Gentex cuts 2026 gross-margin outlook to 34%–34.5%
Gentex's revised 2026 outlook places gross margin at 34.0%–34.5%, with $10 million to $15 million of fourth-quarter cost increases expected.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Form Type
8-K
Rhea-AI Filing Summary
Gentex Corporation (GNTX) reported third-quarter 2026 net sales of $647.7 million, versus $655.2 million in the same quarter of 2025. GAAP net income attributable to Gentex was $90.6 million, compared with $101.0 million, and diluted earnings per share were $0.43 versus $0.46. Gross margin was 33.4%, compared with 34.4%. Adjusted net income attributable to Gentex (non-GAAP) was $97.8 million, versus $103.7 million. Revenue was approximately $35 million below the company’s beginning-of-quarter forecast due to customer issues and delayed launches. North American automotive revenue rose 3% while regional light vehicle production declined 5%; Premium Audio revenue increased 27% to $54.7 million.
Gentex reduced 2026 gross-margin guidance to 34.0%–34.5% from 34.5%–35.5%, while consolidated revenue guidance is approximately $2.65 billion. The margin outlook includes $10 million to $15 million of expected fourth-quarter incremental cost increases, with related reimbursements not anticipated until the first half of 2027. The company maintained its 2027 revenue outlook of $2.80 billion to $2.90 billion. It repurchased 5.7 million shares for $132.6 million during the quarter, and production from its first PCBA contract award is currently expected to begin in 2029.
0 points · 0 major1 major · 2 points
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Hollow bars mark forward-looking points. How the balance works
Positive
- None.
Negative
- Major point. Forward-looking: it has not happened yet and may not happen.2026 gross-margin guidance was reduced to 34.0%–34.5% from 34.5%–35.5%.
- Moderate pointThird-quarter net income attributable to Gentex fell to $90.6 million from $101.0 million.
Insights
Analyzing...
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, or exhibit attachments filed with this report.
Key Figures
Net sales: $647.7 million
GAAP net income attributable to Gentex: $90.6 million
Diluted earnings per share attributable to Gentex: $0.43
+5 more
8 metrics
Net sales
$647.7 million
Third quarter 2026; $655.2 million in third quarter 2025
GAAP net income attributable to Gentex
$90.6 million
Third quarter 2026; $101.0 million in third quarter 2025
Diluted earnings per share attributable to Gentex
$0.43
Third quarter 2026; $0.46 in third quarter 2025
Gross margin
33.4%
Third quarter 2026; 34.4% in third quarter 2025
Premium Audio revenue
$54.7 million
Third quarter 2026; $43.0 million in third quarter 2025
Share repurchases
$132.6 million for 5.7 million shares
Third quarter 2026
2026 consolidated revenue guidance
Approximately $2.65 billion
Updated annual guidance
2027 revenue outlook
$2.80 billion to $2.90 billion
Annual outlook maintained
Key Terms
PCBA, operating leverage, non-GAAP, effective tax rate
4 terms
PCBA technical
"first printed circuit board assembly ("PCBA") contract"
A PCBA (printed circuit board assembly) is a circuit board that has electronic components permanently attached, creating a working module inside devices like phones, medical equipment, or industrial machines. For investors, PCBAs matter because they are a key point where design, manufacturing cost, quality and supply-chain risks converge—think of a PCBA as the engine of an electronic product: its reliability and cost directly affect a product’s performance, margins and ability to be produced at scale.
operating leverage financial
"reduced operating leverage during the quarter"
Operating leverage measures how much a company's profits are affected by changes in sales volume. When a business has high operating leverage, small increases in sales can lead to much larger increases in profit, much like a lever amplifies force. It matters to investors because it indicates how sensitive a company's earnings are to fluctuations in sales, affecting risk and potential returns.
non-GAAP financial
"adjusted net income attributable to Gentex (non-GAAP)"
Non-GAAP refers to financial measures that companies use to show their earnings or performance without including certain expenses or income that are often added back to give a different picture. It matters because it can make a company's results look better or more favorable, but it may also hide important costs, so investors need to look at both GAAP (official rules) and non-GAAP numbers to get a full understanding.
effective tax rate financial
"effective tax rate of 15.5%"
The effective tax rate is the percentage of a company's profits that it pays in taxes. It shows how much of its earnings go to taxes after all deductions and credits are considered. For investors, it indicates how much of the company's income is taken by taxes, impacting overall profitability and financial health.
Earnings Snapshot
Net sales: $647.7 million · Guidance included
Third quarter ended September 30, 2026
Net sales
$647.7 million
Compared with $655.2 million in the third quarter of 2025
GAAP net income attributable to Gentex
$90.6 million
Compared with $101.0 million in the third quarter of 2025
Diluted earnings per share attributable to Gentex
$0.43
Compared with $0.46 in the third quarter of 2025
Gross margin
33.4%
Compared with 34.4% in the third quarter of 2025
Guidance
2026: consolidated revenue approximately $2.65 billion; gross margin 34.0%–34.5%; operating expenses $395 million to $410 million, excluding severance and impairments; tax rate 16%–16.5%; capital expenditures $100 million to $115 million; depreciation and amortization $100 million to $105 million. 2027 revenue outlook: $2.80 billion to $2.90 billion.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
How much revenue and net income did GNTX report in Q3 2026?
Net sales were $647.7 million, compared with $655.2 million in Q3 2025. GAAP net income attributable to Gentex was $90.6 million, compared with $101.0 million.
Why did GNTX's gross margin decline in Q3 2026?
Gentex attributed the year-over-year change primarily to higher precious metal costs and lower-than-anticipated sales, which resulted in unfavorable product mix and reduced operating leverage during the quarter.
What are GNTX's 2026 operating expense and capital expenditure guidance ranges?
Gentex's 2026 operating expense guidance is $395 million to $410 million, excluding severance and impairments. Capital expenditure guidance is $100 million to $115 million.
AI-generated analysis. How Rhea-AI works. Not financial advice.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934
Date of Report: October 23, 2026
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) | |||||||||
| (Address of principal executive offices) | (Zip Code) | ||||||||||
Registrant's telephone number, including area code: (616 ) 772-1800
_____________________________________________________________
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Section 2. Financial Information
Item 2.02 Results of Operations and Financial Condition.
(a)On October 23, 2026 Gentex Corporation issued a news release announcing financial results for the third quarter ended September 30, 2026. A copy of the news release is attached as Exhibit 99.1 to the Form 8-K.
The information in this Form 8-K and the attached Exhibit shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, except as shall be expressly set forth by specific reference in such filing.
Section 9. Financial Statements and Exhibits
Item 9.01 Financial Statements and Exhibits.
(d) Exhibit
99.1 – News Release Dated October 23, 2026
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
Date: October 23, 2026
GENTEX CORPORATION
(Registrant)
By /s/ Kevin C. Nash
Kevin C. Nash
Vice President - Finance and Chief Financial Officer
EXHIBIT INDEX
99.1 News Release Dated October 23, 2026
Exhibit 99.1
GENTEX REPORTS THIRD QUARTER 2026 FINANCIAL RESULTS
ZEELAND, MI -- (GLOBE NEWSWIRE - October 23, 2026) - Gentex Corporation (NASDAQ: GNTX), a leading supplier of digital vision, connected car, dimmable glass, fire protection technologies, and consumer electronics, today reported financial results for the three and nine months ended September 30, 2026.
Third Quarter 2026 Highlights
•Net sales of $647.7 million
•North American automotive revenue growth outpaced regional light vehicle production by approximately 800 basis points
•Gross margin of 33.4%
•Income from operations (GAAP) $115.1 million; adjusted income from operations (non-GAAP) $118.8 million
•Net income attributable to Gentex (GAAP) $90.6 million; adjusted net income attributable to Gentex (non‑GAAP) $97.8 million
•Earnings per diluted share attributable to Gentex (GAAP) $0.43; adjusted earnings per diluted share (non‑GAAP) $0.47
•Share repurchases: 5.7 million shares repurchased during the quarter for a total of $132.6 million
•Awarded first printed circuit board assembly ("PCBA") contract with production expected to begin in 2029
Financial Summary
For the third quarter of 2026, the Company reported net sales of $647.7 million, compared to net sales of $655.2 million in the third quarter of 2025. Automotive unit performance during the quarter was consistent with expectations; however, revenue for the quarter was approximately $35 million below the Company's forecast at the beginning of the quarter due to certain customer issues and delayed launches in the quarter. North American automotive revenue for the third quarter of 2026 increased approximately 3% compared to the third quarter of 2025 despite a 5% decline in regional light vehicle production. In Europe, automotive revenue performance produced a 13% year-over-year growth rate, apart from the Volkswagen program loss, which more than offset the growth in the rest of the region. Globally, automotive revenue performance achieved a 2% year over year growth apart from the previously
announced headwinds in China and with VW. This performance occurred despite global light vehicle production declining by more than 2% year over year during the third quarter of 2026. Automotive revenue was driven from content growth across the Company’s primary automotive markets. In addition, revenue from the Company's other product categories grew meaningfully, led by a 27% year-over-year increase in Premium Audio revenue to $54.7 million, while Other Products, including Aerospace, Biometrics, Fire Protection, and Automotive Aftermarket, revenue collectively increased by 5% year over year.
“Our third quarter results demonstrate the resilience of our business and the continued benefits of our strategy to grow through technology, product mix, and diversification,” said Steve Downing, President and CEO. “Despite continued challenges in China and Europe, we delivered third quarter net sales that were relatively flat compared to the third quarter of 2025 even though revenue was approximately $35 million below our beginning-of-quarter forecast. Our results benefited from strong performance in North America through continued adoption of our advanced feature content, and from growth across our non-automotive product lines. In Europe, the continued rollout of DMS and ICMS products helped offset lower vehicle production and mirror unit shipments, which demonstrates the necessity and value of increasing content per vehicle. China remained a known headwind during the quarter, with previously discussed industry conditions continuing to pressure both unit shipments and revenue. Outside of automotive, our diversification strategy is gaining momentum, with non-automotive revenue increasing approximately 17% year over year and representing 15% of total Company revenue during the third quarter. In comparison, in the third quarter of 2025, non-automotive revenue was approximately 12% of total revenue.”
For the third quarter of 2026, the Company's gross margin was 33.4%, compared to a gross margin of 34.4% for the third quarter of 2025. The year-over-year change was primarily driven by higher precious metal costs and the impact of lower-than-anticipated sales, which resulted in unfavorable product mix and reduced operating leverage during the quarter. “While gross margin was below our expectations for the quarter, the underlying drivers were relatively concentrated. The higher precious metal costs which increased bill of material costs has been an ongoing headwind over the last few quarters as these commodity prices have increased significantly. And despite the impressive performance
from the operations teams, the sales shortfall versus our beginning of quarter forecast reduced operating leverage for the quarter. We remain focused and confident in the Company’s ability to engineer solutions to help offset the inflationary cost environment that exists in a number of different commodity areas,” remarked Downing.
Consolidated operating expenses during the third quarter of 2026 were $101.3 million, compared to operating expenses of $102.8 million in the third quarter of 2025. On a non-GAAP basis, adjusted operating expenses were $97.5 million in the third quarter of 2026, compared to $101.8 million in the third quarter of 2025, when adjusted for certain impairment and severance expenses during each of the quarters. “The decrease in operating expenses on a GAAP and an adjusted basis reflects the Company’s continued focus on managing operating expenses as sales growth has moderated during 2026. Despite the decrease in operating expenses, our teams continue to execute on a significant number of launches and core R&D initiatives that are imperative for us to achieve our strategic growth initiatives,” said Gentex COO and CTO Neil Boehm. “As demonstrated during our Shareholder and Investor Day in August, the Company is making meaningful progress on the development and launch of our dimmable visor product, which is scheduled to launch late next year. The team also continues to move our large area device R&D project closer to a qualified product, with a volume manufacturing footprint that can scale to support the significant volume we are expecting from customers once the product is fully validated,” concluded Boehm.
Income from operations for the third quarter of 2026 was $115.1 million, compared to income from operations of $122.3 million for the third quarter of 2025. On a non-GAAP basis, adjusted income from operations was $118.8 million in the third quarter of 2026, compared to $123.4 million in the third quarter of 2025.
Total other loss was $7.8 million during the third quarter of 2026, compared to other loss of $1.8 million in the third quarter of 2025. On a non-GAAP basis, adjusted other loss was $3.1 million in the third quarter of 2026, compared to other income of $0.4 million in the third quarter of 2025. The year-over-year change primarily reflects certain credit loss reserves and investment-related charges, partially offset by higher investment income and gains on asset and investment sales.
During the third quarter of 2026, the Company had an effective tax rate of 15.5%, compared to an effective tax rate of 16.3% during the third quarter of 2025.
Net income attributable to Gentex for the third quarter of 2026 was $90.6 million, compared to $101.0 million in the third quarter of 2025. On a non-GAAP basis, adjusted net income attributable to Gentex was $97.8 million in the third quarter of 2026, compared to $103.7 million in the third quarter of 2025.
Earnings per diluted share attributable to Gentex for the third quarter of 2026 were $0.43, compared to earnings per diluted share of $0.46 for the third quarter of 2025. On a non-GAAP basis, adjusted earnings per diluted share were $0.47 for the third quarter of 2026, and for the third quarter of 2025.
Segment Revenue
Automotive
Automotive net sales were $552.5 million in the third quarter of 2026, compared to $573.7 million in the third quarter of 2025. Automotive revenue performance during the quarter reflected expected unit trends and strong content growth across the Company’s primary markets. Reported results included discrete headwinds in China and from the VW program loss. Excluding these items, automotive revenue increased approximately 2% quarter over quarter, led by significant North American market outgrowth and a 13% growth in Europe (excluding the VW program loss), supported by favorable product mix and increased electronic content per vehicle.
Premium Audio
Net sales from the Premium Audio category were $54.7 million in the third quarter of 2026, compared to $43.0 million in the third quarter of 2025, an increase of approximately 27%.
Other Products
Net sales from the Other Products category were $40.5 million in the third quarter of 2026, which was a 5% increase compared to the third quarter of 2025. Growth was driven primarily by Aerospace and
Fire Protection revenues, which increased 135% and 36%, respectively, but were partially offset by lower aftermarket and accessory sales.
Share Repurchases
During the third quarter of 2026, the Company repurchased 5.7 million shares of its common stock at an average price of $23.44 per share, for a total of $132.6 million. Year-to-date, the Company has repurchased 11.6 million shares for a total of $270.2 million, at an average price of $23.28 per share. As of September 30, 2026, the Company had approximately 24.3 million shares remaining available for repurchase under its previously announced share repurchase plan. The Company intends to continue to repurchase additional shares of its common stock in support of the previously disclosed capital allocation strategy, but share repurchases will vary from time to time and will take into account macroeconomic issues, market trends, and other factors that the Company deems appropriate.
Future Estimates
The Company’s light vehicle production assumptions are based on the mid-October 2026 Mobility Global outlook. Global light vehicle production is forecast to decline approximately 4% in the fourth quarter of 2026 and approximately 2% for full-year 2026, compared with the respective prior-year periods. Global light vehicle production is expected to increase approximately 1% in 2027, compared to 2026; however, production in the Company’s primary automotive markets of North America, Europe, and Japan/Korea is forecasted to decline approximately 1%, with growth concentrated in China and other markets. Forecasted production volumes for the fourth quarter of 2026 and calendar years 2026 and 2027 are presented below.
| Light Vehicle Production (Mobility Global mid-Oct light vehicle production forecast) | ||||||||||||||||||||||||||||||||
| (in Millions) | ||||||||||||||||||||||||||||||||
| Region | Q4 2026 | Q4 2025 | % Change | Calendar Year 2027 | Calendar Year 2026 | Calendar Year 2025 | 2027 vs 2026 % Change | 2026 vs 2025 % Change | ||||||||||||||||||||||||
| North America | 3.50 | 3.58 | (2) | % | 15.10 | 14.99 | 15.27 | 1 | % | (2) | % | |||||||||||||||||||||
| Europe | 4.28 | 4.34 | (1) | % | 16.90 | 17.16 | 17.05 | (2) | % | 1 | % | |||||||||||||||||||||
| Japan and Korea | 3.18 | 3.10 | 3 | % | 11.87 | 12.26 | 12.07 | (3) | % | 2 | % | |||||||||||||||||||||
| China | 8.98 | 9.79 | (8) | % | 31.52 | 31.01 | 33.10 | 2 | % | (6) | % | |||||||||||||||||||||
| Total Light Vehicle Production | 19.94 | 20.81 | (4) | % | 75.39 | 75.42 | 77.49 | — | % | (3) | % | |||||||||||||||||||||
Based on actual results for the first nine months of 2026, the updated Mobility Global light vehicle production forecast, and the Company’s expectations for its Automotive, Premium Audio, and Other Products categories, the Company is updating certain elements of its full-year 2026 guidance as set forth below. The updated guidance reflects the anticipated impact of all known tariffs effective as of October 23, 2026.
2026 Annual Guidance (as of October 23, 2026)
•Consolidated Revenue: Approximately $2.65 billion (previously $2.65 – $2.75 billion)
•Gross Margin: 34.0% – 34.5% (previously 34.5% – 35.5%). The updated guidance includes an estimated $10 million to $15 million of incremental cost increases that are expected in the fourth quarter of 2026, with related recoveries not anticipated to be reimbursed until the first half of 2027.
•Operating Expenses (excluding severance and impairments): $395 – $410 million (previously $405 - $415 million)
•Tax Rate: 16% – 16.5% (previously 16% -17%)
•Capital Expenditures: $100 – $115 million (previously $115 - $125 million)
•Depreciation & Amortization: $100 – $105 million (previously $100 - $110 million)
2027 Revenue Guidance
Based on the mid-October 2026 Mobility Global light vehicle production forecast and the Company’s current expectations for Automotive, Premium Audio, and Other Products revenue, the Company is maintaining its 2027 revenue outlook of $2.80 billion to $2.90 billion. This outlook assumes light vehicle production in the Company’s primary markets declines approximately 1% in 2027.
Closing Remarks
“As we look ahead, we are increasingly confident in the growth opportunities in front of us,” said Downing. “We are beginning to see the impact of our broader product and growth strategy reflected in our forward-looking guidance. Despite a light vehicle production environment in our primary markets that is currently expected to decline approximately 1% in 2027, we are maintaining our 2027 revenue outlook of $2.80 billion to $2.90 billion, which is a significant acceleration in outgrowth versus the underlying market. We believe the growing divergence between our revenue expectations and the underlying light vehicle production environment reflects the increasing contribution from new technology, higher content per vehicle, and our diversifying customer base. The progress we demonstrated at our Shareholder and
Investor Day in August provides further evidence of how far several of these programs have advanced towards commercialization, including our interior visor program and the large area device product portfolio. Launches of our fourth-generation FDM are now in full swing, and our engineering teams continue to improve product design and cost while delivering some of the most advanced technology and features we have ever offered our customers. We are also pleased to announce that during the third quarter we secured our first PCBA business award, with production currently expected to begin in 2029. This award represents another important opportunity to leverage Gentex’s advanced manufacturing capabilities in new products and markets, and we are actively pursuing additional PCBA opportunities with anticipated production timelines beginning in or around the same period. While we remain optimistic regarding our future growth opportunities, we are actively managing the challenges developing across the supply chain. Significant demand for memory and other electronic components is creating supply constraints and cost pressure across much of the electronics industry. Additionally, precious metals pricing is increasingly volatile with many of the metals used in our core products experiencing significant cost increases over the last year. And while these cost headwinds are expected to continue into the fourth quarter, our teams are actively engaged with our customers to establish the need for appropriate reimbursement. Additionally, our engineering teams are committed to pursuing design changes and other cost-reduction opportunities to mitigate these pressures. We believe the combination of higher content, new product launches, diversification, and expansion into new markets is changing the growth profile of the Company. We are also convinced that achieving our growth objectives while we focus our internal efforts to offset the many cost pressures facing the industry can combine with our aggressive approach to share repurchases to create meaningful long-term shareholder value,” concluded Downing.
Safe Harbor for Forward-Looking Statements
This news release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The statements contained in this communication that are not purely historical are forward-looking statements. Forward-looking statements give the Company’s current expectations or forecasts of future events. These forward-looking statements generally can be identified by the use of words such as “anticipate,” “believe,” “confident,” “could,” “estimate,” “expect,” “forecast,” “future,” “goal,” “guidance,” “hope,” “intend,” "likely", “may,” “opinion,”
“optimistic,” “outlook,” “plan,” “poised,” “predict,” “project,” “should,” “strategy,” “target,” “will,” "work to," and variations of such words and similar expressions. Such statements are subject to risks and uncertainties that are often difficult to predict and beyond the Company’s control and could cause the Company’s results to differ materially from those described. These risks and uncertainties include, without limitation: changes in general industry or regional market conditions, including the impact of inflation; changes in consumer and customer preferences for our products (such as cameras replacing mirrors and/or autonomous driving); our ability to be awarded new business; continued uncertainty in pricing negotiations with customers and suppliers, including the ability to be reimbursed for increasing costs; loss of business from increased competition; changes in strategic relationships; customer bankruptcies or divestiture of customer brands; fluctuation in vehicle production schedules (including the impact of customer employee strikes); delays in program launches; changes in product mix; raw material and other supply shortages; labor shortages, supply chain constraints and disruptions; our dependence on information systems; higher raw material, fuel, energy and other costs; unfavorable fluctuations in currencies or interest rates in the regions in which we operate; costs or difficulties related to the integration and/or ability to maximize the value of any new or acquired technologies and businesses; changes in regulatory conditions; warranty and recall claims and other litigation and customer reactions thereto; possible adverse results of pending or future litigation or infringement claims; changes in tax laws; import and export duty and tariff rates and uncertainties in or with the countries with which we conduct business; negative impact of any governmental investigations and associated litigation, including securities litigation relating to the conduct of our business; our ability to successfully develop and commercialize new products and new markets (such as PCBA); and force majeure events. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date they are made.
The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law or the rules of the NASDAQ Global Select Market. Accordingly, any forward-looking statement should be read in conjunction with the additional information about risks and uncertainties identified under the heading “Risk Factors” in the Company’s most recent Form 10-K and subsequent Form 10-Q filed with
the SEC, which risks and uncertainties include tariffs and supply chain constraints that have affected, are affecting, and will continue to affect, general economic and industry conditions, customers, suppliers, and the regulatory environment in which the Company operates. Includes content supplied by Mobility Global Light Vehicle Production Forecast of October 15, 2026 (http://www.gentex.com/forecast-disclaimer).
Third Quarter Conference Call
A conference call related to this news release will be simulcast live on the Internet beginning at 9:30 a.m. ET today, October 23, 2026. Participants who wish to ask questions may register for the call at https://register-conf.media-server.com/register/BIf16d76cd30ef4ccb9104c3f057fb46e5. It is recommended that participants join 10 minutes prior to the event start, although they may register ahead of the call and dial in at any time during the call. Participants may listen to the call via audio streaming https://edge.media-server.com/mmc/p/xisihger/. A webcast replay will be available approximately 24 hours after the conclusion of the call at https://ir.gentex.com/events-and-presentations/upcoming-past-events.
About the Company
Founded in 1974, Gentex Corporation (The NASDAQ Global Select Market: GNTX) is a leading supplier of digital vision, connected car, dimmable glass, fire protection technologies, and consumer electronics. Visit the Company’s web site at https://www.gentex.com.
Contact Information:
Gentex Investor & Media Contact
Josh O'Berski
616.931.3505
Exhibit 99.1
GENTEX CORPORATION
AUTOMOTIVE SALES BY REGION
(Thousands)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||||||||||||||
| Region | Q3 2026 | Q3 2025 | % Change | YTD 2026 | YTD 2025 | % Change | |||||||||||||||||||||||||||||
| North America | $ | 263,279 | $ | 255,942 | 3 | % | $ | 781,212 | $ | 709,760 | 10 | % | |||||||||||||||||||||||
| Europe+ | 126,624 | 126,798 | — | % | 419,508 | 423,080 | (1) | % | |||||||||||||||||||||||||||
| Japan/Korea | 129,005 | 140,126 | (8) | % | 380,147 | 429,393 | (11) | % | |||||||||||||||||||||||||||
| China | 22,072 | 39,107 | (44) | % | 82,686 | 115,143 | (28) | % | |||||||||||||||||||||||||||
| Rest of World | 11,541 | 11,686 | (1) | % | 29,976 | 38,277 | (22) | % | |||||||||||||||||||||||||||
| Total | $ | 552,521 | $ | 573,659 | (4) | % | $ | 1,693,529 | $ | 1,715,653 | (1) | % | |||||||||||||||||||||||
+VW’s European business represented an approximately $16.6 million quarter over quarter revenue headwind and a $37.5 million year to date revenue headwind during the third quarter.
GENTEX CORPORATION
LIGHT VEHICLE PRODUCTION BY REGION
(Thousands)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||||||||||||||
| Region | Q3 2026 | Q3 2025 | % Change | YTD 2026 | YTD 2025 | % Change | |||||||||||||||||||||||||||||
| North America* | 3,785 | 3,970 | (5) | % | 11,484 | 11,696 | (2) | % | |||||||||||||||||||||||||||
| Europe* | 3,905 | 3,872 | 1 | % | 12,879 | 12,710 | 1 | % | |||||||||||||||||||||||||||
| Japan/Korea* | 2,893 | 2,923 | (1) | % | 9,074 | 8,993 | 1 | % | |||||||||||||||||||||||||||
| China | 7,875 | 8,366 | (6) | % | 22,022 | 23,304 | (6) | % | |||||||||||||||||||||||||||
| Rest of World | 4,274 | 3,966 | 8 | % | 12,325 | 11,577 | 6 | % | |||||||||||||||||||||||||||
| Total | 22,732 | 23,097 | (2) | % | 67,784 | 68,280 | (1) | % | |||||||||||||||||||||||||||
| *Primary Markets | 10,583 | 10,765 | (2) | % | 33,437 | 33,399 | — | % | |||||||||||||||||||||||||||
Exhibit 99.1
GENTEX CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
| (Unaudited) | (Unaudited) | ||||||||||||||||||||||
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| Net Sales | 647,709,651 | 655,236,055 | 1,974,452,482 | 1,889,867,355 | |||||||||||||||||||
| Cost of Goods Sold | 431,378,974 | 430,069,318 | 1,288,497,162 | 1,247,676,128 | |||||||||||||||||||
| Gross Profit | 216,330,677 | 225,166,737 | 685,955,320 | 642,191,227 | |||||||||||||||||||
| Engineering, Research & Development | 51,568,685 | 52,634,707 | 152,480,305 | 150,030,348 | |||||||||||||||||||
| Selling, General & Administrative | 45,925,812 | 49,686,902 | 145,755,108 | 128,135,262 | |||||||||||||||||||
| Impairment Charges | 3,000,000 | — | 5,800,000 | — | |||||||||||||||||||
| Severance Expense | 776,979 | 518,190 | 1,862,392 | 10,191,438 | |||||||||||||||||||
| Operating Expenses | 101,271,476 | 102,839,799 | 305,897,805 | 288,357,048 | |||||||||||||||||||
| Income from Operations | 115,059,201 | 122,326,938 | 380,057,515 | 353,834,179 | |||||||||||||||||||
| Other Income/(Loss) | (7,842,477) | (1,756,230) | (17,964,539) | (4,165,750) | |||||||||||||||||||
| Income (Loss) Before Income Taxes | 107,216,724 | 120,570,708 | 362,092,976 | 349,668,429 | |||||||||||||||||||
| Income Tax Provision | 16,651,840 | 19,684,004 | 58,923,261 | 58,257,230 | |||||||||||||||||||
| Net Income (Loss) | 90,564,884 | 100,886,704 | 303,169,715 | 291,411,199 | |||||||||||||||||||
| Less: Net Income (Loss) attributable to non-controlling interest | — | (81,206) | (539,730) | (470,340) | |||||||||||||||||||
| Net Income (Loss) Attributable to Gentex Corporation | $ | 90,564,884 | $ | 100,967,910 | $ | 303,709,445 | $ | 291,881,539 | |||||||||||||||
Earnings Per Share Attributable to Gentex Corporation(1) | |||||||||||||||||||||||
| Basic | $ | 0.43 | $ | 0.46 | $ | 1.44 | $ | 1.31 | |||||||||||||||
| Diluted | $ | 0.43 | $ | 0.46 | $ | 1.44 | $ | 1.31 | |||||||||||||||
| Cash Dividends Declared per Share | $ | 0.12 | $ | 0.12 | $ | 0.36 | $ | 0.36 | |||||||||||||||
(1) Earnings Per Share has been adjusted to exclude the portion of net income allocated to participating securities as a result of share-based payment awards. | |||||||||||||||||||||||
Exhibit 99.1
GENTEX CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
| September 30, 2026 | December 31, 2025 | ||||||||||
| (Unaudited) | (Note) | ||||||||||
| ASSETS | |||||||||||
| Cash and Cash Equivalents | $ | 136,444,273 | $ | 145,645,715 | |||||||
| Short-Term Investments | 9,225,472 | 5,386,566 | |||||||||
| Accounts Receivable, net | 404,572,897 | 368,517,569 | |||||||||
Inventories, net | 550,087,498 | 516,253,617 | |||||||||
| Other Current Assets | 80,554,516 | 92,631,001 | |||||||||
| Total Current Assets | 1,180,884,656 | 1,128,434,468 | |||||||||
| Plant and Equipment - Net | 775,713,271 | 790,935,378 | |||||||||
| Goodwill | 360,854,260 | 357,211,919 | |||||||||
| Long-Term Investments | 233,639,174 | 272,975,939 | |||||||||
| Intangible Assets, net | 180,793,694 | 189,341,387 | |||||||||
Deferred Tax Asset | 118,557,294 | 108,338,592 | |||||||||
| Patents and Other Assets, net | 90,043,020 | 81,355,151 | |||||||||
| Total Other Assets | 983,887,442 | 1,009,222,988 | |||||||||
| Total Assets | $ | 2,940,485,369 | $ | 2,928,592,834 | |||||||
| LIABILITIES AND SHAREHOLDERS' INVESTMENT | |||||||||||
| Current Liabilities | $ | 404,425,501 | $ | 387,542,969 | |||||||
| Other Non-current Liabilities | 50,945,536 | 49,209,006 | |||||||||
| Deferred Income Taxes | 1,209,205 | 908,922 | |||||||||
Redeemable Non-controlling Interest | — | 3,102,213 | |||||||||
| Shareholders' Investment | 2,483,905,127 | 2,487,829,724 | |||||||||
| Total Liabilities & Shareholders' Investment | $ | 2,940,485,369 | $ | 2,928,592,834 | |||||||
Note: The condensed consolidated balance sheet at December 31, 2025 has been derived from the audited consolidated financial statements at that date, but does not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements.
Exhibit 99.1
GENTEX CORPORATION AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP MEASURES
(Unaudited)
In this press release, the Company has provided information regarding certain non-GAAP financial measures, which are reconciled to their most directly comparable GAAP financial measure in the following schedules. Use of the term "adjusted" or "excluding" in connection with a financial measure identifies and reflects a non-GAAP financial measure.
Beginning in the first quarter of 2026, the Company revised its non-GAAP presentation to include Adjusted Other (Loss) Income. As a result, prior-period non-GAAP measures presented herein have been revised to conform to the current presentation. Management believes the revised presentation enhances period-over-period comparability and provides investors with a more consistent view of the Company's performance. These revisions affect only the presentation of non-GAAP financial measures and do not affect the Company's previously reported GAAP results.
Non-GAAP Financial Measures: The Company has presented Adjusted Operating Expenses, Adjusted Income from Operations, and Adjusted Other (Loss) Income as supplemental measures of the Company's performance. Current quarter Adjusted Operating Expenses, Adjusted Income from Operations, and Adjusted Other (Loss) Income exclude impairment charges, acquisition related costs, and severance costs, in each case as set forth in the table below.
(Unaudited) | |||||||||||||||||
| Three Months Ended September 30, | |||||||||||||||||
| Consolidated 2026 | Consolidated 2025 | ||||||||||||||||
Operating Expenses - GAAP | $ | 101,271,476 | $ | 102,839,799 | |||||||||||||
Less: | |||||||||||||||||
Impairment Charge - Intangible Assets | 3,000,000 | — | |||||||||||||||
Acquisition Related Costs | — | 568,040 | |||||||||||||||
Severance Costs | 776,979 | 518,190 | |||||||||||||||
Adjusted Operating Expenses - (Non-GAAP) | $ | 97,494,497 | $ | 101,753,569 | |||||||||||||
Income from Operations - GAAP | $ | 115,059,201 | $ | 122,326,938 | |||||||||||||
Less: | |||||||||||||||||
Impairment Charge - Intangible Assets | 3,000,000 | — | |||||||||||||||
Acquisition Related Costs | — | 568,040 | |||||||||||||||
Severance Costs | 776,979 | 518,190 | |||||||||||||||
Adjusted Income from Operations - (Non-GAAP) | $ | 118,836,180 | $ | 123,413,168 | |||||||||||||
Other (Loss) Income - GAAP | $ | (7,842,477) | $ | (1,756,230) | |||||||||||||
Less: | |||||||||||||||||
Impairment Charge - Technology Investment | (4,744,703) | (2,194,148) | |||||||||||||||
Adjusted Other (Loss) Income - (Non-GAAP) | $ | (3,097,774) | $ | 437,918 | |||||||||||||
Exhibit 99.1
Adjusted Net Income and Adjusted Earnings per Share: Adjusted Net Income and Adjusted Earnings per Share are presented as supplemental measures of the Company's performance. Adjusted Net Income is defined as Net Income adjusted for impairment charges, acquisition related costs, and severance costs during the third quarter of 2026 and third quarter of 2025. Adjusted Earnings per Share is defined as Adjusted Net Income divided by weighted average diluted shares outstanding.
(Unaudited) | |||||||||||||||||
| Three Months Ended September 30, | |||||||||||||||||
| 2026 Consolidated | 2025 Consolidated | ||||||||||||||||
Net Income Attributable to Gentex Corporation - GAAP | $ | 90,564,884 | $ | 100,967,910 | |||||||||||||
Impairment Charges - Intangible Assets, net of tax | 2,534,070 | — | |||||||||||||||
Acquisition Related Costs, net of tax | — | 475,304 | |||||||||||||||
Severance Costs, net of tax | 656,306 | 433,592 | |||||||||||||||
| Impairment Charges - Technology Investment, net of tax | 4,007,803 | 1,835,938 | |||||||||||||||
Net Income (Loss) Attributable to Gentex Corporation - (Non-GAAP) | $ | 97,763,063 | $ | 103,712,744 | |||||||||||||
Adjusted Earnings Per Share: | |||||||||||||||||
Basic | $ | 0.47 | $ | 0.47 | |||||||||||||
Diluted | $ | 0.47 | $ | 0.47 | |||||||||||||
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.