US Market News
2月前
Lear Reports First Quarter 2026 Results; The Highest EPS Since 2021 And The Highest Adjusted EPS Since 2019May 1, 2026 6:30 AM
PR Newswire (US)
SOUTHFIELD, Mich., May 1, 2026 /PRNewswire/ -- Lear Corporation (NYSE: LEA), a global automotive technology leader in Seating and E-Systems, today reported results for the first quarter 2026 and reaffirmed its financial outlook for the full year 2026.
First Quarter 2026 Financial HighlightsRevenue of $5.8 billion, an increase of 5%, compared to $5.6 billion in the first quarter of 2025Net income of $172 million and adjusted net income of $200 million, compared to $81 million and $169 million, respectively, in the first quarter of 2025Core operating earnings of $297 million, an increase of 10%, compared to $270 million in the first quarter of 2025Earnings per share of $3.34 and adjusted earnings per share of $3.87, compared to $1.49 and $3.12, respectively, in the first quarter of 2025Adjusted earnings per share grew 24% year over year, reflecting higher earnings and the benefit of our share repurchase programNet cash provided by (used in) operating activities of $98 million and free cash flow of $(27) million, compared to $(128) million and $(232) million, respectively, in the first quarter of 2025Repurchased $75 million of shares and paid $43 million in dividendsCash and cash equivalents at quarter-end of $882 million and total liquidity of $2.9 billionFirst Quarter 2026 Business HighlightsGrowing our core E-Systems products with key wins, including wire awards for a subset of harnesses for General Motors' full-size SUVs, with SAIC in China launching in 2027 and with Geely and Dongfeng for new products launching in the second half of 2026; and electronics awards for a power distribution module with a North American automaker for their next generation electrical architecture on major platforms and a high-voltage power distribution module with AudiExpanding our leadership position in Seating with new complete seat awards with Toyota in China through a non-consolidated joint venture; ComfortFlexTM awards with Audi and BMW; and a ComfortMax SeatTM award with Geely"Lear started 2026 strong in a dynamic operating environment, delivering the highest quarterly adjusted earnings per share since 2019 and improved year-over-year margins in both segments. Our differentiated capabilities continue to drive significant new business awards and accelerated growth with Chinese automakers increasing our backlog in both segments, building on the momentum from the largest Seating conquest win in our history secured at the end of last year" said Ray Scott, Lear's President and Chief Executive Officer. "Our targeted investments in automation and digital tools are supporting our long-term growth strategy and allowing us to launch key programs such as the seats for the GM full-size SUVs and pickup trucks in Orion with unprecedented speed. Our strong cash generation outlook enabled us to continue returning excess cash to shareholders by increasing the pace of share repurchases in the quarter, resulting in strong earnings per share growth while maintaining our dividend."First Quarter Financial Results
(in millions, except per share amounts)
2026
2025Reported
Sales$ 5,822.8
$ 5,560.3Net income$ 172.3
$ 80.7Earnings per share$ 3.34
$ 1.49
Adjusted(1)
Core operating earnings$ 297.3
$ 270.4Adjusted net income$ 199.5
$ 169.3Adjusted earnings per share$ 3.87
$ 3.12In the first quarter, global vehicle production was down 3% compared to a year ago, with North America down 2%, Europe down 1% and China down 10%. Global vehicle production was up 3% on a Lear sales-weighted basis(2) impacted by Lear's fiscal calendar.Sales in the first quarter were $5.8 billion, up 5% year-over-year. Sales excluding the impact of commodities, foreign exchange, tariff recoveries, acquisitions and divestitures were up 3%, reflecting increased production on key Lear platforms and the addition of new business.Core operating earnings were $297 million, or 5.1% of sales, as compared to $270 million, or 4.9% of sales, in 2025. Earnings were impacted by increased production on key Lear platforms and changes in foreign exchange rates.In the Seating segment, margins and adjusted margins increased to 6.3% and 6.9% of sales, respectively, from 5.2% and 6.7%, respectively, in 2025. In the E-Systems segment, margins and adjusted margins were 5.2% and 6.1% of sales, respectively, increasing from 3.9% and 5.2%, respectively, last year.Net income was $172 million, as compared to $81 million in 2025. Adjusted net income was $200 million, an increase of 18%, compared to $169 million in 2025.Earnings per share were $3.34 and adjusted earnings per share were $3.87, as compared to $1.49 and $3.12, respectively, a year ago, reflecting increased earnings, lower share count and lower effective tax rate. Adjusted earnings per share grew 24% year-over-year, reflecting higher earnings and the benefit of our share repurchase program.In the first quarter of 2026, net cash from operating activities was $98 million, and free cash flow(1) was $(27) million, compared to $(128) million and $(232) million, respectively, in 2025.(1)For more information regarding our non-GAAP financial measures, see "Non-GAAP Financial Information" below.(2) The global and regional production changes are based on S&P Global estimates. The production change on a Lear sales-weighted basis is calculated using Lear's prior year regional sales mix and first quarter fiscal calendar. Management believes this provides a more meaningful comparison of the Company's global revenue growth relative to global vehicle production.Share Repurchase Program
During the first quarter of 2026, Lear repurchased 630,804 shares of our common stock for a total of $75 million. At the end of the first quarter, we had a remaining share repurchase authorization of approximately $700 million, which reflects approximately 11% of our total market capitalization at current market prices.Since initiating the share repurchase program in 2011, we have repurchased 62.8 million shares of our common stock for a total of $6.0 billion at an average price of $95.25 per share. This represents a reduction of approximately 60% of our shares outstanding since the time we began the program.2026 Financial Outlook
We have maintained our financial outlook for 2026 across all metrics. At the midpoint of our guidance range, we have assumed that global industry production will be approximately 2% lower than in 2025 on a Lear sales-weighted basis. The industry volume assumptions underlying our 2026 financial outlook are derived from several sources, including internal estimates, customer production schedules and the most recent S&P Global Mobility production estimates for our vehicle platforms. Our outlook excludes any future impact of potential changes to tariffs or Company or industry-wide production disruptions.Our 2026 financial outlook is summarized below:
Full Year 2026 Financial Outlook
Net Sales$23,210 million - $24,010 million
Core Operating Earnings$1,030 million - $1,200 million
Adjusted EBITDA$1,650 million - $1,820 million
Restructuring Costs˜$175 million
Operating Cash Flow$1,210 million - $1,310 million
Capital Spending˜$660 million
Free Cash Flow$550 million - $650 million
The financial outlook is based on a full year average exchange rate of $1.17/Euro and 6.91 RMB/$.Certain of the forward-looking financial measures above are provided on a non-GAAP basis. The Company does not provide a reconciliation of such forward-looking measures to the most directly comparable financial measures calculated and presented in accordance with GAAP because to do so would be potentially misleading and not practical given the difficulty of projecting event-driven transactional and other non-core operating items in any future period. The magnitude of these items, however, may be significant.First Quarter 2026 Conference Call and Webcast Information
A conference call and webcast will be held to discuss Lear's first quarter 2026 financial results and related matters on May 1, 2026, at 9:00 a.m. EDT. The webcast link for the conference call will be available through Lear's investor relations webpage at ir.lear.com. In addition, the conference call can be accessed by dialing 1-877-883-0383 (domestic) or 1-412-902-6506 (international) with Conference I.D. 8201618. The webcast replay will be available two hours following the call.Non-GAAP Financial Information
In addition to the results reported in accordance with accounting principles generally accepted in the United States (GAAP) included throughout this press release, the Company has provided information regarding "pretax income before equity income, interest, other expense, restructuring costs and other special items" (core operating earnings or adjusted segment earnings), "pretax income before equity income, interest, other expense, depreciation expense, amortization of intangible assets, restructuring costs and other special items" (adjusted EBITDA), "adjusted net income attributable to Lear" (adjusted net income), "adjusted diluted net income per share attributable to Lear" (adjusted earnings per share) and "free cash flow" (each, a non-GAAP financial measure). Other expense includes, among other things, non-income related taxes, foreign exchange gains and losses, gains and losses related to certain derivative instruments and hedging activities, gains and losses on certain disposals of assets and the non-service cost components of net periodic benefit cost. Adjusted net income and adjusted earnings per share represent net income attributable to Lear and diluted net income per share attributable to Lear, respectively, adjusted for restructuring costs and other special items, including the tax effect thereon. Free cash flow represents net cash provided by (used in) operating activities less capital expenditures. Management believes the non-GAAP financial measures used in this press release are useful to both management and investors in their analysis of the Company's financial position and results of operations. In particular, management believes that core operating earnings, adjusted EBITDA, adjusted net income and adjusted earnings per share are useful measures in assessing the Company's financial performance by excluding certain items that are not indicative of the Company's core operating performance or that may obscure trends useful in evaluating the Company's continuing operating activities. Management also believes that these measures provide improved comparability between fiscal periods. Management believes that free cash flow is useful to both management and investors in their analysis of the Company's ability to service and repay its debt. Further, management uses these non-GAAP financial measures for planning and forecasting future periods.Core operating earnings, adjusted EBITDA, adjusted net income, adjusted earnings per share and free cash flow should not be considered in isolation or as a substitute for net income attributable to Lear, diluted net income per share attributable to Lear, cash provided by (used in) operating activities or other income statement or cash flow statement data prepared in accordance with GAAP or as a measure of profitability or liquidity. In addition, the calculation of free cash flow does not reflect cash used to service debt and, therefore, does not reflect funds available for investment or other discretionary uses. Also, these non-GAAP financial measures, as determined and presented by the Company, may not be comparable to related or similarly titled measures reported by other companies. Set forth below are reconciliations of these non-GAAP financial measures to the most directly comparable financial measures calculated and presented in accordance with GAAP.Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding anticipated financial results and liquidity. The words "may," "designed to," "outlook," "believes," "should," "anticipates," "plans," "expects," "intends," "estimates," "forecasts", "targets" and similar expressions identify certain of these forward-looking statements. The Company also may provide forward-looking statements in oral statements or other written materials released to the public. All statements contained or incorporated in this press release or in any other public statements that address operating performance, events or developments that the Company expects or anticipates may occur in the future are forward-looking statements. Factors that could cause actual results to differ materially from these forward-looking statements are discussed in the Company's Annual Report on Form 10-K for the year ended December 31, 2025, and its other Securities and Exchange Commission filings. Future operating results will be based on various factors, including actual industry production volumes, the impact of, and our ability to mitigate the effects of, U.S. or foreign policies regarding trade, including tariffs and export restrictions and any changes to tariffs or export restrictions, any resulting volume reductions or changes in vehicle production schedules by our customers, the duration and scope of any government shutdown and any other industry disruptions, supply chain disruptions, labor disruptions, unforeseen operational disruptions impacting our customers, commodity prices, changes in foreign exchange rates, the impact of restructuring actions and the Company's success in implementing its operating strategy. Information in this press release relies on assumptions in the Company's core sales backlog. The Company's core sales backlog reflects anticipated net sales from formally awarded new programs less lost and discontinued programs and excludes the impact of non-core products winding down in our E-Systems business. The Company enters into contracts with its customers to provide production parts generally at the beginning of a vehicle's life cycle. Typically, these contracts do not provide for a specified quantity of production, and many of these contracts may be terminated by the Company's customers at any time. Therefore, these contracts do not represent firm orders. Further, the calculation of the core sales backlog does not reflect customer price reductions on existing or newly awarded programs. The core sales backlog may be impacted by various assumptions embedded in the calculation, including vehicle production levels on new programs, foreign exchange rates and the timing of major program launches. The forward-looking statements in this press release are made as of the date hereof, and the Company does not assume any obligation to update, amend or clarify them to reflect events, new information or circumstances occurring after the date hereof.About Lear Corporation
Lear Corporation (NYSE: LEA) is a global automotive leader in Seating and E-Systems. The company designs, manufactures, and delivers advanced technologies to the world's major automakers. Building on more than 100 years of heritage, Lear is the largest U.S.-based automotive supplier, headquartered in Southfield, Michigan. Driven by a commitment to innovation, operational excellence, and sustainability, Lear's global team of talented employees is shaping the future of mobility by developing solutions that enhance comfort, safety, and efficiency. More information is available at Lear.com.Lear Corporation and SubsidiariesCondensed Consolidated Statements of Income (Unaudited; in millions, except per share amounts)
Three Months Ended
April 4,
2026
March 29,
2025Net sales
$ 5,822.8
$ 5,560.3
Cost of sales
5,372.5
5,201.1Selling, general and administrative expenses
190.3
172.4Amortization of intangible assets
5.0
5.2Interest expense
25.6
25.8Other expense, net
12.7
20.4
Consolidated income before income taxes and equity in net income of affiliates
216.7
135.4Income taxes
38.4
45.2Equity in net income of affiliates
(14.4)
(12.3)
Consolidated net income
192.7
102.5Net income attributable to noncontrolling interests
20.4
21.8
Net income attributable to Lear
$ 172.3
$ 80.7
Diluted net income per share attributable to Lear
$ 3.34
$ 1.49
Weighted average number of diluted shares outstanding
51.5
54.2 Lear Corporation and SubsidiariesCondensed Consolidated Balance Sheets (In millions)
April 4,
2026
December 31,
2025
(Unaudited)
(Audited)ASSETS
Current:
Cash and cash equivalents
$ 881.9
$ 1,033.0Accounts receivable
4,174.4
3,902.8Inventories
1,750.7
1,693.2Other
1,447.0
1,034.0
8,254.0
7,663.0Long-Term:
PP&E, net
2,845.5
2,913.1Goodwill
1,775.8
1,777.8Other
2,578.3
2,489.2
7,199.6
7,180.1
Total Assets
$ 15,453.6
$ 14,843.1
LIABILITIES AND EQUITY
Current:
Short-term borrowings
$ 28.3
$ 27.9Accounts payable and drafts
3,780.2
3,416.5Accrued liabilities
2,403.5
2,219.0Current portion of long-term debt
3.8
3.7
6,215.8
5,667.1Long-Term:
Long-term debt
2,711.6
2,711.5Other
1,250.9
1,263.5
3,962.5
3,975.0
Equity
5,275.3
5,201.0
Total Liabilities and Equity
$ 15,453.6
$ 14,843.1 Lear Corporation and SubsidiariesConsolidated Supplemental Data (Unaudited; in millions, except content per vehicle and per share amounts)
Three Months Ended
April 4,
2026
March 29,
2025Net Sales
North America
$ 2,223.6
$ 2,248.8Europe and Africa
2,300.9
2,062.1Asia
1,084.9
1,071.6South America
213.4
177.8Total
$ 5,822.8
$ 5,560.3
Content per Vehicle 1
North America
$ 582
$ 607Europe and Africa
$ 504
$ 469
Free Cash Flow 2
Net cash used in operating activities
$ 98.1
$ (127.7)Capital expenditures
(124.6)
(104.0)Free cash flow
$ (26.5)
$ (231.7)
Core Operating Earnings 2
Net income attributable to Lear
$ 172.3
$ 80.7Interest expense
25.6
25.8Other expense, net
12.7
20.4Income taxes
38.4
45.2Equity in net income of affiliates
(14.4)
(12.3)Net income attributable to noncontrolling interests
20.4
21.8Restructuring costs and other special items -
Costs related to restructuring actions
43.0
87.4Acquisition costs
—
0.1Disposal costs
—
0.6Recoveries related to Fisker Inc.
—
(0.4)Impairments (recoveries) related to Russian operations, net
0.2
(1.4)Other
(0.9)
2.5Core operating earnings
$ 297.3
$ 270.4 Lear Corporation and SubsidiariesConsolidated Supplemental Data(continued) (Unaudited; in millions, except content per vehicle and per share amounts)
Three Months Ended
April 4,
2026
March 29,
2025Adjusted Net Income and Adjusted Earnings Per Share 2
Net income attributable to Lear
$ 172.3
$ 80.7Restructuring costs and other special items -
Costs related to restructuring actions
43.0
87.7Acquisition costs
—
0.1Loss related to disposal of non-core business
0.4
3.3Disposal costs
—
0.6Recoveries related to Fisker Inc.
—
(0.4)Impairments (recoveries) related to Russian operations, net
0.2
(1.4)Foreign exchange losses due to foreign exchange rate volatility related to Russia
0.7
—Other
0.2
7.3Tax impact of special items and other net tax adjustments 3
(17.3)
(8.6)Adjusted net income
$ 199.5
$ 169.3
Weighted average number of diluted shares outstanding
51.5
54.2
Diluted net income per share available to Lear
$ 3.34
$ 1.49
Adjusted earnings per share
$ 3.87
$ 3.12
Diluted Shares Outstanding at End of Period 4
50,967,829
53,968,155
1 Content per Vehicle for 2025 has been updated to reflect actual production levels.
2 See "Non-GAAP Financial Information" included in this press release.
3 Represents the tax effect of restructuring costs and other special items, as well as several discrete tax items. The identification of these tax items is judgmental in nature, and their calculation is based on various assumptions and estimates.
4 Calculated using stock price at end of period. Lear Corporation and SubsidiariesSegment Supplemental Data (Unaudited; in millions, except margins)
Three Months Ended
April 4,
2026
March 29,
2025Adjusted Segment Earnings
Seating
Net sales
$ 4,404.4
$ 4,151.1
Segment earnings
$ 277.4
$ 215.7Restructuring costs and other special items -
Costs related to restructuring actions
26.8
64.5Impairments (recoveries) related to Russian operations, net
0.2
(1.4)Other
0.4
1.1Adjusted segment earnings
$ 304.8
$ 279.9
Segment margins
6.3 %
5.2 %
Adjusted segment margins
6.9 %
6.7 %
E-Systems
Net sales
$ 1,418.4
$ 1,409.2
Segment earnings
$ 73.3
$ 55.5Restructuring and other special items -
Costs related to restructuring actions
12.8
16.8Recoveries related to Fisker Inc.
—
(0.4)Other
0.4
1.9Adjusted segment earnings
$ 86.5
$ 73.8
Segment margins
5.2 %
3.9 %
Adjusted segment margins
6.1 %
5.2 %
View original content to download multimedia:https://www.prnewswire.com/news-releases/lear-reports-first-quarter-2026-results-the-highest-eps-since-2021-and-the-highest-adjusted-eps-since-2019-302759571.htmlSOURCE Lear Corporation
Original: Lear Reports First Quarter 2026 Results; The Highest EPS Since 2021 And The Highest Adjusted EPS Since 2019
US Market News
5月前
Lear Reports Fourth Quarter and Full Year 2025 ResultsFebruary 4, 2026 6:30 AM
PR Newswire (US)
SOUTHFIELD, Mich., Feb. 4, 2026 /PRNewswire/ -- Lear Corporation (NYSE: LEA), a global automotive technology leader in Seating and E-Systems, today reported results for the fourth quarter and full year 2025 and provided its financial outlook for the full year 2026.Fourth Quarter 2025 HighlightsDelivered revenue of $6.0 billion in the fourth quarter, an increase of 5%, compared to $5.7 billion in the fourth quarter of 2024Net income of $83 million and adjusted net income of $179 million, compared to $88 million and $161 million, respectively, in the fourth quarter of 2024Core operating earnings of $259 million, compared to $258 million in the fourth quarter of 2024Earnings per share of $1.58 and adjusted earnings per share of $3.41, compared to $1.61 and $2.94, respectively, in the fourth quarter of 2024Net cash provided by operating activities of $476 million and free cash flow of $281 million, compared to $681 million and $489 million, respectively, in the fourth quarter of 2024Delivered positive operating performance, generating ˜15 basis points in Seating and ˜120 basis points in E-SystemsRepurchased $175 million of shares and paid $39 million in dividendsAwarded complete seat assembly on a major truck program from an American automaker, Lear's largest conquest award in historyLear will be supporting General Motors as the supplier of complete seats for Orion Assembly, building on our strong track record as the seating supplier for GM's full-size pickups and SUVsAwarded several complete seat programs with key Chinese domestic automakers, including Changan, Dongfeng and Leapmotor, and a thermal comfort program with BYDAwarded nine wire and several electronics and connection systems programs, including with key Chinese domestic automakers BAIC, Geely and SAIC in Asia and the VW Group in Europe and South AmericaCompleted the first cohort of the Lear Fellowship program with Palantir, the first of its kind, to accelerate our digital and AI capabilitiesFull Year 2025 HighlightsDelivered revenue of $23.3 billion in 2025, flat compared to 2024Net income of $437 million and adjusted net income of $686 million, compared to $507 million and $713 million, respectively, for the full year 2024Core operating earnings of $1,062 million, compared to $1,096 million for the full year 2024Earnings per share of $8.15 and adjusted earnings per share of $12.80, compared to $8.97 and $12.62, respectively, for the full year 2024Increased adjusted earnings per share for the fifth consecutive yearNet cash provided by operating activities of $1,089 million and free cash flow of $527 million, compared to $1,120 million and $561 million, respectively, for 2024Repurchased $325 million of shares and paid $165 million in dividendsCash and cash equivalents at year-end of $1.0 billion and total liquidity of $3.0 billionDelivered record operating performance of ˜$195 million, generating ˜60 basis points in Seating and ˜110 basis points in E-SystemsSecured ˜$1.4 billion of E-Systems business awards, the largest annual total in over a decadeObtained operating control of two joint ventures in China, which support several programs for BYD and SeresAchieved seven top-four finishes in the J.D. Power 2025 U.S. Seat Quality and Satisfaction StudySM — more than any other seating competitor for the third consecutive yearReceived a record 11 quality awards in E-Systems, demonstrating the success of our multi-year operational efficiency and quality improvement initiatives across our manufacturing facilitiesWon a 2025 Automotive News PACE award for our innovative Zone Control Module featuring a highly configurable software solutionAcquired StoneShield Engineering to enhance our IDEA by LearTM advanced automation capabilities, improving our wire harness production efficiency in E-Systems"Despite lower volume in our two key markets, Lear finished 2025 with significant momentum, delivering record operating performance and our fifth consecutive year of adjusted earnings per share growth while securing approximately $1.4 billion of E-Systems business awards and the largest seating conquest award in our history, positioning us for sustained future growth," said Ray Scott, Lear's President and Chief Executive Officer. "In 2026, our expanded automation and AI leadership, combined with cost savings from restructuring actions, will be catalysts for margin expansion in both segments. Our strong cash generation outlook and healthy balance sheet enables us to continue delivering enhanced returns to our investors through share repurchases and dividends."Fourth Quarter Financial Results(in millions, except per share amounts)
2025
2024Reported
Sales$5,988.6
$5,714.6Net income$82.7
$88.1Earnings per share$1.58
$1.61
Adjusted(1)
Core operating earnings$258.6
$257.7Adjusted net income$179.2
$161.0Adjusted earnings per share $3.41
$2.94In the fourth quarter, global vehicle production was up 1% compared to a year ago, with North America flat, Europe down 2% and China up 2%. Global vehicle production was up 1% on a Lear sales-weighted basis(2).Sales in the fourth quarter were $6.0 billion, up 5% year-over-year. Excluding the impact of commodities, foreign exchange, tariff recoveries, and acquisitions and divestitures, sales were up 2%, reflecting the addition of new business in both of our business segments and the impact from commercial recoveries, partially offset by lower production on key Lear platforms.Core operating earnings were $259 million, or 4.3% of sales, as compared to $258 million, or 4.5% of sales, in 2024. Earnings were impacted by positive operating performance and the addition of new business, offset by lower production on key Lear platforms.In the Seating segment, margins and adjusted margins were 4.8% and 6.0% of sales, respectively. In the E-Systems segment, margins and adjusted margins were 2.2% and 5.3% of sales, respectively.Net income was $83 million, as compared to $88 million in 2024. Adjusted net income was $179 million, as compared to $161 million in 2024 .Earnings per share were $1.58 and adjusted earnings per share were $3.41, as compared to $1.61 and $2.94, respectively, a year ago, reflecting the lower share count and lower effective tax rate.In the fourth quarter of 2025, net cash from operating activities was $476 million, and free cash flow(1) was $281 million.Full Year Financial Results
(in millions, except per share amounts)
2025
2024Reported
Sales$23,259.1
$23,306.0Net income$436.8
$506.6Earnings per share$8.15
$8.97
Adjusted(1)
Core operating earnings$1,061.9
$1,096.1Adjusted net income$686.1
$712.8Adjusted earnings per share $12.80
$12.62For the full year 2025, global vehicle production increased 4% compared to a year ago, with North America down 1%, Europe down 1% and China up 10%. Global vehicle production increased 1% on a Lear sales-weighted basis(2).Sales for the full year were $23.3 billion, flat year-over-year. Excluding the impact of commodities, foreign exchange, tariff recoveries, and acquisitions and divestitures, sales were down 2%, reflecting lower production on key Lear platforms and the winddown of our non-core products, partially offset by the addition of new business in both of our business segments and the impact from commercial recoveries.Core operating earnings were $1,062 million, or 4.6% of sales, as compared to $1,096 million, or 4.7% of sales, in 2024. Earnings were impacted by lower production on key Lear platforms and the winddown of our non-core products, partially offset by positive operating performance and the addition of new business.In the Seating segment, margins and adjusted margins were 5.5% and 6.4% of sales, respectively. In the E-Systems segment, margins and adjusted margins were 3.1% and 4.9% of sales, respectively.Earnings per share were $8.15, as compared to $8.97 in 2024. Adjusted earnings per share were $12.80, as compared to $12.62 in 2024, reflecting the lower share count.For the full year of 2025, net cash provided by operating activities was $1,089 million, and free cash flow(1) was $527 million.(1) For more information regarding our non-GAAP financial measures, see "Non-GAAP Financial Information" below.(2) The global and regional production changes are based on S&P Global estimates. The production change on a Lear sales-weighted basis is calculated using Lear's prior year regional sales mix and fourth quarter fiscal calendar. Management believes this provides a more meaningful comparison of the Company's global revenue growth relative to global vehicle production.Share Repurchase Program
During the fourth quarter of 2025, Lear repurchased 1,632,456 shares of our common stock for a total of $175 million. At the end of the fourth quarter, we had a remaining share repurchase authorization of approximately $775 million, which reflects approximately 13% of our total market capitalization at current market prices.Since initiating the share repurchase program in 2011, we have repurchased 62.2 million shares of our common stock for a total of $5.9 billion at an average price of $95.01 per share. This represents a reduction of approximately 59% of our shares outstanding since the time we began the program.2026-2027 Sales Backlog
The consolidated two-year 2026-2027 core sales backlog is $1.325 billion and will drive continued global revenue growth and sales diversification. The core sales backlog excludes the impact of non-core products winding down in our E-Systems segment.2026 Financial Outlook
At the midpoint of our guidance range, we have assumed that global industry production will be 1% lower than in 2025 on a Lear sales-weighted basis. The industry volume assumptions underlying our 2026 financial outlook are derived from several sources, including internal estimates, customer production schedules and the most recent S&P Global Mobility production estimates for our vehicle platforms.Our outlook excludes any future impact of potential changes to tariffs or Company and industry-wide production disruptions.Our 2026 financial outlook is summarized below:
Full Year 2026 Financial Outlook
Net Sales$23,210 million - $24,010 million
Core Operating Earnings$1,030 million - $1,200 million
Adjusted EBITDA$1,650 million - $1,820 million
Restructuring Costs˜$175 million
Operating Cash Flow$1,210 million - $1,310 million
Capital Spending˜$660 million
Free Cash Flow$550 million - $650 million
The financial outlook is based on a full year average exchange rate of $1.16/Euro and 7.10 RMB/$.Certain of the forward-looking financial measures above are provided on a non-GAAP basis. The Company does not provide a reconciliation of such forward-looking measures to the most directly comparable financial measures calculated and presented in accordance with GAAP because to do so would be potentially misleading and not practical given the difficulty of projecting event-driven transactional and other non-core operating items in any future period. The magnitude of these items, however, may be significant.Fourth Quarter and Full Year 2025 Conference Call and Webcast Information
A conference call and webcast will be held to discuss Lear's fourth quarter and full year 2025 financial results and related matters on February 4, 2026, at 9:00 a.m. EST. The webcast link for the conference call will be available through Lear's investor relations webpage at ir.lear.com. In addition, the conference call can be accessed by dialing 1-877-883-0383 (domestic) or 1-412-902-6506 (international) with Conference I.D. 0809356. The webcast replay will be available two hours following the call.Non-GAAP Financial Information
In addition to the results reported in accordance with accounting principles generally accepted in the United States (GAAP) included throughout this press release, the Company has provided information regarding "pretax income before equity income, interest, other expense, restructuring costs and other special items" (core operating earnings or adjusted segment earnings), "pretax income before equity income, interest, other expense, depreciation expense, amortization of intangible assets, restructuring costs and other special items" (adjusted EBITDA), "adjusted net income attributable to Lear" (adjusted net income), "adjusted diluted net income per share attributable to Lear" (adjusted earnings per share) and "free cash flow" (each, a non-GAAP financial measure). Other expense includes, among other things, non-income related taxes, foreign exchange gains and losses, gains and losses related to certain derivative instruments and hedging activities, gains and losses on certain disposals of assets and the non-service cost components of net periodic benefit cost. Adjusted net income and adjusted earnings per share represent net income attributable to Lear and diluted net income per share attributable to Lear, respectively, adjusted for restructuring costs and other special items, including the tax effect thereon. Free cash flow represents net cash provided by operating activities, less capital expenditures.Management believes the non-GAAP financial measures used in this press release are useful to both management and investors in their analysis of the Company's financial position and results of operations. In particular, management believes that core operating earnings, adjusted EBITDA, adjusted net income and adjusted earnings per share are useful measures in assessing the Company's financial performance by excluding certain items that are not indicative of the Company's core operating performance or that may obscure trends useful in evaluating the Company's continuing operating activities. Management also believes that these measures provide improved comparability between fiscal periods. Management believes that free cash flow is useful to both management and investors in their analysis of the Company's ability to service and repay its debt. Further, management uses these non-GAAP financial measures for planning and forecasting future periods.Core operating earnings, adjusted EBITDA, adjusted net income, adjusted earnings per share and free cash flow should not be considered in isolation or as a substitute for net income attributable to Lear, diluted net income per share attributable to Lear, cash provided by operating activities or other income statement or cash flow statement data prepared in accordance with GAAP or as a measure of profitability or liquidity. In addition, the calculation of free cash flow does not reflect cash used to service debt and, therefore, does not reflect funds available for investment or other discretionary uses. Also, these non-GAAP financial measures, as determined and presented by the Company, may not be comparable to related or similarly titled measures reported by other companies. Set forth below are reconciliations of these non-GAAP financial measures to the most directly comparable financial measures calculated and presented in accordance with GAAP.Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding anticipated financial results and liquidity. The words "will," "may," "designed to," "outlook," "believes," "should," "anticipates," "plans," "expects," "intends," "estimates," "forecasts", "targets" and similar expressions identify certain of these forward-looking statements. The Company also may provide forward-looking statements in oral statements or other written materials released to the public. All statements contained or incorporated in this press release or in any other public statements that address operating performance, events or developments that the Company expects or anticipates may occur in the future are forward-looking statements. Factors that could cause actual results to differ materially from these forward-looking statements are discussed in the Company's Annual Report on Form 10-K for the year ended December 31, 2024, its Quarterly Reports on Form 10-Q for the quarters ended March 29, 2025, June 28, 2025, and September 27, 2025, and its other Securities and Exchange Commission filings. Future operating results will be based on various factors, including actual industry production volumes, the impact of, and our ability to mitigate the effects of, U.S. or foreign policies regarding trade, including tariffs and export restrictions and any changes to tariffs or export restrictions, any resulting volume reductions or changes in vehicle production schedules by our customers, the duration and scope of any government shutdown and any other industry disruptions, supply chain disruptions, labor disruptions, unforeseen operational disruptions impacting our customers, commodity prices, changes in foreign exchange rates, the impact of restructuring actions and the Company's success in implementing its operating strategy.Information in this press release relies on assumptions in the Company's core sales backlog. The Company's core sales backlog reflects anticipated net sales from formally awarded new programs less lost and discontinued programs and excludes the impact of non-core products winding down in our E-Systems business. The Company enters into contracts with its customers to provide production parts generally at the beginning of a vehicle's life cycle. Typically, these contracts do not provide for a specified quantity of production, and many of these contracts may be terminated by the Company's customers at any time. Therefore, these contracts do not represent firm orders. Further, the calculation of the core sales backlog does not reflect customer price reductions on existing or newly awarded programs. The core sales backlog may be impacted by various assumptions embedded in the calculation, including vehicle production levels on new programs, foreign exchange rates and the timing of major program launches. The forward-looking statements in this press release are made as of the date hereof, and the Company does not assume any obligation to update, amend or clarify them to reflect events, new information or circumstances occurring after the date hereof.About Lear Corporation
Lear Corporation (NYSE: LEA) is a global automotive leader in Seating and E-Systems. The company designs, manufactures, and delivers advanced technologies to the world's major automakers. Building on more than 100 years of heritage, Lear is the largest U.S.-based automotive supplier, headquartered in Southfield, Michigan. Driven by a commitment to innovation, operational excellence, and sustainability, Lear's global team of talented employees is shaping the future of mobility by developing solutions that enhance comfort, safety, and efficiency. More information is available at Lear.com. Lear Corporation and SubsidiariesCondensed Consolidated Statements of Income(Unaudited; in millions, except per share amounts)
Three Months Ended
December 31,
2025
December 31,
2024Net sales
$ 5,988.6
$ 5,714.6
Cost of sales
5,646.2
5,327.5Selling, general and administrative expenses
182.5
166.6Amortization of intangible assets
4.8
10.6Interest expense
25.0
26.7Other expense, net
17.3
24.3
Consolidated income before income taxes and equity in net income of
affiliates
112.8
158.9Income taxes
18.1
57.3Equity in net income of affiliates
(11.6)
(12.9)
Consolidated net income
106.3
114.5Net income attributable to noncontrolling interests
23.6
26.4
Net income attributable to Lear
$ 82.7
$ 88.1
Diluted net income per share attributable to Lear
$ 1.58
$ 1.61
Weighted average number of diluted shares outstanding
52.5
54.8 Lear Corporation and SubsidiariesCondensed Consolidated Statements of Income(In millions, except per share amounts)
Twelve Months Ended
December 31,
2025
December 31,
2024Net sales
$ 23,259.1
$ 23,306.0
Cost of sales
21,754.7
21,666.7Selling, general and administrative expenses
707.6
702.5Amortization of intangible assets
19.5
49.1Interest expense
100.8
106.2Other expense, net
51.4
48.6
Consolidated income before income taxes and equity in net income of
affiliates
625.1
732.9Income taxes
150.0
191.1Equity in net income of affiliates
(52.0)
(50.0)
Consolidated net income
527.1
591.8Net income attributable to noncontrolling interests
90.3
85.2
Net income attributable to Lear
$ 436.8
$ 506.6
Diluted net income per share attributable to Lear
$ 8.15
$ 8.97
Weighted average number of diluted shares outstanding
53.6
56.5 Lear Corporation and SubsidiariesCondensed Consolidated Balance Sheets(In millions)
December 31,
2025
December 31,
2024ASSETS
Current:
Cash and cash equivalents
$ 1,033.0
$ 1,052.9Accounts receivable
3,902.8
3,589.3Inventories
1,693.2
1,601.1Other
1,034.0
940.8
7,663.0
7,184.1Long-Term:
PP&E, net
2,913.1
2,833.4Goodwill
1,777.8
1,699.2Other
2,489.2
2,310.8
7,180.1
6,843.4
Total Assets
$ 14,843.1
$ 14,027.5
LIABILITIES AND EQUITY
Current:
Short-term borrowings
$ 27.9
$ 26.7Accounts payable and drafts
3,416.5
3,250.5Accrued liabilities
2,219.0
2,167.6Current portion of long-term debt
3.7
2.2
5,667.1
5,447.0Long-Term:
Long-term debt
2,711.5
2,733.3Other
1,263.5
1,246.2
3,975.0
3,979.5
Equity
5,201.0
4,601.0
Total Liabilities and Equity
$ 14,843.1
$ 14,027.5 Lear Corporation and SubsidiariesConsolidated Supplemental Data(Unaudited; in millions, except content per vehicle and per share amounts)
Three Months Ended
December 31,
2025
December 31,
2024Net Sales
North America
$ 2,460.3
$ 2,317.3Europe and Africa
2,038.5
1,980.5Asia
1,257.5
1,203.3South America
232.3
213.5Total
$ 5,988.6
$ 5,714.6
Content per Vehicle 1
North America
$ 661
$ 630Europe and Africa
$ 454
$ 448
Free Cash Flow 2
Net cash provided by operating activities
$ 475.9
$ 680.8Capital expenditures
(194.8)
(192.1)Free cash flow
$ 281.1
$ 488.7
Core Operating Earnings 2
Net income attributable to Lear
$ 82.7
$ 88.1Interest expense
25.0
26.7Other expense, net
17.3
24.3Income taxes
18.1
57.3Equity in net income of affiliates
(11.6)
(12.9)Net income attributable to noncontrolling interests
23.6
26.4Restructuring costs and other special items -
Costs related to restructuring actions
98.1
42.7Acquisition costs
(0.2)
0.1Recoveries related to CrowdStrike Holdings, Inc.
—
(0.5)Impairments (recoveries) related to Fisker, Inc., net
(0.1)
0.2Impairments (recoveries) related to Russian operations, net
0.2
(0.2)Other
5.5
5.5Core operating earnings
$ 258.6
$ 257.7 Lear Corporation and SubsidiariesConsolidated Supplemental Data(continued)(Unaudited; in millions, except content per vehicle and per share amounts)
Three Months Ended
December 31,
2025
December 31,
2024Adjusted Net Income Attributable to Lear 2
Net income attributable to Lear
$ 82.7
$ 88.1Restructuring costs and other special items -
Costs related to restructuring actions
98.1
33.0Acquisition costs
(0.2)
0.1Loss related to disposal of a non-core business
—
24.4Recoveries related to CrowdStrike Holdings, Inc.
—
(0.5)Impairments (recoveries) related to Fisker, Inc., net
(0.1)
0.2Impairments (recoveries) related to Russian operations, net
0.2
(0.2)Non-cash settlement loss on pension lump-sum payout
—
6.6Foreign exchange (gains) losses due to foreign exchange rate volatility
related to Russia
0.8
(1.5)Loss related to affiliates, net
0.4
—Other
4.8
7.7Tax impact of special items and other net tax adjustments 3
(7.5)
3.1Adjusted net income attributable to Lear
$ 179.2
$ 161.0
Weighted average number of diluted shares outstanding
52.5
54.8
Diluted net income per share available to Lear common stockholders
$ 1.58
$ 1.61
Adjusted earnings per share
$ 3.41
$ 2.94 Lear Corporation and SubsidiariesConsolidated Supplemental Data(continued)(Unaudited; in millions, except content per vehicle and per share amounts)
Twelve Months Ended
December 31,
2025
December 31,
2024Net Sales
North America
$ 9,809.4
$ 9,749.1Europe and Africa
8,029.3
8,298.4Asia
4,556.5
4,392.4South America
863.9
866.1Total
$ 23,259.1
$ 23,306.0
Content per Vehicle 1
North America
$ 642
$ 631Europe and Africa
$ 463
$ 471
Free Cash Flow 2
Net cash provided by operating activities
$ 1,088.8
$ 1,120.1Capital expenditures
(561.6)
(558.7)Free cash flow
$ 527.2
$ 561.4
Estimated Impact of JLR Cyberattack
Sales
$ (217)
$ —Core operating earnings
(54)
—
Core Operating Earnings 2
Net income attributable to Lear
$ 436.8
$ 506.6Interest expense
100.8
106.2Other expense, net
51.4
48.6Income taxes
150.0
191.1Equity in net income of affiliates
(52.0)
(50.0)Net income attributable to noncontrolling interests
90.3
85.2Restructuring costs and other special items -
Costs related to restructuring actions
260.1
158.5Acquisition costs
(0.1)
0.6Disposal costs
0.7
—Costs related to CrowdStrike Holdings, Inc.
—
3.2Impairments (recoveries) related to Fisker, Inc., net
(1.1)
15.0Recoveries related to Russian operations, net of costs
(1.2)
(1.7)Other
26.2
32.8Core operating earnings
$ 1,061.9
$ 1,096.1 Lear Corporation and SubsidiariesConsolidated Supplemental Data(continued)(Unaudited; in millions, except content per vehicle and per share amounts)
Twelve Months Ended
December 31,
2025
December 31,
2024Adjusted Net Income Attributable to Lear 2
Net income attributable to Lear
$ 436.8
$ 506.6Restructuring costs and other special items -
Cost related to restructuring actions
257.3
145.0Acquisition costs
(0.1)
0.6Loss related to disposal of a non-core business
2.7
24.4Disposal costs
0.7
—Debt refinancing
0.8
—Costs related to CrowdStrike Holdings, Inc.
—
3.2Impairments (recoveries) related to Fisker, Inc., net
(1.1)
15.0Recoveries related to Russian operations, net of costs
(1.2)
(1.7)Non-cash settlement loss on pension lump-sum payout
—
6.6Foreign exchange (gains) losses due to foreign exchange rate volatility
related to Russia
2.8
(2.0)Loss related to affiliates, net
0.4
—Other
20.8
39.7Tax impact of special items and other net tax adjustments 3
(33.8)
(24.6)Adjusted net income attributable to Lear
$ 686.1
$ 712.8
Weighted average number of diluted shares outstanding
53.6
56.5
Diluted net income per share available to Lear common stockholders
$ 8.15
$ 8.97
Adjusted earnings per share
$ 12.80
$ 12.62
Diluted Shares Outstanding at End of Year 4
51,673,998
54,195,858
1 Content per Vehicle for 2024 has been updated to reflect actual production levels.
2 See "Non-GAAP Financial Information" included in this press release.
3 Represents the tax effect of restructuring costs and other special items, as well as several discrete tax items. The identification of these tax items is judgmental in nature, and their calculation is based on various assumptions and estimates.
4 Calculated using stock price at end of year.
Lear Corporation and SubsidiariesSegment Supplemental Data(Unaudited; in millions, except margins)
Three Months Ended
December 31,
2025
December 31,
2024Adjusted Segment Earnings
Seating
Net sales
$ 4,408.4
$ 4,185.7
Segment earnings
$ 211.0
$ 228.5Costs related to restructuring actions
48.3
26.4Recoveries related to CrowdStrike Holdings, Inc.
—
(0.5)Impairments (recoveries) related to Russian operations, net
0.2
(0.2)Other
3.5
2.8Adjusted segment earnings
$ 263.0
$ 257.0
Segment margins
4.8 %
5.5 %
Adjusted segment margins
6.0 %
6.1 %
E-Systems
Net sales
$ 1,580.2
$ 1,528.9
Segment earnings
$ 34.5
$ 58.5Costs related to restructuring actions
49.5
14.6Impairments (recoveries) related to Fisker, Inc., net
(0.1)
0.2Other
(0.2)
3.4Adjusted segment earnings
$ 83.7
$ 76.7
Segment margins
2.2 %
3.8 %
Adjusted segment margins
5.3 %
5.0 % Lear Corporation and SubsidiariesSegment Supplemental Data(continued)(Unaudited; in millions, except margins)
Twelve Months Ended
December 31,
2025
December 31,
2024Adjusted Segment Earnings
Seating
Net sales
$ 17,283.0
$ 17,222.1
Segment earnings
$ 948.8
$ 988.5Costs related to restructuring actions
149.2
110.0Costs related to CrowdStrike Holdings, Inc.
—
2.6Impairments related to Fisker, Inc.
—
2.3Recoveries related to Russian operations, net of costs
(1.2)
(1.7)Other
6.0
13.8Adjusted segment earnings
$ 1,102.8
$ 1,115.5
Segment margins
5.5 %
5.7 %
Adjusted segment margins
6.4 %
6.5 %
E-Systems
Net sales
$ 5,976.1
$ 6,083.9
Segment earnings
$ 186.2
$ 247.4Costs related to restructuring actions
102.2
40.5Costs related to CrowdStrike Holdings, Inc.
—
0.6Impairments (recoveries) related to Fisker, Inc., net
(1.1)
12.7Other
5.7
9.0Adjusted segment earnings
$ 293.0
$ 310.2
Segment margins
3.1 %
4.1 %
Adjusted segment margins
4.9 %
5.1 %
View original content:https://www.prnewswire.com/news-releases/lear-reports-fourth-quarter-and-full-year-2025-results-302678334.htmlSOURCE Lear Corporation
Original: Lear Reports Fourth Quarter and Full Year 2025 Results
Hot Features
プレミアム
登録してリアルタイムのアラート、カスタムポートフォリオ、市場の動きを入手してください。
PennyMillions852
3年前
whytestocks
7年前
ValueInvestor15
10年前
Sculelos
17年前
メールアドレスで登録
