Autoparts manufacturer Dana (NYSE: DAN) fell well-short of expectations in the fourth quarter and warned that 2023 will be a lot worse than analysts had expected. Investors veered for the exit ramp, sending Dana shares down as much as 17% on Tuesday.
Dana lost $0.10 per share in Q4, significantly underperforming Wall Street's $0.26 per-share profit expectation, though revenue at $2.56 billion was slightly ahead of consensus. The company, a maker of transmissions, axles, and energy-management systems for vehicles, attributed the loss primarily to a recording of a $155 million non-cash valuation allowance on U.S. federal tax credits.
Absent the one-time shift, Dana said it would have earned adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) of $176 million, an increase over the $118 million for the same period in 2021.
Source Fool.com