EarningsQ2 2026 Earnings Report
MX:LEA Q2 2026 EPS Results
Actual EPS$75.13
Consensus EPS$69.81
Beat/MissBeat by +$5.32
One Year Ago EPS$60.91
MX:LEA Q2 2026 Revenue Results
Actual Revenue$108.99B
Expected Revenue$107.90B
Beat/MissBeat by +$1.09B
YoY Revenue Growth+2.97%
Earnings Announcement Details
QuarterQ2 2026
Date07/31/2026
TimeBefore Open
Conference CallFriday, July 31, 2026
MX:LEA Upcoming Earnings
Lear's next earnings date is estimated for November 3, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
MX:LEA Q2 2026 Earnings Call
0:00 / 0:00
Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call presented a largely positive message: Lear delivered solid Q2 results with revenue up 3%, EPS up 23%, strong cash flow (operating cash flow +55%, free cash flow +69%) and meaningful business awards (~$2.9B YTD). Management raised full-year guidance modestly and highlighted substantial progress on automation, net performance, and margin expansion (notably in E-Systems). Offsetting factors include pronounced weakness in China (domestic sales down ~20% H1), the wind down of non-core E-Systems products ($90M in 2026, ~$235M in 2027), and near-term seasonal/production headwinds that are expected to limit growth in 2027. Overall, the company’s operational momentum, sizable backlog and automation-driven cost improvements outweigh the near-term regional and program-specific headwinds.Company Guidance
Revenue and EPS Growth
Q2 sales increased 3% year-over-year to $6.2 billion; record first-half revenue of over $12 billion. Adjusted earnings per share were $4.28, up 23% versus Q2 2025. Core operating earnings were $313 million, a 7% increase in the quarter (~9% for the first half).
Strong Cash Generation and Capital Allocation
Operating cash flow rose 55% to $461 million and free cash flow grew 69% to $288 million in Q2 (free cash flow growth of $117 million in the quarter). Share repurchases were $100 million in Q2 ($175 million YTD) and the company raised its full-year repurchase target to at least $350 million.
Raised Full-Year Guidance
Updated 2026 midpoint guidance: revenue ~$23.8 billion (≈1% increase vs prior), core operating earnings ~$1.14 billion (≈2% increase vs prior), operating cash flow ~$1.3 billion, and free cash flow ~$640 million (a $40 million increase). Midpoint operating margin of 4.8%.
Robust New Business Awards and Backlog
Approximately $2.9 billion of business awards year-to-date ($2.3 billion Seating, >$500 million E-Systems); more than 50% of awards are new or conquest programs. Management highlights a very robust backlog for 2029 with significant awards expected to contribute in 2029–2030.
Seating Outperformance and Product Wins
Seating grew ~3 percentage points above market for the quarter; seating sales were $4.6 billion (up $150 million, +3% YoY). Major wins include a significant multi-program Audi conquest/new business award (one of the largest recent awards), Hyundai complete seats in North America, and seven new ComfortFlex/FlexAir/ComfortMax wins this quarter bringing total modular thermal comfort awards to 45 (17 in production, 11 launching by year-end).
E-Systems Margin Expansion and Net Performance
E-Systems sales were $1.6 billion (up $28 million, +2% YoY) with adjusted earnings of $91 million (5.8% of sales) versus $76 million (4.9%) last year. E-Systems margins expanded ~90 basis points year-over-year and net operating performance outpaced initial targets (management cited ~100 bps in H1 and strong net performance of 155 bps referenced).
Idea by Lear — Automation, Digital and Cost Savings
Opened the Advanced Manufacturing Integration Center in Rochester Hills; demonstrated automation wins including automated ComfortFlex/ComfortMax and FlexAir lines, automated wire taping (rollout planned), 2D automated sewing (200+ cells reducing labor ~50%), 3D sewing development, >50 automated seat finesse cells and >40 end-of-line testing cells delivering combined $14 million in annual savings. Targeting $75 million in Idea savings for 2026 (≈$35 million achieved in H1). Lights-out pilot in Wismar (12 automated injection molding machines) showcased production-ready automation.
MX:LEA Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed