Dana raises 2026 sales outlook and holds profit guidance as third-quarter earnings miss

Third-quarter revenue of $2.04 billion beat the $1.99 billion expected, while earnings per share of $0.41 fell $0.32 short of expectations.

Dana reported third-quarter earnings per share of $0.41, $0.32 below expectations. Revenue came in at $2.04 billion, against $1.99 billion expected.

The company raised its full-year 2026 sales outlook to a range of $7.75 billion to $7.85 billion, citing higher demand and recoveries. Chief Executive Officer Byron Foster said productivity gains, commercial initiatives and structural cost reductions are driving margin improvement as the company takes advantage of stronger commercial vehicle demand.

Dana held its other full-year targets. Adjusted EBITDA guidance stays at $800 million to $850 million. Diluted adjusted earnings per share guidance stays at $1.75 to $2.25. Adjusted free cash flow guidance stays at $275 million to $375 million.

Dana plans to buy back a further $100 million of its shares in the fourth quarter of 2026. The company has already repurchased $369 million of shares this year.

Revenue beat expectations and the sales outlook moved higher. The earnings miss and the unchanged profit targets suggest the higher sales range has not yet reached the profit lines. Management's margin case, built on productivity and structural cost reductions, now has to show up in those targets. The buyback returns cash while profit guidance stays where it was.