Auto parts supplier Lear beats Q2 revenue estimates

Lear

25/07/2025 11:40

Overview

Lear Q2 revenue of $6.0 bln beats analyst expectations, per LSEG data

Adjusted EPS for Q2 exceeds estimates, indicating strong operational performance

Co awarded new seat programs with BMW, Ford, and global EV automakers

Outlook

Lear sees full-year revenue between $22,470 mln and $23,070 mln

Company expects core operating earnings of $955 mln to $1,095 mln

Lear anticipates adjusted EBITDA of $1,570 mln to $1,710 mln

Company projects free cash flow of $420 mln to $520 mln

Result Drivers

OPERATING PERFORMANCE - Strong performance in Seating and E-Systems segments contributed to solid margins

NEW BUSINESS - Addition of new business partially offset lower production on key Lear platforms

AUTOMATION INVESTMENTS - Investments in automation and restructuring expected to drive sustainable margin improvement, per CEO Ray Scott

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Beat
$6.03 bln
$5.87 bln (11 Analysts)
Q2 Adjusted EPS
Beat
$3.47
$3.28 (13 Analysts)
Q2 EPS
$3.06
Q2 Adjusted Net Income
Beat
$187.80 mln
$176.60 mln (8 Analysts)
Q2 Net Income
$165.20 mln
Q2 Core Operating Earnings
$291.80 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 10 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the auto, truck & motorcycle parts peer group is "hold."

Wall Street's median 12-month price target for Lear Corp is $113.50, about 4.7% above its July 24 closing price of $108.14

The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 7 three months ago

Press Release: ID:nPnb5Qjlva

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)