Slide 1: Q2 2025 Earnings Call
Q2 2025 Earnings Call August 13th, 2025 Linda Hasenfratz EXECUTIVE CHAIR Jim Jarrell CEO & PRESIDENT Dale Schneider CFO For Audio Only Dial In North America: (+1) 800 549-8228 International: (+1) 289 819-1520 Conference ID: 79703 © Linamar Corporation
Slide 2: Forward-looking Information, Risk, and Uncertainties
Forward-looking Information, Risk, and Uncertainties Certain information regarding Linamar set forth in this presentation and oral summary, including management’s assessment of the Company’s future plans and operations may constitute forward-looking statements. This information is based on current e
Slide 3: Agenda
Agenda Q2 2025 Highlights & Strategic Updates Linda Hasenfratz EXECUTIVE CHAIR Industry & Operations Update Jim Jarrell PRESIDENT & CEO Financial Review & Outlook Dale Schneider CHIEF FINANCIAL OFFICER Q&A All © Linamar Corporation 3
Slide 4: Q2 2025 Highlights & Strategic Updates
Q2 2025 Highlights & Strategic Updates Linda Hasenfratz EXECUTIVE CHAIR © Linamar Corporation 4
Slide 5: Linamar Value Creation Drivers
Linamar Value Creation Drivers Consistent, Long-term Performance Consistent, Sustainable Flexibility to Growth Driving from Mitigate Risk Diversity Capital Asset Profile enables us to redeploy under-utilized equipment Diversified revenue streams, to changing market needs, broad product portfolio for
Slide 6: Q2 2025 Executive Summary
Q2 2025 Executive Summary Delivering Cash We remain largely untouched by US Tariffs & Share Gains Nearly $180 million in FCF Despite Lower 20% growth in Mobility segment earnings, margins back in Industry normal range Volumes Market share gains in key areas of every business tempering market decline
Slide 7: Q2 2025 Financial Highlights
Q2 2025 — Financial Highlights Driving Cash Generation and Margin Expansion Net Earnings & EPS Sales Margin1 Free Cash Flow1 (Normalized) 1 (Normalized) $2.6B $168.4M $2.81 $177.6M 6.4% 7.2% 10.6% 8.2% $110.5M vs. Q2 ‘24 vs. Q2 ‘24 vs. Q2 ‘24 vs. Q2 ‘24 1- Net Earnings (NE) – Normalized, Net Earning
Slide 8: Tariff Impact on Linamar
Geopolitics / Opportunity Creation Tariff Impact on Linamar 232 232 Foreign Steel, Cu Foreign Built 232 IEEPA IEEPA & Al Auto Vehicles Auto Parts Canada/Mexico International Retaliatory Tariffs 50% 15-25% Global 25% Global 35% Canada 25% on non-US 10%-50% USMCA Compliant 0% 25% Mexico content inside
Slide 9: Opportunities for Linamar
Business Environment / Opportunities Opportunities for Linamar Market share increases for Onshoring to domestic USMCA producers as compliant consumers avoid imported suppliers vehicles subject to 15-25% tariff Already Discussing Will Increase Production on Opportunities with Existing Lines in NA Cus
Slide 10: Industry & Operations Updates
Industry & Operations Updates Jim Jarrell CEO & PRESIDENT © Linamar Corporation 10
Slide 11: 2025 Focus
2025 Focus Grow Revenue Grow Margin Grow Our Linamar Team © Linamar Corporation 11
Slide 12: Navigating Uncertainty with Confidence
Macro Environment / Remaining Resilient Navigating Uncertainty with Confidence Challenges We Face Why We Succeed? Tariffs Cost Seizing Entrepreneurial Pressures Opportunities Spirit Market Technology Volatility Long-term Operational Trends Strategy & & Lean Shifting Regulatory Vision Discipline Dema
Slide 13: Mobility Segment / Recognition
Mobility Segment / Recognition © Linamar Corporation 13
Slide 14: Skyjack Staying Ahead of a Declining Market
Capital Allocation Industrial Plans Segment / / Industry & Market Share Skyjack Staying Ahead of a Declining Market Industry Access Volumes Skyjack Global Q2 2025 Unit Performance FY2025 FY2026 Expectations Expectations Skyjack total unit Global market volume volume North America -14.1% 0.4% Q2 vs.
Slide 15: Outperforming the Ag Market Cycle
Industrial Segment / / Industry & Market Share Outperforming the Ag Market Cycle Industry Large Ag. Volumes Linamar Agriculture Global YoY Unit Performance FY2025 Expectations Ag. Group total unit Linamar Ag's Addressable volume Q2 YTD Market total unit volume Q2 YTD North -30.0% America -18.0% VS -
Slide 16: Bourgault Award & New MacDon Product
Industrial Segment / Agriculture / Key Business Updates Bourgault Award & New MacDon Product Bourgault Dealer’s Choice Award Key Product Introduction 2024 Dealer’s Choice Award - Shortline Manufacturer: Bourgault Industries MacDon FD2 Plus Series FlexDraper Recognizes manufacturers leading the Groun
Slide 17: Auto Industry Outlook
Capital Allocation Mobility SegmentPlans / Industry Auto Industry Outlook Industry LV Volumes Industry Outlook Commentary FY2025 FY2026 Expectations Expectation Outlook has improved from prior forecast as US tariff North America -3.9% -3.6% picture has become clearer. Full year 2025 for North Americ
Slide 18: CPV Remaining Strong
Mobility / Content Per Vehicle CPV Remaining Strong Global CPV Regional Content Per Vehicle $140.00 Q2 ‘25 Q2 ‘24 %∆ $120.00 $100.00 North America $291.63 $288.36 +1.1% $80.00 Europe $98.15 $99.47 -1.3% $60.00 Asia Pacific $ 11.32 $ 10.76 +5.2% $40.00 $20.00 $- 1 - Global CPV includes only the marke
Slide 19: Strong Q2 New Business Wins
Mobility Segment / New Business Strong Q2 New Business Wins Steering Knuckles • Takeover work from competitors • Expanding Linamar’s propulsion agnostic structural component portfolio in North America $328M Q2 total new Commercial Vehicle Wins business wins Cylinder Head Assemblies, Housings & Gears
Slide 20: Financial Update & Outlook
Financial Update & Outlook Dale Schneider CFO © Linamar Corporation 20
Slide 21: Market Share Growth Despite Macro Headwinds
Industrial Segment / Q2 Financial Performance Key Factors: Industrial Market Share Growth Despite Macro Revenue -22.4% vs Q2 ‘24 Headwinds • • Revenue Normalized Operating Earnings 1 (in Millions CAD) (in Millions CAD) -22.4% Normalized OE 1 $886.6 200 -37.1% -37.1% vs Q2 ‘24 $164.3 • $688.2 160 • 1
Slide 22: Operational Efficiencies Driving Significant Margin Expansion
Mobility Segment / Q2 Financial Performance Key Factors: Mobility Operational Efficiencies Driving Revenue -0.4% vs Q2 ‘24 • Lower sales as a result of automotive market Significant Margin Expansion declines notably in NA and EU, particularly the EV markets; and • Lower production for certain ending
Slide 23: Balance Sheet Remains Stable and Robust
Capital Allocation Leverage Plans / Consolidated and Liquidity Balance Sheet Remains Stable and Robust Net Debt to EBITDA1 Total Liquidity2 Current Positioning (in Millions CAD) Cash Position Net Debt to EBITDA 1 was 1.02x at the end of Available cash on credit facilities Q2 $1.9B Target Max: 1.5x $
Slide 24: Share Buyback Update
Capital Allocation Strategy • Ensure Balance Sheet at Optimal Levels • Continued Investment in Innovation and Growth (Organic & In- organic) • Excess liquidity beyond that for share buybacks, dividends and further debt repayment Share Current NCIB Program Details Buyback • Initiated in November 2024
Slide 25: Segmented Outlook FY 2025 & 2026
Financial Outlook / Segments Segmented Outlook FY 2025 & 2026 2 Mobility FY 2025 vs ‘24 FY 2026 vs ‘25 Sales Growth (%) Growth Modest Growth 1 Normalized OE Growth (%) Strong Double Digit Growth Modest Growth 1 Normalized Operating Margin (%) Expansion Flat Normal Range 7.0-10.0% Normal Range Normal
Slide 26: Outlook FY 2025 & 2026
Financial Outlook / Consolidated Outlook FY 2025 & 2026 2 Consolidated FY2025 vs ‘24 FY 2026 vs ‘25 Sales Growth (%) Modest Decline Modest Growth 1 Normalized EPS Growth (%) Growth Growth 1 Normalized Net Margin (%) Normal Range 7.0-9.0% Expansion Expansion Capex Flat To Prior Year Flat To Prior Yea
Slide 27: © Linamar Corporation
© Linamar Corporation 27
Slide 28: Outlook FY 2025 & 2026
Financial Outlook / Consolidated Outlook FY 2025 & 2026 2 Consolidated FY2025 vs ‘24 FY 2026 vs ‘25 Sales Growth (%) Modest Decline Modest Growth 1 Normalized EPS Growth (%) Growth Growth 1 Normalized Net Margin (%) Normal Range 7.0-9.0% Expansion Expansion Capex Flat To Prior Year Flat To Prior Yea
Slide 29: Delivering Cash & Share Gains Despite Lower Volumes
Q2 2025 Executive Summary Delivering Cash We remain largely untouched by US Tariffs & Share Gains Nearly $180 million in FCF Despite Lower 20% growth in Mobility segment earnings, margins back in Industry normal range Volumes Market share gains in key areas of every business tempering market decline
Slide 30: Kevin Hallahan
Kevin Hallahan Vice President, Investor Relations & Marketing Linamar Corporation kevin.hallahan@linamar.com 519-836-7550 https://www.linamar.com/investors/ © Linamar Corporation
Slide 31: Appendix
Appendix © Linamar Corporation
Slide 32: Non-GAAP Financial Measures
Appendix Non-GAAP Financial Measures The Company uses certain non-GAAP and other financial measures to provide useful information to both management, investors, and other stakeholders in assessing the financial performance and financial condition of the Company. Certain expenses and income that must
Slide 33: Industrial Sales, Earnings, and Margins
Appendix Industrial Sales, Earnings, and Margins (in Millions CAD) Q2 2025 Q2 2024 +/- +/- $ $ $ % Sales 688.2 886.6 (198.4) (22.4%) Operating Earnings 53.8 154.7 (100.9) (65.2%) Foreign Exchange1 (Gain)/Loss 49.5 (6.2) 55.7 Other Items - 15.8 (15.8) Operating Earnings – Normalized2 103.3 164.3 (61.
Slide 34: Mobility Sales, Earnings, and Margins
Appendix Mobility Sales, Earnings, and Margins (in Millions CAD) Q2 2025 Q2 2024 +/- +/- $ $ $ % Sales 1,954.5 1,962.1 (7.6) (0.4%) Operating Earnings 152.4 116.8 35.6 30.5% Foreign Exchange1 (Gain)/Loss (1.5) 9.4 (10.9) Other Items - - Operating Earnings – Normalized2 150.9 126.2 24.7 19.6% Operati
Slide 35: Net Earnings (Loss) – Normalized
Appendix Net Earnings (Loss) – Normalized1 (in Millions CAD) Q2 2025 Q2 2024 +/- +/- $ $ $ % Net Earnings (Loss) 126.9 174.1 (47.2) (27.1%) Foreign Exchange2 (Gain)/Loss 48.0 3.2 44.8 Foreign Exchange (Gain)/Loss on 0.1 0.1 - Debt and Derivatives Other Items - 15.8 (15.8) Tax Impact including Other
Slide 36: Net Earnings (Loss) per Share – Diluted – Normalized
Appendix Net Earnings (Loss) per Share – Diluted – Normalized1 Q2 2025 Q2 2024 +/- +/- $ $ $ % Net Earnings (Loss) per Share - 2.12 2.82 (0.70) (24.8%) Diluted Foreign Exchange2 (Gain)/Loss 0.80 0.05 0.75 Foreign Exchange (Gain)/Loss on Debt - - - and Derivatives Other Items - 0.26 (0.26) Tax Impact
Slide 37: Free Cash Flow & Capital Investment
Appendix Free Cash Flow1 & Capital Investment (in Millions CAD) Q2 2025 Q2 2024 (in millions of dollars) $ $ Cash generated from (used in) operating activities 305.3 236.0 Payments for purchases of property, plant and equipment (CapEx) (133.2) (174.0) Proceeds on disposal of property, plant and equi
Slide 38: Linamar's Powerful Balanced & Diversified Business Model
Appendix Linamar’s Powerful Balanced & Diversified Business Model INDUSTRIAL SEGMENT focused on North America, Cash for Continued Brand generates cash and shares brand Investment Management management knowledge. Strong Profit Consistent Free Strong, Stable Sustainable MOBILITY SEGMENT Margins Cash F
Slide 39: Kevin Hallahan
Kevin Hallahan VP, Investor Relations & Marketing Linamar Corporation kevin.hallahan@linamar.com 519-836-7550 https://www.linamar.com/investors/ © Linamar Corporation