Core Insights - Lear Corporation is making strategic leadership changes to enhance its focus on innovation and automation as part of its IDEA initiative [1][2][4] Leadership Changes - Carl Esposito has been appointed as Senior Vice President, IDEA by Lear, leveraging his extensive experience in product development and operations [2][3] - Nick Roelli will succeed Esposito as Senior Vice President and President of E-Systems, bringing a strong background in operational and commercial strategy [4][5] Strategic Focus - The IDEA initiative aims to drive growth and improve profitability through technology and automation, positioning Lear as a leader in operational excellence [2][4] - Esposito emphasized the importance of innovation and efficiency to accelerate growth, enhance quality and safety, and create value-added opportunities [4][6] Company Overview - Lear Corporation is a global leader in automotive technology, specializing in Seating and E-Systems, and serves every major automaker worldwide [7]

Group 1 - Lear Corporation has declared a quarterly cash dividend of $0.77 per share on its common stock, payable on June 25, 2024, to shareholders of record at the close of business on June 6, 2024 [1] - Lear Corporation is a global leader in automotive technology, specializing in Seating and E-Systems, and aims to enhance in-vehicle experiences for consumers worldwide [2] - The company operates in 38 countries and is committed to innovation, operational excellence, and sustainability, serving every major automaker globally [2]

Lear Corp. (LEA) reported first-quarter 2024 adjusted earnings of $3.18 per share, which increased from $2.78 recorded in the year-ago quarter and beat the Zacks Consensus Estimate of $3.04 per share. In the reported quarter, revenues increased 2.5% year over year to $6 billion and were in line with the Zacks Consensus Estimate.Segment PerformanceSales of the Seating segment totaled $4.47 billion in the reported quarter, up from $4.45 billion generated in the year-ago quarter billion, thanks to solid backlo ...

Have you looked into how Lear (LEA) performed internationally during the quarter ending March 2024? Considering the widespread global presence of this automotive seating and electrical distribution systems company, examining the trends in international revenues is essential for assessing its financial resilience and prospects for growth.In the current era of a tightly interconnected global economy, the proficiency of a company to penetrate international markets significantly influences its financial health ...

Financial Data and Key Metrics Changes - The company reported a record revenue of $6 billion for the first quarter, representing a 3% year-over-year increase [17][27] - Core operating earnings grew by 6% to $280 million, with adjusted earnings per share increasing by 14% to $3.18 [34][45] - Operating cash flow was consistent with the previous year, reflecting higher core operating earnings offset by increased cash restructuring [45][50] Business Line Data and Key Metrics Changes - In the Seating segment, sales increased by $25 million or 1% to $4.5 billion, driven by backlog and acquisitions, but were flat when excluding commodities and foreign exchange impacts [28][46] - The E-Systems segment saw sales rise by $124 million or 9% to $1.5 billion, with a 10% increase in sales excluding foreign exchange and commodities [46][47] Market Data and Key Metrics Changes - Global vehicle production decreased by 1% year-over-year, but production volumes increased by 1% in North America and 5% in China, while Europe saw a 2% decline [43][44] - The company outperformed the market in E-Systems with a growth of 10 points above market, while Seating was flat [26][34] Company Strategy and Development Direction - The company is focusing on automation and digital tools to enhance operational efficiency and reduce costs, with the introduction of the IDEA by Lear initiative [38][51] - Recent acquisitions, including WIP Industrial Automation, are aimed at strengthening automation capabilities and expanding the company's footprint in Europe [18][23] - The thermal comfort business is on track to achieve $1 billion in revenue by 2027, with a target operating margin of 10% [24] Management's Comments on Operating Environment and Future Outlook - Management highlighted challenges such as elevated wage inflation, geopolitical risks, and the pace of the EV transition, but also noted opportunities for growth and margin expansion for adaptable companies [21][49] - The company expects to maintain its full-year guidance, forecasting flat global industry production but higher sales and operating earnings for the fourth consecutive year [47][49] Other Important Information - The company has committed to returning excess cash to shareholders, with a share repurchase authorization increased to $1.5 billion through the end of 2026 [20][50] - Restructuring costs are expected to be elevated due to future plant closures in Europe aimed at improving the manufacturing cost structure [45][58] Q&A Session Summary Question: What are the drivers of growth in E-Systems? - The growth was driven by a combination of backlog and favorable production volumes on key platforms, with expectations for growth to moderate to about five points over market for the full year [54][55] Question: Can you elaborate on the restructuring plans for the year? - The guidance for restructuring costs is $125 million, primarily focused on Europe, to realign operations to lower volumes [58][59] Question: How does automation impact labor costs? - Automation is seen as a catalyst for offsetting wage inflation and driving higher margins, with headcount changes expected to occur through normal attrition rather than significant restructuring [66][87] Question: What is the outlook for the new business backlog? - The backlog remains strong, with some changes due to timing and volume associated with specific launches, but overall visibility is positive [134][135] Question: How is the company addressing labor challenges in the supply chain? - Labor scarcity is a significant issue across the supply chain, but the company is working with suppliers to manage these challenges effectively [99][100]

42.3 � 54.1 Restructuring costs and other special items - Free Cash Flow $600 - $750 million Certain of the forward-looking financial measures are provided on a non-GAAP basis. A reconciliation of forward-looking financial measures to the most directly comparable financial measures calculated and presented in accordance with GAAP is 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 ...

For the quarter ended March 2024, Lear (LEA) reported revenue of $5.99 billion, up 2.6% over the same period last year. EPS came in at $3.18, compared to $2.78 in the year-ago quarter.The reported revenue represents no surprise over the Zacks Consensus Estimate of $5.99 billion. With the consensus EPS estimate being $3.04, the EPS surprise was +4.61%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determi ...

Lear (LEA) came out with quarterly earnings of $3.18 per share, beating the Zacks Consensus Estimate of $3.04 per share. This compares to earnings of $2.78 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 4.61%. A quarter ago, it was expected that this automotive seating and electrical distribution systems company would post earnings of $3.07 per share when it actually produced earnings of $3.03, delivering a surprise of -1.30% ...

Financial Performance - Lear Corporation reported record revenue of $6.0 billion for Q1 2024, a 3% increase from $5.8 billion in Q1 2023[4] - Net income for Q1 2024 was $110 million, with adjusted net income at $183 million, compared to $144 million and $166 million in Q1 2023, respectively[4] - Adjusted earnings per share increased by 14% to $3.18 in Q1 2024, up from $2.78 in the same period last year[4] - Core operating earnings rose 6% to $280 million, representing 4.7% of sales, compared to 4.5% of sales in Q1 2023[7] - Total net sales for the three months ended March 30, 2024, reached $5,994.6 million, an increase of 2.5% compared to $5,845.5 million for the same period in 2023[29] - North America net sales increased to $2,475.9 million, up 4.0% from $2,380.0 million year-over-year[29] - Adjusted net income for the three months ended March 30, 2024, was $183.2 million, compared to $165.8 million in the same period of 2023, reflecting an increase of 10.4%[31] - Core operating earnings for the period were $279.8 million, compared to $263.4 million in the same quarter of 2023, representing a growth of 6.5%[29] - The company reported a diluted net income per share of $1.90 for the three months ended March 30, 2024, down from $2.41 in the same period of 2023[31] Cash Flow and Liquidity - Cash and cash equivalents at the end of Q1 2024 were $930 million, with total liquidity of $2.9 billion[4] - Free cash flow for the three months ended March 30, 2024, was $(148.2) million, slightly worse than $(147.4) million in the prior year[29] - Lear increased its share repurchase authorization to $1.5 billion, with $30 million repurchased in Q1 2024[10] Business Developments - The company announced the acquisition of WIP Industrial Automation, expected to close by Q3 2024, to enhance automation and AI capabilities[4] - Lear initiated validation work for its first complete seat module, set to launch in North America in 2026, as part of its thermal comfort strategy[5] Market Conditions - Global vehicle production decreased by 1% year-over-year, with Lear's sales-weighted basis remaining flat[6] Segment Performance - Seating segment net sales were $4,477.6 million, with adjusted segment earnings of $294.9 million, down from $300.4 million in the previous year[33] - E-Systems segment net sales increased to $1,517.0 million, with adjusted segment earnings rising to $77.1 million from $48.9 million year-over-year[33] Balance Sheet - Total assets increased to $14,872.0 million as of March 30, 2024, compared to $14,695.5 million at the end of 2023[26] - Total liabilities decreased slightly to $9,885.8 million as of March 30, 2024, from $9,634.9 million at the end of 2023[26] Financial Outlook - The financial outlook for 2024 includes net sales projected between $24 billion and $24.6 billion[12]

The first-quarter earnings season for the Auto-Tires-Trucks sector has shifted to high gear this week. So far, four S&P 500 sector components — Tesla, Genuine Parts, General Motors, LKQ Corp— have reported quarterly numbers. Results have been mixed so far. While Tesla and LKQ missed earnings estimates, General Motors and Genuine Parts surpassed the same.Per the Earnings Trend report dated Apr 17, the auto sector’s earnings for the first quarter of 2024 are expected to decline 29.5% on a year-over-year basis ...