Cooper Standard earnings grow despite automotive production dip

Northville, Michigan – Cooper-Standard Holdings has reported sales and earnings growth for 2025 despite a sharp decline in results in the final quarter of the year.

For the full year, the US automotive parts supplier, posted adjusted earnings (EBITDA) of $209 million (€176 million), up 16% year-on-year, said Cooper Standard 12 Feb.

Sales for the 12-month period grew slightly, 0.4% to $2.75 billion, while operating income increased 24% to $86.6 million.

For the final quarter of the year, the supplier posted a 35% year-on-year decrease in adjusted earnings to $35 million, despite a 1.8% growth in sales to $672 million.

Operating profit for the quarter fell significantly from $31.7 million to $600,000.

Commenting on the results, chairman and CEO Jeffrey Edwards said Cooper Standard drove margin expansion and improved cash flow during the year.

The full year results, said Edwards, “exceeded our original plans and expectations… despite significant production declines on a key customer programme that negatively impacted the fourth quarter.”

The US manufacturer expects “further improvements” in 2026 with adjusted earnings and margin set to reach or exceed 10% of sales.

Elaborating on the results, Cooper Standard said the fourth quarter sales increase was primarily attributable to favourable foreign exchange, partially offset by unfavourable volume and mix.

Earnings decline in the quarter was linked to “a year-end true-up of compensation related accruals,” as well as manufacturing inefficiencies stemming from a customer supply chain, production disruption, and higher wages and general inflation.

These were partially offset by “purchasing lean initiatives” and favourable volume and mix.

For the full year, sales grew due to positive currency impact, partially offset by unfavourable volume and mix as well as price adjustments.

Earnings growth was driven by savings through lean manufacturing and purchasing initiatives, restructuring savings, and favourable foreign exchange.

The positive factors were partially offset by higher wages and general inflation, unfavourable volume and mix, including price adjustments, and higher SGA&E expense.