15.32% | 21.81% | 40.58% | -6.84% | 113.09% | -38.56% | -13.73% | 50% | 3684.62% | -102.39% | 1166.67% | -132.38% | -63.03% | 6.1% | -5.53% | 55.39% | 31.81% | -26.16% | 11.51% | 25100% | 101.63% | 64.24% | -1137.41% | -13.01% | -175.69% |
| FCF per Share | 10.84 | 8.09 | 5.07 | 2.10 | 1.42 | 5.04 | 7.10 | 7.98 | 5.95 | 3.93 | 4.02 | 1.80 | 2.78 | 3.03 | 1.98 | -0.05 | 2.33 | -0.23 | 0.69 | 1.87 | 1.80 | 1.95 | 1.41 | 1.08 | 1.53 | 1.38 | 0.01 | -0.34 | -0.97 | -0.09 | -0.09 |
| FCF Conversion (FCF/Net Income) | 3.51x | 4.27x | 3.60x | 2.60x | 3.54x | 1.94x | 4.33x | 2.24x | 1.62x | 1.51x | 1.67x | 1.16x | 1.48x | 1.64x | 1.54x | 1.19x | 1.92x | -1.07x | 14.85x | 2.40x | 3.02x | 2.66x | 2.03x | 2.33x | 2.64x | 1.77x | 1.10x | 1.74x | 1.34x | 1.13x | 0.96x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Quick answers to the most common questions about buying MGA stock.
Magna International Inc. (MGA) generated $3.60B in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Magna International Inc. (MGA) generated $2.29B in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Magna International Inc. (MGA) spent $1.31B on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Magna International Inc. (MGA) returned $544.0M to shareholders via cash dividends and spent $137.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.
Key Metrics
Top Statement Risk
Working capital reliance masking thin margins
Operating Cash Flow Dwarfs Thin Earnings
According to reported cash flow statements, Magna's operating cash flow ran at 2.09 to 2.48 times net income in 2026Q2 and 2026Q3, a gap that suggests reported earnings understate cash generation in normal quarters but also depends heavily on working capital swings.
The conversion ratio appears inflated by working capital inflows, with working capital changes of $140.8 million in 2026Q3 and $827.0 million in 2025Q4 contributing materially to operating cash flow. Quarters where net income approached zero, such as 2026Q1 and 2025Q4, produced ratios that are mathematically meaningless and should not be read as evidence of earnings quality. Investors should monitor whether the strong conversion persists once working capital normalizes.
Free Cash Flow Lumpy and Working Capital Driven
Based on reported figures, Magna's free cash flow margin swung from negative 1.9% in 2025Q1 to 13.2% in 2025Q4, with the peak largely reflecting an $827.0 million working capital release rather than a sustained step-up in operating earnings.
Excluding the 2025Q4 working capital benefit, quarterly FCF margins cluster in the 2% to 6% range, consistent with a low-margin Tier 1 supplier. The trajectory therefore appears to reflect timing effects more than structural improvement. Sustainable free cash flow likely depends on whether revenue stabilizes, given the flat year-over-year growth profile.
Capital Intensity Elevated Versus Peers
As reported in financial statements, Magna's capital expenditure ran between 2.1% and 6.7% of revenue across the ten quarters, with the highest intensity in 2024Q4 at 6.7%, a level that absorbs much of the operating cash generated by the business.
Capex intensity at this level is typical of a high-fixed-cost manufacturer, but it limits the free cash flow available to shareholders during soft quarters. Depreciation of roughly $395 million to $710 million per quarter suggests the company is spending near its asset replacement needs, so growth capex may represent a meaningful portion of the total. Investors should track the split between maintenance and EV-related investment, which the supplied data does not disclose.
Capital Returns Funded by Working Capital
Based on reported figures, Magna paid roughly $133 million to $138 million in dividends each quarter while buybacks swung from zero to $519.4 million, with the largest repurchases in 2026Q2 and 2026Q3 exceeding quarterly free cash flow in one period.
Shareholder returns in 2026Q3 totaled about $646 million against free cash flow of $320.2 million, indicating the buyback pace was not covered by that quarter's internal cash generation. This suggests returns may be partly funded by the working capital release visible in recent quarters. Whether this pattern is sustainable depends on the durability of the cash inflows, which the data cannot confirm.
Cumulative Cash Generation Versus Reported Profit
Across the ten quarters shown, cumulative operating cash flow of roughly $7.9 billion substantially exceeds cumulative net income of about $2.3 billion, a gap that appears driven largely by depreciation and working capital rather than by accounting aggressiveness.
Summing the quarterly figures, depreciation alone accounts for a large share of the difference between net income and operating cash flow, which is a common feature of asset-heavy manufacturers. The working capital contribution is less stable and reverses in several quarters, so the cumulative gap should not be extrapolated. Analysts should treat long-run conversion as a blend of structural depreciation and cyclical working capital.
What the Cash Flow Statement Obscures
Based on the supplied quarterly data, the reported cash generation may overstate sustainable earnings power, since working capital releases and equity-accounted joint venture income are not separately isolated in the cash flow figures provided.
Stock-based compensation is shown as zero across all periods, so no adjustment for equity compensation is visible in this dataset, though this may reflect data limitations rather than the underlying economics. Acquisition outflows and inflows, such as the $67.0 million net outflow in 2025Q4, appear to be lumpy and may distort quarterly free cash flow comparisons. Investors should verify lease and pension cash obligations against the full filings, as the supplied data does not capture off-balance-sheet commitments that could reduce distributable cash.