GENTEX CORP
For the period ended Jun 30, 2025. Filed Aug 8, 2025.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2025 · Filed Aug 8, 2025
GNTX$19.88-1.6%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-03-31; filed 2025-05-06.
0000355811-25-000029
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-06-30; filed 2025-08-08.
0000355811-25-000041
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsNon GAAP Financial MeasuresThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 81 previous paragraphs and 110 current paragraphs.
35 unchanged; 28 reworded; 47 added; 18 removed; 0 previous and 0 current paragraphs rearranged.
Tables are not compared: 3 previous and 5 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (47)
Current report
RESULTS OF OPERATIONS:
Current report
NON-GAAP MEASURES
Current report
The following discussion includes Adjusted Gross Profit, Adjusted Gross Margin, Adjusted Operating Expenses, Adjusted Income (Loss) from Operations, Adjusted Net Income (Loss) Attributable to Gentex Corporation, and Adjusted Earnings per Diluted Share Attributable to Gentex Corporation, which are non-GAAP measures. See section Non-GAAP Financial Measures for the most directly comparable GAAP measures, definitions of these terms, and reconciliations between such non-GAAP measures and the most directly comparable GAAP measures, as well as a discussion of why the Company believes this non-GAAP information is useful to investors and how management uses such non-GAAP information.
Current report
SECOND QUARTER 2025 VERSUS SECOND QUARTER 2024
Current report
Net Sales. Consolidated net sales for the second quarter of 2025 increased by $84.9 million or 15%, when compared with the second quarter of 2024, which did not include VOXX. Gentex completed its acquisition of VOXX on April 1, 2025, which contributed $78.8 million of revenue for the second quarter of 2025. Core Gentex revenue (excluding VOXX) was $579.0 million in the second quarter of 2025, which was a 1% increase versus the second quarter of 2024, in comparison to light vehicle production in the Company's primary markets that decreased by approximately 2% in the second quarter of 2025 versus the second quarter of 2024.
Current report
Cost of Goods Sold. As a percentage of net sales, cost of goods sold decreased to 65.8% for the second quarter of 2025, versus 67.1% in the same quarter last year, which did not include VOXX. The quarter over quarter increase in the gross margin resulted primarily from purchasing cost reductions, improved product mix, and operational efficiencies, which were partially offset by tariff related costs that were not reimbursed in the quarter. The core Gentex gross margin (excluding VOXX) was 35.3%, representing a 240 basis-point increase compared to the second quarter of 2024. The consolidated adjusted gross margin was 34.6%, reflecting the exclusion of a $2.5 million expense related to purchase accounting adjustments recorded under ASC 805, "Business Combinations," in connection with the VOXX acquisition.
Current report
Operating Expenses. Total operating expenses were $106.8 million in the second quarter of 2025, an increase of 45% quarter over quarter or $33.1 million, compared to $73.7 million in the second quarter of 2024, which did not include VOXX. The increase was primarily due to the VOXX acquisition, which accounted for $23.9 million of the increase (excluding acquisition and severance costs). Additionally, in the second quarter of 2025, the Company incurred $2.5 million in acquisition-related costs and $6.8 million in severance related expenses, neither of which were present in the second quarter of 2024. Core Gentex operating expenses (excluding VOXX) were $80.7 million compared to $73.7 million during the second quarter of 2024. The increase in core Gentex operating expenses included $1.0 million in acquisition-related costs and $6.2 million attributable to Gentex-specific severance expenses.
Current report
Total Other Loss, Net. Total other loss, net for the second quarter of 2025 was $3.0 million, when compared with $13.6 million for the second quarter of 2024. During the second quarter of 2025, the total other loss included an impairment of $6.2 million related to one of the Company's equity method investments. In comparison, total other loss, net, in the second quarter of 2024 included a $16.6 million loss resulting from the fair value adjustment of its investment in VOXX.
Current report
Net Income Attributable to Gentex Corporation. Net income attributable to Gentex for the second quarter of 2025 was $96.0 million, up 12% from a net income attributable to Gentex of $86.0 million in the second quarter of 2024, which did not include VOXX. The increase in net income for the second quarter of 2025 was driven by higher income from operations, supported by gross margin expansion. Consolidated adjusted net income attributable to Gentex of $105.8 million was up 23% on a quarter-over-quarter basis, when adjusted for acquisition-related expenses and severance costs.
Current report
Earnings Per Share Attributable to Gentex Corporation. The Company had earnings per diluted share attributable to Gentex for the second quarter of 2025 of $0.43, which compared to earnings per diluted share of $0.37 for the second quarter of 2024, which did not include VOXX. Adjusted earnings per diluted share attributable to Gentex was $0.47, a 27% increase when adjusted for acquisition-related expenses and severance costs.
Current report
Financial information for the three months ended June 30, 2025 is provided in accordance with Generally Accepted Accounting Principles ("GAAP"). In addition, the Company believes that it is useful for the three months ended June 30, 2025 to provide certain non-GAAP measures, including Adjusted Gross Profit, Adjusted Gross Margin, Adjusted Operating Expenses, Adjusted Income (Loss) from Operations, Adjusted Net Income (Loss) Attributable to Gentex Corporation, and Adjusted Earnings per Diluted Share Attributable to Gentex Corporation, with the adjustments set forth in the "Reconciliation of Non-GAAP Measures" table below. This non-GAAP financial information allows investors to evaluate current performance in the Company's core business in relation to historical performance by excluding the impact of certain purchase price adjustments pursuant to ASC 805, Business Combinations, acquisition related costs, and severance costs set forth in the table below.
Current report
The Company believes that the presentation of these non-GAAP financial measures provides insight into the Company's core performance and trends with respect to the same. Management of the Company similarly uses such non-GAAP financial measures in assessing the business internally. A reconciliation of Adjusted Gross Profit, Adjusted Gross Margin, Adjusted Operating Expenses, Adjusted Income (Loss) from Operations, Adjusted Net Income (Loss) Attributable to Gentex Corporation, and Adjusted Earnings per Diluted Share Attributable to Gentex Corporation to the most directly comparable GAAP measures is provided in the attached "Reconciliation of non-GAAP Measures" tables below. Like all non-GAAP financial measures, these non-GAAP measures are intended to supplement, not to replace, GAAP measures. All non-GAAP financial measures are subject to inherent limitations because not all of the expenses required by GAAP are included.
Current report
Adjusted Net Income (Loss) and Adjusted Earnings per Diluted Share: Adjusted Net Income Attributable to Gentex Corporation and Adjusted Earnings per Diluted Share Attributable to Gentex Corporation are also presented as supplemental measures of the Company's performance for the same reasons set forth above. Adjusted Net Income (Loss) is defined as Net Income (Loss) adjusted for purchase price adjustments pursuant to ASC 805, acquisition related costs, and severance costs during the second quarter of 2025. Adjusted Earnings per Diluted Share is defined as Adjusted Net Income (Loss) divided by weighted average diluted shares outstanding.
Current report
SIX MONTHS ENDED JUNE 30, 2025 VERSUS SIX MONTHS ENDED JUNE 30, 2024
Current report
Net Sales. Consolidated net sales for the six months ended June 30, 2025 increased by $71.5 million or 6%, when compared with the same period in 2024, with VOXX contributing $78.8 million of revenue during the six months ended June 30, 2025 and nothing in the prior year period. Core Gentex revenue (excluding VOXX) was $1.2 billion in the six months ended June 30, 2025, which was a 1% decrease versus the six months ended June 30, 2024, in comparison to light vehicle production in the Company's primary markets that decreased by approximately 2% versus the first half of 2024.
Current report
Gentex Automotive net sales were relatively flat for the six months ended June 30, 2025 as compared to the same prior period in 2024, with approximately $1.1 billion of net sales in each period. Sales during the six months ended June 30, 2025, were negatively impacted by lower-than-expected sales into the China market due to the impact of counter-tariffs. There was a 6% decrease in automotive mirror unit shipments in the six months ended June 30, 2025 to 23.1 million units, compared with 24.7 million units in the same period in 2024, which was driven by a 3% period over period decrease in interior auto-dimming mirror unit shipments, and a 12% period over period decrease in exterior auto-dimming mirror unit shipments.
Current report
Gentex Other net sales were $25.4 million in the six months ended June 30, 2025, compared to $26.3 million in the same period of 2024, a decrease of 3%. Other net sales for the six months ended June 30, 2025, included biometric product sales of $1.1 million generated from the Company's GalvanEyes subsidiary, as well as $0.6 million in sales of medical devices from the eSight Go product line. Fire protection sales were $14.8 million in the six months ended June 30, 2025, compared to $14.2 million in the same period of last year. Dimmable aircraft sales decreased during the six months ended June 30, 2025 to $8.9 million, compared to $12.1 million in the same period of last year.
Current report
Cost of Goods Sold. As a percentage of net sales, cost of goods sold decreased to 66.2% for the six months ended June 30, 2025, versus 66.4% in the same period last year, which did not include VOXX. The change in the gross margin was driven in part by the addition of VOXX, which had a negative impact of 50 basis points for the six months ended June 30, 2025, as well as increased tariff related costs that were not reimbursed in the period. Those factors were, however, offset by the positive impact of purchasing cost reductions, improved product mix, and operational efficiencies.
Current report
Operating Expenses. Total operating expenses were $185.5 million in the six months ended June 30, 2025, an increase of 26.6% year over year or $38.9 million, compared to $146.6 million in the same period of 2024, which did not include VOXX. The increase was primarily due to the VOXX acquisition, which accounted for $23.9 million of the increase (excluding acquisition and severance costs). Additionally, the Company incurred $3.2 million in acquisition-related costs and $9.7 million in severance related expenses, neither of which were present in the comparable prior year period.
Current report
E, R & D expenses for the six months ended June 30, 2025 increased by $11.2 million, when compared with the same period of 2024, due to the VOXX acquisition, as well as staffing and engineering related professional fees.
Current report
S, G & A expenses for the six months ended June 30, 2025 increased $18.1 million to $78.4 million, when compared to $60.4 million for the same period in 2024. S, G & A expenses were approximately 6% of net sales in the six months ended June 30, 2025, and approximately 5% of net sales in the same period in 2024. S, G, & A expenses increased on a year over year basis primarily due to the VOXX acquisition.
Current report
Total Other Loss, Net. Total other loss, net for the six months ended June 30, 2025 was $2.4 million, compared $15.3 million for the same period last year. During the six months ended June 30, 2025, the total other loss, net included an impairment of $6.2 million related to one of the Company's equity method investments. In comparison, the six months ended June 30, 2024, included a $23.8 million loss resulting from the fair value adjustment of the Company's investment in VOXX.
Current report
Provision for Income Taxes. The effective tax rate was 16.8% for the six months ended June 30, 2025, compared to 15.2% for the same period of 2024. The period over period change in the effective tax rate was driven by lower tax benefits on stock-based compensation compared to the first six months of 2024. Generally, effective tax rates for the Company differ from statutory federal income tax rates, due to provisions for state and local income taxes, the FDII deduction, and research and development tax credits.
Current report
Net Income Attributable to Gentex Corporation. Net income attributable to Gentex Corporation for the six months ended June 30, 2025 decreased by $3.4 million or 2% to $190.9 million, compared to $194.3 million in the same period last year, which did not include VOXX. The decrease in net income for the six months ended June 30, 2025, was primarily the result of lower income from operations and higher operating expenses compared to the same prior period.
Current report
During the second quarter of 2025, the Company began shipments of its PLACE product line. PLACE is a suite of advanced, multi-functional smoke and carbon monoxide alarms designed to elevate home safety, comfort, and security through room-specific intelligence. The system is managed via an intuitive mobile app and features an industry-first low-frequency sounder, engineered to improve alarm effectiveness for deep sleepers, children, and individuals with hearing impairments. It also aligns with emerging safety standards, including updated residential codes adopted in states like California.
Current report
With the acquisition of VOXX on April 1, 2025, the Company made a strategic addition to its portfolio of products, as VOXX's product lines will both compliment the Company's existing businesses and help Gentex continue to expand in the consumer technology and connected home space. As a subsidiary of Gentex, VOXX will continue to manufacture and distribute various products across the automotive OEM and aftermarket electronics, consumer technologies, and premium audio global markets.
Current report
Based on the aforementioned light vehicle production forecast, first-half 2025 results, reduced demand in the China market stemming from recently implemented counter-tariffs, and the expected incremental sales contribution from the VOXX acquisition, Gentex announced the revision of its full-year 2025 guidance as of July 25, 2025. This most recent guidance reflects the anticipated impact of all known tariffs effective as of July 25, 2025.
Current report
•Consolidated Revenue: $2.44 – $2.61 billion(Previously: $2.15 – $2.32 billion)
Current report
◦Gentex primary markets: $2.10 – $2.20 billion
Current report
◦VOXX Revenue estimate: $240 – $280 million
Current report
•Gross Margin: 33% – 34%(New consolidated guidance)
Current report
◦Gentex (stand-alone): 34% – 34.5% (Previously 33% - 34%)
Current report
•Operating Expenses(excluding severance): $370 – $390 million
Showing the first 40 of 47 passages. Open the source sections for the rest.
Removed paragraphs (18)
Previous report
FIRST QUARTER 2025 VERSUS FIRST QUARTER 2024
Previous report
Net Sales. Net sales for the first quarter of 2025 decreased by $13.5 million or 2%, when compared with the first quarter of 2024.
Previous report
Cost of Goods Sold. As a percentage of net sales, cost of goods sold increased to 66.8% for the first quarter of 2025, versus 65.7% in the same quarter last year. The quarter over quarter decrease in the gross profit margin primarily resulted from lower net sales levels, new tariff costs that became effective in the first quarter of 2025, and unfavorable product mix. Purchasing and overhead cost increases, which include tariff costs, had a negative impact on gross margin on a quarter over quarter basis of approximately 210 basis points.
Previous report
Operating Expenses. Total operating expenses were $78.7 million in the first quarter of 2025, an increase of 8% quarter over quarter or $5.9 million, compared to $72.9 million in the first quarter of 2024. Total operating expenses for the first quarter of 2025 were impacted by severance expense of $2.9 million, as no comparable severance charges were incurred by the Company in the first quarter of 2024.
Previous report
Total Other Income. Total other income for the first quarter of 2025 increased by $2.3 million, when compared with the first quarter of 2024, driven by increased investment income for the first quarter of 2025, offset by reduced losses on other investments.
Previous report
Net Income. Net income for the first quarter of 2025 was $94.9 million, down from a net income of $108.2 million in the first quarter of 2024. The decrease in net income for the first quarter of 2025 was driven by lower net sales and income from operations quarter over quarter.
Previous report
Also during the first quarter of 2025, the Company proactively halted production and sales of product for the China market until customer agreements can be reached with respect to tariff costs as further explained below.
Previous report
The Company’s current forecasts for light vehicle production for the second quarter of 2025, and full years 2025 and 2026, are based on the mid-April 2025 S&P Global Mobility forecast for light vehicle production in North America, Europe, Japan/Korea, and China. As a result of the current and expected tariff escalation in the China market, the Company has pro-actively halted production of interior and exterior mirrors destined for customers in the China market. Subsequently, many of the Company's customers based in China have canceled or paused orders, while the Company works with these customers to better understand their ability and willingness to pay elevated prices resulting from new tariff rates. Second quarter of 2025, and calendar years 2025 and 2026, forecasted light vehicle production volumes are shown below:
Previous report
Based on the aforementioned light vehicle production forecast and the actual results for the first three months of 2025, as well as the pro-active decision of the Company to halt production and sales of product intended for the China market until customer agreements can be reached, the Company previously updated certain guidance for calendar year 2025 as shown below. Revenue estimates do not include any revenue from the recently completed merger with VOXX.
Previous report
•Revenue in the China market is expected to be between $50 and $120 million
Previous report
•Gross Margin is expected to be between 33% and 34%
Previous report
•Operating Expenses are expected to be approximately $300 to $310 million
Previous report
•Estimated Annual Tax Rate, which assumes no changes to the current statutory rate, is expected to be between 15% and 17%
Previous report
•Capital Expenditures are expected to be between $100 and $125 million
Previous report
•Depreciation and Amortization is expected to be between $85 and $90 million
Previous report
The Company has withdrawn revenue guidance for calendar year 2026 due to the significant uncertainty surrounding the China market as a result of the impact of incremental tariffs on Company exports to China, the economic impact of import and export tariffs on the Company's primary markets, and work being done to finalize a more complete financial picture of the recently completed merger with VOXX. The Company anticipates providing updated revenue guidance for calendar year 2026 once there is further clarity in the overall tariff landscape.
Previous report
Merger with VOXX
Previous report
On April 1, 2025, the Company closed the strategic merger of VOXX, a global supplier of automotive and consumer electronics, as well as premium audio equipment. As of April 1, 2025, the Company expected to add between $325 and $375 million in revenue from the VOXX merger, on an annualized basis, and an expected revenue contribution to calendar year 2025 of approximately $240 to $280 million, before any impact from tariffs. As a result of recent tariff increases, the Company has notified its new customers from the VOXX merger of future price increases that will take effect throughout the balance of calendar year 2025. These price increases may create uncertainty in consumer demand for this year, which is anticipated to affect the expected revenue contribution from the VOXX merger. The Company is also undertaking strategic sourcing decisions that will take place throughout the next 6 - 12 months, which are designed to significantly reduce tariff expenses on incoming products from the China market.
Reworded paragraphs (28)
Previous wording
Automotive net sales for the first quarter of 2025 were $563.9 million, a 2% decrease when compared with automotive net sales of $577.6 million in the first quarter of 2024. The 7% decrease in automotive mirror unit shipments in the first quarter of 2025 to 11.5 million units, compared with 12.5 million units in the first quarter of 2024, was driven by a 5% quarter over quarter decrease in interior auto-dimming mirror unit shipments, and an 11% quarter over quarter decrease in exterior auto-dimming mirror unit shipments.
Current wording
Core Gentex Automotive net sales (excluding VOXX) for the second quarter of 2025 were $566.5 million, a 1% increase when compared with automotive net sales of $559.3 million in the second quarter of 2024. The 5% decrease in automotive mirror unit shipments in the second quarter of 2025 to 11.6 million units, compared with 12.2 million units in the second quarter of 2024, was driven by a 13% quarter over quarter decrease in exterior auto-dimming mirror unit shipments, while total interior auto-dimming mirror unit shipments were relatively flat quarter over quarter.
Previous wording
The below table represents the Company's auto-dimming mirror unit shipments for the three months ended March 31, 2025, and 2024(in thousands):
Current wording
The below table represents the Company's auto-dimming mirror unit shipments for the three and six months ended June 30, 2025, and 2024(in thousands):
Previous wording
Other net sales were $12.9 million in the first quarter of 2025, compared to $12.6 million in the first quarter of 2024, an increase of 2%. Other net sales for the first quarter of 2025 included biometric product sales of $0.9 million generated from the Company's GalvanEyes subsidiary (acquired in the fourth quarter of 2024), which owned 50% of BioCenturion in the first quarter of 2025, as well as $0.4 million in sales of medical devices from the previously acquired eSight Go product line, which as previously announced, began shipments during the third quarter of 2024. Fire protection sales were $6.7 million in the first quarter of 2025, compared to $6.8 million in the same quarter of last year. Dimmable aircraft sales decreased during the first quarter of 2025 to $4.9 million, compared to $5.8 million in the same quarter of last year.
Current wording
Core Gentex Other net sales (excluding VOXX) were $12.5 million in the second quarter of 2025, compared to $13.6 million in the second quarter of 2024, a decrease of 8%. Other net sales for the second quarter of 2025 included biometric product sales of $0.2 million generated from the Company's GalvanEyes subsidiary (acquired in the fourth quarter of 2024), which owned 100% of BioCenturion in the second quarter of 2025, as well as $0.2 million in sales of medical devices from the previously acquired eSight Go product line, which as previously announced, began shipments during the third quarter of 2024. Fire protection sales were $8.1 million in the second quarter of 2025, compared to $7.4 million in the same quarter of last year. Dimmable aircraft sales decreased during the second quarter of 2025 to $4.0 million, compared to $6.3 million in the same quarter of last year.
Previous wording
Engineering, research and development expenses for the first quarter of 2025 increased by $3.7 million, when compared with the first quarter of 2024, primarily due to staffing and engineering related professional fees.
Current wording
Engineering, research and development ("E, R & D") expenses for the second quarter of 2025 increased by $7.5 million, when compared with the second quarter of 2024, primarily due to the VOXX acquisition, as well as staffing and engineering related professional fees.
Previous wording
Selling, general and administrative ("S, G & A") expenses decreased by 3% or $0.8 million for the first quarter of 2025, compared to the first quarter of 2024, primarily due to decreased staffing. S, G & A expenses were approximately 5% of net sales in both of the first quarters of 2025 and 2024.
Current wording
Selling, general and administrative ("S, G & A") expenses increased by 63% or $18.8 million for the second quarter of 2025, compared to the second quarter of 2024, primarily due to the VOXX acquisition. S, G & A expenses were approximately 7% of net sales in the second quarter of 2025, compared to 5% in the second quarter of 2024, which did not include VOXX.
Previous wording
Provision for Income Taxes. The effective tax rate was 16.5% for, and an income tax expense of $18.8 million was recorded in, the first quarter of 2025, compared to an effective tax rate of 15.2% for, and an income tax expense of $19.4 million recorded in, the same quarter of 2024. The quarter over quarter change in the effective tax rate was driven by lower tax benefits on stock-based compensation compared to the first quarter of 2024.
Current wording
Provision for Income Taxes. The effective tax rate was 17.2% for, and an income tax expense of $19.8 million was recorded in, the second quarter of 2025, compared to an effective tax rate of 15.1% for, and an income tax expense of $15.3 million recorded in, the same quarter of 2024. The quarter over quarter change in the effective tax rate was driven by lower tax benefits on stock-based compensation in the second quarter of 2025, compared to the second quarter of 2024, as well as reduced quarter over quarter benefit from the FDII deduction. Generally, effective tax rates for the Company differ from statutory federal income tax rates, due to provisions for state and local income taxes, the FDII deduction, and research and development tax credits.
Previous wording
Earnings Per Share. The Company had earnings per diluted share for the first quarter of 2025 of $0.42, which compared to earnings per diluted share of $0.47 for the first quarter of 2024.
Current wording
Earnings Per Share Attributable to Gentex Corporation. The Company had earnings per diluted share attributable to Gentex for the six months ended June 30, 2025 of $0.85, compared to earnings per diluted share of $0.84 for the six months ended June 30, 2024, which did not include VOXX.
Previous wording
The Company's cash and cash equivalents as of March 31, 2025 were $286.6 million, an increase of $53.2 million, compared to $233.3 million as of December 31, 2024. The increase was primarily due to cash flows from operations and proceeds from the sale of investments, which was partially offset by share repurchases, capital expenditures, dividend payments, and investment purchases during the three months ended March 31, 2025.
Current wording
The Company's cash and cash equivalents as of June 30, 2025 were $119.8 million, a decrease of $113.5 million, compared to $233.3 million as of December 31, 2024. The decrease was primarily due to cash outflows related to the acquisition of VOXX, as well as share repurchases, capital expenditures, dividend payments, and investment purchases, which was partially offset by cash flows from operations and proceeds from the sale of investments during the six months ended June 30, 2025.
Previous wording
Short-term investments as of March 31, 2025 were $20.5 million, down from $22.3 million as of December 31, 2024, and long-term investments were $300.6 million as of March 31, 2025, down from $339.6 million as of December 31, 2024.
Current wording
Short-term investments as of June 30, 2025 were $21.3 million, down from $22.3 million as of December 31, 2024, and long-term investments were $267.0 million as of June 30, 2025, down from $339.6 million as of December 31, 2024.
Previous wording
Accounts receivable as of March 31, 2025 increased approximately $35.3 million compared to December 31, 2024, primarily due to the sequential increase in sales, as well as the timing of customer payments during the three months ended March 31, 2025.
Current wording
Accounts receivable as of June 30, 2025 increased approximately $77.6 million compared to December 31, 2024, primarily due to the sequential increase in sales, which includes the addition of VOXX sales, as well as the timing of customer payments during the six months ended June 30, 2025.
Previous wording
Inventories as of March 31, 2025 were $408.9 million, compared to $436.5 million as of December 31, 2024, primarily due to decreases in raw materials and finished goods.
Current wording
Inventories as of June 30, 2025 were $475.7 million, compared to $436.5 million as of December 31, 2024, primarily due to an increase in finished goods primarily as a result of the acquisition of VOXX.
Previous wording
Accounts payable as of March 31, 2025 decreased approximately $5.4 million to $162.9 million, compared to December 31, 2024, primarily driven by timing of payments within the quarter.
Current wording
Accounts payable as of June 30, 2025 increased approximately $36.4 million to $204.7 million, compared to December 31, 2024, primarily driven by timing of payments within the period and the addition of VOXX.
Previous wording
Accrued liabilities as of March 31, 2025 increased approximately $19.4 million compared to December 31, 2024, primarily due to increases in accrued salaries and wages and accrued royalties payable.
Current wording
Accrued liabilities as of June 30, 2025 increased approximately $43.9 million compared to December 31, 2024, primarily due to increases in accrued salaries and wages and accrued royalties payable driven by the VOXX acquisition.
Previous wording
Cash flow from operating activities for the three months ended March 31, 2025 increased $18.6 million to $148.5 million, compared with $129.9 million during the same three-month period last year, primarily due to changes in working capital.
Current wording
Cash flow from operating activities for the six months ended June 30, 2025 increased $55.5 million to $314.6 million, compared with $259.1 million during the same period last year, primarily due to changes in working capital.
Previous wording
Capital expenditures for the three months ended March 31, 2025 were approximately $36.7 million, compared with approximately $31.9 million for the same quarter last year. The increase was primarily due to timing of payments and an increase in expenditures related to building and facility construction projects beginning during the second half of 2024, as further described below.
Current wording
Capital expenditures for the six months ended June 30, 2025 were approximately $67.8 million, compared with approximately $63.6 million for the same period last year. The increase was primarily due to timing of payments and an increase in expenditures related to building and facility construction projects beginning during the second half of 2024, as further described below.
Previous wording
During 2023, the Company began the design and initial build phase of the previously announced Gentex Discovery Preschool, an on-site daycare and preschool designed to provide Company employees with convenient, cost-effective access to quality childcare. As previously disclosed, construction began in the third quarter of 2024, with an expected completion date in 2025. The total cost of the building project is expected to be $15 - $20 million, which will also be funded with cash and cash equivalents on hand.
Current wording
During 2023, the Company began the design and initial build phase of the previously announced Gentex Discovery Preschool, an on-site daycare and preschool designed to provide Company employees with convenient, cost-effective access to quality childcare. As previously disclosed, construction began in the third quarter of 2024, with an expected completion date in the second half of 2025. The total cost of the building project is expected to be $15 - $20 million, which is also being funded with cash and cash equivalents on hand.
Previous wording
The Company has a previously announced share repurchase plan under which the Board of Directors has authorized the repurchase of shares of the Company's common stock, which remains a part of the broader publicly disclosed capital allocation strategy. Future share repurchases may vary from time to time and will take into account macroeconomic events, market trends, and other factors the Company deems appropriate (including, but not limited to, the market price of the stock, anti-dilutive effect of repurchases, and available cash). During the three months ended March 31, 2025, the Company repurchased 3,100,351 shares. The Company has 6,349,047 shares remaining under the plan as of March 31, 2025, as is further detailed in Part II, Item 2 of this Form 10-Q.
Current wording
The Company has a previously announced share repurchase plan under which the Board of Directors has authorized the repurchase of shares of the Company's common stock, which remains a part of the broader publicly disclosed capital allocation strategy. Future share repurchases may vary from time to time and will take into account macroeconomic events, market trends, and other factors the Company deems appropriate (including, but not limited to, the market price of the stock, anti-dilutive effect of repurchases, and available cash). During the six months ended June 30, 2025, the Company repurchased 8,802,415 shares. The Company had 646,983 shares remaining under the plan as of June 30, 2025, as is further detailed in Part II, Item 2 of this Form 10-Q. On July 16, 2025, the Company announced a new share repurchase authorization of 40 million shares in addition to the Company's prior repurchase authorization. With the new authorization, the Company has approximately 40.6 million shares available for repurchase under its share repurchase plan.
Previous wording
For the first quarter of 2025, the Company reported net sales of $576.8 million, compared to net sales of $590.2 million in the first quarter of 2024, a 2% decrease quarter over quarter. For the first quarter of 2025, global light vehicle production in North America, Europe, and Japan/Korea decreased approximately 5%, when compared to the first quarter of 2024.
Current wording
For the second quarter of 2025, the Company reported net sales of $657.9 million, compared to net sales of $572.9 million in the second quarter of 2024 (which did not include VOXX), a 15% increase quarter over quarter. Core Gentex revenue (excluding VOXX) for the second quarter of 2025 increased 1% versus the second quarter of 2024, while global light vehicle production in North America, Europe, and Japan/Korea decreased approximately 2% in the second quarter of 2025, when compared to the second quarter of 2024.
Previous wording
In the first quarter of 2025, the Company had 21 net new nameplate launches of interior and exterior auto-dimming mirrors and electronic features, with advanced feature launches representing 60% of the net launches in the quarter.
Current wording
In the second quarter of 2025, the Company had 18 net new nameplate launches of interior and exterior auto-dimming mirrors and electronic features, bringing the total number of nameplates launched to 139. Over half of the net launches in the quarter included advanced feature launches.
Previous wording
As of the first quarter of 2025, the Company is shipping production Full Display Mirrors® to eighteen different automaker customers and 148 vehicle nameplates. For more information regarding the full display mirror please go to https://www.fulldisplaymirror.com/. The Company remains confident that ongoing discussions with other customers may cause such customers to consider more fully adding the Full Display Mirror® into their product roadmap for future vehicles.
Current wording
As of the second quarter of 2025, the Company is shipping production Full Display Mirrors® to eighteen different automaker customers and 139 vehicle nameplates. For more information regarding the full display mirror please go to https://www.fulldisplaymirror.com/. The Company remains confident that ongoing discussions with other customers may cause such customers to consider more fully adding the Full Display Mirror® into their product roadmap for future vehicles.
Previous wording
In 2020, the Company unveiled an innovative lighting technology for medical applications that was co-developed with Mayo Clinic. This new lighting concept represents the collaboration of a global, high-technology electronics company with a world leader in health care. The Company's new intelligent lighting system combines ambient room lighting with camera-controlled, adaptive task lighting to optimize illumination for surgical and patient-care environments. The system was developed over an 18-month period of collaboration between Company engineers and Mayo Clinic surgeons, scientists, and operating room staff. The teams researched, designed, and rapidly iterated multiple prototypes in order to develop unique features intended to address major gaps in current surgical lighting solutions. In 2024, the Company continued to further develop and work on the intelligent medical lighting system in order to assess system performance and work toward obtaining any necessary approvals.
Current wording
In 2020, the Company unveiled an innovative lighting technology for medical applications that was co-developed with Mayo Clinic. This new lighting concept represents the collaboration of a global, high-technology electronics company with a world leader in health care. The Company's new intelligent lighting system combines ambient room lighting with camera-controlled, adaptive task lighting to optimize illumination for surgical and patient-care environments. The system was developed over an 18-month period of collaboration between Company engineers and Mayo Clinic surgeons, scientists, and operating room staff. The teams researched, designed, and rapidly iterated multiple prototypes in order to develop unique features intended to address major gaps in current surgical lighting solutions. Through 2025, the Company has continued to further develop and work on the intelligent medical lighting system in order to assess system performance and work toward obtaining any necessary approvals.
Previous wording
In November 2024, the Company acquired GalvanEyes, LLC, which is the managing partner and 50% owner of the BioCenturion joint venture with Eyelock, a subsidiary of VOXX. BioCenturion specializes in creating and deploying authentication solutions to help clients secure their worlds, optimize their workloads, and organize their data through customized biometric solutions. BioCenturion's significant IP portfolio, including more than 100 patents granted, patents pending, and proprietary technology enables a high-speed, convenient, touchless, contactless, frictionless, and secure authentication of individuals across different business verticals.
Current wording
In November 2024, the Company acquired GalvanEyes, LLC, which is the managing partner and 50% owner of the BioCenturion joint venture with Eyelock, a majority-owned subsidiary of VOXX. BioCenturion specializes in creating and deploying authentication solutions to help clients secure their worlds, optimize their workloads, and organize their data through customized biometric solutions. BioCenturion's significant IP portfolio, including more than 100 patents granted, patents pending, and proprietary technology enables a high-speed, convenient, touchless, contactless, frictionless, and secure authentication of individuals across different business verticals. With the acquisition of VOXX on April 1, 2025, which included its majority-owned subsidiary EyeLock, the Company now owns a majority interest in BioCenturion. The acquisition has also enabled the Company to gain broader access to the EyeLock® iris biometric technology, which will provide more product applications in the Company's automotive, aerospace, and medical markets.
Previous wording
Automotive revenues represent approximately 97% - 99% of the Company's total revenue, consisting of interior and exterior electrochromic automatic-dimming rearview mirrors and automotive electronics.
Current wording
Automotive revenues represent approximately 88% - 92% of the Company's total revenue, consisting of interior and exterior electrochromic automatic-dimming rearview mirrors and other automotive electronics.
Previous wording
Because the Company sells its products throughout the world, and automotive manufacturing is highly dependent on economic conditions, the Company can be affected by uncertain economic conditions that can reduce demand for its products, including the current inflationary environment. The Company has been likewise affected by industry-wide parts shortages and global supply constraints and labor shortages.
Current wording
Because the Company sells its products throughout the world, and automotive manufacturing is highly dependent on economic conditions, the Company is affected by uncertain economic conditions that reduce demand for its products, including the current inflationary environment and tariffs. The Company is likewise affected by industry-wide parts shortages and global supply constraints and labor shortages.
Previous wording
The Company believes that its patents and trade secrets provide it with a competitive advantage in dimmable devices, electronics, and other features that it offers for the automotive, aerospace, and medical industry. Claims of patent infringement can be costly and time-consuming to address. To that end, the Company obtains intellectual property rights in the ordinary course of business to strengthen its intellectual property portfolio and to minimize the risk of infringement.
Current wording
The Company believes that its patents and trade secrets provide it with a competitive advantage in dimmable devices, electronics, and other features that it offers for the automotive, premium audio, aerospace, medical, and biometrics industry. Claims of patent infringement can be costly and time-consuming to address. To that end, the Company obtains intellectual property rights in the ordinary course of business to strengthen its intellectual property portfolio and to minimize the risk of infringement.
Previous wording
•Revenue in the Company's primary markets of North America, Europe and Japan/Korea is expected to be between $2.1 and $2.2 billion
Current wording
The Company’s current forecasts for light vehicle production for the third quarter of 2025, and full years 2025 and 2026, are based on the mid-July 2025 S&P Global Mobility forecast for light vehicle production in North America, Europe, Japan/Korea, and China. Global light vehicle production for the third quarter of 2025 is expected to be relatively flat versus the third quarter of 2024, while light vehicle production in our primary markets is expected to be down approximately 1% in the third quarter of 2025 versus the third quarter of 2024. Global light vehicle production for the fourth quarter of 2025 is expected to be down approximately 6% versus the fourth quarter of 2024, including China, as well as across Gentex’s primary markets of North America, Europe, and Japan/Korea. Full-year 2025 production in the Company's primary markets is expected to be down 3% year-over-year, a notable downgrade from earlier forecasts, and production in North America is projected to fall approximately 4% in 2025 compared to 2024. Third quarter of 2025, and calendar years 2025 and 2026, forecasted light vehicle production volumes are shown below:
Previous wording
Due to ongoing volatility in customer orders and vehicle production volumes, uncertainty related to tariffs, the Ukraine-Russia war, Israel-Hamas war, supply-end labor shortages, and overall economic uncertainty, the Company believes that revenue remains difficult to forecast for the remainder of the year and beyond. Ongoing uncertainties remain, including: prolonged and intensifying trade wars, including the impacts of already in place and potential additional future tariffs, trade restrictions, and retaliatory measures; light vehicle production levels; impacts of regulation changes; automotive plant shutdowns; vehicle sales rates in Europe, Asia and North America; OEM strategies and cost pressures; customer inventory management and the impact of potential automotive customer (including their Tier 1 suppliers) and supplier bankruptcies; etc., all of which are disrupting and could further disrupt shipments to customers, disrupt global capital flows, and heighten market volatility.
Current wording
Due to ongoing volatility in customer orders and vehicle production volumes, uncertainty related to tariffs, the Ukraine-Russia war, Israel-Hamas war, supply-end labor shortages, and overall economic uncertainty, the Company believes that revenue remains difficult to forecast for the remainder of the year and beyond. Ongoing uncertainties remain, including: prolonged and intensifying trade wars, including the impacts of already in place, and potential additional future tariffs, trade restrictions, and retaliatory measures; light vehicle production levels; impacts of regulation changes; automotive plant shutdowns; vehicle sales rates in Europe, Asia and North America; OEM strategies and cost pressures; customer inventory management and the impact of potential automotive customer (including their Tier 1 suppliers) and supplier bankruptcies; etc., all of which are disrupting and will further disrupt shipments to customers, disrupt global capital flows, and heighten market volatility.
Previous wording
In accordance with the previously announced share repurchase plan, the Company will consider the appropriateness of continuing to repurchase additional shares of common stock in the future in support of the capital allocation strategy, but share repurchases will vary from time to time and will take into account macroeconomic events, market trends, and other factors the Company deems appropriate (including the market price of the stock, anti-dilutive effect of repurchases, and available cash). As of March 31, 2025, the Company has 6.3 million shares remaining available for repurchase under the previously announced share repurchase plan.
Current wording
In accordance with the previously announced share repurchase plan, the Company will consider the appropriateness of continuing to repurchase additional shares of common stock in the future in support of the capital allocation strategy, but share repurchases will vary from time to time and will take into account macroeconomic events, market trends, and other factors the Company deems appropriate (including the market price of the stock, anti-dilutive effect of repurchases, and available cash). As of June 30, 2025, the Company had 0.6 million shares remaining available for repurchase under the previously announced share repurchase plan. On July 16, 2025, the Company announced a new share repurchase authorization of 40 million shares in addition to the Company's prior repurchase authorization. With the new authorization on July 16, 2025, the Company has approximately 40.6 million shares available for repurchase under its share repurchase plan.