Gentex Stock Earnings Reports

Gentex reported Q3 2025 consolidated revenue of $655.2M (up 8% year-over-year, including VOXX). Core Gentex sales declined 6% YoY to $570.3M, driven by weaker shipments in Europe and a 35% decline in China due to tariffs/counter-tariffs; North America grew ~5% driven by higher content. VOXX contributed $84.9M. Gross margin expanded (consolidated 34.4%; core Gentex 34.9%), helped by mix, purchasing cost reductions and operational efficiencies, partially offset by ~90 bps of incremental tariffs not yet reimbursed. Consolidated operating expenses increased primarily from the VOXX acquisition; core Gentex operating expenses were roughly flat. Q3 net income was $101M (EPS $0.46); prior-year quarter included a one-time VOXX-related gain. Cash flow remained strong (Q3 operating cash flow ~$146.9M; YTD $461.6M). The company repurchased 1.0M shares in Q3 (YTD 9.8M) and has ~39.6M shares remaining under the buyback. Balance sheet effects from the VOXX deal include higher receivables, inventory and payables; cash and investments declined due to the acquisition and buybacks. Product highlights: strong launches with >55% advanced mirror/electronic feature launches, continued momentum in Full Display Mirror (FDM) with an anticipated incremental 200k–300k FDM units in 2025 vs. 2024, progress on dimmable sunroofs/visors (targeting in-house production late Q1–early Q2 2026), and driver/in-cabin monitoring launches with 3 additional customers by mid-2026. Management is working on VOXX integration and expects to realize synergies (target reiterated around driving meaningful cash flow improvement—management cited ~$40M annual free cash flow opportunity within ~18 months). Updated 2025 guidance (including VOXX): consolidated revenue $2.5B–$2.6B; consolidated gross margin 33.5%–34%; operating expenses (ex-severance) $380M–$390M; effective tax rate 16%–16.5%; CapEx $115M–$125M; D&A $96M–$99M. Key investor considerations: improving margins and cash flow despite tariff headwinds, near-term regional revenue pressure (Europe, China), accretive VOXX contribution but integration costs and mix effects on margins, continued product-driven growth opportunities (FDM, driver monitoring, dimmable large-area products) with execution risks on new manufacturing ramps.