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Mar 29, 2025
Lear Q1 2025 Earnings Report
Reported results for the first quarter 2025
Key Takeaways
Lear Corporation reported a decrease in revenue and net income in the first quarter of 2025 compared to the prior year, despite an increase in operating margins for both Seating and E-Systems segments. The company delivered solid operating performance despite lower industry production in its largest markets.
Delivered revenue of $5.6 billion, a decrease from $6.0 billion in the first quarter of 2024.
Reported net income of $81 million and adjusted net income of $169 million, down from the prior year.
Achieved core operating earnings of $270 million, a slight decrease from $280 million in the first quarter of 2024.
Experienced net cash used in operating activities of $(128) million and free cash flow of $(232) million.
Revenue by Segment
Revenue by Geographic Location
Forward Guidance
Lear is not reaffirming its 2025 financial outlook due to uncertainty in industry production caused by the evolving tariff environment. The company remains confident in delivering the operating performance commitments highlighted in the February 2025 earnings call.
Positive Outlook
- Confident in delivering operating performance commitments for 2025.
- Working closely with customers, suppliers, and the administration to maintain long-term competitiveness.
- Continuing to effectively manage near-term challenges.
- Winning new business.
- Investing in automation and restructuring to further improve margins.
Challenges Ahead
- Uncertainty in industry production caused by the evolving tariff environment.
- Difficult to forecast global production.
- Impact on the cost structure of the global supply chain.
- Potential for volume reductions or changes in vehicle production schedules by customers.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
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