Dana Inc. has announced financial results for the first quarter of 2021.
"Dana realized higher sales of $2.3 billion in the first quarter as a result of continued strength in the light-truck market, as well as growth in both the commercial-vehicle and off-highway markets," said James Kamsickas, Dana chairman and CEO.
"While our end-markets have recovered from last year's shutdowns, higher costs related to supply-chain disruptions and shipping constraints continue to challenge the mobility industry. Our established multi-end-market presence tempers these outside pressures as we continue to execute our enterprise strategy, launch our significant new business backlog, and focus on strengthening our vehicle electrification position."
First Quarter 2021 Financial Results
Sales for the first quarter of 2021 totaled $2.26 billion, compared with $1.93 billion in the same period of 2020, representing a $337 million improvement driven by strong customer demand and the conversion of sales backlog.
Adjusted EBITDA for the first quarter of 2021 was $234 million, compared with $205 million for the same period in 2020. Profit conversion on higher sales in the first quarter of 2021 was tempered by increased raw material and supply chain constraints.
Adjusted net income attributable to Dana and diluted adjusted earnings per share were $97 million and $0.66 for the first quarter of 2021, $29 million and $0.19 higher than the prior year due to the conversion of higher market demand in this year's first quarter.
Operating cash flow in the first quarter of 2021 was $27 million, compared with a use of $51 million in the same period of 2020.
Adjusted free cash flow was a use of $26 million, compared with a use of $114 million in the first quarter of 2020. Adjusted free cash flow in this year's first quarter benefited from higher earnings and lower working capital requirements.
"As markets continue to recover from the challenges of the global pandemic, strong first-quarter sales provide the conviction to increase our full-year guidance as we accelerate the achievement of our long-term growth targets," said Jonathan Collins, executive vice president and chief financial officer of Dana.