Lear Reports Fourth Quarter and Full Year 2025 Results

Core Insights - Lear Corporation reported a revenue of $6.0 billion for Q4 2025, marking a 5% increase from $5.7 billion in Q4 2024 [4][6] - The company achieved a net income of $83 million and an adjusted net income of $179 million in Q4 2025, compared to $88 million and $161 million in Q4 2024, respectively [4][9] - For the full year 2025, Lear's revenue was $23.3 billion, flat compared to 2024, with a net income of $437 million and adjusted net income of $686 million [4][10][11] Fourth Quarter 2025 Highlights - Core operating earnings for Q4 2025 were $259 million, slightly up from $258 million in Q4 2024 [4][8] - Earnings per share (EPS) were $1.58, with adjusted EPS at $3.41, compared to $1.61 and $2.94 in Q4 2024 [4][9] - Net cash provided by operating activities was $476 million, with free cash flow of $281 million, down from $681 million and $489 million in Q4 2024 [4][9] Full Year 2025 Highlights - Core operating earnings for the full year were $1,062 million, down from $1,096 million in 2024 [4][11] - Adjusted earnings per share for 2025 were $12.80, compared to $12.62 in 2024, marking the fifth consecutive year of adjusted EPS growth [4][14] - The company repurchased $325 million of shares and paid $165 million in dividends during 2025 [4][12] Operational Performance - Lear secured $1.4 billion in E-Systems business awards, the largest annual total in over a decade [4][5] - The company achieved record operating performance of $195 million, generating 60 basis points in Seating and 110 basis points in E-Systems [4][5] - Lear was awarded several complete seat programs with major automakers, including General Motors and key Chinese domestic automakers [4][5] Financial Outlook for 2026 - The company anticipates net sales for 2026 to be between $23.21 billion and $24.01 billion [4][19] - Core operating earnings are projected to be between $1.03 billion and $1.20 billion, with adjusted EBITDA expected to range from $1.65 billion to $1.82 billion [4][19] - The financial outlook assumes a 1% decrease in global industry production compared to 2025 [4][18]