Lear Reports Fourth Quarter and Full Year 2018 Results

January 25, 2019

Lear Reports Fourth Quarter and Full Year 2018 Results

January 25, 2019

SOUTHFIELD, Mich., Jan. 25, 2019 -- Lear Corporation (NYSE: LEA), a leading global supplier of automotive seating and electrical and electronic systems, today reported results for the fourth quarter and full year 2018. Highlights include:

Fourth Quarter 2018

  • Sales of $4.9 billion, compared to $5.4 billion in the fourth quarter 2017
  • Net income of $212 million and adjusted net income of $261 million, compared to $401 million and $300 million, respectively, in the prior year
  • Core operating earnings of $389 million, compared to $441 million in the fourth quarter 2017
  • Earnings per share of $3.39 and adjusted earnings per share of $4.05, compared to $5.80 and $4.38, respectively, in the fourth quarter 2017
  • Net cash provided by operating activities of $758 million and free cash flow of $574 million

Full Year 2018

  • Sales of $21.1 billion, compared to $20.5 billion for the full year 2017
  • Net income of $1,150 million and adjusted net income of $1,205 million, compared to $1,313 million and $1,178 million, respectively, in the prior year
  • Core operating earnings of $1,749 million, compared to $1,719 million for the full year 2017
  • Earnings per share of $17.22 and adjusted earnings per share of $18.22, compared to $18.59 and $17.00, respectively, in full year 2017
  • Net cash provided by operating activities of $1.8 billion and free cash flow of $1.1 billion

"In the fourth quarter, global vehicle production was down 5% compared to last year, with China down 15%. Despite a more challenging macroeconomic and industry environment, we delivered solid financial results. Our performance demonstrates our strong execution capabilities and our continued investment in innovation. We are in the strongest overall financial and competitive position in our history, as evidenced by our strong backlog, and we are excited about the significant growth opportunities in front of us," said Ray Scott, Lear's President and Chief Executive Officer. "While the industry will continue to face challenges in 2019, we are well positioned with two high-performing business segments that are complementary and aligned with the key trends driving the future of the automotive industry. Our unique product capabilities and industry-leading cost structure will position us to be able to continue to deliver profitable sales growth and sustainable, long-term shareholder value."

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