GENTEX CORP

Previous wording

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 wording

Net Sales. Consolidated net sales for the third quarter of 2025 increased by $46.7 million or 8%, when compared with the third quarter of 2024, which did not include VOXX. VOXX, one hundred percent of which was acquired on April 1, 2025, contributed $84.9 million of revenue for the third quarter of 2025. Core Gentex revenue (excluding VOXX) was $570.3 million in the third quarter of 2025, which was a 6% decline versus the third quarter of 2024, in comparison to light vehicle production in the Company's primary markets that increased by approximately 2% in the third quarter of 2025 versus the third quarter of 2024.

Previous 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.

Current wording

Core Gentex Automotive net sales (excluding VOXX) for the third quarter of 2025 were $558.0 million, a 6% decrease when compared with automotive net sales of $596.5 million in the third quarter of 2024. The 8% decrease in automotive mirror unit shipments in the third quarter of 2025 to 11.2 million units, compared with 12.2 million units in the third quarter of 2024, was driven by a 12% quarter over quarter decrease in international mirror unit shipments, while mirror shipments in North America were essentially flat.

Previous 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):

Current wording

The below table represents the Company's auto-dimming mirror unit shipments for the three and nine months ended September 30, 2025, and 2024(in thousands):

Previous 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.

Current wording

Core Gentex Other net sales (excluding VOXX) were $12.3 million in the third quarter of 2025, compared to $12.0 million in the third quarter of 2024, an increase of 3%. Other net sales for the third quarter of 2025 included biometric product sales of $2.8 million, primarily generated from the Company's BioConnect subsidiary acquired on July 1, 2025. Fire protection sales were $5.4 million in the third quarter of 2025, compared to $6.9 million in the same quarter of last year. Dimmable aircraft window sales decreased during the third quarter of 2025 to $3.9 million, compared to $4.3 million in the same quarter of last year.

Previous wording

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 wording

Cost of Goods Sold. As a percentage of net sales, cost of goods sold decreased to 65.6% for the third quarter of 2025, versus 66.5% 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 North American customer and 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 34.9% in the third quarter of 2025, representing a 140 basis-point increase compared to the third quarter of 2024.

Previous wording

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 wording

Operating Expenses. Total operating expenses were $102.8 million in the third quarter of 2025, an increase of 31% quarter over quarter or $24.5 million, compared to $78.3 million in the third quarter of 2024, which did not include VOXX. The increase was primarily due to the VOXX acquisition, which accounted for $23.7 million of the increase. Core Gentex operating expenses (excluding VOXX) were $79.2 million in the third quarter of 2025, compared to $78.3 million during the third quarter of 2024. The quarter over quarter increase in core Gentex operating expenses included $0.6 million in acquisition-related costs and $0.5 million attributable to Gentex-specific severance expenses.

Previous 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.

Current wording

Engineering, research and development ("E, R & D") expenses for the third quarter of 2025 increased by $4.4 million, when compared with the third 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 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.

Current wording

Selling, general and administrative ("S, G & A") expenses increased by 65% or $19.6 million for the third quarter of 2025, compared to the third quarter of 2024, primarily due to the VOXX acquisition. S, G & A expenses were approximately 8% of net sales in the third quarter of 2025, compared to 5% in the third quarter of 2024, which did not include VOXX.

Previous wording

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 wording

Total Other (Loss) Income, Net. Total other loss, net for the third quarter of 2025 was $1.8 million, when compared with total other income, net, of $19.7 million for the third quarter of 2024. During the third quarter of 2025, the total other loss, net, included an impairment of $2.2 million related to one of the Company's technology investments and credit loss reserves of $4.8 million related to loans receivable. In comparison, total other income, net, in the third quarter of 2024 included a gain of $14.9 million related to the fair value adjustment of the Company's original investment in VOXX.

Previous 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.

Current wording

Provision for Income Taxes. The effective tax rate was 16.3% for, and an income tax expense of $19.7 million was recorded in, the third quarter of 2025, compared to an effective tax rate of 15.7% for, and an income tax expense of $22.9 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 third quarter of 2025, compared to the third quarter of 2024, as well as reduced quarter over quarter benefit from the Foreign-Derived Intangible Income ("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

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 wording

Net Income Attributable to Gentex Corporation. Net income attributable to Gentex for the third quarter of 2025 was $101.0 million, down 18% from a net income attributable to Gentex of $122.5 million in the third quarter of 2024, which did not include VOXX. The quarter over quarter decrease in net income for the third quarter of 2025 was largely due to the prior year quarter gain related to the Company's investment in VOXX.

Previous wording

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 wording

Earnings Per Share Attributable to Gentex Corporation. The Company had earnings per diluted share attributable to Gentex for the third quarter of 2025 of $0.46, which compared to earnings per diluted share of $0.53 for the third quarter of 2024, which did not include VOXX. Though VOXX was not consolidated in the third quarter of 2024, earnings per diluted share for that quarter were positively impacted by the gain on the Company's original investment in VOXX.

Previous wording

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 wording

Net Sales. Consolidated net sales for the nine months ended September 30, 2025 increased by $118.2 million or 7%, when compared with the same period in 2024, with VOXX contributing $163.8 million of revenue during the nine months ended September 30, 2025 and nothing in the prior year period. Core Gentex revenue (excluding VOXX) was $1.7 billion in the nine months ended September 30, 2025, which was a 3% decrease versus the nine months ended September 30, 2024, in comparison to light vehicle production in the Company's primary markets for the nine months ended September 30, 2025, that was relatively flat versus the comparable 2024 period.

Previous wording

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 wording

September 30, 2025, to 34.4 million units, compared with 36.9 million units in the same period in 2024, which was driven by a 5% period over period decrease in interior auto-dimming mirror unit shipments, and a 10% period over period decrease in exterior auto-dimming mirror unit shipments.

Previous wording

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 wording

Core Gentex Other net sales (excluding VOXX) were $37.8 million in the nine months ended September 30, 2025, compared to $38.3 million in the same period of 2024 (which also excluded VOXX), a decrease of 1%. Other net sales for the nine months ended September 30, 2025, included biometric product sales of $3.9 million primarily generated from the Company's BioConnect subsidiary acquired on July 1, 2025. Fire protection sales were $20.2 million in the nine months ended September 30, 2025, compared to $21.1 million in the same period of last year. Dimmable aircraft window sales decreased during the nine months ended September 30, 2025 to $12.7 million, compared to $16.3 million in the same period of last year.

Previous wording

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 wording

Cost of Goods Sold. As a percentage of net sales, cost of goods sold decreased to 66.0% for the nine months ended September 30, 2025, versus 66.4% in the same period last year, which did not include VOXX. The improvement in the gross margin for the nine months ended September 30, 2025 was driven by purchasing cost reductions, improved product mix, and operational efficiencies. This was partially offset by the addition of VOXX, which had a negative impact of 50 basis points for the nine months ended September 30, 2025, as well as tariff related costs that were not reimbursed in the nine months ended September 30, 2025.

Previous wording

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 wording

Operating Expenses. Total operating expenses were $288.4 million in the nine months ended September 30, 2025, an increase of 28% period over period, or $63.5 million, compared to $224.9 million in the same period of 2024, which did not include VOXX. The increase was largely due to the VOXX acquisition, which accounted for $49.7 million of the increase. Core Gentex operating expenses (excluding VOXX) were $238.6 million in the nine months ended September 30, 2025, compared to $224.9 million during the same period of 2024. The period over period increase in core Gentex operating expenses included $2.3 million in acquisition-related costs and $9.6 million attributable to Gentex-specific severance expenses.

Previous wording

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 wording

E, R & D expenses for the nine months ended September 30, 2025 increased by $15.6 million, when compared with the same period of 2024, due in large part to the VOXX acquisition, as well as staffing and engineering related professional fees.

Previous wording

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 wording

S, G & A expenses for the nine months ended September 30, 2025 increased $37.6 million to $128.1 million, when compared to $90.5 million for the same period in 2024. S, G & A expenses were approximately 7% of net sales in the nine months ended September 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.

Previous wording

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 wording

Total Other (Loss) Income, Net. Total other loss, net, for the nine months ended September 30, 2025, was $4.2 million, compared to income of $4.5 million for the same period last year. During the nine months ended September 30, 2025, the total other loss, net, included impairments of $8.4 million related to two of the Company's technology investments, as well as credit loss reserves of $4.8 million related to loans receivable. In comparison, the nine months ended September 30, 2024, included a $9.0 million loss resulting from the fair value adjustment of the Company's original investment in VOXX.

Previous wording

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 wording

Provision for Income Taxes. The effective tax rate was 16.7% for the nine months ended September 30, 2025, compared to 15.4% 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 nine 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.

Previous wording

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 wording

Net Income Attributable to Gentex Corporation. Net income attributable to Gentex Corporation for the nine months ended September 30, 2025 decreased by $24.9 million or 8% to $291.9 million, compared to $316.8 million in the same period last year, which did not include VOXX. The decrease in net income for the nine months ended September 30, 2025, was primarily the result of lower income from operations and higher operating expenses compared to the same prior period.

Previous 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.

Current wording

Earnings Per Share Attributable to Gentex Corporation. The Company had earnings per diluted share attributable to Gentex for the nine months ended September 30, 2025 of $1.31, compared to earnings per diluted share of $1.38 for the nine months ended September 30, 2024, which did not include VOXX.

Previous wording

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 wording

Financial information for the nine months ended September 30, 2025 is provided in accordance with Generally Accepted Accounting Principles ("GAAP"). In addition, the Company believes that it is useful for the nine months ended September 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.

Previous wording

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 wording

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 "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.

Previous 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.

Current wording

The Company's cash, cash equivalents, and restricted cash as of September 30, 2025 were $181.4 million, a decrease of $51.9 million, compared to $233.3 million as of December 31, 2024. The decrease was primarily due to cash outflows related to the share repurchases, as well as the acquisitions of VOXX and BioConnect, 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 nine months ended September 30, 2025.

Previous 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.

Current wording

Short-term investments as of September 30, 2025 were $4.8 million, down from $22.3 million as of December 31, 2024, and long-term investments were $247.4 million as of September 30, 2025, down from $339.6 million as of December 31, 2024.

Previous 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.

Current wording

Accounts receivable as of September 30, 2025 increased approximately $89.3 million compared to December 31, 2024, primarily due to the timing of customer payments during the nine months ended September 30, 2025, as well as the addition of VOXX sales.

Previous 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.

Current wording

Inventories as of September 30, 2025 were $499.2 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 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.

Current wording

Accounts payable as of September 30, 2025 increased approximately $83.7 million to $252.0 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 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.

Current wording

Accrued liabilities as of September 30, 2025 increased approximately $53.9 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 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.

Current wording

Cash flow from operating activities for the nine months ended September 30, 2025 increased $117.8 million to $461.6 million, compared with $343.8 million during the same period last year, primarily due to changes in working capital.

Previous 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.

Current wording

Capital expenditures for the nine months ended September 30, 2025 were approximately $103.4 million, compared with approximately $103.0 million for the same period last year.

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 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.

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 fourth quarter of 2025. The total cost of the building project is expected to be $15 - $20 million, which is also being funded with cash 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 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.

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 nine months ended September 30, 2025, the Company repurchased 9,805,995 shares. The Company had 39,643,403 shares remaining available for repurchase under the plan as of September 30, 2025, as is further detailed in Part II, Item 2 of this Form 10-Q.

Previous 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.

Current wording

For the third quarter of 2025, the Company reported net sales of $655.2 million, compared to net sales of $608.5 million in the third quarter of 2024 (which did not include VOXX), an 8% increase quarter over quarter. Core Gentex revenue (excluding VOXX) for the third quarter of 2025 declined 6% versus the third quarter of 2024, while global light vehicle production in North America, Europe, and Japan/Korea increased approximately 2% in the third quarter of 2025, when compared to the third quarter of 2024.

Previous 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.

Current wording

During the nine months ended September 30, 2025, the Company had 42 net new nameplate launches of interior and exterior auto-dimming mirrors and electronic features. Over half of the net launches in the quarter included advanced feature launches, with HomeLink®and Full Display Mirror® the primary technologies.

Previous wording

Full Display Mirror® began production in 2015. Current automotive design trends are yielding vehicles with small rear windows that are often further obstructed by headrests, passengers, and roof support pillars, which can significantly hinder the mirror’s rearward view. The Company's Full Display Mirror® is an intelligent rear vision system that uses a custom, internally or externally mounted video camera and mirror-integrated video display to optimize a vehicle driver’s rearward view. This rear vision system consists of a hybrid Full Display Mirror® that offers bi-modal functionality. In mirror mode, the product functions as an auto-dimming rearview mirror which means that during nighttime driving, digital light sensors talk to one another via a microprocessor to automatically darken the mirror when glare is detected. With the flip of a switch, the mirror enters display mode, and a clear, bright display appears through the mirror’s reflective surface, providing a wide, unobstructed rearward view. The bi-modality of the Full Display Mirror® is essential, because in the event of any failure of the camera or display, the product is able to function as a mirror, which meets long-standing safety requirements in the automotive industry. In addition, the driver has the ability to switch between modes to accommodate usage preferences for various weather conditions, lighting conditions, and driving tasks.

Current wording

Full Display Mirror® began production in 2015. Current automotive design trends are yielding vehicles with small rear windows that are often further obstructed by headrests, passengers, and roof support pillars, which can significantly hinder the mirror’s rearward view. The Company's Full Display Mirror® is an intelligent rear vision system that uses a custom, internally or externally mounted video camera and mirror-integrated video display to optimize a vehicle driver’s rearward view. This rear vision system consists of a hybrid Full Display Mirror® that offers bi-modal functionality. In mirror mode, the product functions as an auto-dimming rearview mirror which means that during nighttime driving, digital light sensors talk to one another via a microprocessor to automatically darken the mirror when glare is detected. With the flip of a switch, the mirror enters display mode, and a clear, bright display appears through the mirror’s reflective surface, providing a wide, unobstructed rearward view. The bi-modality of the Full Display Mirror® is essential, because in the event of any failure of the camera or display, the product is able to function as a mirror, which meets long-standing safety requirements in the automotive industry. In addition, the driver has the ability to switch between modes to accommodate usage preferences for various weather conditions, lighting conditions, and driving tasks. 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 November 2023, in the ordinary course of business, the Company acquired certain technology assets from eSight. The technology acquired provides the most advanced and versatile low-vision smart glasses available for those with visual impairments and is compatible with more than 20 eye conditions including Macular Degeneration, Diabetic Retinopathy, and Stargardt disease. eSight4 is a Class 1 Medical Device that is registered with the FDA, registered with EUDAMED, and inspected by Health Canada. During the third quarter of 2024, the Company recorded its first official sales of medical devices from shipments of the e-Sight Go product.

Current wording

In November 2023, in the ordinary course of business, the Company acquired certain technology assets from eSight. The technology acquired provides the most advanced and versatile low-vision smart glasses available for those with visual impairments and is compatible with more than 20 eye conditions including Macular Degeneration, Diabetic Retinopathy, and Stargardt disease. eSight4 is a Class 1 Medical Device that is registered with the FDA, registered with EUDAMED, and inspected by Health Canada. During 2024, the Company recorded its first official sales of medical devices from shipments of the e-Sight Go product.

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 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.

Current wording

In 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®, and the subsequent acquisition of the remaining interest in EyeLock® in August 2025, the Company now owns 100% of BioCenturion. These acquisitions have also enabled the Company to gain full access to the EyeLock® iris biometric technology, which will provide more product applications in the Company's automotive, aerospace, and medical markets. In July 2025, the Company acquired BioConnect Inc., a multi-modal biometric authentication platform provider for physical and digital access control, serving a number of industries. The Company intends to utilize this acquisition to further expand its reach in the biometric space.