Lear reported sales of $5.77 billion in the third quarter of 2026, up 2% year over year, while net income attributable to Lear increased 26% to $136.6 million. Core operating earnings rose 6% to $255.7 million, and adjusted diluted earnings per share increased from $2.79 to $3.71. Lear maintained its full-year core operating earnings guidance and said it still expects to achieve its earnings outlook.
Financial Results
Net sales were $5.77 billion, compared with $5.68 billion in the third quarter of 2025.
Gross profit and gross margin were not reported as separate line items.
Core operating earnings—the company’s adjusted measure of operating profit—were $255.7 million, or 4.4% of sales, compared with $241.1 million, or 4.2%, a year earlier.
Net income attributable to Lear was $136.6 million, compared with $108.2 million; adjusted net income increased from $149.8 million to $185.0 million.
Adjusted diluted earnings per share were $3.71, compared with $2.79. Reported diluted earnings per share were $2.74, compared with $2.02.
Operating Results
Lear sales increased 2% year over year, despite a 2% decline in global vehicle production and an approximately 2% decline in production weighted by Lear’s sales mix.
The company reported positive operating results in both segments. Adjusted margins in the Seating segment were 6.3%, compared with 6.1% a year earlier; adjusted margins in the E-Systems segment increased from 4.2% to 4.8%.
Lear announced new awards for complete seating systems, including programs for a North American automaker, Mahindra & Mahindra, a Chinese luxury electric vehicle manufacturer, and BYD. The company also received awards to supply seat components to Mercedes and JLR.
The E-Systems segment won an electronics award from a competitor for a European commercial and passenger van program, as well as awards to supply wiring components and other competitor awards from customers in China.
The company said the launch of its complete seating plant in Orion, Michigan, remains on track for early next year. Lear also met its annual $350 million share repurchase target and extended its $1.5 billion share repurchase program through December 31, 2029.