MAUMEE, Ohio—Dana Inc. said Oct. 28 that cost management and the restart of operations helped limit the damage from COVID-19 on sales in the third quarter.
Dana reported net income of $45 million, a 60 percent decrease from the same period last year, but a major swing from a $174 million loss in the second quarter.
The Maumee-based axles and transmission supplier said sales fell nearly 8 percent to $1.99 billion in the quarter.
Dana CEO Jim Kamsickas credited the ability to keep up with consumer demand to the teamwork across the company.
Third-quarter adjusted earnings before interest, taxes, depreciation and amortization dropped 19 percent to $201 million.
"The improving business conditions across all of our global end markets have enabled us to reinstate our revised, full-year financial targets," Kamsickas said in statement. "Dana remains financially strong, and we are well-positioned to capitalize on the strengthening of our businesses through the remainder of this year and into next year."
The company's 2020 full-year financial targets include sales ranging from $6.6 billion to $6.8 billion, an adjusted EBITDA ranging from $530 million to $590 million and operating cash flow of up to 5 percent sales.
Dana also said it acquired a noncontrolling stake in operating software company Pi Innovo.
This venture and the launch of Dana's electric wheel design are in line with the company's goal to reduce its total annual greenhouse gas emissions by more than 50 percent by 2035.
CFO Jonathan Collins said during an Oct. 28 call that the company expects positive year-end market conditions.
Shares of Dana closed trading Oct. 28 down 2.3 percent to $14.31 as most major U.S. stocks fell during an overall down day on Wall Street.
Dana ranks No. 30 on the Automotive News list of the top 100 global suppliers, with worldwide parts sales to automakers of $8.6 billion in 2019.