Dana — Jan 24, 2025 release

Bruce McDonald Chairman and Chief Executive Officer Business Review Timothy Kraus Senior Vice President and Chief Financial Officer Financial Review Agenda Existing Strategy Strategy Update Revised Strategy Revised Strategy Will Increase Profit, Reduce Leverage, and Add Significant Value Three-market focus Broad reach but with higher complexity Rapid expansion into emerging EV market Attained leading market position but at higher cost and capital investment Infrastructure in place to support strong EV growth Lead the market with cutting-edge technology Focus on core on-highway end markets Divest Off-Highway business Expect signing in early Q2; closing by year end New Dana will be a more streamlined organization Measured approach to EV market Lower volume and longer lead times allow for more efficient program management Disciplined investment philosophy Streamlined cost structure Actions will yield ~$300M in total savings Moving to two business segments in new Dana Power Technologies segment will be integrated 1 2 3 Successful strategy positioned Dana for future growth Revised strategy to focus on efficiency and generate value 1 2 3 Increasing our total 2026 cost-reduction target from $200M to $300M Revised EV commercial strategy Downsizing corporate overhead structure Complexity reduction From 3 to 2 segments Integration of Aftermarket operations Reduction in infrastructure cost outside North America New Dana target adjusted EBITDA margins 8.1% - 8.6% in 2025 9.5% - 10.5% in 2026 Inclusive of $300M of cost savings less $40M of stranded cost from Off-Highway sale Strong balance sheet, targeting net leverage of 1x through the cycle Free cash flow of ~4% of sales Financial Commitments Financial Review Full-Year Preliminary Financial Results 2024 Preliminary Financial Results sales ~$10.3 billion Middle of guidance range Key Highlights adjusted EBITDA ~$885 million High-end of guidance range Conversion on organic sales drove margin improvement Cost-savings actions underway Lower demand for EVs and ICE vehicle programs Weak off-highway equipment demand in 2nd half Higher than expected working capital use drove lower FCF Better working capital efficiency in 2025 Sales In-Line With Expectations, Profit Higher, Some FCF Delayed to 2025 Focus on Free Cash Flow End-market Demand Efficiency and Cost Savings margin ~8.6 percent High-end of guidance range Free Cash Flow ~$70 million Below guidance range Organic growth impacted by lower end-market demand in 2nd half Margin benefiting from improved efficiencies and cost savings actions Cost recoveries for delayed EV programs of ~$15 million Translation of foreign currency was a slight headwind to sales Lower commodity costs resulting in lower sales recoveries; profit benefit of lower input cost is more than offset by the cost true-ups with customers Sales Adjusted EBITDA 2024 FY Preliminary Sales and Profit Changes $10,555M $845M 8.6% Margin ~90 bps ~10 bps ~(40) bps ~0 bps 8.0% Margin Profit Driven by Efficiency Improvements, Cost Savings Actions, and Recoveries See appendix for comments regarding the presentation of non-GAAP measures ~0 bps Sales Adjusted EBITDA Implied Profit Margin Free Cash Flow 2025 FY Preliminary Financial Guide Lower sales driven by lower end-market demand primarily in off-highway and currency translation Weakening demand for electric vehicles driving lower sales Efficiency improvements and cost-savings actions driving higher profit and margins compared to last year YOY free cash flow improvement driven by higher profit, improved working capital efficiency, and lower capital spending 2025 net capital spend expected to be approximately $325 million ~9.7% - 10.2% ~$975M ~$9,775M ±$250M ±$50M Change from Prior Year Preliminary Guidance Ranges ~1% $190 ~2% -$505M +$90M +140 bps +$155M Improving Profit and FCF Driven by Cost Savings and Operational Focus ~$225M ±$50M See appendix for comments regarding the presentation of non-GAAP measures Illustrative 2025 Financial Guide New Dana Sales: Adj. EBITDA: Margin: ~$6,950 - $7,350M ~$565 - $635M ~8.1 - 8.6% Off-Highway ~$2,575 - $2,675M ~$360 - $390M ~14.0 - 14.6% Lower end-market demand in Off-highway Decremental margin benefiting from improved efficiencies Significant cost savings actions driving margin improvement Translation of foreign currency expected to be a headwind to sales and profit Lower commodity costs resulting in lower sales recoveries; profit benefit of lower input cost is more than offset by the cost true-ups with customers Sales Adjusted EBITDA 2025 FY Preliminary Sales and Profit Changes ~10.0% Margin ~(20) bps ~180 bps ~(20) bps ~8.6% Margin Profit Driven by Efficiency Improvements and Cost Savings Actions See appendix for comments regarding the presentation of non-GAAP measures ~0 bps 2025 FY Free Cash Flow Higher profit, improved working capital efficiency, and lower capital investment requirements driving improvement over last year Increase in net interest payments due to higher rates 1 Includes costs associated with business acquisitions and divestitures and restructuring. 2 Changes in working capital relating to interest, taxes, restructuring, and transaction costs are included in those respective categories. See appendix for comments