Gentherm Stock Earnings Reports

Gentherm reported a strong Q3 2025 driven by record quarterly revenue, improved execution and cash generation. Key financials: revenue of $387 million (up 4.1% YoY; +2.4% ex-FX), adjusted EBITDA of $49 million (12.7% of sales), adjusted diluted EPS $0.73, operating cash flow $88 million year-to-date and net leverage of 0.2x. Automotive new business awards totaled $745 million in Q3 and $1.8 billion year-to-date, keeping the company on track to exceed $2.0 billion in full-year awards. Notable program wins include a strategic conquest with Mercedes‑Benz (100% incremental) that includes the Puls.A pulsating massage system, and additional ComfortScale expansion with GM. Management raised the midpoint of full‑year revenue guidance to $1.47–$1.49 billion and narrowed the EBITDA margin range to 11.9%–12.3%; they reiterated a reduced CapEx range of $45–$55 million. Strategy highlights: scaling core technologies into adjacent markets (furniture, powersports, commercial vehicles, medical) with a $300 million lifetime revenue funnel and a furniture production start targeted for Q1 2026 using existing capacity; ongoing footprint realignment (China and Morocco) to be substantially complete by end of 2026; disciplined M&A focus on bolt‑on opportunities that align with core tech and markets. Management flagged potential industry supply‑chain risks (Novelis aluminum fire, Nexperia geopolitical issues) and is actively working with customers and suppliers; current direct Gentherm impact is limited and not reflected beyond the contingencies already contemplated in guidance. Overall, the quarter showed product momentum (especially lumbar/massage and thermal/pneumatic solutions), margin discipline, strong liquidity and a clear push to diversify revenue streams beyond light vehicles.