Lear Corporation (NYSE:LEA) reported its Q4 results, with adjusted EPS coming in at $1.22, beating the consensus estimate of $1.13. Revenue was $4.88 billion, above the consensus of $4.7 billion, with Seating revenue of $3.6 billion and E-Systems revenue of $1.2 billion, representing growth-over-market of 7pp and 5pp, respectively.

While the company delivered strong quarterly results, the investors’ focus was on below-Street guidance. The company expects 2022 revenue to range from $20.8 billion to $22.3 billion, around 3% below the consensus estimate at the midpoint. Adjusted operating income is expected to be in the range of $0.9-1.2 billion (4.3-5.4% margin), compared to the consensus estimate of $1.36 billion (est. 6.1% margin), as cost inflation (i.e., copper, steel, labor, logistics, etc.) and a slow recovery weigh on margins.