Revenue has been flat, with Q2 2026 growth of only 0.7% YoY, while gross margin compressed from 14.6% in Q4 2024 to 10.9% in Q2 2026, a 370 bps decline.
Magna International Inc. (MGA) annual income statement — 30-year revenue, gross profit & net income history
| 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 |
|---|
| Sales/Revenue | 42.42B | 42.75B | 42.84B | 42.8B | 37.84B | 36.24B | 32.65B | 39.43B | 40.83B | 38.95B | 36.45B | 32.13B | 36.64B | 34.84B | 30.84B | 28.75B | 24.1B | 17.37B | 23.7B | 26.07B | 24.18B | 22.81B | 20.65B | 15.35B | 12.97B | 11.03B | 10.51B | 9.36B | 3.4B | 5.58B | 4.26B |
| Revenue Growth % | 1.94% | -0.21% | 0.09% | 13.1% | 4.41% | 11.01% | -17.2% | -3.42% | 4.83% | 6.86% | 13.42% | -12.3% | 5.18% | 12.96% | 7.27% | 19.28% | 38.78% | -26.73% | -9.07% | 7.8% | 6% | 10.45% | 34.59% | 18.3% | 17.64% | 4.88% | 12.33% | 175.59% | -39.14% | 30.95% | 28.76% |
| Cost of Goods Sold | 37.43B | 38.34B | 37.04B | 37.19B | 33.19B | 31.1B | 28.21B | 34.02B | 35.05B | 33.26B | 31.12B | 27.56B | 31.62B | 30.29B | 27.01B | 25.4B | 20.92B | 15.7B | 20.98B | 22.6B | 21.21B | 19.83B | 17.7B | 12.8B | 10.83B | 8.59B | 8.26B | 7.62B | 2.83B | 4.62B | 3.5B |
| COGS % of Revenue | - | 89.69% | 86.46% | 86.89% | 87.71% | 85.8% | 86.4% | 86.28% | 85.86% | 85.4% | 85.4% | 85.76% | 86.3% | 86.94% | 87.59% | 88.36% | 86.81% | 90.38% | 88.52% | 86.7% | 87.72% | 86.94% | 85.68% | 83.45% | 83.47% | 77.89% | 78.61% | 81.44% | 83.42% | 82.77% | 82.15% |
| Gross Profit | 4.99B | 4.41B | 5.8B | 5.61B | 4.65B | 5.14B | 4.44B | 5.41B | 5.77B | 5.69B | 5.32B | 4.58B | 5.02B | 4.55B | 3.83B | 3.35B | 3.18B | 1.67B | 2.72B | 3.47B | 2.97B | 2.98B | 2.96B | 2.54B | 2.14B | 2.44B | 2.25B | 1.74B | 563M | 961.7M | 760.5M |
| Gross Margin % | 11.76% | 10.31% | 13.54% | 13.11% | 12.29% | 14.2% | 13.6% | 13.72% | 14.14% | 14.6% | 14.6% | 14.24% | 13.69% | 13.06% | 12.41% | 11.64% | 13.19% | 9.62% | 11.48% | 13.3% | 12.28% | 13.06% | 14.32% | 16.55% | 16.53% | 22.11% | 21.39% | 18.56% | 16.58% | 17.23% | 17.85% |
| Gross Profit Growth % | - | -24.01% | 3.33% | 20.64% | -9.58% | 15.88% | -17.91% | -6.29% | 1.48% | 6.88% | 16.33% | -8.83% | 10.33% | 18.84% | 14.34% | 5.32% | 90.3% | -38.65% | -21.51% | 16.81% | -0.37% | 0.78% | 16.42% | 18.47% | -12.06% | 8.4% | 29.48% | 208.53% | -41.46% | 26.46% | 20.33% |
| Operating Expenses | 2.25B | 2.26B | 3.68B | 3.57B | 3.08B | 3.2B | 3.43B | 3.04B | 2.94B | 2.84B | 2.66B | 2.25B | 2.6B | 2.68B | 2.32B | 2.1B | 1.97B | 1.99B | 2.39B | 2.32B | 2.18B | 2.04B | 1.78B | 1.5B | 1.2B | 1.08B | 1.03B | 961M | 355M | 517.9M | 413.4M |
| OpEx % of Revenue | - | 5.29% | 8.6% | 8.35% | 8.14% | 8.82% | 10.52% | 7.71% | 7.21% | 7.29% | 7.29% | 7% | 7.09% | 7.69% | 7.52% | 7.31% | 8.17% | 11.46% | 10.1% | 8.88% | 9% | 8.93% | 8.64% | 9.78% | 9.27% | 9.83% | 9.77% | 10.27% | 10.45% | 9.28% | 9.7% |
| Selling, General & Admin | 2.25B | 2.26B | 2.06B | 2.05B | 1.66B | 1.72B | 1.59B | 1.7B | 1.66B | 1.67B | 1.6B | 1.45B | 1.71B | 1.62B | 1.52B | 1.42B | 1.34B | 1.26B | 1.32B | 1.46B | 1.36B | 1.2B | 1.19B | 1.01B | 780M | 685M | 655M | 607M | 229M | 349.5M | 274.9M |
| SG&A % of Revenue | - | 5.29% | 4.81% | 4.79% | 4.39% | 4.74% | 4.86% | 4.3% | 4.08% | 4.28% | 4.39% | 4.51% | 4.66% | 4.64% | 4.93% | 4.92% | 5.56% | 7.26% | 5.56% | 5.6% | 5.62% | 5.25% | 5.74% | 6.56% | 6.01% | 6.21% | 6.23% | 6.49% | 6.74% | 6.26% | 6.45% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 558.01M | 540.77M | 460M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | 1.37% | 1.39% | 1.26% | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 0 | 0 | 1.62B | 1.52B | 1.42B | 1.48B | 1.85B | 1.34B | 1.28B | -39M | -30M | 166M | -64M | -144M | 108M | 686M | 628M | 730M | 1.07B | 855M | 817M | 840M | 598M | 493M | 422M | 399M | 372M | 354M | 126M | 168.4M | 138.5M |
| Operating Income | 2.74B | 2.15B | 2.12B | 2.04B | 1.57B | 1.95B | 1.01B | 2.37B | 3.13B | 3.17B | 2.88B | 2.54B | 2.65B | 2.08B | 1.68B | 1.08B | 1.23B | -301M | 611M | 1.21B | 846M | 1.07B | 1.22B | 1.06B | 1.01B | 1.4B | 1.27B | 820M | 201M | 271.3M | 332.9M |
| Operating Margin % | 6.47% | 5.02% | 4.94% | 4.76% | 4.16% | 5.38% | 3.08% | 6% | 7.66% | 8.15% | 7.9% | 7.91% | 7.23% | 5.98% | 5.44% | 3.76% | 5.11% | -1.73% | 2.58% | 4.63% | 3.5% | 4.7% | 5.92% | 6.93% | 7.79% | 12.72% | 12.06% | 8.76% | 5.92% | 4.86% | 7.81% |
| Operating Income Growth % | - | 1.46% | 3.83% | 29.56% | -19.25% | 93.64% | -57.5% | -24.3% | -1.45% | 10.17% | 13.25% | -4.04% | 27.22% | 24.28% | 55.19% | -12.34% | 509.3% | -149.26% | -49.42% | 42.79% | -21.16% | -12.19% | 14.96% | 5.14% | -27.94% | 10.65% | 54.63% | 307.96% | -25.91% | -18.5% | 25.86% |
| EBITDA | 4.13B | 3.83B | 4.04B | 3.79B | 2.99B | 3.46B | 2.37B | 3.71B | 4.5B | 4.53B | 4.06B | 3.35B | 3.54B | 3.15B | 2.48B | 1.77B | 1.89B | 436M | 1.48B | 2.08B | 1.64B | 1.78B | 1.82B | 1.57B | 1.46B | 1.83B | 1.66B | 1.18B | 327M | 439.7M | 471.4M |
| EBITDA Margin % | 9.74% | 8.97% | 9.44% | 8.85% | 7.91% | 9.55% | 7.27% | 9.41% | 11.03% | 11.63% | 11.13% | 10.41% | 9.66% | 9.03% | 8.03% | 6.14% | 7.85% | 2.51% | 6.26% | 7.98% | 6.77% | 7.82% | 8.81% | 10.22% | 11.22% | 16.58% | 15.79% | 12.63% | 9.63% | 7.88% | 11.06% |
| EBITDA Growth % | 5% | -5.19% | 6.81% | 26.54% | -13.53% | 45.87% | -36.1% | -17.57% | -0.62% | 11.7% | 21.28% | -5.51% | 12.52% | 27.01% | 40.26% | -6.71% | 334.17% | -70.62% | -28.65% | 27.14% | -8.3% | -1.98% | 16.07% | 7.69% | -20.35% | 10.12% | 40.44% | 261.47% | -25.63% | -6.72% | 26.28% |
| D&A (Non-Cash Add-back) | 1.38B | 1.69B | 1.93B | 1.75B | 1.42B | 1.51B | 1.37B | 1.34B | 1.38B | 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 |
| EBIT | 1.42B | 1.54B | 1.85B | 1.85B | 1B | 2.07B | 1.11B | 2.33B | 2.64B | 3.08B | 2.88B | 2.71B | 2.65B | 1.94B | 1.78B | 1.24B | 1.21B | -484M | 379M | 1.15B | 792M | 942M | 1.16B | 1.05B | 983M | 928M | 1.01B | 710M | 208M | 566M | 343M |
| Net Interest Income | -180.19M | -212.66M | -211M | -156M | -81M | -78M | -86M | -82M | -93M | -70M | -88M | -44M | -30M | -16M | -16M | 6M | 11M | -7M | 62M | 0 | 0 | 0 | 5M | 13M | 13M | -2M | -13M | -16M | 0 | 10M | 3M |
| Interest Income | 0 | 0 | 98M | 86M | 45M | 44M | 19M | 22M | 20M | 20M | 12M | 14M | 17M | 18M | 18M | 25M | 22M | 20M | 113M | 0 | 0 | 0 | 35M | 34M | 46M | 33M | 32M | 27M | 0 | 23M | 18M |
| Interest Expense | 180.19M | 212.66M | 309M | 242M | 126M | 122M | 105M | 104M | 113M | 90M | 100M | 58M | 47M | 34M | 34M | 19M | 12M | 27M | 283M | 56M | 54M | 142M | 30M | 168M | 33M | 35M | 45M | 43M | 0 | 13M | 15M |
| Other Income/Expense | -1.49B | -816.04M | -574M | -432M | -695M | 0 | 0 | -144M | -176M | -188M | -481M | -476M | -718M | -178M | 74M | -29M | -35M | -190M | -221M | 0 | 0 | -11M | 0 | -31M | -51M | 67M | -299M | -182M | 9M | 155M | 16M |
| Pretax Income | 1.26B | 1.33B | 1.54B | 1.61B | 878M | 1.95B | 1.01B | 2.22B | 2.95B | 3B | 2.78B | 2.65B | 2.54B | 1.91B | 1.75B | 1.22B | 1.2B | -511M | 328M | 1.15B | 792M | 931M | 1.16B | 962M | 928M | 918M | 972M | 682M | 210M | 606.5M | 338.4M |
| Pretax Margin % | 2.97% | 3.11% | 3.6% | 3.75% | 2.32% | 5.38% | 3.08% | 5.64% | 7.23% | 7.7% | 7.63% | 8.25% | 6.93% | 5.47% | 5.67% | 4.23% | 4.97% | -2.94% | 1.38% | 4.42% | 3.28% | 4.08% | 5.6% | 6.27% | 7.15% | 8.33% | 9.25% | 7.29% | 6.18% | 10.87% | 7.94% |
| Income Tax | 456.44M | 432.44M | 446M | 320M | 237M | 395M | 329M | 591M | 619M | 744M | 706M | 711M | 659M | 360M | 324M | 202M | 236M | -18M | 257M | 489M | 264M | 292M | 398M | 373M | 317M | 290M | 348M | 233M | 73M | 168.7M | 113.5M |
| Effective Tax Rate % | 36.27% | 32.49% | 28.92% | 19.93% | 26.99% | 20.28% | 32.7% | 26.59% | 20.98% | 24.81% | 25.4% | 26.82% | 25.96% | 18.9% | 18.51% | 16.6% | 19.72% | 3.52% | 78.35% | 42.45% | 33.33% | 31.36% | 34.43% | 38.77% | 34.16% | 31.59% | 35.8% | 34.16% | 34.76% | 27.82% | 33.54% |
| Net Income | 749.24M | 843.51M | 1.01B | 1.21B | 592M | 1.51B | 757M | 1.76B | 2.3B | 2.21B | 2.03B | 2.01B | 1.88B | 1.56B | 1.43B | 1.02B | 973M | -493M | 71M | 663M | 528M | 639M | 692M | 522M | 554M | 580M | 598M | 430M | 137M | 437.8M | 224.9M |
| Net Margin % | 1.77% | 1.97% | 2.36% | 2.83% | 1.56% | 4.18% | 2.32% | 4.48% | 5.62% | 5.66% | 5.57% | 6.26% | 5.14% | 4.48% | 4.65% | 3.54% | 4.04% | -2.84% | 0.3% | 2.54% | 2.18% | 2.8% | 3.35% | 3.4% | 4.27% | 5.26% | 5.69% | 4.59% | 4.03% | 7.85% | 5.28% |
| Net Income Growth % | -38.18% | -16.4% | -16.82% | 104.9% | -60.9% | 100% | -57.11% | -23.13% | 4.08% | 8.62% | 0.89% | 6.96% | 20.56% | 8.93% | 40.77% | 4.62% | 297.36% | -794.37% | -89.29% | 25.57% | -17.37% | -7.66% | 32.57% | -5.78% | -4.48% | -3.01% | 39.07% | 213.87% | -68.71% | 94.66% | -3.27% |
| Net Income (Continuing) | 801.9M | 898.46M | 1.1B | 1.29B | 641M | 1.55B | 677M | 1.63B | 2.33B | 2.24B | 2.07B | 1.94B | 1.92B | 1.54B | 1.43B | 1.01B | 1B | -493M | 71M | 663M | 528M | 639M | 692M | 659M | 634M | 620M | 622M | 438M | 137M | 401M | 222M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 67M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 342M | 345.37M | 418M | 393M | 400M | 389M | 350M | 300M | 458M | 502M | 451M | 151M | 14M | 16M | 29M | 27M | 74M | 0 | 0 | 0 | 0 | 0 | 634M | 613M | 410M | 441M | 356M | 124M | 117M | 82.3M | 88.4M |
| EPS (Diluted) | 2.74 | 2.99 | 3.52 | 4.23 | 2.03 | 5.00 | 2.52 | 5.59 | 6.61 | 5.90 | 5.16 | 4.88 | 4.35 | 3.38 | 3.05 | 2.10 | 2.09 | -1.10 | 0.16 | 1.47 | 1.20 | 1.48 | 1.74 | 1.30 | 1.45 | 1.55 | 1.61 | 1.16 | 0.39 | 1.27 | 0.77 |
| EPS Growth % | -36.53% | -15.06% | -16.78% | 108.37% | -59.4% | 98.41% | -54.92% | -15.43% | 12.03% | 14.34% | 5.74% | 12.18% | 28.7% | 10.82% | 45.24% | 0.48% | 290% | -787.5% | -89.12% | 22.5% | -18.92% | -14.94% | 33.85% | -10.34% | -6.45% | -3.73% | 38.79% | 197.44% | -69.29% | 64.94% | -18.09% |
| EPS (Basic) | - | 2.99 | 3.52 | 4.24 | 2.04 | 5.04 | 2.52 | 5.61 | 6.65 | 5.93 | 5.19 | 4.94 | 4.41 | 3.43 | 3.09 | 2.13 | 2.12 | -1.10 | 0.16 | 1.49 | 1.22 | 1.50 | 1.75 | 1.30 | 1.45 | 1.64 | 1.76 | 1.24 | 0.41 | 1.35 | 0.80 |
| Diluted Shares Outstanding | 273.2M | 282.5M | 286.9M | 286.6M | 291.2M | 302.8M | 300.4M | 315.8M | 347.5M | 373.9M | 393.2M | 412.7M | 433.2M | 461.6M | 470.4M | 485.6M | 466M | 447.2M | 455.6M | 456.4M | 445.6M | 436M | 389.2M | 385.2M | 368M | 365.6M | 366M | 364.4M | 353.55M | 317.2M | 278.4M |
| Basic Shares Outstanding | 271.2M | 281.7M | 286.8M | 286.2M | 290.4M | 300.6M | 299.7M | 314.7M | 345.4M | 371.8M | 391M | 407.5M | 427.2M | 455.8M | 464.8M | 478.6M | 460M | 447.2M | 451.2M | 445.6M | 434.4M | 426.8M | 386.8M | 383.6M | 354.8M | 320.4M | 314M | 314M | 338.27M | 281.6M | 248.8M |
| Dividend Payout Ratio | - | 65.62% | 53.42% | 43.03% | 86.82% | 33.95% | 61.69% | 25.44% | 19.51% | 18.13% | 18.96% | 17.59% | 16.79% | 18.19% | 17.59% | 23.18% | 10.28% | - | 170.45% | 21.49% | 30.09% | 26.95% | 20.52% | 28.16% | 21.48% | 18.79% | 16.22% | 20.23% | 13.14% | 11.88% | 20.01% |
Quick answers to the most common questions about buying MGA stock.
For fiscal year 2025, Magna International Inc. (MGA) reported total revenue of $42.75B. This represents a 903.0% increase compared to $4.26B in 1996.
Magna International Inc. (MGA) is profitable, generating $843.5M in net income for the fiscal year ending 2025 with a net profit margin of 2.0%.
Magna International Inc. (MGA) reported an operating income of $2.15B, resulting in an operating profit margin of 5.0%. This margin reflects the operational efficiency of the business before interest and taxes.
Magna International Inc. (MGA) generated $4.41B in gross profit for the year, representing a gross profit margin of 10.3%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Customer concentration and pricing pressure
Flat Revenue Amidst Cyclical Pressures
Magna's revenue has remained essentially flat over the past ten quarters, with the latest quarter showing only 0.7% year-over-year growth, reflecting stagnant global light vehicle production and limited pricing power.
Revenue has hovered around $10-11 billion per quarter, with the most recent quarter at $10.7 billion, essentially unchanged from the prior year. This stagnation aligns with the flat global LVP environment and suggests that Magna is not gaining meaningful market share or content per vehicle. The lack of growth, despite the company's strategic pivot toward ADAS and EV components, indicates that these initiatives have yet to translate into top-line expansion.
Gross Margin Compression Signals Pricing Weakness
Gross margin has deteriorated from 14.6% in Q4 2024 to 10.9% in Q2 2026, a decline of 370 basis points, indicating that input cost inflation and customer price reductions are outpacing efficiency gains.
The gross margin trend is concerning, with the most recent quarter at 10.9%, well below the 14%+ levels seen in mid-2025. This compression suggests that Magna is unable to fully pass through raw material and labor cost increases to its OEM customers, who continue to demand annual productivity price reductions. The thin gross margin, relative to peers like BorgWarner (18.7%) and Autoliv (19.2%), highlights Magna's structural disadvantage in pricing power, likely due to its heavy exposure to lower-value body and seating components.
Operating Leverage Amplifies Volume Swings
Operating income swung from $958 million in Q3 2025 to $599 million in Q2 2026, a 37% drop, demonstrating that fixed costs magnify the impact of even modest revenue changes on profitability.
The operating margin has been volatile, ranging from 3.1% to 9.2% over the past ten quarters, with the latest quarter at 5.6%. This volatility reflects the high fixed-cost structure of Magna's manufacturing operations, where small changes in production volumes can disproportionately affect operating income. The recent Q4 2025 earnings beat, with EPS of $2.18 versus consensus of $1.80, suggests that management can occasionally deliver strong operational execution, but the sustainability of such outperformance is questionable given the flat revenue and thin margins.
Net Income Volatility Masks Underlying Operations
Net income has swung from a loss of $11.8 million in Q1 2026 to a profit of $457 million in Q2 2026, with the latest quarter's net margin of 4.3% exceeding the operating margin, suggesting non-operating gains.
The net income figures are highly erratic, with two quarters showing near-zero or negative net income (Q4 2025 and Q1 2026) despite positive operating income. This suggests that non-operating items, such as equity income from joint ventures, impairments, or tax adjustments, are significantly impacting reported earnings. The Q2 2026 net income of $457 million on operating income of $599 million implies a tax benefit or other non-operating income, which warrants scrutiny. Investors should monitor the quality of earnings, as the underlying operating performance appears weaker than the headline EPS suggests.
COGS Dominates Cost Structure, SG&A Stable
Cost of goods sold consistently consumes over 88% of revenue, with the latest quarter at $9.5 billion, while SG&A remains relatively stable at around 5% of revenue, indicating that raw material and labor costs are the primary margin drivers.
The cost structure is heavily weighted toward COGS, which is typical for a Tier 1 auto supplier but leaves Magna vulnerable to commodity price swings. SG&A expenses have remained in the $500-600 million range, showing disciplined overhead control, but this is insufficient to offset gross margin compression. The lack of R&D expense in the data is notable, but it may be embedded in COGS or not separately disclosed, which could mask the true investment in future technologies like ADAS and EV components.
Thin Margins and Customer Concentration Pose Risks
With a gross margin of 10.9% and net margin of 4.3%, Magna's profitability is among the weakest in its peer group, and its reliance on a few major OEMs for revenue creates significant pricing and volume risks.
Short-sellers would likely focus on Magna's inability to expand margins despite its strategic investments in high-tech segments. The company's gross margin is lower than most peers, and its operating margin of 5.6% is below the peer average, suggesting limited pricing power. Additionally, the customer concentration risk is high, as a small number of top OEMs account for a large portion of revenue, giving them leverage to demand price reductions. The recent Q4 2025 earnings beat may be a temporary reprieve, but the underlying trend of margin compression and stagnant growth suggests that the company's competitive position is weakening.