# EDGAR Filing Document

**Accession Number:** 0000749098
**File Stem:** 0001104659-25-072844
**Filing Date:** 2025-8
**Character Count:** 180206
**Document Hash:** a5ecbbfbd80d99e89b083649b8e9be47
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001104659-25-072844.hdr.sgml**: 20250801

**ACCESSION NUMBER**: 0001104659-25-072844

**CONFORMED SUBMISSION TYPE**: 6-K

**PUBLIC DOCUMENT COUNT**: 33

**CONFORMED PERIOD OF REPORT**: 20250801

**FILED AS OF DATE**: 20250801

**DATE AS OF CHANGE**: 20250801

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** MAGNA INTERNATIONAL INC
- **CENTRAL INDEX KEY:** 0000749098
- **STANDARD INDUSTRIAL CLASSIFICATION:** MOTOR VEHICLE PARTS & ACCESSORIES [3714]
- **ORGANIZATION NAME:** 04 Manufacturing
- **EIN:** 000000000
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 6-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-11444
- **FILM NUMBER:** 251173512

**BUSINESS ADDRESS:**
- **STREET 1:** 337 MAGNA DRIVE
- **STREET 2:** N/A
- **CITY:** AURORA, ONTARIO, CAN
- **STATE:** A6
- **ZIP:** L4G 7K1
- **BUSINESS PHONE:** 9057262462

**MAIL ADDRESS:**
- **STREET 1:** 337 MAGNA DRIVE
- **STREET 2:** N/A
- **CITY:** AURORA, ONTARIO, CAN
- **STATE:** A6
- **ZIP:** L4G 7K1

UNITED STATES

**SECURITIES AND EXCHANGE COMMISSION**

**Washington** **, D.C. 20549**

**FORM 6-K**

**Report of Foreign Private Issuer Pursuant to Rule 13a-16 or 15d-16<br> under the Securities Exchange Act of 1934**

**For the month of August 2025**

**Commission File Number 001-11444**

---

| |
|:---|
| **MAGNA INTERNATIONAL INC.** |
| (Exact Name of Registrant as specified in its Charter) |
| **337 Magna Drive** **, Aurora, Ontario, Canada L4G 7K1** |
| (Address of principal executive office) |

---

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.

Form 20-F ◻ Form 40-F ⌧

**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

---

| | | |
|:---|:---|:---|
|  | **MAGNA INTERNATIONAL INC.** | **MAGNA INTERNATIONAL INC.** |
|  | (Registrant) | (Registrant) |
| Date: <u>August 1, 2025</u> |  |  |
|  | By: | */s/ "Bassem Shakeel"* |
|  |  | Bassem A. Shakeel, |
|  |  | Vice-President, Associate General Counsel and Corporate Secretary |

---

**EXHIBITS**

---

| | |
|:---|:---|
| **[Exhibit 99.1](tm2519795d1_ex99-1.htm)** | [Press release issued August 1, 2025, in which the Registrant announced its interim unaudited financial results for the three-month and six-month periods ended June 30, 2025, and declared a quarterly dividend.](tm2519795d1_ex99-1.htm) |
| **[Exhibit 99.2](tm2519795d1_ex99-2.htm)** | [The Second Quarter Report of the Registrant, including its unaudited interim consolidated financial statements and Management's Discussion and Analysis of Results of Operations and Financial Position for the three-month and six-month periods ended June 30, 2025.](tm2519795d1_ex99-2.htm) |
| **[Exhibit 99.3](tm2519795d1_ex99-3.htm)** | [Certificate of the Chief Executive Officer of the Registrant, Seetarama (Swamy) Kotagiri, dated August 1, 2025, on Form 52-109F2 pursuant to the Canadian Securities Administrators' Multilateral Instrument 52-109 Certification of Disclosure in Issuers' Annual and Interim Filings.](tm2519795d1_ex99-3.htm) |
| **[Exhibit 99.4](tm2519795d1_ex99-4.htm)** | [Certificate of the Chief Financial Officer of the Registrant, Patrick W.D. McCann, dated August 1, 2025, on Form 52-109F2 pursuant to the Canadian Securities Administrators' Multilateral Instrument 52-109 Certification of Disclosure in Issuers' Annual and Interim Filings.](tm2519795d1_ex99-4.htm) |

---

## Exhibit 99.1

**Exhibit 99.1**

---

| | |
|:---|:---|
| ![](tm2519795d1_ex99-1img001.jpg) | PRESS RELEASE |

---

**MAGNA ANNOUNCES SECOND QUARTER 2025 RESULTS**

· Strong second quarter performance reflected disciplined
execution and operational excellence

· Comparing the second quarter of 2025 to the second
quarter of 2024:

---

| | |
|:---|:---|
| ̵ | Sales decreased 3% to $10.6 billion, as light vehicle production declined 6% and 2% in North America and Europe, respectively |

---

---

| | |
|:---|:---|
| ̵ | Income from operations before income taxes increased 16% to $496 million |

---

---

| | |
|:---|:---|
| ̵ | Adjusted EBIT increased 1% to $583 million and Adjusted EBIT margin improved 20 basis points to 5.5% |

---

---

| | |
|:---|:---|
| ̵ | Diluted earnings per share of $1.35 and Adjusted diluted earnings per share of $1.44 increased 24% and 7%, respectively |

---

· Returned $324 million to shareholders in dividends
and share repurchases in the first half of 2025, including $137 million in dividends during the second quarter

· Updated 2025 outlook, including increases to
Total Sales, Adjusted EBIT Margin, and Adjusted Net Income attributable to Magna

AURORA, Ontario, August 1, 2025 — Magna International Inc. (TSX: MG; NYSE: MGA) today reported financial results for the second quarter ended June 30, 2025.

---

| | |
|:---|:---|
| &nbsp;&nbsp;![](tm2519795d1_ex99-1img002.jpg) | &nbsp;&nbsp; *"Our strong operating results for the second quarter of 2025 exceeded our expectations and reflect continued execution on our performance initiatives, including operational excellence, restructuring, commercial recoveries, and reduced capital and engineering spending.*<br>*Looking ahead, our updated 2025 Outlook indicates that we are on track for further solid execution in the second half of 2025, despite ongoing industry headwinds including soft volumes in North America and Europe and continued trade policy uncertainty."*<br>*- Swamy Kotagiri, Magna's Chief Executive Officer* |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **THREE MONTHS ENDED <br> JUNE 30,** | **THREE MONTHS ENDED <br> JUNE 30,** | **SIX MONTHS ENDED<br> JUNE 30,** | **SIX MONTHS ENDED<br> JUNE 30,** |
|  | **2025** | 2024 | **2025** | 2024 |
| **<u>Reported</u>** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Sales | $**10631** | $10958 | $**20700** | $21928 |
| &nbsp;&nbsp;&nbsp;Income from operations before income taxes | $**496** | $427 | $**721** | $461 |
| &nbsp;&nbsp;&nbsp;Net Income attributable to Magna International Inc. | $**379** | $313 | $**525** | $322 |
| &nbsp;&nbsp;&nbsp;Diluted earnings per share | $**1.35** | $1.09 | $**1.86** | $1.12 |
| **<u>**<u>Non-GAAP Financial Measures</u>**<sup>(1)</sup></u>** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Adjusted EBIT | $**583** | $577 | $**937** | $1046 |
| &nbsp;&nbsp;&nbsp;Adjusted diluted earnings per share | $**1.44** | $1.35 | $**2.22** | $2.44 |

---

**All results are reported in millions of U.S. dollars, except per share figures, which are in U.S. dollars**

<sup>(1)</sup> Adjusted EBIT and Adjusted diluted earnings per share are Non-GAAP financial measures that have no standardized meaning under U.S. GAAP, and as a result may not be comparable to the calculation of similar measures by other companies. Further information and a reconciliation of these Non-GAAP financial measures is included in the back of this press release.

---

| | |
|:---|:---|
| **MAGNA ANNOUNCES Second QUARTER 2025 RESULTS** | CONNECT WITH MAGNA![](tm2519795d1_ex99-1img003.jpg)<sub>1</sub> |

---

**<u>THREE MONTHS ENDED JUNE 30, 2025</u>**

We posted sales of $10.6 billion for the second quarter of 2025, a decrease of 3% from the second quarter of 2024. The lower sales largely reflects:

· 6% and 2% lower light vehicle production in North
America and Europe, respectively;

· lower complete vehicle assembly volumes, substantially
due to the end of production of the Jaguar I-Pace and E-Pace; and

· the end of production of certain programs.

These factors were partially offset by:

· the launch of new programs; and

· the net strengthening of foreign currencies against
the U.S. dollar.

Adjusted EBIT increased to $583 million in the second quarter of 2025 compared to $577 million in the second quarter of 2024. This mainly reflects:

· continued productivity and efficiency improvements,
including the benefit of our operational excellence initiatives and restructuring activities in prior periods; and

· higher equity income.

These were partially offset by:

· higher tariff costs;

· commercial items in the second quarters of 2025
and 2024, which have a net unfavourable impact on a year-over-year basis; and

· reduced earnings on lower sales.

During the second quarter of 2025, Other expense, net<sup>(2)</sup> and Amortization of acquired intangibles totaled $35 million (2024 - $96 million) and on an after-tax basis $28 million (2024 - $76 million).

Income from operations before income taxes increased to $496 million for the second quarter of 2025 compared to $427 million in the second quarter of 2024. Excluding Other expense, net and Amortization of acquired intangibles from both periods, income from operations before income taxes increased $8 million in the second quarter of 2025 compared to the second quarter of 2024, largely reflecting the increase in Adjusted EBIT.

Net income attributable to Magna International Inc. was $379 million for the second quarter of 2025 compared to $313 million in the second quarter of 2024. Excluding Other expense, net, after tax and Amortization of acquired intangibles from both periods, net income attributable to Magna International Inc. increased $18 million in the second quarter of 2025 compared to the second quarter of 2024.

Diluted earnings per share were $1.35 in the second quarter of 2025, compared to $1.09 in the comparable period. Adjusted diluted earnings per share were $1.44, compared to $1.35 for the second quarter of 2024.

In the second quarter of 2025, we generated cash from operations before changes in operating assets and liabilities of $762 million and used $135 million in operating assets and liabilities. Investment activities for the second quarter of 2025 included $246 million in fixed asset additions, $94 million in investments, other assets and intangible assets, and $3 million in private equity investments.

<sup>(2)</sup> Other expense, net is comprised of restructuring activities, revaluations of certain public and private equity investments, and gain on sales of public equity investments, during the three months ended June 30, 2024 & 2025. A reconciliation of these Non-GAAP financial measures is included in the back of this press release.

---

| | |
|:---|:---|
| **MAGNA ANNOUNCES Second QUARTER 2025 RESULTS** | CONNECT WITH MAGNA![](tm2519795d1_ex99-1img003.jpg)<sub>2</sub> |

---

**<u>SIX MONTHS ENDED JUNE 30, 2025</u>**

We posted sales of $20.7 billion for the six months ended June 30, 2025, compared to $21.9 billion for the six months ended June 30, 2024. The lower sales largely reflects:

· 7% and 4% lower light vehicle production in North
America and Europe, respectively;

· lower complete vehicle assembly volumes, substantially
due to the end of production of the Jaguar I-Pace and E-Pace; and

· the end of production of certain programs.

These were partially offset by the launch of new programs.

Adjusted EBIT decreased to $937 million for the six months ended June 30, 2025 compared to $1,046 million for six months ended June 30, 2024 primarily due to:

· reduced earnings on lower sales; and

· higher tariff costs.

These were partially offset by:

· continued productivity and efficiency improvements,
including the benefit of our operational excellence initiatives and restructuring activities in prior periods; and

· commercial items in the first six months of 2025
and 2024, which had a net favourable impact on a year-over-year basis.

During the six months ended June 30, 2025, income from operations before income taxes was $721 million, net income attributable to Magna International Inc. was $525 million and diluted earnings per share were $1.86, increases of $260 million, $203 million, and $0.74, respectively, each compared to the six months ended June 30, 2024.

During the six months ended June 30, 2025, diluted earnings per share were $1.86, compared to $1.12 in the six months ended June 30, 2024. Adjusted diluted earnings per share were $2.22, compared to $2.44 for the six months ended June 30, 2024.

During the six months ended June 30, 2025, we generated cash from operations before changes in operating assets and liabilities of $1.31 billion and used $605 million in operating assets and liabilities. Investment activities included $514 million in fixed asset additions, a $242 million increase in investments, other assets and intangible assets, and $4 million in public and private equity investments.

**<u>RETURN OF CAPITAL TO SHAREHOLDERS</u>**

During the three months ended June 30, 2025, we paid $137 million in dividends to shareholders.

Our Board of Directors declared a second quarter dividend of $0.485 per Common Share, payable on August 29, 2025 to shareholders of record as of the close of business on August 15, 2025.

---

| | |
|:---|:---|
| **MAGNA ANNOUNCES Second QUARTER 2025 RESULTS** | CONNECT WITH MAGNA![](tm2519795d1_ex99-1img003.jpg)<sub>3</sub> |

---

**<u>SEGMENT SUMMARY</u>**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **three months ended JUNE 30,** | **three months ended JUNE 30,** | **three months ended JUNE 30,** | **three months ended JUNE 30,** | **three months ended JUNE 30,** | **three months ended JUNE 30,** |
|  | **Sales** | **Sales** | **Sales** | **Adjusted EBIT** | **Adjusted EBIT** | **Adjusted EBIT** |
| *($Millions)* | **2025** | 2024 | Change | **2025** | 2024 | Change |
| Body Exteriors & Structures | $**4253** | $4465 | $(212) | $**347** | $341 | $6 |
| Power & Vision | **3857** | 3926 | (69) | **162** | 198 | (36) |
| Seating Systems | **1433** | 1455 | (22) | **42** | 53 | (11) |
| Complete Vehicles | **1226** | 1242 | (16) | **28** | 20 | 8 |
| Corporate and Other | **(138)** | (130) | (8) | **4** | (35) | 39 |
| Total Reportable Segments | $**10631** | $10958 | $(327) | $**583** | $577 | $6 |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **three months ended JUNE 30,** | **three months ended JUNE 30,** | **three months ended JUNE 30,** |
|  | **Adjusted EBIT as a <br> percentage of sales** | **Adjusted EBIT as a <br> percentage of sales** | **Adjusted EBIT as a <br> percentage of sales** |
|  | **2025** | 2024 | Change |
| Body Exteriors & Structures | **8.2%** | 7.6% | 0.6% |
| Power & Vision | **4.2%** | 5.0% | (0.8)% |
| Seating Systems | **2.9%** | 3.6% | (0.7)% |
| Complete Vehicles | **2.3%** | 1.6% | 0.7% |
| Consolidated Average | **5.5%** | 5.3% | 0.2% |

---

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **six months ended JUNE 30,** | **six months ended JUNE 30,** | **six months ended JUNE 30,** | **six months ended JUNE 30,** | **six months ended JUNE 30,** | **six months ended JUNE 30,** |
|  | **Sales** | **Sales** | **Sales** | **Adjusted EBIT** | **Adjusted EBIT** | **Adjusted EBIT** |
| *($Millions)* | **2025** | 2024 | Change | **2025** | 2024 | Change |
| Body Exteriors & Structures | $**8219** | $8894 | $(675) | $**577** | $639 | $(62) |
| Power & Vision | **7503** | 7768 | (265) | **286** | 296 | (10) |
| Seating Systems | **2745** | 2910 | (165) | **12** | 105 | (93) |
| Complete Vehicles | **2502** | 2625 | (123) | **72** | 47 | 25 |
| Corporate and Other | **(269)** | (269) |  | **(10)** | (41) | 31 |
| Total Reportable Segments | $**20700** | $21928 | $(1288) | $**937** | $1046 | $(109) |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **six months ended JUNE 30,** | **six months ended JUNE 30,** | **six months ended JUNE 30,** |
|  | **Adjusted EBIT as a <br> percentage of sales** | **Adjusted EBIT as a <br> percentage of sales** | **Adjusted EBIT as a <br> percentage of sales** |
|  | **2025** | 2024 | Change |
| Body Exteriors & Structures | **7.0%** | 7.2% | (0.2)% |
| Power & Vision | **3.8%** | 3.8% |  |
| Seating Systems | **0.4%** | 3.6% | (3.2)% |
| Complete Vehicles | **2.9%** | 1.8% | 1.1% |
| Consolidated Average | **4.5%** | 4.8% | (0.1)% |

---

For further details on our segment results, please see our Management's Discussion and Analysis of Results of Operations and Financial Position and our Interim Financial Statements.

---

| | |
|:---|:---|
| **MAGNA ANNOUNCES Second QUARTER 2025 RESULTS** | CONNECT WITH MAGNA![](tm2519795d1_ex99-1img003.jpg)<sub>4</sub> |

---

**<u>2025 OUTLOOK</u>**

We disclose a full-year Outlook annually in February with quarterly updates. The following Outlook is an update to our previous Outlook in May 2025.

**Updated 2025 Outlook Assumptions**

---

| | | |
|:---|:---|:---|
|  | **Current** | Previous |
| Light Vehicle Production (millions of units) |  |  |
| &nbsp;&nbsp;&nbsp;North America | **14.7** | 15.0 |
| &nbsp;&nbsp;&nbsp;Europe | **16.6** | 16.6 |
| &nbsp;&nbsp;&nbsp;China | **30.8** | 30.2 |
| Average Foreign exchange rates: |  |  |
| 1 Canadian dollar equals | **U.S. $0.715** | U.S. $0.714 |
| 1 euro equals | **U.S. $1.127** | U.S. $1.111 |

---

Light vehicle production assumptions reflect near-term original equipment manufacturer ["OEM"] production release information, including announced production downtime at certain OEM assembly facilities, but do <u>not</u> include the potential impact of tariffs and other trade measures on vehicle costs, vehicle affordability or consumer demand, nor the impact of these on vehicle production.

**Updated 2025 Outlook**

---

| | | |
|:---|:---|:---|
|  | **Current** | Previous |
| Segment Sales |  |  |
| &nbsp;&nbsp;&nbsp;Body Exteriors & Structures | **$16.0 - $16.6 billion** | $15.9 - $16.5 billion |
| &nbsp;&nbsp;&nbsp;Power & Vision | **$14.9 - $15.3 billion** | $14.8 - $15.2 billion |
| &nbsp;&nbsp;&nbsp;Seating Systems | **$5.4 - $5.7 billion** | $5.3 - $5.6 billion |
| &nbsp;&nbsp;&nbsp;Complete Vehicles | **$4.6 - $4.9 billion** | $4.5 - $4.8 billion |
| Total Sales | **$40.4 - $42.0 billion** | $40.0 - $41.6 billion |
| Adjusted EBIT Margin<sup>(3)</sup> | **5.2% - 5.6%** | 5.1% - 5.6% |
| Equity Income (included in EBIT) | **$75 - $105 million** | $65 - $95 million |
| Interest Expense, net | **Approximately $210 million** | Approximately $210 million |
| Income Tax Rate<sup>(4)</sup> | **Approximately 25%** | Approximately 26% |
| Adjusted Net Income attributable to Magna<sup>(5)</sup> | **$1.35 - $1.55 billion** | $1.3 - $1.5 billion |
| Capital Spending | **$1.6 - $1.7 billion** | $1.7 - $1.8 billion |

---

Notes

<sup>(3)</sup> Adjusted EBIT Margin is the ratio of Adjusted EBIT to Total Sales. Refer to the reconciliation of Non-GAAP financial measures in the back of this press release for further information

<sup>(4)</sup> The Income Tax Rate has been calculated using Adjusted EBIT and is based on current tax legislation

<sup>(5)</sup> Adjusted Net Income attributable to Magna represents Net Income excluding Other expense, net and Amortization of acquired intangible assets, net of tax

Our Outlook is intended to provide information about management's current expectations and plans and may not be appropriate for other purposes. Although considered reasonable by Magna as of the date of this document, the 2025 Outlook above and the underlying assumptions may prove to be inaccurate. Accordingly, our actual results could differ materially from our expectations as set forth herein. The risks identified in the "Forward-Looking Statements" section below represent the primary factors which we believe could cause actual results to differ materially from our expectations.

---

| | |
|:---|:---|
| **MAGNA ANNOUNCES Second QUARTER 2025 RESULTS** | CONNECT WITH MAGNA![](tm2519795d1_ex99-1img003.jpg)<sub>5</sub> |

---

**<u>KEY DRIVERS OF OUR BUSINESS</u>**

Our business and operating results are dependent on light vehicle production by our customers in three key regions – North America, Europe, and China. While we supply systems and components to many OEMs globally, we do not supply systems and components for every vehicle, nor is the value of our content consistent from one vehicle to the next. As a result, customer and program mix relative to market trends, as well as the value of our content on specific vehicle production programs, are also important drivers of our results.

Ordinarily, OEM production volumes are aligned with vehicle sales levels and thus affected by changes in such levels. Aside from vehicle sales levels, production volumes are typically impacted by a range of factors, including: OEM, supplier or sub-supplier disruptions; free trade arrangements and tariffs; relative currency values; commodities prices; supply chains and infrastructure; labour disruptions and the availability and relative cost of skilled labour; regulatory frameworks; and other factors.

Overall vehicle sales levels are significantly affected by changes in consumer confidence levels, which may in turn be impacted by consumer perceptions and general trends related to the job, housing, and stock markets, as well as other macroeconomic and political factors. Other factors which typically impact vehicle sales levels and thus production volumes include: vehicle affordability; interest rates and/or availability of credit; fuel and energy prices; relative currency values; uncertainty as to the pace of EV adoption; and other factors.

---

| | |
|:---|:---|
| **MAGNA ANNOUNCES Second QUARTER 2025 RESULTS** | CONNECT WITH MAGNA![](tm2519795d1_ex99-1img003.jpg)<sub>6</sub> |

---

**<u>NON-GAAP FINANCIAL MEASURES RECONCILIATION</u>**

In addition to the financial results reported in accordance with U.S. GAAP, this press release contains references to the Non-GAAP financial measures reconciled below. We believe the Non-GAAP financial measures used in this press release are useful to both management and investors in their analysis of the Company's financial position and results of operations, and to improve comparability between fiscal periods. In particular, management believes that Adjusted EBIT and Adjusted diluted earnings per share are useful measures in assessing the Company's financial performance by excluding certain items that are not indicative of the Company's core operating performance. The presentation of Non-GAAP financial measures should not be considered in isolation, or as a substitute for the Company's related financial results prepared in accordance with U.S. GAAP.

The following table reconciles Net income to Adjusted EBIT:

***Adjusted EBIT***

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **THREE MONTHS ENDED <br> JUNE 30,** | **THREE MONTHS ENDED <br> JUNE 30,** | **SIX MONTHS ENDED <br> JUNE 30,** | **SIX MONTHS ENDED <br> JUNE 30,** |
|  | **2025** | 2024 | **2025** | 2024 |
| Net income | $**394** | $328 | $**547** | $354 |
| Add: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Amortization of acquired intangible assets | **29** | 28 | **55** | 56 |
| &nbsp;&nbsp;&nbsp;Interest expense, net | **52** | 54 | **102** | 105 |
| &nbsp;&nbsp;&nbsp;Other expense, net | **6** | 68 | **59** | 424 |
| &nbsp;&nbsp;&nbsp;Income taxes | **102** | 99 | **174** | 107 |
| Adjusted EBIT | $**583** | $577 | $**937** | $1046 |

---

**Adjusted EBIT as a percentage of sales ("Adjusted EBIT margin")**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **THREE MONTHS ENDED <br> JUNE 30,** | **THREE MONTHS ENDED <br> JUNE 30,** | **SIX MONTHS ENDED <br> JUNE 30,** | **SIX MONTHS ENDED <br> JUNE 30,** |
|  | **2025** | 2024 | **2025** | 2024 |
| Sales | $**10631** | $10958 | $**20700** | $21928 |
| Adjusted EBIT | $**583** | $577 | $**937** | $1046 |
| Adjusted EBIT as a percentage of sales | **5.5%** | 5.3% | **4.5%** | 4.8% |

---

**Adjusted diluted earnings per share**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **THREE MONTHS ENDED <br> JUNE 30,** | **THREE MONTHS ENDED <br> JUNE 30,** | **SIX MONTHS ENDED <br> JUNE 30,** | **SIX MONTHS ENDED <br> JUNE 30,** |
|  | **2025** | 2024 | **2025** | 2024 |
| Net income attributable to Magna International Inc. | $**379** | $313 | $**525** | $322 |
| Add (deduct): |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Amortization of acquired intangible assets | **29** | 28 | **55** | 56 |
| &nbsp;&nbsp;&nbsp;Other expense, net | **6** | 68 | **59** | 424 |
| &nbsp;&nbsp;&nbsp;Tax effect on Amortization of acquired intangible assets and Other expense, net | **(7)** | (20) | **(13)** | (102) |
| Adjusted net income attributable to Magna International Inc. | $**407** | $389 | $**626** | $700 |
| Diluted weighted average number of Common Shares outstanding during the period (millions): | **281.7** | 287.3 | **281.9** | 287.2 |
| Adjusted diluted earnings per share | $**1.44** | $1.35 | $**2.22** | $2.44 |

---

Certain of the forward-looking financial measures above are provided on a Non-GAAP basis. We do not provide a reconciliation of such forward-looking measures to the most directly comparable financial measures calculated and presented in accordance with U.S. GAAP. To do so would be potentially misleading and not practical given the difficulty of projecting items that are not reflective of ongoing operations in any future period. The magnitude of these items, however, may be significant.

---

| | |
|:---|:---|
| **MAGNA ANNOUNCES Second QUARTER 2025 RESULTS** | CONNECT WITH MAGNA![](tm2519795d1_ex99-1img003.jpg)<sub>7</sub> |

---

This press release together with our Management's Discussion and Analysis of Results of Operations and Financial Position and our Interim Financial Statements are available in the Investor Relations section of our website at **<u>www.magna.com/company/investors</u>** and filed electronically through the System for Electronic Document Analysis and Retrieval + (SEDAR+) which can be accessed at **<u>www.sedarplus.ca</u>** as well as on the United States Securities and Exchange Commission's Electronic Data Gathering, Analysis and Retrieval System (EDGAR), which can be accessed at **<u>www.sec.gov</u>**.

We will hold a conference call for interested analysts and shareholders to discuss our second quarter ended June 30, 2025 results on Friday, August 1, 2025 at 8:00 a.m. ET. The conference call will be chaired by Swamy Kotagiri, Chief Executive Officer. The number to use for this call from North America is 1-800-715-9871. International callers should use 1-646-307-1963. Please call in at least 10 minutes prior to the call start time. We will also webcast the conference call at **<u>www.magna.com</u>**. The slide presentation accompanying the conference call as well as our **<u>financial review</u>** summary will be available on our website Friday prior to the call.

**TAGS**

Quarterly earnings, financial results, vehicle production

**INVESTOR CONTACT**

Louis Tonelli, Vice-President, Investor Relations

louis.tonelli@magna.com \| 905.726.7035

**MEDIA CONTACT**

Tracy Fuerst, Vice-President, Corporate Communications & PR

tracy.fuerst@magna.com \| 248.761.7004

**TELECONFERENCE CONTACT**

Nancy Hansford, Executive Assistant, Investor Relations

nancy.hansford@magna.com \| 905.726.7108

**OUR BUSINESS**<sup>(6)</sup>

Magna is more than one of the world's largest suppliers in the automotive space. We are a mobility technology company built to innovate, with a global, entrepreneurial-minded team of approximately 164,000<sup>(7)</sup> employees across 338 manufacturing operations and 106 product development, engineering and sales centres spanning 28 countries. With 65+ years of expertise, our ecosystem of interconnected products combined with our complete vehicle expertise uniquely positions us to advance mobility in an expanded transportation landscape.

For further information about Magna (NYSE:MGA; TSX:MG), please visit **<u>www.magna.com</u>** or follow us on social.

<sup>(6)</sup> Manufacturing operations, product development, engineering and sales centres include certain operations accounted for under the equity method.

<sup>(7)</sup> Number of employees includes approximately 152,000 employees at our wholly owned or controlled entities and over 12,000 employees at certain operations accounted for under the equity method.

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| | |
|:---|:---|
| **MAGNA ANNOUNCES Second QUARTER 2025 RESULTS** | CONNECT WITH MAGNA![](tm2519795d1_ex99-1img003.jpg)<sub>8</sub> |

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**FORWARD-LOOKING STATEMENTS**

Certain statements in this press release constitute "forward-looking information" or "forward-looking statements" (collectively, "forward-looking statements"). Any such forward-looking statements are intended to provide information about management's current expectations and plans and may not be appropriate for other purposes. Forward-looking statements may include financial and other projections, as well as statements regarding our future plans, strategic objectives or economic performance, or the assumptions underlying any of the foregoing, and other statements that are not recitations of historical fact. We use words such as "may", "would", "could", "should", "will", "likely", "expect", "anticipate", "assume", "believe", "intend", "plan", "aim", "forecast", "outlook", "project", "potential", "estimate", "target" and similar expressions suggesting future outcomes or events to identify forward-looking statements. The following table identifies the material forward-looking statements contained in this document, together with the material potential risks that we currently believe could cause actual results to differ materially from such forward-looking statements. Readers should also consider all of the risk factors which follow below the table:

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| | |
|:---|:---|
| &nbsp;&nbsp;**Material Forward-Looking Statement** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Material Potential Risks Related to Applicable Forward-Looking Statement** |
| &nbsp;&nbsp; Light Vehicle Production<br>| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; · Light vehicle sales levels, including due to:<br> - A decline in consumer confidence<br> - Economic uncertainty<br> - Elevated interest rates and availability of consumer credit<br> - Deteriorating vehicle affordability<br> · Tariffs and/or other actions that erode free trade agreements<br> · Production deferrals, cancellations and volume reductions<br> · Production and supply disruptions<br> · Commodities prices<br> · Availability and relative cost of skilled labour |
| &nbsp;&nbsp; Total Sales<br> Segment Sales | · Same risks as for Light Vehicle Production above<br> · Alignment of our product mix with production demand<br> · Customer concentration<br> · Uncertain pace of EV adoption. Including North American electric vehicle program deferrals, cancellations and volume reductions and growth with EV-focused OEMs, particularly Chinese OEMs<br> · Shifts in market shares among vehicles or vehicle segments<br> · Shifts in consumer "take rates" for products we sell<br> · Relative currency values |
| &nbsp;&nbsp; Adjusted EBIT Margin<br> Net Income Attributable to Magna | · Same risks as for Total Sales and Segment Sales above<br> · Execution of critical program launches<br> · Operational underperformance<br> · Product warranty/recall risks<br> · Production inefficiencies<br> · Unmitigated incremental tariff costs<br> · Restructuring costs and/or impairment charges, including due to the 'reshoring' of production to the U.S.<br> · Inflation<br> · Ability to secure planned cost recoveries from our customers and/or otherwise offset higher input costs<br> · Price concessions<br> · Risks of conducting business with newer EV-focused OEMs<br> · Commodity cost volatility<br> · Scrap steel price volatility<br> · Tax risks, including our dispute with the Mexican tax authority regarding VAT |
| &nbsp;&nbsp;Equity Income | · Same risks as Adjusted EBIT Margin and Net Income Attributable to Magna<br> · Risks related to conducting business through joint ventures<br> · Risks of doing business in foreign markets<br> · Legal and regulatory proceedings<br> · Changes in law |

---

Forward-looking statements are based on information currently available to us and are based on assumptions and analyses made by us in light of our experience and our perception of historical trends, current conditions and expected future developments, as well as other factors we believe are appropriate in the circumstances. While we believe we have a reasonable basis for making any such forward-looking statements, they are not a guarantee of future performance or outcomes. In addition to the factors in the table above, whether actual results and developments conform to our expectations and predictions is subject to a number of risks, assumptions, and uncertainties, many of which are beyond our control, and the effects of which can be difficult to predict, including, without limitation:

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| | |
|:---|:---|
| **MAGNA ANNOUNCES Second QUARTER 2025 RESULTS** | CONNECT WITH MAGNA![](tm2519795d1_ex99-1img003.jpg)<sub>9</sub> |

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| | |
|:---|:---|
| Macroeconomic, Geopolitical and Other Risks<br> · unpredictable tariff and trade environment;<br> · trade disputes and threats to free trade agreements;<br> · consumer confidence levels;<br> · increasing economic uncertainty;<br> · interest rates and availability of consumer credit;<br> · geopolitical risks;<br>Risks Related to the Automotive Industry<br> · program deferrals, cancellations and volume reductions;<br> · economic cyclicality;<br> · regional production volume declines;<br> · deteriorating vehicle affordability;<br> · uncertain pace of EV adoption, including North American electric vehicle program deferrals, cancellations and volume reductions;<br> · intense competition;<br>Strategic Risks<br> · planning and forecasting challenges;<br> · evolution of the vehicle;<br> · evolving business risk profile;<br> · technology and innovation;<br> · investments in mobility and technology companies;<br>Customer-Related Risks<br> · customer concentration;<br> · market shifts;<br> · growth of EV-focused OEMs, particularly Chinese OEMs;<br> · risks of conducting business with newer EV-focused OEMs;<br> · dependence on outsourcing;<br> · customer cooperation and consolidation;<br> · consumer take rate shifts;<br> · customer purchase orders;<br> · potential OEM production-related disruptions;<br>Supply Chain Risks<br> · supply base;<br> · supplier claims;<br> · supply chain disruptions;<br> · regional energy supply and pricing;<br>Manufacturing/Operational Risks<br> · product launch;<br> · operational underperformance;<br> · restructuring costs and impairment charges, including those related to the 'reshoring' of production to the U.S.;<br> · skilled labour attraction/retention;<br> · leadership expertise and succession; | Pricing Risks<br> · quote/pricing assumptions;<br> · customer pricing pressure/contractual arrangements;<br> · commodity cost volatility;<br> · scrap steel/aluminum price volatility;<br>Warranty/Recall Risks<br> · repair/replace costs;<br> · warranty provisions;<br> · product liability;<br>Climate Change Risks<br> · transition risks and physical risks;<br> · strategic and other risks;<br>IT Security/Cybersecurity Risks<br> · IT/cybersecurity breach;<br> · product cybersecurity;<br>Acquisition Risks<br> · inherent merger and acquisition risks;<br> · acquisition integration and synergies;<br>Other Business Risks<br> · joint ventures;<br> · intellectual property;<br> · risks of doing business in foreign markets;<br> · relative foreign exchange rates;<br> · pension risks;<br> · tax risks, including our dispute with the Mexican tax authority regarding VAT;<br> · returns on capital investments;<br> · financial flexibility;<br> · credit ratings changes;<br> · stock price fluctuation;<br>Legal, Regulatory and Other Risks<br> · legal and regulatory proceedings;<br> · changes in laws; and<br> · environmental compliance. |

---

In evaluating forward-looking statements or forward-looking information, we caution readers not to place undue reliance on any forward-looking statement. Additionally, readers should specifically consider the various factors which could cause actual events or results to differ materially from those indicated by such forward-looking statements, including the risks, assumptions and uncertainties above which are:

· discussed under the "Industry Trends and
Risks" heading of our Management's Discussion and Analysis; and

· set out in our Annual Information Form filed
with securities commissions in Canada, our annual report on Form 40-F with the United States Securities and Exchange commission,
and subsequent filings.

Readers should also consider discussion of our risk mitigation activities with respect to certain risk factors, which can be also found in our Annual Information Form. Additional information about Magna, including our Annual Information Form, is available through the System for Electronic Data Analysis and Retrieval + (SEDAR+) at **<u>www.sedarplus.ca</u>**, as well as on the United States Securities and Exchange Commission's Electronic Data Gathering, Analysis and Retrieval System (EDGAR), which can be accessed at **<u>www.sec.gov</u>**.

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| | |
|:---|:---|
| **MAGNA ANNOUNCES Second QUARTER 2025 RESULTS** | CONNECT WITH MAGNA![](tm2519795d1_ex99-1img003.jpg)<sub>10</sub> |

---

## Exhibit 99.2

**Exhibit 99.2**

&nbsp;&nbsp;&nbsp; <br>![](tm2519795d1_ex99-1sp01img001.jpg)<br>**Magna International Inc.**<br>**Second Quarter Report**<br>**2025**<br>

**MAGNA INTERNATIONAL INC.**

**Management's Discussion and Analysis of Results of Operations and Financial Position**

Unless otherwise noted, all amounts in this Management's Discussion and Analysis of Results of Operations and Financial Position ["MD&A"] are in U.S. dollars and all tabular amounts are in millions of U.S. dollars, except per share figures, which are in U.S. dollars. When we use the terms "we", "us", "our" or "Magna", we are referring to Magna International Inc. and its subsidiaries and jointly controlled entities, unless the context otherwise requires.

This MD&A should be read in conjunction with the unaudited interim consolidated financial statements for the three and six months ended June 30, 2025 included in this Quarterly Report, and the audited consolidated financial statements and MD&A for the year ended December 31, 2024 included in our 2024 Annual Report to Shareholders.

This MD&A may contain statements that are forward looking. Refer to the "Forward-Looking Statements" section in this MD&A for a more detailed discussion of our use of forward-looking statements.

This MD&A has been prepared as at July 31, 2025.

**HIGHLIGHTS**

Comparing the second quarters of 2025 and 2024:

· Global
 light vehicle production was up 1%, including 6% and 2% lower production in our two largest
 markets North America and Europe, respectively, offset by a increase of 5% in China.

· Total
 sales decreased 3% to $10.6 billion, largely reflecting lower North American and European
 light vehicle production and the end of production of certain programs, including our complete
 vehicle assembly of the Jaguar I-Pace and E-Pace. These were partially offset by the launch
 of new programs, and the net strengthening of foreign currencies against the U.S. dollar.

· Despite
 the decrease in total sales, income from operations before income taxes increased 16% to
 $496 million. In addition, Adjusted EBIT increased 1% to $583 million, largely due
 to continued productivity and efficiency improvements, including the benefit of operational
 excellence initiatives and restructuring activities in prior periods, as well as higher equity
 income, partially offset by net tariff costs not yet recovered from our customers.

· Adjusted
 EBIT margin increased 20 basis points to 5.5%.

· Diluted
 earnings per share were $1.35 and adjusted diluted earnings per share<sup>(1)</sup> were
 $1.44, an increase of 7%, mainly due to higher Adjusted EBIT, a lower effective income tax
 rate and a 2% decrease in average diluted shares outstanding as a result of share repurchases
 subsequent to the second quarter of 2024.

· Cash
 from operating activities decreased $109 million to $627 million.

In addition, in the second quarter of 2025 we:

· Returned
 $137 million in dividends to shareholders;

· Raised
 €575 million and $400 million, each in the form of Senior Notes; and

· Were
 recognized with a J.D. Power Platinum Plant Quality Award, acknowledging our quality and
 precision in producing the BMW Z4 at our Complete Vehicle Assembly operation in Graz, Austria.

**OVERVIEW**

***OUR BUSINESS<sup>(2)</sup>***

Magna is more than one of the world's largest suppliers in the automotive space. We are a mobility technology company built to innovate, with a global, entrepreneurial-minded team of over 164,000<sup>(3)</sup> employees across 338 manufacturing operations and 106 product development, engineering and sales centres spanning 28 countries. With 65+ years of expertise, our ecosystem of interconnected products combined with our complete vehicle expertise uniquely positions us to advance mobility in an expanded transportation landscape. For further information about Magna (NYSE:MGA; TSX:MG), please visit www.magna.com or follow us on social.

<sup>1</sup> Adjusted diluted earnings per share is a Non-GAAP financial measure. Refer to the section "Use of Non-GAAP Measures".

<sup>2</sup> Manufacturing operations, product development, engineering and sales centres include certain operations accounted for under the equity method**.**

<sup>3</sup> Number of employees includes over 152,000 employees at our wholly owned or controlled entities and over 12,000 employees at operations accounted for under the equity method.

Magna International Inc. Second Quarter Report 2025 1

**INDUSTRY TRENDS & RISKS**

Our business and operating results are dependent on light vehicle production by our customers in three key regions – North America, Europe, and China. While we supply systems and components to many original equipment manufacturers ["OEMs"] globally, we do not supply systems and components for every vehicle, nor is the value of our content consistent from one vehicle to the next. As a result, customer and program mix relative to market trends, as well as the value of our content on specific vehicle production programs, are also important drivers of our results.

Ordinarily, OEM production volumes are aligned with vehicle sales levels and thus affected by changes in such levels. Aside from vehicle sales levels, production volumes are typically impacted by a range of factors, including: OEM, supplier or sub-supplier disruptions; free trade arrangements and tariffs; relative currency values; commodities prices; supply chains and infrastructure; labour disruptions and the availability and relative cost of skilled labour; regulatory frameworks; and other factors.

Overall vehicle sales levels are significantly affected by changes in consumer confidence levels, which may in turn be impacted by consumer perceptions and general trends related to the job, housing, and stock markets, as well as other macroeconomic and political factors. Other factors which typically impact vehicle sales levels and thus production volumes include: vehicle affordability; interest rates and/or availability of credit; fuel and energy prices; relative currency values; uncertainty as to the pace of EV adoption; and other factors.

While the foregoing economic, political and other factors are part of the general context in which the global automotive industry operates, there are a number of significant industry trends that are shaping the future of the industry and creating opportunities and risks for automotive suppliers. We continue to implement a business strategy which is rooted in our best assessment as to the rate and direction of change in the automotive industry, including with respect to the imposition of tariffs on vehicles and components or materials incorporated therein and trends related to vehicle electrification and advanced driver assistance systems. Our short and medium-term operational success, as well as our ability to create long-term value through our business strategy, are subject to a number of risks and uncertainties. Significant industry trends, our business strategy and the major risks we face, are discussed in our Annual Information Form ["AIF"] and Annual Report on Form 40-F ["Form 40-F"] in respect of the year ended December 31, 2024, together with subsequent filings. Those industry trends and risk factors remain substantially unchanged in respect of the second quarter ended June 30, 2025, except as follows:

· **Continuing Trade and Tariff Uncertainty:** In the second quarter of 2025, the U.S. administration
 announced increases to the tariff rate on steel and aluminum products imported into the U.S.
 from all countries except for the United Kingdom (now 50%, up from 25%); and threatened higher
 general tariff rates on imports from various countries/regions, including Canada (35%), Mexico
 (30%), and the European Union (15%), unless alternative trade agreements are formalized before
 August 1, 2025. Prior to such announcements, the U.S. administration had implemented a 25%
 tariff on vehicles and automotive parts imported from Mexico and Canada, subject to exemptions
 for USMCA-compliant content, as well as a 25% tariff on vehicles imported from Europe. It
 remains too early to determine whether the higher general tariff rates will be applied to
 automotive parts imported into the U.S. from Mexico, Canada, and/or the European Union, or
 whether exemptions may be available. The overall climate of uncertainty creates significant
 challenges for planning, forecasting and efficient capital allocation throughout the entire
 automotive supply chain, while tariffs, (together with retaliatory measures) risk increasing
 our input costs, the prices paid by our customers for our products, as well as the price
 consumers pay for vehicles. Significant or sustained tariff cost increases which are not
 recovered from our customers could have a material adverse effect on our profitability. Additionally,
 to the extent tariffs erode vehicle affordability, consumer demand for vehicles may decline,
 prompting a reduction in vehicle production volumes, which is a material driver of our operations,
 sales and profitability. Other previously identified risks associated with an uncertain trade
 and tariff environment such as increasing economic uncertainty, planning and forecasting
 challenges, and restructuring and impairment risks, have been detailed in our previous filings
 and remain relevant through the second quarter of 2025.

**USE OF NON-GAAP FINANCIAL MEASURES**

In addition to results presented in accordance with accounting principles generally accepted in the United States of America ["U.S. GAAP"], this report includes the use of Adjusted earnings before interest and taxes ["Adjusted EBIT"], Adjusted EBIT as a percentage of sales, Adjusted diluted earnings per share, and Adjusted Return on Invested Capital [collectively, the "Non-GAAP Measures"]. We believe these Non-GAAP financial measures provide additional information that is useful to investors in understanding our underlying performance and trends through the same financial measures employed by our management. Readers should be aware that Non-GAAP Measures have no standardized meaning under U.S. GAAP and accordingly may not be comparable to the calculation of similar measures by other companies. We believe that Adjusted EBIT, Adjusted EBIT as a percentage of sales, Adjusted diluted earnings per share, and Adjusted Return on Invested Capital provide useful information to our investors for measuring our operational performance as they exclude certain items that are not reflective of ongoing operating profit and facilitate a comparison with prior periods. The presentation of any Non-GAAP Measures should not be considered in isolation or as a substitute for our related financial results prepared in accordance with U.S. GAAP. Non-GAAP financial measures are presented together with the most directly comparable U.S. GAAP financial measure, and a reconciliation to the most directly comparable U.S. GAAP financial measure, can be found in the "Non-GAAP Financial Measures Reconciliation" section of this MD&A.

2 Magna International Inc. Second Quarter Report 2025

**RESULTS OF OPERATIONS**

***AVERAGE FOREIGN EXCHANGE***

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **For the three months <br> ended June 30,** | **For the three months <br> ended June 30,** | **For the three months <br> ended June 30,** | **For the three months <br> ended June 30,** | **For the six months <br> ended June 30,** | **For the six months <br> ended June 30,** | **For the six months <br> ended June 30,** | **For the six months <br> ended June 30,** |
|  | **2025** | 2024 | Change | Change | **2025** | 2024 | Change | Change |
| 1 Canadian dollar equals U.S. dollars | **0.723** | 0.731 |  | 1% | **0.710** | 0.736 |  | 4% |
| 1 euro equals U.S. dollars | **1.134** | 1.076 | + | 5% | **1.093** | 1.081 | + | 1% |
| 1 Chinese renminbi equals U.S. dollars | **0.138** | 0.138 |  |  | **0.138** | 0.139 |  | 1% |

---

The preceding table reflects the average foreign exchange rates between the most common currencies in which we conduct business and our U.S. dollar reporting currency.

The results of operations for which the functional currency is not the U.S. dollar are translated into U.S. dollars using the average exchange rates for the relevant period. Throughout this MD&A, reference is made to the impact of translation of foreign operations on reported U.S. dollar amounts where relevant.

Our results can also be affected by the impact of movements in exchange rates on foreign currency transactions (such as raw material purchases or sales denominated in foreign currencies). However, as a result of hedging programs employed by us, foreign currency transactions in the current period have not been fully impacted by movements in exchange rates. We record foreign currency transactions at the hedged rate where applicable.

Finally, foreign exchange gains and losses on revaluation and/or settlement of monetary items denominated in a currency other than an operation's functional currency impact reported results. These gains and losses are recorded in selling, general and administrative expense.

***LIGHT VEHICLE PRODUCTION VOLUMES***

Our operating results are mostly dependent on light vehicle production in the regions reflected in the table below:

**Light Vehicle Production Volumes** *(thousands of units)*

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **For the three months <br> ended June 30,** | **For the three months <br> ended June 30,** | **For the three months <br> ended June 30,** | **For the three months <br> ended June 30,** | **For the six months <br> ended June 30,** | **For the six months <br> ended June 30,** | **For the six months <br> ended June 30,** | **For the six months <br> ended June 30,** |
|  | **2025** | 2024 | Change | Change | **2025** | 2024 | Change | Change |
| North America | **3834** | 4096 |  | 6% | **7475** | 8072 |  | 7% |
| Europe | **4322** | 4416 |  | 2% | **8555** | 8945 |  | 4% |
| China | **7513** | 7165 | + | 5% | **14594** | 13600 | + | 7% |
| Other | **6795** | 6646 | + | 2% | **13719** | 13307 | + | 3% |
| Global | **22464** | 22323 | + | 1% | **44343** | 43924 | + | 1% |

---

Magna International Inc. Second Quarter Report 2025 3

**RESULTS OF OPERATIONS – FOR THE THREE MONTHS ENDED JUNE 30, 2025**

***SALES***

![](tm2519795d1_ex99-1sp01img002.jpg)

Sales decreased 3%, or $327 million, to $10.63 billion for the second quarter of 2025 compared to $10.96 billion for the second quarter of 2024 primarily due to:

· lower
 light vehicle production in North America and Europe;

· lower
 complete vehicle assembly volumes, substantially due to the end of production of the Jaguar
 I-Pace and Jaguar E-Pace;

· the
 end of production of certain programs, including the Chevrolet Malibu and Ford Edge;

· net
 customer price concessions subsequent to the second quarter of 2024;

· divestitures,
 net of acquisitions, during or subsequent to the second quarter of 2024, which decreased
 sales by $54 million; and

· commercial
 items in the second quarters of 2025 and 2024, which had a net unfavourable impact on a year-over-year
 basis.

These factors were partially offset by:

· the
 launch of new programs during or subsequent to the second quarter of 2024, including the
 electric version of the Mercedes-Benz G-Class, Skoda Elroq, BYD Qin L DM-i, and Cadillac
 Vistiq;

· the
 net strengthening of foreign currencies against the U.S. dollar, which increased reported
 U.S. dollar sales by $194 million; and

· customer
 price increases to partially recover certain higher production input costs.

***COST OF GOODS SOLD***

---

| | | | |
|:---|:---|:---|:---|
|  | **For the three months <br> ended June 30,** | **For the three months <br> ended June 30,** | |
|  | **2025** | 2024 | <br>Change |
| Material | $**6492** | $6657 | $(165) |
| Direct labour | **745** | 819 | (74) |
| Overhead | **1890** | 2018 | (128) |
| Cost of goods sold | $**9127** | $9494 | $(367) |

---

Cost of goods sold decreased $367 million to $9.13 billion for the second quarter of 2025, compared to $9.49 billion for the second quarter of 2024, primarily due to:

· lower
 material, direct labour, and overhead associated with lower production and complete vehicle
 assembly sales;

· productivity
 and efficiency improvements, including the benefit of operational excellence initiatives
 and restructuring activities in prior periods;

· divestitures,
 net of acquisitions, during or subsequent to the second quarter of 2024;

· lower
 net engineering costs;

· lower
 restructuring costs; and

· a
 decrease in net warranty costs of $8 million.

These factors were partially offset by:

· the
 net strengthening of foreign currencies against the U.S. dollar, which increased reported
 U.S. dollar costs of goods sold by $173 million;

· higher
 tariff costs;

· commercial
 items in the second quarters of 2025 and 2024, which had a net unfavourable impact on a year-over-year
 basis;

· higher
 production input costs net of customer recoveries, primarily for labour; and

· higher
 pre-operating costs incurred at new facilities.

4 Magna International Inc. Second Quarter Report 2025

 ****

***DEPRECIATION***

Depreciation increased $15 million to $388 million for the second quarter of 2025, compared to $373 million for the second quarter of 2024, primarily due to:

· increased
 capital deployed at new and existing facilities, including to support the launch of programs;
 and

· the
 net strengthening of foreign currencies against the U.S. dollar, which increased depreciation
 by $6 million.

These factors were partially offset by the end of production of certain programs.

**AMORTIZATION OF ACQUIRED INTANGIBLE ASSETS**

Amortization of acquired intangible assets increased $1 million to $29 million for the second quarter of 2025, compared to $28 million for the second quarter of 2024, primarily due to the net strengthening of foreign currencies against the U.S. dollar.

 ****

***SELLING, GENERAL AND ADMINISTRATIVE ["SG&A"]***

SG&A expense increased $42 million to $565 million for the second quarter of 2025, compared to $523 million for the second quarter of 2024, primarily as a result of:

· higher
 costs to accelerate our operational excellence initiatives;

· higher
 incentive compensation, stock-based compensation, and employee profit sharing;

· the
 net strengthening of foreign currencies against the U.S. dollar, which increased SG&A
 by $11 million; and

· a
 loss on sale of assets during the second quarter of 2025 and a gain on sale of assets during
 the second quarter of 2024.

These factors were partially offset by:

· lower
 labour and benefit costs; and

· lower
 investments in research, development, and new mobility.

***INTEREST EXPENSE, NET***

During the second quarter of 2025, we recorded net interest expense of $52 million compared to $54 million for the second quarter of 2024. The $2 million decrease is primarily a result of lower interest expense on decreased short-term borrowings and term loan balances, each at lower interest rates. These factors were partially offset by: lower interest income earned on cash and investments due to reduced cash balances and lower interest rates; and higher net interest expense on Senior notes issued compared to Senior notes repaid during the second quarters of 2025 and 2024.

***EQUITY INCOME***

Equity income increased $23 million to $32 million for the second quarter of 2025, compared to $9 million for the second quarter of 2024, primarily as a result of:

· commercial
 items in the second quarters of 2025 and 2024, which had a net favourable impact on a year-over-year
 basis;

· higher
 earnings due to favourable product mix and higher sales at certain equity-accounted entities;
 and

· lower
 launch costs at certain facilities.

Magna International Inc. Second Quarter Report 2025 5

 ****

***OTHER EXPENSE, NET***

---

| | | |
|:---|:---|:---|
|  | **For the three months <br> ended June 30,** | **For the three months <br> ended June 30,** |
|  | **2025** | 2024 |
| Restructuring activities <sup>(1)</sup> | $**13** | $55 |
| Investments <sup>(2)</sup> | **(7)** | 3 |
| Impacts related to Fisker Inc. ["Fisker"] <sup>(3)</sup> | **—** | 19 |
| Gain on business combination <sup>(4)</sup> | **—** | (9) |
|  | $**6** | $68 |

---

**(1)** **Restructuring activities** 

During the second quarter of 2025, we recorded $7 million and $6 million of charges [$9 million after tax] related to significant rightsizing activities at a facility in Europe in our Power & Vision segment, as well as restructuring charges associated with our acquisition of the Veoneer Active Safety Business ["Veoneer AS"], respectively.

During the second quarter of 2024, we recorded $35 million and $20 million [$45 million after tax] of restructuring charges associated with our acquisition of Veoneer AS, and restructuring charges related to plant closures in our Power & Vision segment, respectively.

**(2)** **Investments** 

---

| | | |
|:---|:---|:---|
|  | **For the three months <br> ended June 30,** | **For the three months <br> ended June 30,** |
|  | **2025** | 2024 |
| Net revaluation (gain) loss on public and private equity investments | $**(4)** | $2 |
| Gain on sales of public equity investments | **(3)** |  |
| Revaluation of public company warrants | **—** | 1 |
| Other (income) expense, net | **(7)** | 3 |
| Tax effect | **2** | (1) |
| Net (gain) loss attributable to Magna | $**(5)** | $2 |

---

**(3)** **Impacts relating to Fisker** 

During the second quarter of 2024, we recorded impairment charges on our Fisker related net assets of $19 million [$15 million after tax].

**(4)** **Gain on business combination** 

During the second quarter of 2024, we acquired a business in our Body Exteriors & Structures segment for $5 million, which resulted in a bargain purchase gain of $9 million [$9 million after tax].

6 Magna International Inc. Second Quarter Report 2025

 ****

***INCOME FROM OPERATIONS BEFORE INCOME TAXES***

Income from operations before income taxes was $496 million for the second quarter of 2025, compared to $427 million for the second quarter of 2024. This $69 million increase is a result of the following changes, each as discussed above:

---

| | | | |
|:---|:---|:---|:---|
|  | **For the three months <br> ended June 30,** | **For the three months <br> ended June 30,** | |
|  | **2025** | 2024 |<br>Change<sup>(i)</sup> |
| Sales | $**10631** | $10958 | $(327) |
| &nbsp;&nbsp;&nbsp;Cost of goods sold | **9127** | 9494 | 367 |
| &nbsp;&nbsp;&nbsp;Depreciation | **388** | 373 | (15) |
| &nbsp;&nbsp;&nbsp;Amortization of acquired intangible assets | **29** | 28 | (1) |
| &nbsp;&nbsp;&nbsp;Selling, general and administrative | **565** | 523 | (42) |
| &nbsp;&nbsp;&nbsp;Interest expense, net | **52** | 54 | 2 |
| &nbsp;&nbsp;&nbsp;Equity income | **(32)** | (9) | 23 |
| &nbsp;&nbsp;&nbsp;Other expense, net | **6** | 68 | 62 |
| Income from operations before income taxes | $**496** | $427 | $69 |

---

*(i)* *Change represents the increase (decrease) on Income from operations before income taxes.* 

***INCOME TAXES***

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the three months ended June 30,** | **For the three months ended June 30,** | **For the three months ended June 30,** | **For the three months ended June 30,** |
|  | **2025** | **2025** | 2024 | 2024 |
| Income Taxes as reported | $**102** | **20.6%** | $99 | 23.2% |
| Tax effect on Other expense, net and Amortization of acquired intangible assets | **7** | **(0.1)** | 20 | (0.4) |
|  | $**109** | **20.5%** | $119 | 22.8% |

---

Excluding the tax effect on Other expense, net and Amortization of acquired intangible assets, our effective income tax rate decreased to 20.5% for the second quarter of 2025, compared to 22.8% for the second quarter of 2024, primarily due to: favourable foreign exchange adjustments recognized for U.S. GAAP purposes; and higher favourable changes in our reserves for uncertain tax positions. These factors were partially offset by losses not benefitted in Europe, lower non-taxable items, and a change in mix of earnings.

On July 4, 2025, the US enacted H.R. 1 "A bill to provide for reconciliation pursuant to Title II of H. Con. Res. 14", commonly referred to as the One Big Beautiful Bill Act. Based on our preliminary assessment, the impact on Magna's consolidated financial statements is not expected to be material and its effects are not reflected in our income tax provision as of June 30, 2025.

 ****

***INCOME ATTRIBUTABLE TO NON-CONTROLLING INTERESTS***

Income attributable to non-controlling interests was $15 million for the second quarters of 2025 and 2024.

***NET INCOME ATTRIBUTABLE TO MAGNA INTERNATIONAL INC.***

Net income attributable to Magna International Inc. was $379 million for the second quarter of 2025, compared to $313 million for the second quarter of 2024. This $66 million increase was as a result of increases in income from operations before income taxes of $69 million, partially offset by an increase in income taxes of $3 million.

Magna International Inc. Second Quarter Report 2025 7

 **

 ****

***EARNINGS PER SHARE***

 **

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the three months** | **For the three months** |  |  |
|  | **ended June 30,** | **ended June 30,** |  |  |
|  | **2025** | 2024 | Change | Change |
| Earnings per Common Share |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Basic | $**1.35** | $1.09 | + | 24% |
| &nbsp;&nbsp;&nbsp;Diluted | $**1.35** | $1.09 | + | 24% |
| Weighted average number of Common Shares outstanding (millions) |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Basic | **281.7** | 287.3 |  | 2% |
| &nbsp;&nbsp;&nbsp;Diluted | **281.7** | 287.3 | - | 2% |
| Adjusted diluted earnings per share | $**1.44** | $1.35 | + | 7% |

---

 ****

Diluted earnings per share was $1.35 for the second quarter of 2025, compared to diluted earnings per share of $1.09 for the second quarter of 2024. The $0.26 increase was substantially as a result of: higher net income attributable to Magna International Inc., as discussed above; and a decrease in the weighted average number of diluted shares outstanding. The decrease in the weighted average number of diluted shares outstanding was primarily due to the purchase and cancellation of Common Shares, subsequent to the second quarter of 2024, pursuant to our normal course issuer bids.

Other expense, net, and the Amortization of acquired intangible assets, each after tax, negatively impacted diluted earnings per share by $0.09 in the second quarter of 2025 and $0.26 in the second quarter of 2024. Adjusted diluted earnings per share, as reconciled in the "Non-GAAP Financial Measures Reconciliation" section, was $1.44 for the second quarter of 2025, compared to $1.35 for the second quarter of 2024, an increase of $0.09.

8 Magna International Inc. Second Quarter Report 2025

**NON-GAAP PERFORMANCE MEASURES – FOR THE THREE MONTHS ENDED JUNE 30, 2025**

 ****

***ADJUSTED EBIT AS A PERCENTAGE OF SALES***

![](tm2519795d1_ex99-2sp2img002.jpg)

 ****

The table below shows the change in Magna's Sales and Adjusted EBIT by segment, as well as the impact each segment's changes had on Magna's Adjusted EBIT as a percentage of sales, for the second quarter of 2025 compared to the second quarter of 2024:

 ****

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | | | Adjusted EBIT | Adjusted EBIT |
|  | | | as a percentage | as a percentage |
|  |<br>Sales |<br>Adjusted<br>EBIT | of sales | of sales |
| Second quarter of 2024 | $10958 | $577 |  | 5.3% |
| Increase (decrease) related to: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Body Exteriors & Structures | (212) | 6 | + | 0.2% |
| &nbsp;&nbsp;&nbsp;Power & Vision | (69) | (36) |  | 0.3% |
| &nbsp;&nbsp;&nbsp;Seating Systems | (22) | (11) |  | 0.1% |
| &nbsp;&nbsp;&nbsp;Complete Vehicles | (16) | 8 | + | 0.1% |
| &nbsp;&nbsp;&nbsp;Corporate and Other | (8) | 39 | + | 0.3% |
| **Second quarter of 2025** | $**10631** | $**583** |  | **5.5%** |

---

Adjusted EBIT as a percentage of sales increased to 5.5% for the second quarter of 2025, compared to 5.3% for the second quarter of 2024, primarily due to:

· productivity
 and efficiency improvements, including the benefit of operational excellence initiatives
 and restructuring activities in prior periods;

· higher
 equity income;

· lower
 restructuring costs;

· lower
 launch costs;

· supply
 chain premiums in 2024, partially as a result of a supplier bankruptcy; and

· lower
 net warranty costs.

These factors were partially offset by:

· higher
 tariff costs;

· commercial
 items in the second quarters of 2025 and 2024, which had a net unfavourable impact on a year-over-year
 basis;

· reduced
 earnings on lower sales; and

· higher
 pre-operating costs incurred at new facilities.

Magna International Inc. Second Quarter Report 2025 9

***ADJUSTED RETURN ON INVESTED CAPITAL***

 ****

 ****

Adjusted Return on Invested Capital increased to 9.6% for the second quarter of 2025, compared to 9.4% for the second quarter of 2024, as a result of an increase in Adjusted After-tax operating profits, partially offset by higher Average Invested Capital.

Average Invested Capital increased $505 million to $19.39 billion for the second quarter of 2025, compared to $18.88 billion for the second quarter of 2024, primarily due to:

· average
 investment in operating lease right-of-use assets in excess of average amortization expense
 on operating lease right-of-use assets;

· average investment in fixed assets in excess of average depreciation
expense on fixed assets; and

· the net strengthening of foreign currencies against the U.S.
dollar.

These factors were partially offset by:

· a decrease in average operating assets and liabilities;

· divestitures,
 net of acquisitions, during or subsequent to the second quarter of 2024; and

· lower net investments in public and private equity companies
and public company warrants.

10 Magna International Inc. Second Quarter Report 2025

**SEGMENT ANALYSIS**

We are a global automotive supplier that has complete vehicle engineering and contract manufacturing expertise, as well as product capabilities which include body, chassis, exterior, seating, powertrain, active driver assistance, electronics, mechatronics, mirrors, lighting and roof systems. We also have electronic and software capabilities across many of these areas.

Our reporting segments are: Body Exteriors & Structures; Power & Vision; Seating Systems; and Complete Vehicles.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **For the three months ended June 30,** | **For the three months ended June 30,** | **For the three months ended June 30,** | **For the three months ended June 30,** | **For the three months ended June 30,** | **For the three months ended June 30,** |
|  | **Sales** | **Sales** | **Sales** | **Adjusted EBIT** | **Adjusted EBIT** | **Adjusted EBIT** |
|  | **2025** | 2024 | Change | **2025** | 2024 | Change |
| Body Exteriors & Structures | $**4253** | $4465 | $(212) | $**347** | $341 | $6 |
| Power & Vision | **3857** | 3926 | (69) | **162** | 198 | (36) |
| Seating Systems | **1433** | 1455 | (22) | **42** | 53 | (11) |
| Complete Vehicles | **1226** | 1242 | (16) | **28** | 20 | 8 |
| Corporate and Other | **(138)** | (130) | (8) | **4** | (35) | 39 |
| Total reportable segments | $**10631** | $10958 | $(327) | $**583** | $577 | $6 |

---

***BODY EXTERIORS & STRUCTURES***

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **For the three months** | **For the three months** | |  |  |
|  | **ended June 30,** | **ended June 30,** | |  |  |
|  | **2025** | 2024 | Change | Change | Change |
| **Sales** | $**4253** | $4465 | $(212) | - | 5% |
| **Adjusted EBIT** | $**347** | $341 | $6 | + | 2% |
| **Adjusted EBIT as a percentage of sales** | **8.2%** | **7.6%** |  | + | 0.6% |

---

![](tm2519795d1_ex99-2sp2img004.jpg)

**Sales – Body Exteriors & Structures**

Sales decreased 5%, or $212 million, to $4.25 billion for the second quarter of 2025, compared to $4.47 billion for the second quarter of 2024 primarily due to:

· lower light vehicle production
 in North America and Europe;

· the
 end of production of certain programs, including the Chevrolet Malibu;

· divestitures subsequent
 to the second quarter of 2024, which decreased sales by $57 million; and

· net customer price concessions
 subsequent to the second quarter of 2024.

These factors were partially offset by:

· the
 launch of programs during or subsequent to the second quarter of 2024, including the:

&nbsp;&nbsp;&nbsp;&nbsp;· Skoda
 Elroq;

&nbsp;&nbsp;&nbsp;&nbsp;· GMC
 Sierra EV;

&nbsp;&nbsp;&nbsp;&nbsp;· Cadillac
 Escalade IQ and IQL; and

&nbsp;&nbsp;&nbsp;&nbsp;· GMC
 Acadia, Chevrolet Traverse and Buick Enclave; and

· the
 net strengthening of foreign currencies against the U.S. dollar, which increased reported
 U.S. dollar sales by $41 million.

Magna International Inc. Second Quarter Report 2025 11

![](tm2519795d1_ex99-2sp2img005.jpg)

**Adjusted EBIT and Adjusted EBIT as a percentage of sales – Body Exteriors & Structures**

Adjusted EBIT increased $6 million to $347 million for the second quarter of 2025, compared to $341 million for the second quarter of 2024, and Adjusted EBIT as a percentage of sales increased to 8.2% from 7.6%. These increases were primarily due to:

· productivity
 and efficiency improvements, including the benefit of operational excellence initiatives
 and restructuring activities in prior periods;

· supply
 chain premiums in 2024, partially as a result of a supplier bankruptcy;

· lower
 net warranty costs of $10 million; and

· commercial
 items in the second quarters of 2025 and 2024, which had a net favourable impact on a year-over-year
 basis.

These factors were partially offset by:

· reduced
 earnings on lower sales;

· net
 transactional foreign exchange losses in the second quarter of 2025, compared to net transactional
 foreign exchange gains in the second quarter of 2024;

· higher
 pre-operating costs incurred at new facilities;

· higher
 tariff costs; and

· divestitures
 subsequent to the second quarter of 2024.

 ****

***POWER & VISION***

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the three months** | **For the three months** | |  |
|  | **ended June 30,** | **ended June 30,** | |  |
|  | **2025** | 2024 | Change | Change |
| **Sales** | $**3857** | $3926 | $(69) | 2% |
| **Adjusted EBIT** | $**162** | $198 | $(36) | 18% |
| **Adjusted EBIT as a percentage of sales** | **4.2%** | 5.0% |  | 0.8% |

---

![](tm2519795d1_ex99-2sp2img011.jpg)

**Sales – Power & Vision**

Sales decreased 2%, or $69 million, to $3.86 billion for the second quarter of 2025, compared to $3.93 billion for the second quarter of 2024 primarily due to:

· lower light vehicle production
 in North America and Europe;

· net customer price concessions
 subsequent to the second quarter of 2024; and

· the
 end of production of certain programs.

12 Magna International Inc. Second Quarter Report 2025

These factors were partially offset by:

· the
 launch of programs during or subsequent to the second quarter of 2024, including the:

&nbsp;&nbsp;&nbsp;&nbsp;· electric
 version of the Mercedes-Benz G-Class;

&nbsp;&nbsp;&nbsp;&nbsp;· Mini
 Cooper;

&nbsp;&nbsp;&nbsp;&nbsp;· BMW
 2-Series; and

&nbsp;&nbsp;&nbsp;&nbsp;· Cupra Terramar;

· the net strengthening of
 foreign currencies against the U.S. dollar, which increased reported U.S. dollar sales by
 $79 million; and

· customer
 price increases to partially recover certain higher production input costs.

![](tm2519795d1_ex99-2sp2img006.jpg)

**Adjusted EBIT and Adjusted EBIT as a percentage of sales – Power & Vision**

Adjusted EBIT decreased $36 million to $162 million for the second quarter of 2025, compared to $198 million for the second quarter of 2024, and Adjusted EBIT as a percentage of sales decreased to 4.2% from 5.0%. These decreases were primarily due to:

· higher
 tariff costs;

· commercial
 items in the second quarters of 2025 and 2024, which had a net unfavourable impact on a year-over-year
 basis;

· net
 transactional foreign exchange losses in the second quarter of 2025, compared to net transactional
 foreign exchange gains in the second quarter of 2024; and

· reduced
 earnings on lower sales.

These factors were partially offset by:

· productivity
 and efficiency improvements, including the benefit of operational excellence initiatives
 and restructuring activities in prior periods;

· higher
 equity income;

· lower
 launch costs; and

· lower
 restructuring costs.

***SEATING SYSTEMS***

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the three months** | **For the three months** | |  |
|  | **ended June 30,** | **ended June 30,** | |  |
|  | **2025** | 2024 | Change | Change |
| **Sales** | $**1433** | $1455 | $(22) | 2% |
| **Adjusted EBIT** | $**42** | $53 | $(11) | 21% |
| **Adjusted EBIT as a percentage of sales** | **2.9%** | 3.6% |  | 0.7% |

---

Magna International Inc. Second Quarter Report 2025 13

![](tm2519795d1_ex99-2sp2img007.jpg)

**Sales – Seating Systems**

Sales decreased 2%, or $22 million, to $1.43 billion for the second quarter of 2025, compared to $1.46 billion for the second quarter of 2024 primarily due to:

· lower
 production on certain programs, including the:

&nbsp;&nbsp;&nbsp;&nbsp;· Jeep
 Grand Cherokee;

&nbsp;&nbsp;&nbsp;&nbsp;· Volvo
 EX30;

&nbsp;&nbsp;&nbsp;&nbsp;· Chrysler
 Pacifica; and

&nbsp;&nbsp;&nbsp;&nbsp;· BMW
 X5;

· the
 end of production of certain programs, including the:

&nbsp;&nbsp;&nbsp;&nbsp;· Ford Edge; and

&nbsp;&nbsp;&nbsp;&nbsp;· Changan CS55; and

· net
 customer price concessions subsequent to the second quarter of 2024.

These factors were partially offset by:

· the
 launch of programs during or subsequent to the second quarter of 2024, including the:

&nbsp;&nbsp;&nbsp;&nbsp;· Skoda
 Elroq;

&nbsp;&nbsp;&nbsp;&nbsp;· Audi
 A5;

&nbsp;&nbsp;&nbsp;&nbsp;· BYD Qin L DM-i; and

&nbsp;&nbsp;&nbsp;&nbsp;· Changan Deepal S09;

· the
 net strengthening of foreign currencies against the U.S. dollar, which increased reported
 U.S. dollar sales by $20 million;

· customer
 price increases to partially recover certain higher production input costs; and

· commercial
 items in the second quarters of 2025 and 2024, which had a net favourable impact on a year-over-year
 basis.

![](tm2519795d1_ex99-2sp2img008.jpg)

**Adjusted EBIT and Adjusted EBIT as a percentage of sales – Seating Systems**

Adjusted EBIT decreased $11 million to $42 million for the second quarter of 2025, compared to $53 million for the second quarter of 2024, and Adjusted EBIT as a percentage of sales decreased to 2.9% from 3.6%. These decreases were primarily due to:

· higher
 tariff costs;

· reduced
 earnings on lower sales; and

· net
 transactional foreign exchange losses in the second quarter of 2025, compared to net transactional
 foreign exchange gains in the second quarter of 2024.

These factors were partially offset by:

· higher
 equity income;

· commercial
 items in the second quarters of 2025 and 2024, which had a net favourable impact on a year-over-year
 basis; and

· lower
 launch costs.

14 Magna International Inc. Second Quarter Report 2025

***COMPLETE VEHICLES***

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **For the three months** | **For the three months** |  |  |  |
|  | **ended June 30,** | **ended June 30,** |  |  |  |
|  | **2025** | 2024 | Change | Change | Change |
| **Complete Vehicle Assembly Volumes** *(thousands of units)<sup>(</sup>*<sup>i*)*</sup>** | **16.3** | 18.6 | (2.3) | - | 12% |
| **Sales** | $**1226** | $1242 | $(16) | - | 1% |
| **Adjusted EBIT** | $**28** | $20 | $8 | + | 40% |
| **Adjusted EBIT as a percentage of sales** | **2.3%** | 1.6% |  | + | 0.7% |

---

*(i)* *Vehicles produced at our Complete Vehicle operations are included in Europe Light Vehicle Production volumes.*![](tm2519795d1_ex99-2sp2img009.jpg)

**Sales – Complete Vehicles**

Sales decreased 1%, or $16 million, to $1.23 billion for the second quarter of 2025, compared to $1.24 billion for the second quarter of 2024, and assembly volumes decreased 12%. The decrease in sales is substantially a result of: lower assembly volumes due to the end of production of the Jaguar I-Pace and Jaguar E-Pace; and commercial items in the second quarters of 2025 and 2024, which had a net unfavourable impact on a year-over-year basis. These factors were partially offset by: the launch of the electric version of the Mercedes-Benz G-Class during fourth quarter of 2024; and a $59 million increase in reported U.S. dollar sales as a result of the strengthening of the euro against the U.S. dollar.

![](tm2519795d1_ex99-2sp2img010.jpg)

**Adjusted EBIT and Adjusted EBIT as a percentage of sales – Complete Vehicles**

Adjusted EBIT increased $8 million to $28 million for the second quarter of 2025, compared to $20 million for the second quarter of 2024, and Adjusted EBIT as a percentage of sales increased to 2.3% from 1.6%. These increases were primarily due to:

· productivity
 and efficiency improvements, including the benefit of operational excellence initiatives
 and restructuring activities in prior periods; and

· lower
 restructuring costs.

These factors were partially offset by commercial items in the second quarters of 2025 and 2024, which had a net unfavourable impact on a year-over-year basis.

 ****

***CORPORATE AND OTHER***

Adjusted EBIT was $4 million for the second quarter of 2025 compared to a loss of $35 million for the second quarter of 2024. The $39 million improvement was primarily the result of:

· net
 transactional foreign exchange gains in the second quarter of 2025, compared to net transactional
 foreign exchange losses in the second quarter of 2024;

· higher
 equity income; and

· lower
 investments in research, development and new mobility.

These factors were partially offset by higher incentive and stock-based compensation.

Magna International Inc. Second Quarter Report 2025 15

**FINANCIAL CONDITION, LIQUIDITY AND CAPITAL RESOURCES**

***OPERATING ACTIVITIES***

![](tm2519795d1ex99-2sp3img001.jpg)

---

| | | | |
|:---|:---|:---|:---|
|  | **For the three months** | **For the three months** | |
|  | **ended June 30,** | **ended June 30,** | |
|  | **2025** | 2024 |<br>Change |
| Net income | $**394** | $328 |  |
| Items not involving current cash flows | **368** | 353 |  |
|  | **762** | 681 | $81 |
| Changes in operating assets and liabilities | **(135)** | 55 | (190) |
| Cash provided from operating activities | $**627** | $736 | $(109) |

---

**Cash provided from operating activities**

Comparing the second quarter of 2025 to 2024, cash provided from operating activities decreased by $109 million primarily as a result of:

· a
 $259 million decrease in cash received from customers;

· a
 $79 million increase in cash taxes; and

· a
 $2 million increase in cash interest paid.

These factors were partially offset by:

· a
 $160 million decrease in cash paid for materials and overhead;

· a
 $46 million decrease in cash paid for labour; and

· higher
 dividends received from equity investments of $22 million.

**Changes in operating assets and liabilities**

During the second quarter of 2025, we used $135 million for operating assets and liabilities primarily for:

· a
 $429 million decrease in accounts payable;

· a
 $110 million decrease in taxes payable;

· a
 $17 million decrease in accrued wages and salaries; and

· a
 $8 million increase in tooling investment for current and upcoming program launches.

These factors were partially offset by:

· a
 $231 million decrease in production and other receivables;

· a
 $78 million increase in other accrued liabilities;

· a
 $73 million decrease in production inventory; and

· a
 $48 million decrease in prepaids and other.

16 Magna International Inc. Second Quarter Report 2025

***INVESTING ACTIVITIES***

 ****

 ****

---

| | | | |
|:---|:---|:---|:---|
|  | **For the three months** | **For the three months** | |
|  | **ended June 30,** | **ended June 30,** | |
|  | **2025** | 2024 |<br>Change |
| Fixed asset additions | $**(246)** | $(500) |  |
| Increase in investments, other assets and intangible assets | **(94)** | (170) |  |
| (Increase) decrease in public and private equity investments | **(3)** | 2 |  |
| Acquisitions | **4** | (56) |  |
| Proceeds from dispositions | **14** | 57 |  |
| Cash used for investing activities | $**(325)** | $(667) | $342 |

---

 ****

Cash used for investing activities in the second quarter of 2025 was $342 million lower compared to the second quarter of 2024. The change between the second quarter of 2025, and the second quarter of 2024, was primarily due to: a $254 million decrease in cash used for fixed assets; a $76 million decrease in cash used for investments, other assets and intangible assets; and the acquisition of HE System Electronic during the second quarter of 2024. These factors were partially offset by: lower proceeds from dispositions during the second quarter of 2025; and a $5 million increase in cash used for investments in public and private equity investments.

 **

***FINANCING ACTIVITIES***

 **

---

| | | | |
|:---|:---|:---|:---|
|  | **For the three months** | **For the three months** | |
|  | **ended June 30,** | **ended June 30,** | |
|  | **2025** | 2024 |<br>Change |
| Issues of debt | $**1045** | $333 |  |
| Tax withholdings on vesting of equity awards | **—** | (1) |  |
| Repurchase of Common Shares | **—** | (2) |  |
| Dividends paid to non-controlling interests | **(25)** | (26) |  |
| Dividends paid | **(137)** | (134) |  |
| (Decrease) increase in short-term borrowings | **(297)** | 19 |  |
| Repayments of debt | **(407)** | (768) |  |
| Cash provided from (used for) financing activities | $**179** | $(579) | $758 |

---

 ****

During the second quarter of 2025, we issued the following Senior Notes [the "Senior Notes"]:

---

| | | | |
|:---|:---|:---|:---|
|  | **Settlement Date** | **Net Cash <br> Proceeds <sup>(i)</sup>** | **Maturity Date** |
| €575 million Senior Notes at 3.625% | May 21, 2025 | €569 million | May 21, 2031 |
| $400 million Senior Notes at 5.875% | May 22, 2025 | $397 million | June 1, 2035 |

---

 

*(i)* *Net cash proceeds represent the public offering price less the underwriting discount, before expenses.* 

Net cash proceeds received from the Senior Notes issuances was $1,042 million, which were issued for general corporate purposes, including the repayment of $300 million in Senior Notes on May 23, 2025.

The Senior Notes are unsecured obligations and do not include any financial covenants. We may redeem the Senior Notes in whole or in part at any time, and from time to time, at specified redemption prices determined in accordance with the terms of the indenture governing the Senior Notes. Refer to Note 9, "Debt" of our unaudited interim consolidated financial statements for the three and six months ended June 30, 2025.

Cash dividends paid per Common Share were $0.485 for the second quarter of 2025, compared to $0.475 for the second quarter of 2024.

Short-term borrowings decreased $297 million during the second quarter of 2025, primarily due to a $256 million decrease in notes outstanding under the U.S. commercial paper programs.

Magna International Inc. Second Quarter Report 2025 17

During the second quarter of 2025, we repaid $100 million of the 3-year tranche Term Loan.

 **

***FINANCING RESOURCES***

 **

---

| | | | |
|:---|:---|:---|:---|
|  | **As at**<br>**June 30,**<br>**2025** | As at<br>December 31,<br>2024 | <br>Change |
| Liabilities |  |  |  |
| &nbsp;&nbsp;&nbsp;Short-term borrowings | $**349** | $271 |  |
| &nbsp;&nbsp;&nbsp;Long-term debt due within one year | **706** | 708 |  |
| &nbsp;&nbsp;&nbsp;Current portion of operating lease liabilities | **318** | 293 |  |
| &nbsp;&nbsp;&nbsp;Long-term debt | **4984** | 4134 |  |
| &nbsp;&nbsp;&nbsp;Operating lease liabilities | **1759** | 1662 |  |
|  | $**8116** | $7068 | $1048 |

---

 ****

Financial liabilities increased $1.05 billion to $8.12 billion as at June 30, 2025, primarily as a result of: the issuance of €575 million and $400 million of Senior Notes during the second quarter of 2025; renewing existing and entering into new operating lease agreements; and an increase in notes outstanding under the euro commercial paper program. These increases were partially offset by the repayments of $300 million in Senior Notes and $100 million of the 3-year tranche Term Loan during the second quarter of 2025.

***CASH RESOURCES***

In the second quarter of 2025, our cash resources increased by $0.5 billion to $1.5 billion, primarily as a result of cash provided from operating and financing activities, partially offset by cash used for investing activities. In addition to our cash resources at June 30, 2025, we had term and operating lines of credit totaling $4.7 billion, of which $3.8 billion was unused and available.

On July 8, 2025, we amended our syndicated, unsecured, delayed draw term loan (the "Term Loan") to reduce the 3-year tranche amount from $650 million to $350 million and extended the draw expiration date from July 12, 2025 to January 12, 2026. As at June 30, 2025, no amounts had been drawn under this 3-year tranche.

***MAXIMUM NUMBER OF SHARES ISSUABLE***

The following table presents the maximum number of shares that would be outstanding if all of the outstanding options at July 31, 2025 were exercised:

Common Shares 281,778,768 <br> Stock options <sup>(i)</sup>   <u>6,045,264</u> <br>   <u>287,824,032</u>

*(i)* *Options to purchase Common Shares are exercisable by the holder in accordance with the vesting provisions and upon payment of the exercise price as may be determined from time to time pursuant to our stock option plans.* 

 

***CONTRACTUAL OBLIGATIONS***

There have been no material changes with respect to the contractual obligations requiring annual payments during the second quarter of 2025 that are outside the ordinary course of our business. Refer to our MD&A included in our 2024 Annual Report.

18 Magna International Inc. Second Quarter Report 2025

**RESULTS OF OPERATIONS – FOR THE SIX MONTHS ENDED JUNE 30, 2025**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **For the six months ended June 30,** | **For the six months ended June 30,** | **For the six months ended June 30,** | **For the six months ended June 30,** | **For the six months ended June 30,** | **For the six months ended June 30,** |
|  | **Sales** | **Sales** | **Sales** | **Adjusted EBIT** | **Adjusted EBIT** | **Adjusted EBIT** |
|  | **2025** | 2024 | Change | **2025** | 2024 | Change |
| Body Exteriors & Structures | $**8219** | $8894 | $(675) | $**577** | $639 | $(62) |
| Power & Vision | **7503** | 7768 | (265) | **286** | 296 | (10) |
| Seating Systems | **2745** | 2910 | (165) | **12** | 105 | (93) |
| Complete Vehicles | **2502** | 2625 | (123) | **72** | 47 | 25 |
| Corporate and Other | **(269)** | (269) |  | **(10)** | (41) | 31 |
| Total reportable segments | $**20700** | $21928 | $(1228) | $**937** | $1046 | $(109) |

---

***BODY EXTERIORS & STRUCTURES***

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the six months** | **For the six months** | | |
|  | **ended June 30,** | **ended June 30,** | | |
|  | **2025** | 2024 | Change | Change |
| **Sales** | $**8219** | $8894 | $(675) | 8% |
| **Adjusted EBIT** | $**577** | $639 | $(62) | 10% |
| **Adjusted EBIT as a percentage of sales** | **7.0%** | 7.2% |  | 0.2% |

---

![](tm2519795d1ex99-2sp3img003.jpg)

**Sales – Body Exteriors & Structures**

Sales decreased 8%, or $675 million, to $8.22 billion for the six months ended June 30, 2025, compared to $8.89 billion for the six months ended June 30, 2024, primarily due to:

· lower light vehicle production
 in North America and Europe;

· the
 end of production of certain programs, including the:

&nbsp;&nbsp;&nbsp;&nbsp;· Chevrolet
 Malibu; and

&nbsp;&nbsp;&nbsp;&nbsp;· Ford
 Edge;

· divestitures subsequent
 to the first six months of 2024, which decreased sales by $119 million;

· the
 net weakening of foreign currencies against the U.S. dollar, which decreased reported U.S.
 dollar sales by $35 million; and

· net customer price concessions
 subsequent to the first six months of 2024.

These factors were partially offset by:

· the launch of programs during or subsequent to the first six months of 2024, including the:

&nbsp;&nbsp;&nbsp;&nbsp;· GMC Acadia, Chevrolet Traverse and Buick Enclave;

&nbsp;&nbsp;&nbsp;&nbsp;· Jeep Wagoneer S;

&nbsp;&nbsp;&nbsp;&nbsp;· Skoda Elroq; and

&nbsp;&nbsp;&nbsp;&nbsp;· Cadillac Escalade IQ and IQL; and

· commercial items in the first six months of 2025 and 2024, which had a net favourable impact on a year-over-year
basis.

Magna International Inc. Second Quarter Report 2025 19

![](tm2519795d1_ex99-2sp4img01.jpg)

**Adjusted EBIT and Adjusted EBIT as a percentage of sales – Body Exteriors & Structures**

Adjusted EBIT decreased $62 million to $577 million for the six months ended June 30, 2025, compared to $639 million for the six months ended June 30, 2024, and Adjusted EBIT as a percentage of sales decreased to 7.0% from 7.2%. These decreases were primarily as a result of:

· reduced
 earnings on lower sales;

· net
 transactional foreign exchange losses in the first six months of 2025, compared to net transactional
 foreign exchange gains in the first six months of 2024;

· higher
 pre-operating costs incurred at new facilities;

· higher
 production input costs net of customer recoveries, primarily for labour;

· higher
 tariff costs; and

· divestitures
 subsequent to the first six months of 2024.

These factors were partially offset by:

· productivity
 and efficiency improvements, including the benefit of operational excellence initiatives
 and restructuring activities in prior periods;

· commercial
 items in the first six months of 2025 and 2024, which had a net favourable impact on a year-over-year
 basis;

· supply
 chain premiums in 2024, partially as a result of a supplier bankruptcy; and

· lower
 net warranty costs of $10 million.

 **

***POWER & VISION***

 **

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the six months** | **For the six months** | | |
|  | **ended June 30,** | **ended June 30,** | | |
|  | **2025** | 2024 | Change | Change |
| **Sales** | $**7503** | $7768 | $(265) | 3% |
| **Adjusted EBIT** | $**286** | $296 | $(10) | 3% |
| **Adjusted EBIT as a percentage of sales** | **3.8%** | 3.8% |  |  |

---

 ****

 ****

**Sales – Power & Vision**

Sales decreased 3%, or $265 million, to $7.50 billion for the six months ended June 30, 2025, compared to $7.77 billion for the six months ended June 30, 2024, primarily due to:

· lower light vehicle production
 in North America and Europe;

· the
 end of production of certain programs, including the:

&nbsp;&nbsp;&nbsp;&nbsp;· Fiat
 500C; and

&nbsp;&nbsp;&nbsp;&nbsp;· Cadillac
 XT4; and

· net customer price concessions
 subsequent to the first six months of 2024.

**20 Magna International Inc. Second Quarter Report 2025**

These factors were partially offset by:

· the
 launch of programs during or subsequent to the first six months of 2024, including the:

&nbsp;&nbsp;&nbsp;&nbsp;· Mercedes-Benz
 G-Class;

&nbsp;&nbsp;&nbsp;&nbsp;· GMC
 Acadia, Chevrolet Traverse and Buick Enclave;

&nbsp;&nbsp;&nbsp;&nbsp;· Mini
 Cooper; and

&nbsp;&nbsp;&nbsp;&nbsp;· Jetour
 X70;

· customer
 price increases to partially recover certain higher production input costs; and

· the net strengthening of
 foreign currencies against the U.S. dollar, which increased reported U.S. dollar sales by
 $8 million.

![](tm2519795d1_ex99-2sp4img03.jpg)

**Adjusted EBIT and Adjusted EBIT as a percentage of sales – Power & Vision**

Adjusted EBIT decreased $10 million to $286 million for the six months ended June 30, 2025, compared to $296 million for the six months ended June 30, 2024, and Adjusted EBIT as a percentage of sales was 3.8% for both periods. Factors decreasing Adjusted EBIT and impacting Adjusted EBIT as a percentage of sales included:

· higher
 tariff costs;

· net
 transactional foreign exchange losses in the first six months of 2025, compared to net transactional
 foreign exchange gains in the first six months of 2024; and

· reduced
 earnings on lower sales.

These factors were partially offset by:

· higher
 customer recoveries and lower production input costs, primarily for certain commodities;

· productivity
 and efficiency improvements, including the benefit of operational excellence initiatives
 and restructuring activities in prior periods; and

· lower
 launch costs.

 **

***SEATING SYSTEMS***

 **

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the six months** | **For the six months** | | |
|  | **ended June 30,** | **ended June 30,** | | |
|  | **2025** | 2024 | Change | Change |
| **Sales** | $**2745** | $2910 | $(165) | 6% |
| **Adjusted EBIT** | $**12** | $105 | $(93) | 89% |
| **Adjusted EBIT as a percentage of sales** | **0.4%** | 3.6% |  | 3.2% |

---

 ****

 ****

**Magna International Inc. Second Quarter Report 2025 21**

**Sales – Seating Systems**

Sales decreased 6%, or $165 million, to $2.75 billion for the six months ended June 30, 2025, compared to $2.91 billion for the six months ended June 30, 2024, primarily due to:

· lower
 production on certain programs, including the:

&nbsp;&nbsp;&nbsp;&nbsp;· Jeep
 Grand Cherokee;

&nbsp;&nbsp;&nbsp;&nbsp;· Volvo
 EX30;

&nbsp;&nbsp;&nbsp;&nbsp;· Chrysler
 Pacifica; and

&nbsp;&nbsp;&nbsp;&nbsp;· BMW
 X5;

· the
 end of production of certain programs, including the:

&nbsp;&nbsp;&nbsp;&nbsp;· Ford
 Edge; and

&nbsp;&nbsp;&nbsp;&nbsp;· Volkswagen
 Transporter; and

· net
 customer price concessions subsequent to the first six months of 2024.

These factors were partially offset by:

· the
 launch of programs during or subsequent to the first six months of 2024, including the:

&nbsp;&nbsp;&nbsp;&nbsp;· BYD
 Qin L DM-i;

&nbsp;&nbsp;&nbsp;&nbsp;· GMC
 Acadia, Chevrolet Traverse and Buick Enclave;

&nbsp;&nbsp;&nbsp;&nbsp;· Skoda
 Elroq; and

&nbsp;&nbsp;&nbsp;&nbsp;· Audi
 A5; and

· commercial
 items in the first six months of 2025 and 2024, which had a net favourable impact on a year-over-year
 basis.

![](tm2519795d1_ex99-2sp4img05.jpg)

**Adjusted EBIT and Adjusted EBIT as a percentage of sales – Seating Systems**

Adjusted EBIT decreased $93 million to $12 million for the six months ended June 30, 2025, compared to $105 million for the six months ended June 30, 2024, and Adjusted EBIT as a percentage of sales decreased to 0.4% from 3.6%. These decreases were primarily due to:

· reduced
 earnings on lower sales;

· higher
 net warranty costs of $29 million;

· higher
 tariff costs;

· net
 transactional foreign exchange losses in the first six months of 2025, compared to net transactional
 foreign exchange gains in the first six months of 2024; and

· higher
 production input costs net of customer recoveries, primarily relating to certain commodities
 and labour.

These factors were partially offset by higher equity income.

***COMPLETE VEHICLES***

 ****

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **For the six months** | **For the six months** | | | |
|  | **ended June 30,** | **ended June 30,** | | | |
|  | **2025** | 2024 | Change | Change | Change |
| **Complete Vehicle Assembly Volumes** *(thousands of units)<sup>(i)</sup>* | **33.7** | 40.9 | 7.2 | - | 18% |
| **Sales** | $**2502** | $2625 | $(123) | - | 5% |
| **Adjusted EBIT** | $**72** | $47 | $25 | + | 53% |
| **Adjusted EBIT as a percentage of sales** | **2.9%** | 1.8% |  | + | 1.1% |

---

 ****

*(i) Vehicles produced at our Complete Vehicle operations are included in Europe Light Vehicle Production volumes.*

 

**22 Magna International Inc. Second Quarter Report 2025**

 

**Sales – Complete Vehicles**

Sales decreased 5%, or $123 million, to $2.50 billion for the six months ended June 30, 2025, compared to $2.63 billion for the six months ended June 30, 2024, and assembly volumes decreased 18%. The decrease in sales is substantially a result of lower assembly volumes, including the end of production of the Jaguar I-Pace and Jaguar E-Pace. These factors were partially offset by: the launch of the electric version of the Mercedes-Benz G-Class during the fourth quarter of 2024; and a $21 million increase in reported U.S. dollar sales as a result of the strengthening of the euro against the U.S. dollar.

![](tm2519795d1_ex99-2sp4img07.jpg)

**Adjusted EBIT and Adjusted EBIT as a percentage of sales – Complete Vehicles**

Adjusted EBIT increased $25 million to $72 million for the six months ended June 30, 2025, compared to $47 million for the six months ended June 30, 2024, and Adjusted EBIT as a percentage of sales increased to 2.9% from 1.8%. These increases were primarily due to:

· productivity
 and efficiency improvements, including the benefit of operational excellence initiatives
 and restructuring activities in prior periods;

· higher
 engineering margins; and

· lower restructuring costs.

These factors were partially offset by:

· reduced
 earnings on lower assembly volumes; and

· commercial
 items in the first six months of 2025 and 2024, which had a net unfavourable impact on a
 year-over-year basis.

***CORPORATE AND OTHER***

Adjusted EBIT was a loss of $10 million for the six months ended June 30, 2025, compared to a loss of $41 million for the six months ended June 30, 2024. The $31 million improvement was primarily the result of:

· net
 transactional foreign exchange gains in the first six months of 2025, compared to net transactional
 foreign exchange losses in the first six months of 2024;

· lower
 investments in research, development and new mobility; and

· higher
 equity income.

These factors were partially offset by

· a
 gain on the sale of an equity-method investment during the first six months of 2024;

· higher
 incentive and stock-based compensation; and

· a
 decrease in fees received from our divisions.

**Magna International Inc. Second Quarter Report 2025 23**

**NON-GAAP PERFORMANCE MEASURES - FOR THE SIX MONTHS ENDED JUNE 30, 2025**

***ADJUSTED EBIT AS A PERCENTAGE OF SALES***

 ****

 **

The table below shows the change in Magna's Sales and Adjusted EBIT by segment, as well as the impact each segment's changes have on Magna's Adjusted EBIT as a percentage of sales, for the six months ended June 30, 2025 compared to the six months ended June 30, 2024:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | | | Adjusted EBIT | Adjusted EBIT |
|  | | | as a percentage | as a percentage |
|  |<br>Sales |<br>Adjusted<br>EBIT | of sales | of sales |
| Six months ended June 30, 2024 | $21928 | $1046 |  | 4.8% |
| Increase (decrease) related to: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Body Exteriors & Structures | (675) | (62) |  | 0.1% |
| &nbsp;&nbsp;&nbsp;Power & Vision | (265) | (10) |  |  |
| &nbsp;&nbsp;&nbsp;Seating Systems | (165) | (93) |  | 0.4% |
| &nbsp;&nbsp;&nbsp;Complete Vehicles | (123) | 25 | + | 0.1% |
| &nbsp;&nbsp;&nbsp;Corporate and Other |  | 31 | + | 0.1% |
| **Six months ended June 30, 2025** | $**20700** | $**937** |  | **4.5%** |

---

Adjusted EBIT as a percentage of sales decreased to 4.5% for the six months ended June 30, 2025, compared to 4.8% for the six months ended June 30, 2024, primarily due to:

· reduced
 earnings on lower sales;

· higher
 tariff costs;

· net
 transactional foreign exchange losses in the first six months of 2025, compared to net transactional
 foreign exchange gains in the first six months of 2024;

· higher
 pre-operating costs incurred at new facilities;

· higher
 net warranty costs; and

· reduced earnings on lower
 assembly volumes.

These factors were partially offset by:

· productivity
 and efficiency improvements, including the benefit of operational excellence initiatives
 and restructuring activities in prior periods;

· commercial
 items in the first six months of 2025 and 2024, which had a net favourable impact on a year-over-year
 basis;

· lower
 launch costs; and

· supply
 chain premiums in 2024, partially as a result of a supplier bankruptcy.

**24 Magna International Inc. Second Quarter Report 2025**

**ADJUSTED RETURN ON INVESTED CAPITAL**

 ****

 **

Adjusted Return on Invested Capital decreased to 7.7% for the six months ended June 30, 2025, compared to 8.6% for the six months ended June 30, 2024, as a result of a decrease in Adjusted After-tax operating profits and higher Average Invested Capital.

Average Invested Capital increased $75 million to $18.97 billion for the six months ended June 30, 2025, compared to $18.90 billion for the six months ended June 30, 2024, primarily due to:

· average
 investment in fixed assets in excess of average depreciation expense on fixed assets; and

· average
 investment in operating lease right-of-use assets in excess of average amortization expense
 on operating lease right-of-use assets.

These factors were partially offset by:

· the
 net weakening of foreign currencies against the U.S. dollar;

· a
 decrease in average operating assets and liabilities;

· long-lived
 asset impairments during or subsequent to the first six months of 2024;

· divestitures,
 net of acquisitions, during or subsequent to the first six months of 2024; and

· lower
 net investments in public and private equity companies and public company warrants.

**Magna International Inc. Second Quarter Report 2025 25**

**NON-GAAP FINANCIAL MEASURES RECONCILIATION**

 ****

The reconciliation of Non-GAAP financial measures is as follows:

 **

***ADJUSTED EBIT***

 **

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the three months** | **For the three months** | **For the six months** | **For the six months** |
|  | **ended June 30,** | **ended June 30,** | **ended June 30,** | **ended June 30,** |
|  | **2025** | 2024 | **2025** | 2024 |
| Net income | $**394** | $328 | $**547** | $354 |
| Add: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Amortization of acquired intangible assets | **29** | 28 | **55** | 56 |
| &nbsp;&nbsp;&nbsp;Interest expense, net | **52** | 54 | **102** | 105 |
| &nbsp;&nbsp;&nbsp;Other expense, net | **6** | 68 | **59** | 424 |
| &nbsp;&nbsp;&nbsp;Income taxes | **102** | 99 | **174** | 107 |
| Adjusted EBIT | $**583** | $577 | $**937** | $1046 |

---

 **

***ADJUSTED EBIT AS A PERCENTAGE OF SALES***

 **

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the three months** | **For the three months** | **For the six months** | **For the six months** |
|  | **ended June 30,** | **ended June 30,** | **ended June 30,** | **ended June 30,** |
|  | **2025** | 2024 | **2025** | 2024 |
| **Sales** | $**10631** | $10958 | $**20700** | $21928 |
| **Adjusted EBIT** | $**583** | $577 | $**937** | $1046 |
| **Adjusted EBIT as a percentage of sales** | **5.5%** | 5.3% | **4.5%** | 4.8% |

---

***ADJUSTED DILUTED EARNINGS PER SHARE***

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the three months** | **For the three months** | **For the six months** | **For the six months** |
|  | **ended June 30,** | **ended June 30,** | **ended June 30,** | **ended June 30,** |
|  | **2025** | 2024 | **2025** | 2024 |
| Net income attributable to Magna International Inc. | $**379** | $313 | $**525** | $322 |
| Add (deduct): |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Amortization of acquired intangible assets | **29** | 28 | **55** | 56 |
| &nbsp;&nbsp;&nbsp;Other expense, net | **6** | 68 | **59** | 424 |
| &nbsp;&nbsp;&nbsp;Tax effect on Amortization of acquired intangible assets and Other expense, net | **(7)** | (20) | **(13)** | (102) |
| Adjusted net income attributable to Magna International Inc. | **407** | 389 | **626** | 700 |
| Diluted weighted average number of Common Shares outstanding during the period (millions) | **281.7** | 287.3 | **281.9** | 287.2 |
| Adjusted diluted earnings per share | $**1.44** | $1.35 | $**2.22** | $2.44 |

---

 ****

**26 Magna International Inc. Second Quarter Report 2025**

***ADJUSTED RETURN ON INVESTED CAPITAL***

Adjusted Return on Invested Capital is calculated as Adjusted After-tax operating profits divided by Average Invested Capital for the period. Average Invested Capital for the three month period is averaged on a two-fiscal quarter basis and for the six month period is averaged on a three-fiscal quarter basis.

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the three months** | **For the three months** | **For the six months** | **For the six months** |
|  | **ended June 30,** | **ended June 30,** | **ended June 30,** | **ended June 30,** |
|  | **2025** | 2024 | **2025** | 2024 |
| Net income | $**394** | $328 | $**547** | $354 |
| Add (deduct): |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Amortization of acquired intangible assets | **29** | 28 | **55** | 56 |
| &nbsp;&nbsp;&nbsp;Interest expense, net | **52** | 54 | **102** | 105 |
| &nbsp;&nbsp;&nbsp;Other expense, net | **6** | 68 | **59** | 424 |
| &nbsp;&nbsp;&nbsp;Tax effect on Interest expense, net, Amortization of acquired intangible assets and Other expense, net | **(18)** | (32) | **(37)** | (125) |
| Adjusted After-tax operating profits | $**463** | $446 | $**726** | $814 |

---

---

| | | |
|:---|:---|:---|
|  | **As at June 30,** | **As at June 30,** |
|  | **2025** | 2024 |
| Total Assets | $**33175** | $31986 |
| &nbsp;&nbsp;&nbsp;Excluding: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents | **(1536)** | (999) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred tax assets | **(902)** | (807) |
| Less Current Liabilities | **(12350)** | (12449) |
| &nbsp;&nbsp;&nbsp;Excluding: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Short-term borrowings | **349** | 848 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Long-term debt due within one year | **706** | 65 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Current portion of operating lease liabilities | **318** | 306 |
| Invested Capital | $**19760** | $18950 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the three months** | **For the three months** | **For the six months** | **For the six months** |
|  | **ended June 30,** | **ended June 30,** | **ended June 30,** | **ended June 30,** |
|  | **2025** | 2024 | **2025** | 2024 |
| Adjusted After-tax operating profits | $**463** | $446 | $**726** | $814 |
| Average Invested Capital | $**19385** | $18880 | $**18972** | $18897 |
| Adjusted Return on Invested Capital | **9.6%** | 9.4% | **7.7%** | 8.6% |

---

**COMMITMENTS AND CONTINGENCIES**

From time to time, we may be contingently liable for litigation, legal and/or regulatory actions and proceedings, and other claims. Refer to Note 14, "Contingencies" of our unaudited interim consolidated financial statements for the three and six months ended June 30, 2025.

For a discussion of risk factors relating to legal and other claims/actions against us, refer to "Item 5. Risk Factors" in our Annual Information Form, filed with the securities commissions in Canada, our Annual Report on Form 40-F, filed with the United States Securities and Exchange Commission, each in respect of the year ended December 31, 2024, and updated in our subsequent quarterly filings.

**CONTROLS AND PROCEDURES**

There have been no changes in our internal controls over financial reporting that occurred during the three months ended June 30, 2025, that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

**Magna International Inc. Second Quarter Report 2025 27**

**FORWARD-LOOKING STATEMENTS**

Certain statements in this MD&A may constitute "forward-looking information" or "forward-looking statements" (collectively, "forward-looking statements"). Any such forward-looking statements are intended to provide information about management's current expectations and plans and may not be appropriate for other purposes. Forward-looking statements may include financial and other projections, as well as statements regarding our future plans, strategic objectives or economic performance, or the assumptions underlying any of the foregoing, and other statements that are not recitations of historical fact. We use words such as "may", "would", "could", "should", "will", "likely", "expect", "anticipate", "assume", "believe", "intend", "plan", "aim", "forecast", "outlook", "project", "potential", "estimate", "target" and similar expressions suggesting future outcomes or events to identify forward-looking statements.

Forward-looking statements are based on information currently available to us and are based on assumptions and analyses made by us in light of our experience and our perception of historical trends, current conditions and expected future developments, as well as other factors we believe are appropriate in the circumstances. While we believe we have a reasonable basis for making any such forward-looking statements, they are not a guarantee of future performance or outcomes. Whether actual results and developments conform to our expectations and predictions is subject to a number of risks, assumptions, and uncertainties, many of which are beyond our control, and the effects of which can be difficult to predict, including, without limitation:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Macroeconomic, Geopolitical and Other Risks**<br>· unpredictable tariff and trade environment;<br> · trade disputes and threats to free trade agreements;<br> · consumer confidence levels;<br> · increasing economic uncertainty;<br> · interest rates and availability of consumer credit;<br> · geopolitical risks;<br>**Risks Related to the Automotive Industry** <br>· program deferrals, cancellations and volume reductions;<br> · economic cyclicality;<br> · regional production volume declines;<br> · deteriorating vehicle affordability;<br> · uncertain pace of EV adoption, including North American electric vehicle program deferrals, cancellations and volume reductions;<br> · intense competition;<br>**Strategic Risks**<br>· planning and forecasting challenges;<br> · evolution of the vehicle;<br> · evolving business risk profile;<br> · technology and innovation;<br> · investments in mobility and technology companies;<br>**Customer-Related Risks**<br>· customer concentration;<br> · market shifts;<br> · growth of EV-focused OEMs, particularly Chinese OEMs;<br> · risks of conducting business with newer EV-focused OEMs;<br> · dependence on outsourcing;<br> · customer cooperation and consolidation;<br> · consumer take rate shifts;<br> · customer purchase orders;<br> · potential OEM production-related disruptions;<br>**Supply Chain Risks**<br>· supply base;<br> · supplier claims;<br> · supply chain disruptions;<br> · regional energy supply and pricing;<br>**Manufacturing/Operational Risks**<br>· product launch;<br> · operational underperformance;<br> · restructuring costs and impairment charges, including due to 'reshoring' of production to the U.S.;<br> · skilled labour attraction/retention;<br> · leadership expertise and succession; | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Pricing Risks**<br>· quote/pricing assumptions;<br> · customer pricing pressure/contractual arrangements;<br> · commodity cost volatility;<br> · scrap steel/aluminum price volatility;<br>**Warranty/Recall Risks**<br>· repair/replace costs;<br> · warranty provisions;<br> · product liability;<br>**Climate Change Risks**<br>· transition risks and physical risks;<br> · strategic and other risks;<br>**IT Security/Cybersecurity Risks**<br>· IT/cybersecurity breach;<br> · product cybersecurity;<br>**Acquisition Risks**<br>· inherent merger and acquisition risks;<br> · acquisition integration and synergies;<br>**Other Business Risks**<br>· joint ventures;<br> · intellectual property;<br> · risks of doing business in foreign markets;<br> · relative foreign exchange rates;<br> · pension risks;<br> · tax risks, including our dispute with the Mexican tax authority regarding VAT;<br> · returns on capital investments;<br> · financial flexibility;<br> · credit ratings changes;<br> · stock price fluctuation;<br>**Legal, Regulatory and Other Risks**<br>· legal and regulatory proceedings;<br> · changes in laws; and<br> · environmental compliance. |

---

**28 Magna International Inc. Second Quarter Report 2025**

**In evaluating forward-looking statements, we caution readers not to place undue reliance on any forward-looking statement. Additionally, readers should specifically consider the various factors which could cause actual events or results to differ materially from those indicated by such forward-looking statements, including the risks, assumptions and uncertainties above which are:**

· **discussed under the "Industry Trends and Risks" heading of our Management** ' **s Discussion and Analysis; and** 

· **set out in our Annual Information Form filed with securities commissions in Canada, our annual report on Form 40-F filed with the United States Securities and Exchange Commission, and subsequent filings.** 

**Readers should also consider discussion of our risk mitigation activities with respect to certain risk factors, which can also be found in our Annual Information Form. Additional information about Magna, including our Annual Information Form, is available through the System for Electronic Data Analysis and Retrieval+ (SEDAR+) at <u>www.sedarplus.ca</u>, as well as on the United States Securities and Exchange Commission's Electronic Data Gathering, Analysis and Retrieval System (EDGAR), which can be accessed at <u>www.sec.gov</u>.**

**Magna International Inc. Second Quarter Report 2025 29**

**MAGNA INTERNATIONAL INC.**

**CONSOLIDATED STATEMENTS OF INCOME**

*[Unaudited]*

*[U.S. dollars in millions, except per share figures]*

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | | **Three months ended** | **Three months ended** | **Six months ended** | **Six months ended** |
|  | | **June 30,** | **June 30,** | **June 30,** | **June 30,** |
|  | <br>Note | **2025** | 2024 | **2025** | 2024 |
| **Sales** | 15 | $**10631** | $10958 | $**20700** | $21928 |
| **Costs and expenses** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Cost of goods sold |  | **9127** | 9494 | **17954** | 19136 |
| &nbsp;&nbsp;&nbsp;Selling, general and administrative |  | **565** | 523 | **1104** | 1039 |
| &nbsp;&nbsp;&nbsp;Depreciation |  | **388** | 373 | **757** | 750 |
| &nbsp;&nbsp;&nbsp;Amortization of acquired intangible assets |  | **29** | 28 | **55** | 56 |
| &nbsp;&nbsp;&nbsp;Interest expense, net |  | **52** | 54 | **102** | 105 |
| &nbsp;&nbsp;&nbsp;Equity income |  | **(32)** | (9) | **(52)** | (43) |
| &nbsp;&nbsp;&nbsp;Other expense, net | 2 | **6** | 68 | **59** | 424 |
| Income from operations before income taxes |  | **496** | 427 | **721** | 461 |
| Income taxes | 10 | **102** | 99 | **174** | 107 |
| **Net income** |  | **394** | 328 | **547** | 354 |
| Income attributable to non-controlling interests |  | **(15)** | (15) | **(22)** | (32) |
| **Net income attributable to Magna International Inc.** |  | $**379** | $313 | $**525** | $322 |
| Earnings per Common Share: | 3 |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Basic |  | $**1.35** | $1.09 | $**1.86** | $1.12 |
| &nbsp;&nbsp;&nbsp;Diluted |  | $**1.35** | $1.09 | $**1.86** | $1.12 |
| Cash dividends paid per Common Share |  | $**0.485** | $0.475 | $**0.970** | $0.950 |
| Weighted average number of Common Shares outstanding during the period [in millions]: | 3 |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic |  | **281.7** | 287.3 | **281.9** | 287.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Diluted |  | **281.7** | 287.3 | **281.9** | 287.2 |

---

*See accompanying notes*

**30 Magna International Inc. Second Quarter Report 2025**

**MAGNA INTERNATIONAL INC.**

**CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)**

*[Unaudited]*

*[U.S. dollars in millions]*

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | | **Three months ended** | **Three months ended** | **Six months ended** | **Six months ended** |
|  | | **June 30,** | **June 30,** | **June 30,** | **June 30,** |
|  | <br>Note | **2025** | 2024 | **2025** | 2024 |
| **Net income** |  | $**394** | $328 | $**547** | $354 |
| Other comprehensive income (loss), net of tax: | 12 |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Net unrealized gain (loss) on translation of net investment in foreign operations |  | **381** | (66) | **568** | (308) |
| &nbsp;&nbsp;&nbsp;Net unrealized gain (loss) on cash flow hedges |  | **98** | (6) | **147** | (19) |
| &nbsp;&nbsp;&nbsp;Reclassification of net loss (gain) on cash flow hedges to net income |  | **7** | (17) | **23** | (46) |
| &nbsp;&nbsp;&nbsp;Reclassification of net loss on pensions to net income |  | **1** |  | **2** | 1 |
| **Other comprehensive income (loss)** |  | **487** | (89) | **740** | (372) |
| Comprehensive income (loss) |  | **881** | 239 | **1287** | (18) |
| Comprehensive income attributable to non-controlling interests |  | **(20)** | (9) | **(28**) | (19) |
| **Comprehensive income (loss) attributable to Magna International Inc.** |  | $**861** | $230 | $**1259** | $(37) |

---

*See accompanying notes*

**Magna International Inc. Second Quarter Report 2025 31**

**MAGNA INTERNATIONAL INC.**

**CONSOLIDATED BALANCE SHEETS**

*[Unaudited]*

*[U.S. dollars in millions]*

---

| | | | |
|:---|:---|:---|:---|
|  | <br>Note | **As at**<br>**June 30,**<br>**2025** | As at<br>December 31,<br>2024 |
| **ASSETS** |  |  |  |
| **Current assets** |  |  |  |
| Cash and cash equivalents | 4 | $**1536** | $1247 |
| Accounts receivable |  | **8258** | 7376 |
| Inventories | 5 | **4207** | 4151 |
| Prepaid expenses and other |  | **333** | 344 |
|  |  | **14334** | 13118 |
| Investments | 6 | **1129** | 1045 |
| Fixed assets, net |  | **9853** | 9584 |
| Operating lease right-of-use assets |  | **2061** | 1941 |
| Intangible assets, net |  | **738** | 738 |
| Goodwill |  | **2883** | 2674 |
| Deferred tax assets |  | **902** | 819 |
| Other assets | 7 | **1275** | 1120 |
|  |  | $**33175** | $31039 |
| **LIABILITIES AND SHAREHOLDERS' EQUITY** |  |  |  |
| **Current liabilities** |  |  |  |
| Short-term borrowings | 9 | $**349** | $271 |
| Accounts payable |  | **7127** | 7194 |
| Other accrued liabilities | 8 | **2845** | 2572 |
| Accrued salaries and wages |  | **917** | 867 |
| Income taxes payable |  | **88** | 192 |
| Long-term debt due within one year |  | **706** | 708 |
| Current portion of operating lease liabilities |  | **318** | 293 |
|  |  | **12350** | 12097 |
| Long-term debt | 9 | **4984** | 4134 |
| Operating lease liabilities |  | **1759** | 1662 |
| Long-term employee benefit liabilities |  | **574** | 533 |
| Other long-term liabilities |  | **267** | 396 |
| Deferred tax liabilities |  | **338** | 277 |
|  |  | **20272** | 19099 |
| **Shareholders' equity** |  |  |  |
| Capital stock |  |  |  |
| &nbsp;&nbsp;&nbsp;Common Shares |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[issued: 281,778,768; December 31, 2024 – 282,875,928] | 11 | **3363** | 3359 |
| Contributed surplus |  | **161** | 149 |
| Retained earnings |  | **9806** | 9598 |
| Accumulated other comprehensive loss | 12 | **(848)** | (1584) |
|  |  | **12482** | 11522 |
| Non-controlling interests |  | **421** | 418 |
|  |  | **12903** | 11940 |
|  |  | $**33175** | $31039 |

---

*See accompanying notes*

**32 Magna International Inc. Second Quarter Report 2025**

**MAGNA INTERNATIONAL INC.**

**CONSOLIDATED STATEMENTS OF CASH FLOWS**

*[Unaudited]*

*[U.S. dollars in millions]*

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | | **Three months ended<br> June 30,** | **Three months ended<br> June 30,** | **Six months ended<br> June 30,** | **Six months ended<br> June 30,** |
|  |<br>Note | **2025** | 2024 | **2025** | 2024 |
| **Cash provided from (used for):** |  |  |  |  |  |
| **OPERATING ACTIVITIES** |  |  |  |  |  |
| Net income |  | $**394** | $328 | $**547** | $354 |
| Items not involving current cash flows | 4 | **368** | 353 | **762** | 918 |
|  |  | **762** | 681 | **1309** | 1272 |
| Changes in operating assets and liabilities | 4 | **(135)** | 55 | **(605)** | (275) |
| **Cash provided from operating activities** |  | **627** | 736 | **704** | 997 |
| **INVESTMENT ACTIVITIES** |  |  |  |  |  |
| Fixed asset additions |  | **(246**) | (500) | **(514**) | (993) |
| Acquisitions |  | **4** | (56) | **—** | (86) |
| (Increase) decrease in public and private equity investments |  | **(3)** | 2 | **(4)** | (21) |
| Increase in investments, other assets and intangible assets |  | **(94)** | (170) | **(242)** | (295) |
| Proceeds from dispositions |  | **14** | 57 | **40** | 144 |
| Net cash inflow from disposal of facilities |  | **—** |  | **—** | 4 |
| **Cash used for investing activities** |  | **(325)** | (667) | **(720)** | (1247) |
| **FINANCING ACTIVITIES** |  |  |  |  |  |
| Issues of debt | 9 | **1045** | 333 | **1046** | 758 |
| (Decrease) increase in short-term borrowings |  | **(297)** | 19 | **31** | 360 |
| Repayments of debt |  | **(407)** | (768) | **(414)** | (777) |
| Issues of Common Shares on exercise of stock options |  | **—** |  | **—** | 30 |
| Tax withholdings on vesting of equity awards |  | **—** | (1) | **(4)** | (5) |
| Repurchase of Common Shares | 11 | **—** | (2) | **(51)** | (5) |
| Dividends paid to non-controlling interests |  | **(25)** | (26) | **(25)** | (26) |
| Dividends |  | **(137)** | (134) | **(273)** | (268) |
| **Cash provided from (used for) financing activities** |  | **179** | (579) | **310** | 67 |
| Effect of exchange rate changes on cash and cash equivalents |  | **(4)** | (8) | **(5)** | (16) |
| Net decrease in cash and cash equivalents during the period |  | **477** | (518) | **289** | (199) |
| Cash and cash equivalents, beginning of period |  | **1059** | 1517 | **1247** | 1198 |
| **Cash and cash equivalents, end of period** | 4 | $**1536** | $999 | $**1536** | $999 |

---

*See accompanying notes*

Magna International Inc. Second Quarter Report 2025 33

**MAGNA INTERNATIONAL INC.**

**CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY**

*[Unaudited]*

*[U.S. dollars in millions]*

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Six months ended June 30, 2025** | **Six months ended June 30, 2025** | **Six months ended June 30, 2025** | **Six months ended June 30, 2025** | **Six months ended June 30, 2025** | **Six months ended June 30, 2025** | **Six months ended June 30, 2025** | **Six months ended June 30, 2025** |
|  | | **Common Shares** | **Common Shares** | | | | | |
|  | <br>**Note** | **Number** | **Stated <br> Value** | <br>**Contributed<br> Surplus** | <br>**Retained<br> Earnings** | <br>**AOCL<sup>[i]</sup>** | <br>**Non-<br> controlling<br> Interests** | <br>**Total<br> Equity** |
|  |  | ***[in millions]*** |  |  |  |  |  |  |
| **Balance, December 31, 2024** |  | **282.9** | $**3359** | $**149** | $**9598** | $**(1584)** | $**418** | $**11940** |
| Net income |  |  |  |  | 525 |  | 22 | 547 |
| Other comprehensive income |  |  |  |  |  | 734 | 6 | 740 |
| Release of stock and stock units |  | 0.2 | 18 | (18) |  |  |  |  |
| Tax withholdings on vesting of equity awards |  | (0.1) | (1) |  | (3) |  |  | (4) |
| Repurchase and cancellation under normal course issuer bid | 11 | (1.3) | (16) |  | (38) | 2 |  | (52) |
| Stock-based compensation expense |  |  |  | 30 |  |  |  | 30 |
| Dividends paid to non-controlling interests |  |  |  |  |  |  | (25) | (25) |
| Dividends paid |  |  | 3 |  | (276) |  |  | (273) |
| **Balance, June 30, 2025** |  | **281.7** | $**3363** | $**161** | $**9806** | $**(848)** | $**421** | $**12903** |

---

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Three months ended June 30, 2025** | **Three months ended June 30, 2025** | **Three months ended June 30, 2025** | **Three months ended June 30, 2025** | **Three months ended June 30, 2025** | **Three months ended June 30, 2025** | **Three months ended June 30, 2025** | **Three months ended June 30, 2025** |
|  | | **Common Shares** | **Common Shares** | | | | | |
|  | <br>**Note** | **Number** | **Stated <br> Value** | <br>**Contributed<br> Surplus** | <br>**Retained<br> Earnings** | <br>**AOCL<sup>[i]</sup>** | <br>**Non-<br> controlling<br> Interests** | <br>**Total<br> Equity** |
|  |  | ***[in millions]*** |  |  |  |  |  |  |
| **Balance, March 31, 2025** |  | **281.7** | $**3362** | $**143** | $**9565** | $**(1330)** | $**426** | $**12166** |
| Net income |  |  |  |  | 379 |  | 15 | 394 |
| Other comprehensive income |  |  |  |  |  | 482 | 5 | 487 |
| Stock-based compensation expense |  |  |  | 18 |  |  |  | 18 |
| Dividends paid to non-controlling interests |  |  |  |  |  |  | (25) | (25) |
| Dividends paid |  |  | 1 |  | (138) |  |  | (137) |
| **Balance, June 30, 2025** |  | **281.7** | $**3363** | $**161** | $**9806** | $**(848)** | $**421** | $**12903** |

---

*<sup>[i]</sup> AOCL is Accumulated Other Comprehensive Loss.*

*See accompanying notes*

34 Magna International Inc. Second Quarter Report 2025

 

**MAGNA INTERNATIONAL INC.**

**CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY** 

*[Unaudited]*

*[U.S. dollars in millions]*

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Six months ended June 30, 2024** | **Six months ended June 30, 2024** | **Six months ended June 30, 2024** | **Six months ended June 30, 2024** | **Six months ended June 30, 2024** | **Six months ended June 30, 2024** | **Six months ended June 30, 2024** | **Six months ended June 30, 2024** |
|  | | **Common Shares** | **Common Shares** | | | | | |
|  | <br>**Note** | **Number** | **Stated <br> Value** | <br>**Contributed<br> Surplus** | <br>**Retained<br> Earnings** | <br>**AOCL<sup>[i]</sup>** | <br>**Non-<br> controlling<br> Interests** | <br>**Total<br> Equity** |
|  |  | ***[in millions]*** |  |  |  |  |  |  |
| **Balance, December 31, 2023** |  | **286.6** | $**3354** | $**125** | $**9303** | $**(898)** | $**393** | $**12277** |
| Net income |  |  |  |  | 322 |  | 32 | 354 |
| Other comprehensive loss |  |  |  |  |  | (359) | (13) | (372) |
| Shares issued on exercise of stock options |  | 0.7 | 36 | (6) |  |  |  | 30 |
| Release of stock and stock units |  | 0.2 | 12 | (12) |  |  |  |  |
| Tax withholdings on vesting of equity awards |  | (0.2) | (1) |  | (4) |  |  | (5) |
| Repurchase and cancellation under normal course issuer bid |  | (0.1) | (1) |  | (4) |  |  | (5) |
| Stock-based compensation expense |  |  |  | 25 |  |  |  | 25 |
| Dividends paid to non-controlling interests |  |  |  |  |  |  | (26) | (26) |
| Dividends paid |  | 0.1 | 4 |  | (272) |  |  | (268) |
| **Balance, June 30, 2024** |  | **287.3** | $**3404** | $**132** | $**9345** | $**(1257)** | $**386** | $**12010** |

---

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Three months ended June 30, 2024** | **Three months ended June 30, 2024** | **Three months ended June 30, 2024** | **Three months ended June 30, 2024** | **Three months ended June 30, 2024** | **Three months ended June 30, 2024** | **Three months ended June 30, 2024** | **Three months ended June 30, 2024** |
|  | | **Common Shares** | **Common Shares** | | | | | |
|  | <br>**Note** | **Number** | **Stated <br> Value** | <br>**Contributed<br> Surplus** | <br>**Retained<br> Earnings** | <br>**AOCL<sup>[i]</sup>** | <br>**Non-<br> controlling<br> Interests** | <br>**Total<br> Equity** |
|  |  | ***[in millions]*** |  |  |  |  |  |  |
| **Balance, March 31, 2024** |  | **287.3** | $**3399** | $**125** | $**9171** | $**(1174)** | $**403** | $**11924** |
| Net income |  |  |  |  | 313 |  | 15 | 328 |
| Other comprehensive loss |  |  |  |  |  | (83) | (6) | (89) |
| Release of stock and stock units |  | 0.1 | 3 | (3) |  |  |  |  |
| Tax withholdings on vesting of equity awards |  | (0.1) |  |  | (1) |  |  | (1) |
| Repurchase and cancellation under normal course issuer bid |  |  |  |  | (2) |  |  | (2) |
| Stock-based compensation expense |  |  |  | 10 |  |  |  | 10 |
| Dividends paid to non-controlling interests |  |  |  |  |  |  | (26) | (26) |
| Dividends paid |  |  | 2 |  | (136) |  |  | (134) |
| **Balance, June 30, 2024** |  | **287.3** | $**3404** | $**132** | $**9345** | $**(1257)** | $**386** | $**12010** |

---

*<sup>[i]</sup> AOCL is Accumulated Other Comprehensive Loss.*

*See accompanying notes*

Magna International Inc. Second Quarter Report 2025 35

**MAGNA INTERNATIONAL INC.**

**NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

*[Unaudited]*

*[All amounts in U.S. dollars and all tabular amounts in millions unless otherwise noted]* 

1. SIGNIFICANT
 ACCOUNTING POLICIES

---

| | |
|:---|:---|
| **[a]** | **Basis of Presentation** |

---

The unaudited interim consolidated financial statements of Magna International Inc. and its subsidiaries [collectively "Magna" or the "Company"] have been prepared in U.S. dollars in accordance with accounting principles generally accepted in the United States of America ["GAAP"]. The unaudited interim consolidated financial statements do not conform in all respects to the requirements of GAAP for annual financial statements. Accordingly, these unaudited interim consolidated financial statements should be read in conjunction with the December 31, 2024 audited consolidated financial statements and notes thereto included in the Company's 2024 Annual Report.

The unaudited interim consolidated financial statements reflect all adjustments, which consist only of normal and recurring adjustments, necessary to present fairly the financial position as at June 30, 2025 and the results of operations, changes in equity, and cash flows for the three and six-month periods ended June 30, 2025 and 2024.

---

| | |
|:---|:---|
| **[b]** | **Use of Estimates** |

---

The preparation of the unaudited interim consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported and disclosed in the interim consolidated financial statements and accompanying notes. Due to the inherent uncertainty involved in making estimates, actual results could ultimately differ from those estimates.

The Company continues to closely monitor the two reporting units within its Body Exteriors & Structures and Power & Vision segments identified as having a heightened risk of impairment as at December 31, 2024 and March 31, 2025. As at June 30, 2025, no new indicators of impairment were identified.

36 Magna International Inc. Second Quarter Report 2025

**MAGNA INTERNATIONAL INC.**

**NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

*[Unaudited]*

*[All amounts in U.S. dollars and all tabular amounts in millions unless otherwise noted]* 

2. OTHER
 EXPENSE, NET

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | | **Three months ended<br> June 30,** | **Three months ended<br> June 30,** | **Six months ended<br> June 30,** | **Six months ended<br> June 30,** |
|  | | **2025** | 2024 | **2025** | 2024 |
| Restructuring activities | [a] | $**13** | $55 | $**57** | $93 |
| Investments | [b] | **(7)** | 3 | **2** | 5 |
| Impacts related to Fisker Inc. ["Fisker"] | [c] | **—** | 19 | **—** | 335 |
| Gain on business combination | [d] | **—** | (9) | **—** | (9) |
|  |  | $**6** | $68 | $**59** | $424 |

---

---

| | |
|:---|:---|
| **[a]** | **Restructuring activities** |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three months ended<br> June 30,** | **Three months ended<br> June 30,** | **Six months ended<br> June 30,** | **Six months ended<br> June 30,** |
|  | **2025** | 2024 | **2025** | 2024 |
| Power & Vision <sup>[i]</sup> | $**13** | $55 | $**24** | $55 |
| Complete Vehicles | **—** |  | **33** | 26 |
| Body Exteriors & Structures | **—** |  | **—** | 12 |
| Other expense, net | **13** | 55 | **57** | 93 |
| Tax effect | **(4)** | (10) | **(4)** | (16) |
| Net loss attributable to Magna | $**9** | $45 | $**53** | $77 |

---

<sup>[i]</sup> During the second quarter of 2025, the Company recorded $7 million of charges related to significant rightsizing activities at a facility in Europe, as well as $6 million of restructuring charges associated with its acquisition of the Veoneer Active Safety Business.

During the second quarter of 2024, the Company recorded $35 million of restructuring charges associated with its acquisition of the Veoneer Active Safety Business, and $20 million of restructuring charges related to plant closures.

---

| | |
|:---|:---|
| **[b]** | **Investments** |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three months ended<br> June 30,** | **Three months ended<br> June 30,** | **Six months ended<br> June 30,** | **Six months ended<br> June 30,** |
|  | **2025** | 2024 | **2025** | 2024 |
| Net revaluation (gain) loss on public and private equity investments | $**(4)** | $2 | $**(2)** | $4 |
| Gain on sales of public equity investments | **(3)** |  | **(4)** |  |
| Revaluation loss on public company warrants | **—** | 1 | **8** | 1 |
| Other (income) expense, net | **(7)** | 3 | **2** | 5 |
| Tax effect | **2** | (1) | **1** | (2) |
| Net (gain) loss attributable to Magna | $**(5)** | $2 | $**3** | $3 |

---

---

| | |
|:---|:---|
| **[c]** | **Impacts related to Fisker** |

---

During 2024, the Company recorded impairment charges on its Fisker related net assets, including its Fisker warrants, which were received in connection with the agreements with Fisker for platform sharing, engineering and manufacturing of the Fisker Ocean SUV. The Company also recorded additional restructuring charges during 2024 related to its Fisker related assembly operations.

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three months ended<br> June 30,** | **Three months ended<br> June 30,** | **Six months ended<br> June 30,** | **Six months ended<br> June 30,** |
|  | **2025** | 2024 | **2025** | 2024 |
| Impairment of Fisker related net assets | $**—** | $19 | $**—** | $280 |
| Impairment of Fisker warrants | **—** |  | **—** | 33 |
| Additional restructuring related to Complete Vehicles | **—** |  | **—** | 22 |
| Other expense, net | **—** | 19 | **—** | 335 |
| Tax effect | **—** | (4) | **—** | (73) |
| Net loss attributable to Magna | $**—** | $15 | $**—** | $262 |

---

Magna International Inc. Second Quarter Report 2025 37

**MAGNA INTERNATIONAL INC.**

**NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

*[Unaudited]*

*[All amounts in U.S. dollars and all tabular amounts in millions unless otherwise noted]* 

2. OTHER EXPENSE, NET (CONTINUED)

---

| | |
|:---|:---|
| **[d]** | **Gain on business combination** |

---

During the second quarter of 2024, the Company acquired a business in the Body Exteriors & Structures segment for $5 million, resulting in a bargain purchase gain of $9 million [$9 million after tax].

3. EARNINGS PER SHARE

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three months ended<br> June 30,** | **Three months ended<br> June 30,** | **Six months ended<br> June 30,** | **Six months ended<br> June 30,** |
|  | **2025** | 2024 | **2025** | 2024 |
| **Basic earnings per Common Share:** |  |  |  |  |
| Net income attributable to Magna International Inc. | $**379** | $313 | $**525** | $322 |
| Weighted average number of Common Shares outstanding | **281.7** | 287.3 | **281.9** | 287.1 |
| Basic earnings per Common Share | $**1.35** | $1.09 | $**1.86** | $1.12 |
| **Diluted earnings per Common Share [a]:** |  |  |  |  |
| Net income attributable to Magna International Inc. | $**379** | $313 | $**525** | $322 |
| Weighted average number of Common Shares outstanding | **281.7** | 287.3 | **281.9** | 287.2 |
| Diluted earnings per Common Share | $**1.35** | $1.09 | $**1.86** | $1.12 |

---

---

| | |
|:---|:---|
| [a] | For the three and six months ended June 30, 2025, diluted earnings per Common Share excluded 5.6 million [2024 – 6.0 million] and 5.7 million [2024 – 4.4 million] Common Shares, respectively, issuable under the Company's Incentive Stock Option Plan because these options were not "in-the-money". The dilutive effect of participating securities using the two-class method was excluded from the calculation of earnings per share because the effect would be immaterial. |

---

38 Magna International Inc. Second Quarter Report 2025

**MAGNA INTERNATIONAL INC.**

**NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

*[Unaudited]*

*[All amounts in U.S. dollars and all tabular amounts in millions unless otherwise noted]* 

4. DETAILS OF CASH FLOWS

[a] Cash and cash equivalents:

---

| | | |
|:---|:---|:---|
|  | **June 30,**<br>**2025** | December 31,<br>2024 |
| Bank term deposits and bankers' acceptances | $**694** | $497 |
| Cash | **842** | 750 |
|  | $**1536** | $1247 |

---

[b] Items not involving current cash flows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three months ended<br> June 30,** | **Three months ended<br> June 30,** | **Six months ended<br> June 30,** | **Six months ended<br> June 30,** |
|  | **2025** | 2024 | **2025** | 2024 |
| Depreciation | $**388** | $373 | $**757** | $750 |
| Amortization of acquired intangible assets | **29** | 28 | **55** | 56 |
| Other asset amortization | **55** | 48 | **106** | 92 |
| Deferred revenue amortization | **(77)** | (82) | **(134)** | (156) |
| Other non-cash charges | **(8)** | (11) | **5** | (3) |
| Deferred tax recovery | **(19)** | (24) | **(42)** | (152) |
| Dividends received in excess of equity income | **7** | 8 | **13** | 22 |
| Non-cash portion of Other expense, net *[note 2]* | **(7)** | 13 | **2** | 309 |
|  | $**368** | $353 | $**762** | $918 |

---

[c] Changes in operating assets and liabilities:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three months ended<br> June 30,** | **Three months ended<br> June 30,** | **Six months ended<br> June 30,** | **Six months ended<br> June 30,** |
|  | **2025** | 2024 | **2025** | 2024 |
| Accounts receivable | $**202** | $139 | $**(494)** | $(452) |
| Inventories | **131** | 18 | **170** | (48) |
| Prepaid expenses and other | **49** | 58 | **39** | (27) |
| Accounts payable | **(468)** | (175) | **(398)** | (28) |
| Accrued salaries and wages | **(17)** | (15) | **(10)** | (26) |
| Other accrued liabilities | **78** | 59 | **263** | 329 |
| Income taxes payable | **(110)** | (29) | **(175)** | (23) |
|  | $**(135)** | $55 | $**(605)** | $(275) |

---

---

| | |
|:---|:---|
| **Magna International Inc. Second Quarter Report 2025** | 39 |

---

**MAGNA INTERNATIONAL INC.**

**NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

*[Unaudited]*

*[All amounts in U.S. dollars and all tabular amounts in millions unless otherwise noted]* 

5. INVENTORIES

Inventories consist of:

---

| | | |
|:---|:---|:---|
|  | **June 30,**<br>**2025** | December 31,<br>2024 |
| Raw materials and supplies | $**1715** | $1672 |
| Work-in-process | **475** | 446 |
| Finished goods | **588** | 664 |
| Tooling and engineering | **1429** | 1369 |
|  | $**4207** | $4151 |

---

Tooling and engineering inventory represents costs incurred on tooling and engineering services contracts in excess of billed and unbilled amounts included in accounts receivable.

6. INVESTMENTS

---

| | | |
|:---|:---|:---|
|  | **June 30,**<br>**2025** | December 31,<br>2024 |
| Equity method investments | $**874** | $794 |
| Public and private equity investments | **225** | 206 |
| Debt investments | **30** | 31 |
| Warrants | **—** | 14 |
|  | $**1129** | $1045 |

---

Cumulative unrealized gains and losses on equity securities held as at June 30, 2025 were $23 million and $19 million [$29 million and $18 million as at December 31, 2024], respectively.

7. OTHER ASSETS

Other assets consist of:

---

| | | |
|:---|:---|:---|
|  | **June 30,**<br>**2025** | December 31,<br>2024 |
| Preproduction costs related to long-term supply agreements | $**762** | $697 |
| Long-term receivables <sup>[i]</sup> | **307** | 310 |
| Unrealized gain on cash flow hedges | **67** | 11 |
| Pension overfunded status | **58** | 57 |
| Other, net <sup>[i]</sup> | **81** | 45 |
|  | $**1275** | $1120 |

---

<sup>[i]</sup> Certain amounts in the prior period have been reclassified to conform with current period presentation.

8. WARRANTY

The following is a continuity of the Company's warranty accruals, included in Other accrued liabilities:

---

| | | |
|:---|:---|:---|
|  | **2025** | 2024 |
| Balance, beginning of period | $**309** | $270 |
| Expense, net | **55** | 33 |
| Settlements | **(51)** | (18) |
| Foreign exchange and other | **5** | (1) |
| Balance, March 31 | **318** | 284 |
| Expense, net | **31** | 39 |
| Settlements | **(28)** | (21) |
| Foreign exchange and other | **10** | (4) |
| Balance, June 30 | $**331** | $298 |

---

40 Magna International Inc. Second Quarter Report 2025

**MAGNA INTERNATIONAL INC.**

**NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

*[Unaudited]*

*[All amounts in U.S. dollars and all tabular amounts in millions unless otherwise noted]* 

9. DEBT

**Short-term borrowings**

---

| | |
|:---|:---|
| **[a]** | **Commercial Paper Program** |

---

As at June 30, 2025, $265 million [$271 million as at December 31, 2024] of notes were outstanding under the U.S. commercial paper program, with a weighted average interest rate of 4.66% [2024 – 4.74%] and $82 million [no amounts outstanding as at December 31, 2024] of notes outstanding under the euro-commercial paper program, with a weighted average interest rate of 2.23%. The U.S. notes and the euro notes are backstopped by the Company's existing global credit facility.

---

| | |
|:---|:---|
| **[b]** | **Credit Facilities** |

---

On March 21, 2025, the Company extended the maturity date of its $800 million 364-day syndicated revolving credit facility from June 24, 2025 to June 24, 2026. The facility can be drawn in U.S. dollars or Canadian dollars. As at June 30, 2025, no amounts are outstanding under this credit facility.

**Long-term borrowings**

---

| | |
|:---|:---|
| **[a]** | **Senior Notes** |

---

During the three months ended June 30, 2025, the Company issued the following Senior Notes:

---

| | | | |
|:---|:---|:---|:---|
|  | **Settlement Date** | **Net Cash<br> Proceeds <sup>[i]</sup>** | **Maturity Date** |
| €575 million Senior Notes at 3.625% | May 21, 2025 | €569 million | May 21, 2031 |
| $400 million Senior Notes at 5.875% | May 22, 2025 | $397 million | June 1, 2035 |

---

<sup>[i]</sup> Net cash proceeds represent the public offering price less the underwriting discount, before expenses.

The Senior Notes were issued for general corporate purposes, including the repayment of the $300 million Senior Notes, which were due March 2026, on May 23, 2025.

The Senior Notes are unsecured obligations and do not include any financial covenants. The Company may redeem the notes in whole or in part at any time, and from time to time, at specified redemption prices determined in accordance with the terms of the indenture governing the Senior Notes.

---

| | |
|:---|:---|
| **[b]** | **Global Credit Facility** |

---

On March 21, 2025, the Company extended the maturity date of its $2.7 billion syndicated revolving credit facility from June 25, 2029 to June 25, 2030. As at June 30, 2025, no amounts are outstanding under this credit facility.

---

| | |
|:---|:---|
| **[c]** | **Term Loan Facilities** |

---

On May 30, 2025, the Company repaid $100 million of the 3-year tranche Term Loan.

As at June 30, 2025, the Company had $300 million outstanding under the 5-year tranche of the Term Loan. The Term Loan is for general corporate purposes.

On March 21, 2025, the Company amended its syndicated, unsecured, delayed draw term loan facility with an additional 3-year tranche of $650 million. On July 8, 2025, the Company reduced the tranche amount from $650 million to $350 million and extended the draw expiration date from July 12, 2025, to January 12, 2026. As at June 30, 2025, no amounts had been drawn under this 3-year tranche.

---

| | |
|:---|:---|
| **Magna International Inc. Second Quarter Report 2025** | 41 |

---

**MAGNA INTERNATIONAL INC.**

**NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

*[Unaudited]*

*[All amou nts in U.S. dollars and all tabular amounts in millions unless otherwise noted]* 

10. INCOME TAXES

For the three months ended June 30, 2025, the Company's effective income tax rate does not reflect the customary rate due to a reduction in reserves for uncertain tax positions.

11. CAPITAL STOCK

---

| | |
|:---|:---|
| [a] | During the six-month period ended June 30, 2025, the Company repurchased 1.3 million shares under a normal course issuer bid for cash consideration of $51 million to settle certain equity compensation plans. |

---

[b] The following table presents the maximum number of shares that would be outstanding if all the dilutive instruments outstanding at July 31, 2025 were exercised or converted:

Common Shares 281,778,768 <br> Stock options <sup>[i]</sup>   <u>6,045,264</u> <br>   <u>287,824,032</u>

<sup>[i]</sup> Options to purchase Common Shares are exercisable by the holder in accordance with the vesting provisions and upon payment of the exercise price as may be determined from time to time pursuant to the Company's stock option plans.

12. ACCUMULATED OTHER COMPREHENSIVE LOSS

The following is a continuity schedule of accumulated other comprehensive loss:

---

| | | |
|:---|:---|:---|
|  | **2025** | 2024 |
| Accumulated net unrealized loss on translation of net investment in foreign operations |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Balance, beginning of period | $**(1368)** | $(836) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net unrealized gain (loss) | **186** | (235) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Repurchase of shares under normal course issuer bid | **2** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Balance, March 31 | **(1180)** | (1071) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net unrealized gain (loss) | **376** | (60) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Balance, June 30 | **(804)** | (1131) |
| Accumulated net unrealized gain on cash flow hedges <sup>[i]</sup> |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Balance, beginning of period | **(113)** | 43 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net unrealized gain (loss) | **49** | (13) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reclassifications to net income | **16** | (29) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Balance, March 31 | **(48)** | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net unrealized gain (loss) | **98** | (6) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reclassifications to net income | **7** | (17) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Balance, June 30 | **57** | (22) |
| Accumulated net unrealized loss on other long-term liabilities |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Balance, beginning of period | **(103)** | (105) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reclassifications to net income | **1** | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Balance, March 31 | **(102)** | (104) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Reclassifications to net income | **1** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Balance, June 30 | **(101)** | (104) |
| Total accumulated other comprehensive loss | $**(848)** | $(1257) |

---

42 Magna International Inc. Second Quarter Report 2025

**MAGNA INTERNATIONAL INC.**

**NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

*[Unaudited]*

*[All amounts in U.S. dollars and all tabular amounts in millions unless otherwise noted]* 

12. ACCUMULATED OTHER COMPREHENSIVE
LOSS (CONTINUED)

 

---

| | |
|:---|:---|
| [i] | The amount of income tax expense that has been netted in the accumulated net unrealized gain on cash flow hedges is as follows: |

---

---

| | | |
|:---|:---|:---|
|  | **2025** | 2024 |
| Balance, beginning of period | $**44** | $(16) |
| Net unrealized (loss) gain | **(17)** | 4 |
| Reclassifications to net income | **(7)** | 10 |
| Balance, March 31 | **20** | (2) |
| Net unrealized (loss) gain | **(39)** | 2 |
| Reclassifications to net income | **(3)** | 7 |
| Balance, June 30 | $**(22)** | $7 |

---

The amount of other comprehensive gain that is expected to be reclassified to net income over the next 12 months is $32 million.

13. FINANCIAL INSTRUMENTS

---

| | |
|:---|:---|
| **[a]** | **Financial assets and liabilities** |

---

The Company's financial assets and financial liabilities consist of the following:

---

| | | |
|:---|:---|:---|
|  | **June 30,<br> 2025** | December 31, <br> 2024 |
| Financial assets |  |  |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | $**1536** | $1247 |
| &nbsp;&nbsp;&nbsp;Accounts receivable | **8258** | 7376 |
| &nbsp;&nbsp;&nbsp;Public and private equity investments | **225** | 206 |
| &nbsp;&nbsp;&nbsp;Debt investments | **30** | 31 |
| &nbsp;&nbsp;&nbsp;Long-term receivables included in other assets <sup>[i]</sup> | **307** | 310 |
| &nbsp;&nbsp;&nbsp;Warrants | **—** | 14 |
|  | $**10356** | $9184 |
| Financial liabilities |  |  |
| &nbsp;&nbsp;&nbsp;Short-term borrowings | $**349** | $271 |
| &nbsp;&nbsp;&nbsp;Long-term debt (including portion due within one year) | **5690** | 4842 |
| &nbsp;&nbsp;&nbsp;Operating lease liability | **2077** | 1955 |
| &nbsp;&nbsp;&nbsp;Accounts payable | **7127** | 7194 |
|  | $**15243** | $14262 |
| Derivatives designated as effective hedges, measured at fair value |  |  |
| &nbsp;&nbsp;&nbsp;Foreign currency contracts |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses | $**63** | $33 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other assets | **67** | 10 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other accrued liabilities | **(28)** | (107) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other long-term liabilities | **(19)** | (83) |
|  | $**83** | $(147) |

---

<sup>[i]</sup> Certain amounts in the prior period have been reclassified to conform with current period presentation.

---

| | |
|:---|:---|
| **[b]** | **Supplier financing program** |

---

The Company has supplier financing programs with third-party financial institutions that provide financing to suppliers that provide tooling related materials. These arrangements allow these suppliers to elect to be paid by a financial institution at a discount earlier than the maturity date of the receivable, which may extend from 6 to 18 months. The Company pays the full amount owing to the financial institution on the maturity dates. Amounts outstanding under these programs as at June 30, 2025 were $94 million [$86 million as at December 31, 2024] and are presented within accounts payable.

---

| | |
|:---|:---|
| **Magna International Inc. Second Quarter Report 2025** | 43 |

---

**MAGNA INTERNATIONAL INC.**

**NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

*[Unaudited]*

*[All amounts in U.S. dollars and all tabular amounts in millions unless otherwise noted]* 

**13.** **Financial instruments (CONTINUED)** 

---

| | |
|:---|:---|
| **[c]** | **Fair value** |

---

The Company determined the estimated fair values of its financial instruments based on valuation methodologies it believes are appropriate; however, considerable judgment is required to develop these estimates. Accordingly, these estimated fair values are not necessarily indicative of the amounts the Company could realize in a current market exchange. The estimated fair value amounts can be materially affected by the use of different assumptions or methodologies. The methods and assumptions used to estimate the fair value of financial instruments are described below:

*Cash and cash equivalents, accounts receivable, accounts payable and short-term borrowings*

Due to the short period to maturity of the instruments, the carrying values as presented in the consolidated balance sheets are reasonable estimates of fair values.

*Publicly traded and private equity securities* 

 

The fair value of the Company's investments in publicly traded equity securities is determined using the closing price on the measurement date, as reported on the stock exchange on which the securities are traded [Level 1 input based on the GAAP fair value hierarchy]. As a result, the Company's public equity securities are subject to market price risk due to the risk of loss in value that would result from a decline in the market price of the common shares or underlying common shares.

*Term Loans*

The Company's Term Loans consist of advances in the form of 1, 3 or 6-month loans that may be rolled over until the end of the 3 and 5-year terms. Due to the short-term maturity of each loan, the carrying value as presented in the consolidated balance sheets is a reasonable estimate of its fair value.

*Senior Notes*

At June 30, 2025, the net book value and the estimated fair value of the Company's Senior Notes were $5.3 billion. The fair value of our Senior Notes are classified as Level 1 when quoted prices in active markets are available and Level 2 when the quoted prices are from less active markets or when other observable inputs are used to determine fair value.

---

| | |
|:---|:---|
| **[d]** | **Credit risk** |

---

The Company's financial assets that are exposed to credit risk consist primarily of cash and cash equivalents, accounts receivable, debt investments, and foreign exchange and commodity forward contracts with positive fair values. Cash and cash equivalents, which consist of short-term investments, are only invested in bank term deposits and bank commercial paper with an investment grade credit rating. Credit risk is further reduced by limiting the amount which is invested in certain major financial institutions.

The Company is also exposed to credit risk from the potential default by any of its counterparties on its foreign exchange forward contracts. The Company mitigates this credit risk by dealing with counterparties who are major financial institutions that the Company anticipates will satisfy their obligations under the contracts.

In the normal course of business, the Company is exposed to credit risk from its customers, substantially all of which are in the automotive industry and are subject to credit risks associated with the automotive industry. For the three and six months ended June 30, 2025, sales to the Company's six largest customers represented 76% of the Company's total sales; and substantially all of its sales are to customers with which the Company has ongoing contractual relationships. The Company conducts business with newer electric vehicle-focused customers, which poses incremental credit risk due to their relatively short operating histories; limited financial resources; less mature product development and validation processes; uncertain market acceptance of their products/services; and untested business models. These factors may elevate the Company's risks in dealing with such customers, particularly with respect to recovery of: pre-production (including tooling, engineering, and launch) and production receivables; inventory; fixed assets and capitalized preproduction expenditures; as well as other third party obligations related to such items. As at June 30, 2025, the Company's balance sheet exposure related to newer electric vehicle-focused customers was approximately $325 million [$300 million as at December 31, 2024] and sales to these customers represented less than 5% of the Company's total sales. In determining the allowance for expected credit losses, the Company considers changes in customers' credit ratings, liquidity, customers' historical payments and loss experience, current economic conditions, and the Company's expectations of future economic conditions.

44 Magna International Inc. Second Quarter Report 2025

**MAGNA INTERNATIONAL INC.**

**NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

*[Unaudited]*

*[All amounts in U.S. dollars and all tabular amounts in millions unless otherwise noted]* 

**13.** **Financial instruments (CONTINUED)** 

---

| | |
|:---|:---|
| **[e]** | **Interest rate risk** |

---

The Company is not exposed to significant interest rate risk due to the short-term maturity of its monetary current assets and current liabilities. In particular, the amount of interest income earned on cash and cash equivalents is impacted more by investment decisions made and the demands to have available cash on hand, than by movements in interest rates over a given period.

The Company is exposed to interest rate risk on its Term Loans as the interest rate is variable, however the Company is not exposed to interest rate risk on Senior Notes as the interest rates are fixed.

---

| | |
|:---|:---|
| **[f]** | **Currency risk and foreign exchange contracts** |

---

The Company is exposed to fluctuations in foreign exchange rates when manufacturing facilities have committed to the delivery of products for which the selling price has been quoted in currencies other than the facilities' functional currency, and when materials and equipment are purchased in currencies other than the facilities' functional currency. In an effort to manage this net foreign exchange exposure, the Company employs hedging programs, primarily through the use of foreign exchange forward contracts.

At June 30, 2025, the Company had outstanding foreign exchange forward contracts representing commitments to buy and sell various foreign currencies. Significant commitments are as follows:

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | For Canadian dollars | For Canadian dollars | For U.S. dollars | For U.S. dollars | For Euros | For Euros | For Euros | For Euros |
|  | U.S. dollar<br> amount | Weighted<br> average<br> rate | Peso<br> amount | Weighted<br> average<br> rate | U.S. dollar<br> amount | Weighted<br> average<br> rate | Czech<br> Koruna<br> amount | Weighted<br> average<br> rate |
| Buy | 213 | 0.74216 | 26137 | 0.04805 | 324 | 0.89198 | 11553 | 0.03964 |
| (Sell) | (1581) | 1.34282 | (35) | 22.54464 | (449) | 1.10763 | (90) | 22.50000 |

---

Forward contracts mature at various dates through 2029. Foreign currency exposures are reviewed quarterly.

14. CONTINGENCIES

From time to time, the Company may become involved in regulatory proceedings, or become liable for legal, contractual and other claims by various parties, including customers, suppliers, former employees, class action plaintiffs and others. On an ongoing basis, the Company attempts to assess the likelihood of any adverse judgments or outcomes to these proceedings or claims, together with potential ranges of probable costs and losses. A determination of the provision required, if any, for these contingencies is made after analysis of each individual issue. The required provision may change in the future due to new developments in each matter or changes in approach such as a change in settlement strategy in dealing with these matters.

In December 2023, the Company received a notification [the "Notification Letter"] from a customer informing the Company as to the customer's initial determination that one of the Company's operating groups bears responsibility for costs totaling $352 million related to two product recalls. The Notification Letter triggered a negotiation period regarding financial allocation of the total costs for the two recalls, which remains ongoing. In the event such negotiations are not concluded successfully, the customer has discretion under its Terms and Conditions to debit Magna up to 50% of the parts and labour costs actually incurred related to the recalls. The Company believes that the product in question met the customer's specifications, and accordingly, is vigorously contesting the customer's determination. Magna does not currently anticipate any material liabilities in relation to this claim.

---

| | |
|:---|:---|
| **Magna International Inc. Second Quarter Report 2025** | 45 |

---

**MAGNA INTERNATIONAL INC.**

**NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

*[Unaudited]*

*[All amounts in U.S. dollars and all tabular amounts in millions unless otherwise noted]* 

**14.** **CONTINGENCIES (CONTINUED)** 

As a result of the proposed application of a 2023 judicial decision to periods preceding the date of the ruling in a jurisdiction in which it has operations, the Company may face a reassessment of certain prior tax periods which could require payment of refundable value added tax ("VAT"), as well as interest, penalties and other charges. Although such VAT amounts are refundable, the interest, penalties and other charges are not and could have a material adverse impact on the Company's financial results. Although a tax audit is currently on-going, no formal reassessment has been issued by the applicable tax authority and the Company continues to explore alternate avenues to resolve this matter.

As a result of the bankruptcy of Fisker, Inc., owners of Fisker Ocean SUVs have asserted claims for alleged vehicle defects and breaches of state "lemon laws" against J.P. Morgan Chase, N.A. ["Chase"], the direct financer of approximately 2,000 such vehicles in the United States. Chase has indicated that it will seek indemnification from the Company, as contract manufacturer, for damages and legal costs incurred with the resolution of these claims. As the number, details and amount of these claims are all currently unknown, it is too early to determine the Company's potential liability, if any, at this time.

15. SEGMENTED INFORMATION

Magna is a global automotive supplier which has complete vehicle engineering and contract manufacturing expertise, as well as product capabilities which include body, chassis, exterior, seating, powertrain, active driver assistance, electronics, mirrors & lighting, mechatronics, and roof systems.

The Company is organized under four operating segments: Body Exteriors & Structures, Power & Vision, Seating Systems, and Complete Vehicles. These segments have been determined on the basis of technological opportunities, product similarities, market and operating factors, and are also the Company's reportable segments.

The Company's chief operating decision maker is the Chief Executive Officer. The chief operating decision maker uses Adjusted Earnings before Interest and Income Taxes ["Adjusted EBIT"] as the measure of segment profit or loss, since management believes Adjusted EBIT is the most appropriate measure of operational profitability or loss for its reporting segments. The chief operating decision maker uses Adjusted EBIT to assess operating performance, allocate resources, and to help plan the Company's long-term strategic direction and future global growth. Adjusted EBIT is calculated by taking Net income and adding back Amortization of acquired intangible assets, Income taxes, Interest expense, net and Other (income) expense, net.

---

| | |
|:---|:---|
| **[a]** | The following tables show segment information for the Company's reporting segments and a reconciliation of Adjusted EBIT to the Company's consolidated net income: |

---

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Three months ended June 30, 2025** | **Three months ended June 30, 2025** | **Three months ended June 30, 2025** | **Three months ended June 30, 2025** | **Three months ended June 30, 2025** | **Three months ended June 30, 2025** |
|  | **Total <br> sales** | **External <br> sales** | **Adjusted <br> EBIT <sup>[ii]</sup>** | **Depreciation** | **Equity <br> income** | **Fixed <br> asset <br> additions** |
| Body Exteriors & Structures | $**4253** | $**4191** | $**347** | $**191** | $**(2)** | $**104** |
| Power & Vision | **3857** | **3784** | **162** | **146** | **(16)** | **107** |
| Seating Systems | **1433** | **1431** | **42** | **26** | **(10)** | **19** |
| Complete Vehicles | **1226** | **1218** | **28** | **17** | **(2)** | **12** |
| Corporate & Other <sup>[i]</sup> | **(138)** | **7** | **4** | **8** | **(2)** | **4** |
| **Total Reportable Segments** | $**10631** | $**10631** | $**583** | $**388** | $**(32)** | $**246** |

---

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | Three months ended June 30, 2024 | Three months ended June 30, 2024 | Three months ended June 30, 2024 | Three months ended June 30, 2024 | Three months ended June 30, 2024 | Three months ended June 30, 2024 |
|  | Total<br> sales | External <br> sales | Adjusted <br> EBIT <sup>[ii]</sup> | Depreciation | Equity<br> (income)<br> loss | Fixed <br> asset <br> additions |
| Body Exteriors & Structures | $4465 | $4401 | $341 | $182 | $(1) | $311 |
| Power & Vision | 3926 | 3866 | 198 | 144 | (6) | 161 |
| Seating Systems | 1455 | 1453 | 53 | 23 | (4) | 16 |
| Complete Vehicles | 1242 | 1236 | 20 | 18 | (2) | 9 |
| Corporate & Other <sup>[i]</sup> | (130) | 2 | (35) | 6 | 4 | 3 |
| Total Reportable Segments | $10958 | $10958 | $577 | $373 | $(9) | $500 |

---

46 Magna International Inc. Second Quarter Report 2025

**MAGNA INTERNATIONAL INC.**

**NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

*[Unaudited]*

*[All amounts in U.S. dollars and all tabular amounts in millions unless otherwise noted]* 

**15.** **Segmented Information (CONTINUED)** 

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Six months ended June 30, 2025** | **Six months ended June 30, 2025** | **Six months ended June 30, 2025** | **Six months ended June 30, 2025** | **Six months ended June 30, 2025** | **Six months ended June 30, 2025** |
|  | **Total <br> sales** | **External <br> sales** | **Adjusted <br> EBIT <sup>[ii]</sup>** | **Depreciation** | **Equity <br> income** | **Fixed<br> asset <br> additions** |
| Body Exteriors & Structures | $**8219** | $**8099** | $**577** | $**375** | $**(3)** | $**233** |
| Power & Vision | **7503** | **7359** | **286** | **281** | **(30)** | **211** |
| Seating Systems | **2745** | **2741** | **12** | **51** | **(14)** | **36** |
| Complete Vehicles | **2502** | **2485** | **72** | **35** | **(3)** | **24** |
| Corporate & Other <sup>[i]</sup> | **(269)** | **16** | **(10)** | **15** | **(2)** | **10** |
| **Total Reportable Segments** | $**20700** | $**20700** | $**937** | $**757** | $**(52)** | $**514** |

---

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | Six months ended June 30, 2024 | Six months ended June 30, 2024 | Six months ended June 30, 2024 | Six months ended June 30, 2024 | Six months ended June 30, 2024 | Six months ended June 30, 2024 |
|  | Total <br> sales | External<br> sales | Adjusted<br> EBIT <sup>[ii]</sup> | Depreciation | Equity<br> (income) <br> loss | Fixed <br> asset <br> additions |
| Body Exteriors & Structures | $8894 | $8764 | $639 | $362 | $(1) | $617 |
| Power & Vision | 7768 | 7647 | 296 | 286 | (33) | 304 |
| Seating Systems | 2910 | 2902 | 105 | 48 | (9) | 38 |
| Complete Vehicles | 2625 | 2610 | 47 | 43 | (3) | 21 |
| Corporate & Other <sup>[i]</sup> | (269) | 5 | (41) | 11 | 3 | 13 |
| Total Reportable Segments | $21928 | $21928 | $1046 | $750 | $(43) | $993 |

---

<sup>[i]</sup> Included in Corporate and Other Adjusted EBIT are intercompany fees charged to the automotive segments.

<sup>[ii]</sup> The following table reconciles Net income to Adjusted EBIT:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three months ended<br> June 30,** | **Three months ended<br> June 30,** | **Six months ended <br> June 30,** | **Six months ended <br> June 30,** |
|  | **2025** | 2024 | **2025** | 2024 |
| **Net income** | $**394** | $328 | $**547** | $354 |
| Add: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Amortization of acquired intangible assets | **29** | 28 | **55** | 56 |
| &nbsp;&nbsp;&nbsp;Interest expense, net | **52** | 54 | **102** | 105 |
| &nbsp;&nbsp;&nbsp;Other expense, net | **6** | 68 | **59** | 424 |
| &nbsp;&nbsp;&nbsp;Income taxes | **102** | 99 | **174** | 107 |
| **Adjusted EBIT** | $**583** | $577 | $**937** | $1046 |

---

Other segment items constitute the difference between External sales by segment and Adjusted EBIT by segment, and are comprised of cost of goods sold, selling, general, and administrative expenses, depreciation, and equity income. No significant expense categories are being provided to the chief operating decision maker on a regular basis.

---

| | |
|:---|:---|
| **[b]** | The following table shows segment information for Goodwill, Investments, and Net Assets for the Company's reporting segments: |

---

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | December 31, 2024 | December 31, 2024 | December 31, 2024 |
|  | **Goodwill** | **Investments** | **Net Assets** | Goodwill | Investments | Net Assets |
| Body Exteriors & Structures | $**458** | $**23** | $**9473** | $435 | $24 | $8727 |
| Power & Vision | **2030** | **581** | **7529** | 1868 | 525 | 6982 |
| Seating Systems | **257** | **198** | **1337** | 250 | 193 | 1401 |
| Complete Vehicles | **115** | **110** | **459** | 102 | 105 | 439 |
| Corporate & Other | **23** | **217** | **935** | 19 | 198 | 724 |
| **Total Reportable Segments** | $**2883** | $**1129** | $**19733** | $2674 | $1045 | $18273 |

---

---

| | |
|:---|:---|
| **Magna International Inc. Second Quarter Report 2025** | 47 |

---

**MAGNA INTERNATIONAL INC.**

**NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

*[Unaudited]*

*[All amounts in U.S. dollars and all tabular amounts in millions unless otherwise noted]* 

**15.** **Segmented Information (CONTINUED)** 

---

| | |
|:---|:---|
| **[c]** | The following table reconciles Total Assets to Net Assets: |

---

---

| | | |
|:---|:---|:---|
|  | **June 30, <br> 2025** | December 31, <br> 2024 |
| **Total Assets** | $**33175** | $31039 |
| Deduct assets not included in segment net assets: |  |  |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | **(1536)** | (1247) |
| &nbsp;&nbsp;&nbsp;Deferred tax assets | **(902)** | (819) |
| &nbsp;&nbsp;&nbsp;Long-term receivables from joint venture partners | **(115)** | (67) |
| Deduct liabilities included in segment net assets: |  |  |
| &nbsp;&nbsp;&nbsp;Accounts payable | **(7127)** | (7194) |
| &nbsp;&nbsp;&nbsp;Accrued salaries and wages | **(917)** | (867) |
| &nbsp;&nbsp;&nbsp;Other accrued liabilities | **(2845)** | (2572) |
| **Segment Net Assets** | $**19733** | $18273 |

---

48 Magna International Inc. Second Quarter Report 2025

## Exhibit 99.3

**Exhibit 99.3**

**FORM 52-109F2**

**CERTIFICATION OF INTERIM FILINGS**

**FULL CERTIFICATE**

I, Seetarama (Swamy) Kotagiri, President and Chief Executive Officer of Magna International Inc., certify the following:

1. ***Review:*** I have reviewed the interim financial report and interim MD&A (together, the "interim filings") of Magna International Inc. (the "issuer") for the interim period ended June 30, 2025.

2. ***No misrepresentations:*** Based on my knowledge, having exercised reasonable diligence, the interim filings do not contain any untrue statement of a material fact or omit to state a material fact required to be stated or that is necessary to make a statement not misleading in light of the circumstances under which it was made, with respect to the period covered by the interim filings.

3. ***Fair presentation:*** Based on my knowledge, having exercised reasonable diligence, the interim financial report together with the other financial information included in the interim filings fairly present in all material respects the financial condition, financial performance and cash flows of the issuer, as of the date of and for the periods presented in the interim filings.

4. ***Responsibility:*** The issuer's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as those terms are defined in National Instrument 52-109 *Certification of Disclosure in Issuer's Annual and Interim Filings*, for the issuer.

5. ***Design:*** Subject to the limitations, if any, described in paragraphs 5.2 and 5.3, the issuer's other certifying officer(s) and I have, as at the end of the period covered by the interim filings

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) designed DC&P, or caused it to be designed under our supervision, to provide reasonable assurance that

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) material information relating to the issuer is made known to us by others, particularly during the period in which the interim filings are being prepared; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) information required to be disclosed by the issuer in its annual filings, interim filings or other reports filed or submitted by it under securities legislation is recorded, processed, summarized and reported within the time periods specified in securities legislation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) designed ICFR, or caused it to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.

5.1 ***Control framework:*** The control framework the issuer's other certifying officer(s) and I used to design the issuer's ICFR is the Internal Control - Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).

5.2 N/A

5.3 N/A

6. ***Reporting changes in ICFR:*** The issuer has disclosed in its interim MD&A any change in the issuer's ICFR that occurred during the period beginning on April 1, 2025, and ended on June 30, 2025, that has materially affected, or is reasonably likely to materially affect, the issuer's ICFR.

Date: August 1, 2025.

---

| |
|:---|
| /s/ Seetarama (Swamy) Kotagiri |
| Seetarama (Swamy) Kotagiri |
| President and Chief Executive Officer |

---

## Exhibit 99.4

**Exhibit 99.4**

**FORM 52-109F2**

**CERTIFICATION OF INTERIM FILINGS**

**FULL CERTIFICATE**

I, Patrick W.D. McCann, Executive Vice-President and Chief Financial Officer of Magna International Inc., certify the following:

1. ***Review:*** I have reviewed the interim financial report and interim MD&A (together, the "interim filings") of Magna International Inc. (the "issuer") for the interim period ended June 30, 2025.

2. ***No misrepresentations:*** Based on my knowledge, having exercised reasonable diligence, the interim filings do not contain any untrue statement of a material fact or omit to state a material fact required to be stated or that is necessary to make a statement not misleading in light of the circumstances under which it was made, with respect to the period covered by the interim filings.

3. ***Fair presentation:*** Based on my knowledge, having exercised reasonable diligence, the interim financial report together with the other financial information included in the interim filings fairly present in all material respects the financial condition, financial performance and cash flows of the issuer, as of the date of and for the periods presented in the interim filings.

4. ***Responsibility:*** The issuer's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as those terms are defined in National Instrument 52-109 *Certification of Disclosure in Issuer's Annual and Interim Filings*, for the issuer.

5. ***Design:*** Subject to the limitations, if any, described in paragraphs 5.2 and 5.3, the issuer's other certifying officer(s) and I have, as at the end of the period covered by the interim filings

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) designed DC&P, or caused it to be designed under our supervision, to provide reasonable assurance that

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) material information relating to the issuer is made known to us by others, particularly during the period in which the interim filings are being prepared; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) information required to be disclosed by the issuer in its annual filings, interim filings or other reports filed or submitted by it under securities legislation is recorded, processed, summarized and reported within the time periods specified in securities legislation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) designed ICFR, or caused it to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP.

5.1 ***Control framework:*** The control framework the issuer's other certifying officer(s) and I used to design the issuer's ICFR is the Internal Control - Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).

5.2 N/A

5.3 N/A

6. ***Reporting changes in ICFR:*** The issuer has disclosed in its interim MD&A any change in the issuer's ICFR that occurred during the period beginning on April 1, 2025, and ended on June 30, 2025, that has materially affected, or is reasonably likely to materially affect, the issuer's ICFR.

Date: August 1, 2025.

---

| |
|:---|
| /s/ Patrick W.D. McCann |
| Patrick W.D. McCann |
| Executive Vice-President and Chief Financial Officer |

---