GNTX

Gentex Corporation GNTX reported second-quarter 2026 adjusted earnings of 58 cents per share, beating the Zacks Consensus Estimate of 50 cents by 16%. Earnings rose 16% from the year-ago quarter. Revenues, however, declined 1% year over year to $651.3 million and missed the consensus mark of $669 million by 2.6%. Profitability stemmed from favorable product mix, disciplined cost management and tariff reimbursements. Non-automotive revenues accounted for about 14% of quarterly sales, helping offset weaker automotive demand and lower mirror shipments. Gentex Corporation price-consensus-eps-surprise-chart | Gentex Corporation Quote Automotive net sales fell to $560.1 million from $578.1 million a year earlier. The decline reflected lower light-vehicle production and reduced shipments of base auto-dimming mirrors. Strength in North America, new technology launches and higher content per vehicle partly cushioned the pressure. Total auto-dimming mirror shipments decreased 10% year over year to 10.4 million units. North American mirror shipments rose 6%, supported by gains in both interior and exterior products. However, international shipments declined 18%, including a 26% drop in international interior mirrors. China revenues fell about 20% amid tariff-related market disruptions. Premium Audio revenues increased 16% year over year to $51.7 million. Growth was driven by the Powered Systems and Onkyo brands, supported by new product launches and continued demand across premium audio categories. Other Products revenues rose 12% to $39.4 million. Aerospace products, biometric solutions and accessories supported the improvement, while automotive aftermarket sales remained a partial offset. The gains demonstrated Gentex’s progress in reducing its reliance on the traditional automotive mirror business. Gross margin increased 280 basis points year over year to 37%. The company recorded an approximately $18 million benefit from IEEPA tariff reimbursements that lowered the cost of goods sold. Favorable product mix also helped, partly offset by higher commodity costs and reduced sales volumes. Adjusted operating expenses totaled $99.3 million, up from $97.5 million. Adjusted operating income advanced to $141.7 million from $130.3 million, while adjusted net income attributable to Gentex increased to $122.9 million from $110.9 million. Margins improved sequentially even after excluding the tariff benefit. Preliminary operating cash flow increased to $180.9 million from $166.1 million in the prior-year quarter. Capital expenditures declined to $19.2 million from $31.1 million, helping free cash flow climb 20% to $161.7 million. Cash and cash equivalents totaled $233.4 million as of June 30, 2026, compared with $145.6 million at the end of 2025. Gentex repurchased 2.7 million shares for $66 million during the quarter. Year-to-date repurchases totaled 5.9 million shares for $137.6 million. Gentex maintained its 2026 revenue guidance of $2.65-$2.75 billion. However, the company raised its gross margin outlook to 34.5%-35.5% from 34%-35%, reflecting stronger operating execution and the tariff-related benefit. The company lowered its operating expense forecast to $405-$415 million from $410-$420 million. It also reduced its projected tax rate to 16%-17% and capital expenditure guidance to $115-$125 million. The 2027 revenue forecast was reaffirmed at $2.8-$2.9 billion. Gentex continued expanding its Full Display Mirror portfolio, with new launches on vehicles from Jeep, Infiniti, McLaren, Toyota and Subaru. Driver and in-cabin monitoring systems also began shipping on new BMW and Kia programs. Management expects these products to contribute more meaningfully during the second half of 2026. The company is establishing a manufacturing facility in Morocco to support European customers, with production targeted for 2028. Gentex also expects to secure its first advanced electronics contract-manufacturing award, potentially representing a $100-$200 million revenue opportunity, with production planned for late 2028 or early 2029. Gentex currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. General Motors GM reported second-quarter 2026 adjusted earnings of $3.57 per share, up 41.3% year over year. The figure beat the Zacks Consensus Estimate of $3.13 by 14.06%. Revenues increased 1.9% to $48.03 billion and surpassed the consensus estimate of $46.56 billion by 3.15%. Strong pricing, lower costs and disciplined incentives supported results. General Motors raised its full-year adjusted EBIT guidance to $14-$16 billion from $13.5-$15.5 billion. Adjusted earnings are now projected at $12-$14 per share, up from the prior range of $11.50-$13.50. Tesla TSLA reported second-quarter 2026 adjusted earnings of 33 cents per share, which declined 17.5% year over year. The figure missed the Zacks Consensus Estimate of 50 cents by 34%. Revenues advanced 25.5% to $28.24 billion and surpassed the consensus estimate of $25.81 billion by 9.41%. Tesla expects 2026 capital expenditures to exceed $25 billion and rise further over the next two to three years. Genuine Parts GPC reported second-quarter 2026 adjusted earnings of $2.15 per share, beating the Zacks Consensus Estimate of $2.10 by 2.38%. The bottom line increased 2.4% from $2.10 in the year-ago quarter. Revenues rose 6% year over year to $6.54 billion and surpassed the consensus estimate of $6.39 billion by 2.36%. Genuine Parts reaffirmed its 2026 adjusted earnings guidance of $7.50-$8 per share and total sales growth outlook of 3-5.5%. Genuine Parts ended June with $2.3 billion of liquidity, including $559 million in cash. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Gentex Corporation (GNTX) : Free Stock Analysis Report Genuine Parts Company (GPC) : Free Stock Analysis Report General Motors Company (GM) : Free Stock Analysis Report Tesla, Inc. (TSLA) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Revenue performance was driven by a 3% decline in automotive sales due to weakness in Europe and China, which was largely offset by North American demand and non-automotive growth. The company is executing a geographic pivot by establishing a manufacturing facility in Morocco to satisfy European customer requirements for localized production and to de-risk the supply chain. China revenue remains under significant pressure, declining 20% year-over-year due to ongoing tariff-related market disruptions and geopolitical factors. Gross margin expansion of 280 basis points was aided by $18 million in tariff reimbursements, though underlying improvements were driven by favorable product mix and disciplined operational execution. Management is leveraging its electronics manufacturing expertise to secure new contract manufacturing awards outside of core automotive mirrors, targeting the U.S. market. The 'Other Products' category, including premium audio and aerospace, grew 12-16%, providing a critical hedge against stagnant global light vehicle production. Strategic focus remains on increasing content per vehicle through advanced technologies like Full Display Mirrors (FDM) and Driver Monitoring Systems (DMS) to outpace underlying market declines. Full-year 2026 revenue guidance is maintained at $2.65 billion to $2.75 billion, assuming a 3% decline in global light vehicle production. The company expects to secure its first advanced electronics manufacturing award by the end of Q3 2026, with production targeted for the 2028-2029 timeframe. The Morocco facility is scheduled for a 2028 start of production, aimed at recovering lost market share and supporting new programs for European OEMs. Management anticipates 2027 revenue between $2.8 billion and $2.9 billion, driven by high single-digit outperformance relative to primary automotive markets. Future growth is dependent on the successful scaling of large-area dimmable devices, including visors and sunroofs, which are currently moving toward internal film production. Received $38 million total in IEEPA tariff reimbursements during the quarter, with $18 million directly benefiting cost of goods sold and the remainder reducing inventory values. China revenue is projected to continue its decline, with management 'spitballing' a year-end total of approximately $100 million compared to $150 million in the prior year. Higher precious metals costs and ongoing non-IEEPA tariffs remain persistent headwinds to gross margin stability. The company reduced its 2026 capital expenditure guidance to $115 million - $125 million, reflecting lower capacity requirements due to softened global volumes. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management attributed the drop to three factors: the steady decline of the China export market, lost programs with Volkswagen, and general volume struggles among European customers. The Morocco plant is specifically designed to address these regional competitive pressures and localized production mandates. The first advanced electronics manufacturing award is expected to be worth between $100 million and $200 million. Driver Monitoring Systems (DMS) are expected to contribute $50 million to $60 million in revenue this year as they ramp up in the second half. Morocco was chosen over Eastern Europe due to favorable duty/trade agreements with both the EU and U.S., stable power infrastructure, and lower long-term social and inflationary costs. The facility allows for a shorter supply chain and more tariff-friendly logistics for European customers. Gentex has brought a 'good portion' of the film production process in-house, moving away from external contract manufacturers to improve quality and performance. Testing of internally produced parts is yielding positive results, clearing the way for higher volume scaling.

Gentex (GNTX) came out with quarterly earnings of $0.58 per share, beating the Zacks Consensus Estimate of $0.5 per share. This compares to earnings of $0.47 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +16.00%. A quarter ago, it was expected that this maker of automatic-dimming rearview mirrors and other products would post earnings of $0.44 per share when it actually produced earnings of $0.48, delivering a surprise of +9.09%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Gentex, which belongs to the Zacks Automotive - Original Equipment industry, posted revenues of $651.3 million for the quarter ended June 2026, missing the Zacks Consensus Estimate by 2.64%. This compares to year-ago revenues of $657.86 million. The company has topped consensus revenue estimates just once over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Gentex shares have added about 2.3% since the beginning of the year versus the S&P 500's gain of 8.2%. While Gentex has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Gentex was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.50 on $668.26 million in revenues for the coming quarter and $1.97 on $2.68 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Automotive - Original Equipment is currently in the bottom 39% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, EVgo Inc. (EVGO), is yet to report results for the quarter ended June 2026. The results are expected to be released on August 5. This company is expected to post quarterly loss of $0.20 per share in its upcoming report, which represents a year-over-year change of -100%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. EVgo Inc.'s revenues are expected to be $81.78 million, down 16.6% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Gentex Corporation (GNTX) : Free Stock Analysis Report EVgo Inc. (EVGO) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Interested in Gentex Corporation? Here are five stocks we like better. Gentex’s Q2 sales fell slightly to $651.3 million, with automotive revenue down 3% as weaker international demand, especially in China, offset strength in North America and growth in non-automotive businesses. Profitability improved sharply despite the revenue decline, as net income rose 19% to $114.7 million and diluted EPS hit a record second-quarter $0.54, helped by higher gross margins and tariff reimbursements. The company kept full-year revenue guidance at $2.65 billion to $2.75 billion while raising margin and cost targets, and it outlined growth plans including new product launches, a Morocco plant for European customers, and an upcoming advanced electronics contract-manufacturing award. Miso Robotics stock: Is an IPO coming soon? Gentex (NASDAQ:GNTX) reported second-quarter 2026 net sales of $651.3 million, down 1% from $657.9 million a year earlier, as lower automotive revenue in several international markets was partly offset by North American strength, higher vehicle content in Europe and growth in non-automotive businesses. Automotive revenue declined about 3% year over year to $560.1 million, reflecting lower light-vehicle production and reduced shipments of base auto-dimming mirrors. President and CEO Steve Downing said revenue in China fell 20% from the prior-year period amid tariff-related market disruptions, while Europe, Japan and Korea also recorded lower revenue. North American demand remained comparatively strong. → Could Truth API Become Trump Media’s First Meaningful Revenue Driver? Analysts Recommend These Stocks To Cushion The Automotive Slump Despite sales coming in below the company’s forecast, Gentex posted net income attributable to the company of $114.7 million, up 19% from $96 million in the second quarter of 2025. Diluted earnings per share rose to a record second-quarter $0.54 from $0.43. On a non-GAAP basis, adjusted diluted EPS was $0.58, compared with $0.50 a year earlier. Second-quarter gross margin rose 280 basis points year over year to 37%. The result included approximately $18 million of IEEPA tariff reimbursements that reduced cost of goods sold. Gentex received about $38 million in total reimbursements during the quarter, with the remaining roughly $20 million reducing inventory held on the balance sheet rather than benefiting gross margin. → GE Vernova Just Sent a Mixed AI Signal to Investors Downing said gross margin also benefited from product mix, operational execution and improving profitability in the company’s other-products category. Those gains were partly offset by higher commodity costs, lower sales and higher precious-metals costs. Excluding the $18 million reimbursement benefit, gross margin improved about 50 basis points sequentially from the first quarter. Income from operations increased 19% to $141.3 million. Adjusted operating expenses were $99.3 million, compared with $97.5 million in the prior-year quarter. The company’s effective tax rate was 16.5%, versus 17.2% a year earlier. → D-Wave Quantum or a Quantum ETF: Which Is the Better Bet? Non-automotive revenue accounted for approximately 14% of total company sales during the quarter. Premium audio revenue rose 16% to $51.7 million, driven by powered systems and the Onkyo brand, according to Vice President of Finance and CFO Kevin Nash. Revenue in the other-products category increased 12% to $39.4 million. The category includes aerospace products, fire-protection devices, medical technologies, biometric solutions and automotive aftermarket products. Nash said growth was led by aerospace products, biometrics and accessory revenues. Chief Operating Officer and Chief Technology Officer Neil Boehm said more than 75% of Gentex’s automotive product launches during the quarter incorporated advanced features, including HomeLink, Full Display Mirror, in-cabin monitoring and advanced exterior auto-dimming mirrors. The company began shipping Full Display Mirror products on the Jeep Recon and Infiniti QX65, as well as to McLaren for its W1, Toyota for the Century SUV, and Subaru for the Trailseeker and Uncharted nameplates. Gentex also began shipping driver-monitoring and in-cabin-monitoring systems to BMW for the iX3 and Kia for the EV2. Gentex said it is establishing a manufacturing plant in Morocco to support European customers seeking more localized production. The company has signed a letter of intent, selected a location and received Moroccan government support for creating the local entity. Initial customer requests could include base electrochromic mirrors and advanced electronic modules, with a targeted start of production in 2028. Downing said the move was driven by European customers’ requests for local support for vehicles built and sold in the region. He said Gentex has received several customer commitments and expects the plant initially to transition final assembly work from the United States before potentially supporting existing and new programs. The company said its core technologies would continue to come from existing facilities and that it does not expect the Moroccan expansion to create a large increase in operating expenses or excess capacity at its core plants. Gentex also said it expects to announce its first advanced electronics contract-manufacturing award by the end of the next quarter, with production targeted for late 2028 or early 2029. Downing said the initial award could represent $100 million to $200 million in revenue, with additional opportunities potentially becoming larger after 2029. Gentex maintained its full-year 2026 consolidated revenue outlook of $2.65 billion to $2.75 billion. The company raised its gross-margin forecast to 34.5% to 35.5%, lowered expected operating expenses to $405 million to $415 million, and reduced its estimated tax rate to 16% to 17%. The company also lowered projected capital expenditures to $115 million to $125 million, while maintaining depreciation and amortization guidance of $100 million to $110 million. Gentex continues to expect 2027 revenue of $2.8 billion to $2.9 billion. Management’s production assumptions call for global light-vehicle production to decline about 2% in the third quarter and 3% for full-year 2026. For 2027, global production is expected to be relatively flat, although Gentex anticipates continued weakness in its primary automotive markets of North America, Europe, Japan and Korea. Downing said the company expects second-half growth to be supported by additional Full Display Mirror launches and increasing production of driver-monitoring and in-cabin-monitoring systems. He also cited future contributions from dimmable visors, sunroofs, fourth-generation Full Display Mirror products and expanded premium-audio offerings. Gentex generated preliminary operating cash flow of $180.9 million in the second quarter, up from $166.1 million a year earlier. Capital expenditures fell to $19.2 million from $31.1 million, resulting in free cash flow of $161.7 million, up about 20% year over year. During the quarter, the company repurchased 2.7 million shares for $66 million at an average price of $24.48 per share. Gentex Corporation (NASDAQ: GNTX) is a global technology company specializing in the design and manufacture of automotive and aerospace products. The company's primary business centers on automatic-dimming rearview mirrors, advanced driver-assistance systems (ADAS), and camera-based driver monitoring technologies. In the automotive sector, Gentex supplies exterior and interior mirrors with integrated electronics, connectivity features, and safety capabilities to many of the world's leading original equipment manufacturers (OEMs). This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Gentex Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

ZEELAND, Mich., July 24, 2026 (GLOBE NEWSWIRE) -- Gentex Corporation (NASDAQ: GNTX), a leading supplier of digital vision, connected car, dimmable glass, fire protection technologies, medical devices, and consumer electronics, today reported financial results for the three and six months ended June 30, 2026.Second Quarter 2026 Highlights Net sales of $651.3 million Gross margin of 37.0%, an increase of 280 basis points from second quarter 2025 and 320 basis points from first quarter 2026. Income from operations (GAAP) $141.3 million; adjusted income from operations (non-GAAP) $141.7 million Net income attributable to Gentex (GAAP) $114.7 million; adjusted net income (non‑GAAP) $122.9 million Earnings per diluted share attributable to Gentex (GAAP) $0.54; adjusted earnings per diluted share (non‑GAAP) $0.58 Share repurchases: 2.7 million shares repurchased during the quarter for a total of $66.0 million Financial SummaryFor the second quarter of 2026, the Company reported net sales of $651.3 million, a 1% decrease compared to net sales of $657.9 million in the second quarter of 2025. Automotive revenue declined approximately 3% quarter over quarter, reflecting lower revenue in Europe, Japan/Korea, and China, which was mostly offset by strength in North America. In addition, revenue from the Company's Other Products category provided meaningful growth, led by a 16% quarter over quarter increase in Premium Audio revenue to $51.7 million, while Aerospace, Biometrics, Fire Protection, and Automotive Aftermarket revenue collectively increased by approximately 12% quarter over quarter. "Our second quarter results demonstrate the importance of our strategy to grow through technology, product mix, and diversification," said Steve Downing, President and CEO. "While total mirror unit shipments and revenues came in approximately 3% and 5% below our beginning-of-quarter forecast, respectively, our results benefited from strong North American performance, higher content per vehicle in Europe, and continued growth from our non-automotive product lines. In Europe, new DMS and ICMS launches continued to gain traction during the quarter, helping limit the impact of a 26% quarter over quarter decline in international interior mirror unit shipments. Since the beginning of the tariff wars, we have continued to be impacted by pressure in China, where revenue declined approximately 20% quarter over quarter. Outside of automotive, Premium Audio revenue increased approximately 16% quarter over quarter, while our Other Products category collectively grew approximately 12% in the same period. In total, non-automotive revenue was approximately 14% of the Company's total revenue for the quarter. These results reinforce the benefits of our diversification strategy and our confidence in the long-term opportunities to expand both our technology portfolio and revenue base, inside automotive and in other markets." For the second quarter of 2026, the Company's gross margin was 37.0%, compared to a gross margin of 34.2% for the second quarter of 2025, representing a 280 basis-point increase over the second quarter of last year. When compared with the second quarter of 2025, the Company's gross margin was favorably impacted by approximately $18 million of IEEPA tariff reimbursements received during the quarter that reduced cost of goods sold and favorable product mix, which were partially offset by commodity cost increases and the reduction in overall sales levels, compared to the second quarter of last year. “We delivered very strong gross margin performance during the second quarter, on both a quarter over quarter and sequential basis,” commented Downing. “Of the approximately $38 million of IEEPA tariff reimbursements received during the quarter, approximately $18 million reduced cost of goods sold and favorably impacted gross margin. Beyond that benefit, gross margin also improved sequentially by approximately 50 basis points from the first quarter of 2026, despite lower automotive revenue, ongoing non-IEEPA tariff costs, and significantly higher precious metals costs. The improvement was driven by favorable product mix, disciplined operational execution, and improved profitability within the Other Products categories.” Consolidated operating expenses during the second quarter of 2026 were $99.7 million, compared to operating expenses of $106.8 million in the second quarter of 2025. The decrease was primarily due to prior year severance costs. On a non-GAAP basis, adjusted operating expenses were $99.3 million in the second quarter of 2026, compared to $97.5 million in the second quarter of 2025. "The second quarter highlighted the strength of our teams and our ability to execute across a broad range of strategic growth initiatives," said Gentex COO and CTO Neil Boehm. "We continue to support a growing number of advanced technology launches, including FDM, DMS, ICMS, and dimmable devices, while maintaining a disciplined focus on cost management. As these technologies gain more traction, we believe the Company's investments in innovation, automation, and operational efficiency position us to support our future growth initiatives, while effectively managing operating expenses." Income from operations for the second quarter of 2026 was $141.3 million, up 19% compared to income from operations of $118.5 million for the second quarter of 2025. On a non-GAAP basis, Gentex adjusted income from operations was $141.7 million in the second quarter of 2026, compared to $130.3 million in the second quarter of 2025. Total other loss was $4.5 million during the second quarter of 2026, compared to a loss of $3.0 million in the second quarter of 2025. The quarter over quarter increase was primarily driven by credit loss reserves related to certain loans receivable and impairment charges on equity and other technology investments, partially offset by higher investment income and gains on asset sales. During the second quarter of 2026, the Company had an effective tax rate of 16.5%, compared to an effective tax rate of 17.2% during the second quarter of 2025. Net income attributable to Gentex for the second quarter of 2026 was $114.7 million, up 19% compared to $96.0 million in the second quarter of 2025. Non-GAAP net income attributable to Gentex was $122.9 million in the second quarter of 2026, compared to $110.9 million in the second quarter of 2025. Earnings per diluted share attributable to Gentex for the second quarter of 2026 were $0.54, compared to earnings per diluted share of $0.43 for the second quarter of 2025. On a non-GAAP basis, adjusted earnings per diluted share attributable to Gentex were $0.58 for the second quarter of 2026, compared to $0.50 for the second quarter of 2025. “While revenue during the quarter was below our forecast, our disciplined approach to managing the business delivered record second-quarter earnings per share of $0.54, an increase of 26% compared to the second quarter of 2025. Our strategy remains consistent: find new opportunities for growth despite the difficult market conditions, continue to expand and stabilize gross margins, tightly manage operating expenses, and deploy capital in a disciplined manner. We believe this approach will continue to drive earnings growth, strong cash generation, and long-term shareholder value, while we are also actively investing in the largest number of new products, technologies, and markets in the Company's history," said Downing. Segment Revenue AutomotiveAutomotive net sales were $560.1 million in the second quarter of 2026, down from $578.1 million in the second quarter of 2025. The quarter over quarter decrease primarily reflects lower light vehicle production and reduced base auto-dimming mirror unit shipments. Despite these headwinds, favorable product mix, new technology launches, and continued content gains with customers were able to partially offset the decline. Premium Audio Net sales from the Premium Audio category were $51.7 million in the second quarter of 2026, compared to $44.5 million in the second quarter of 2025, an increase of approximately 16%. Growth was driven primarily by strong performance from the Powered Systems and Onkyo brands, supported by new product introductions and continued demand across premium audio categories. Other ProductsNet sales from the Other Products category, which includes aerospace products, fire protection devices, medical technologies, biometric solutions and automotive aftermarket products, were $39.4 million, which was a 12% increase compared to the second quarter of 2025. This growth was primarily driven by strong performance in aerospace products, as well as continued growth in biometric and accessory product revenues. These gains were partially offset by lower automotive aftermarket sales. Share RepurchasesDuring the second quarter of 2026, the Company repurchased 2.7 million shares of its common stock at an average price of $24.48 per share, for a total of $66.0 million. Year-to-date, the Company has repurchased 5.9 million shares for a total of $137.6 million, at an average price of $23.13 per share. As of June 30, 2026, the Company has approximately 29.9 million shares remaining available for repurchase pursuant to its previously announced share repurchase plan. The Company intends to continue to repurchase additional shares of its common stock in the future 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 EstimatesThe Company’s light vehicle production assumptions for the third quarter of 2026 and calendar years 2026 and 2027 are based on the mid-July 2026 Mobility Global outlook for North America, Europe, Japan/Korea, and China. Based on this outlook, global light vehicle production is expected to decline approximately 2% in the third quarter of 2026, compared to the same prior-year period and approximately 3% for the full year 2026, compared to 2025. While global light vehicle production is currently expected to be relatively flat in 2027, the Company expects continued weakness in the Company’s primary automotive markets of North America, Europe, and Japan/Korea with any forecasted growth coming from emerging markets. Forecasted vehicle production volumes for the third quarter of 2026 and calendar years 2026 and 2027 are shown below. Based on actual results through the first six months of 2026, the updated Mobility Global light vehicle production forecast, and the Company’s expectations for its Automotive, Premium Audio, and Other Products category, the Company is updating certain elements of its full-year 2026 guidance as noted below. The updated guidance reflects the anticipated impact of all known tariffs effective as of July 24, 2026. 2026 Annual Guidance (as of July 24, 2026) Consolidated Revenue: $2.65 – $2.75 billion (no change) Gross Margin: 34.5% – 35.5% (previously 34% - 35%) Operating Expenses (excluding severance and impairments): $405 – $415 million (previously $410 - $420m) Tax Rate: 16% – 17% (previously 16% -18%) Capital Expenditures: $115 – $125 million (previously $125 - $140 million) Depreciation & Amortization: $100 – $110 million (no change) 2027 Revenue GuidanceBased on the mid-July 2026 Mobility Global light vehicle production forecast and the Company's expectations for Automotive, Premium Audio, and Other Products revenue, the Company continues to expect calendar-year 2027 revenue to range between $2.80 and $2.90 billion. Closing Remarks"As we entered 2026, we knew geopolitical challenges would continue to pressure our business in China, and we also expected ongoing headwinds within our base mirror business. As a result, we anticipated that revenue growth would be more subdued than what we've historically delivered. Despite those challenges, the execution of our team has been some of the best I have seen during my time leading this Company. Across the organization, we continue to launch, develop, invent, and commercialize new technologies at a pace unmatched in our history, while maintaining a relentless focus on profitability, operational efficiency, and capital discipline. Concurrently, we have worked hard together with the VOXX team to improve VOXX's financial performance and we are well on our way to achieve the profitability targets we established post-acquisition. Similar to the Gentex team, the VOXX and PAC teams have recently developed several new product categories and developed business relationships with attractive long-term growth potential, to become meaningful contributors to our overall profitability only fifteen months after acquisition. Together, we are proving to be formidable competitors in our relevant industries. Our continued focus on quality, operational excellence, gross margin expansion, operating expense management, and capital allocation have enabled us to deliver strong earnings performance despite a challenging environment. Looking ahead, we believe the Company is well positioned to have a solid second half of 2026 with growth continuing into 2027 and 2028. Many of the investments we have made over the last several years in new products and technologies, including dimmable visors and sunroofs, our fourth-generation FDM, DMS/ICMS, advanced manufacturing capabilities, and other market expansion opportunities, are expected to begin contributing more meaningfully to revenue growth. When combined with our continued focus on operational excellence and financial discipline, we believe these investments will drive future growth to create significant long-term shareholder value," concluded Downing. Safe Harbor for Forward-Looking StatementsThis 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,” “could,” “estimate,” “expect,” “forecast,” “future,” “goal,” “guidance,” “hope,” “intend,” "likely", “may,” “opinion,” “optimistic,” “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; 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); 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; 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 latest Form 10-K and 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 July 16, 2026 (http://www.gentex.com/forecast-disclaimer). Second Quarter Conference CallA conference call related to this news release will be simulcast live on the Internet beginning at 9:30 a.m. ET today, July 24, 2026. Participants who wish to ask questions may register for the call at https://register-conf.media-server.com/register/BI04159734f80b4251b4b548ae7f443098. 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/wmvxyyhw. A webcast replay will be available approximately 24 hours after the conclusion of the call at http://ir.gentex.com/events-and-presentations/upcoming-past-events. About the CompanyFounded in 1974, Gentex Corporation (The NASDAQ Global Select Market: GNTX) is a leading supplier of digital vision, connected car, dimmable glass, fire protection technologies, medical devices, and consumer electronics. Visit the Company’s web site at www.gentex.com. Contact Information:Gentex Investor & Media ContactJosh O'Berski616.931.3505 Note: Percent change and amounts may not total due to rounding. 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. GENTEX CORPORATION AND SUBSIDIARIESRECONCILIATION 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 closest 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 set forth in the table below. 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 second quarter of 2026 and second quarter of 2025. Adjusted Earnings per Share is defined as Adjusted Net Income divided by weighted average diluted shares outstanding. 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. This press release was published by a CLEAR® Verified individual.

Gentex (GNTX) reported $651.3 million in revenue for the quarter ended June 2026, representing a year-over-year decline of 1%. EPS of $0.58 for the same period compares to $0.47 a year ago. The reported revenue represents a surprise of -2.64% over the Zacks Consensus Estimate of $668.96 million. With the consensus EPS estimate being $0.50, the EPS surprise was +16%. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately. Here is how Gentex performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Auto-Dimming Mirror Shipments - Total Interior Mirrors: 6.28 million versus the two-analyst average estimate of 7.1 million. Auto-Dimming Mirror Shipments - Total Exterior Mirrors: 4.14 million versus 3.97 million estimated by two analysts on average. Auto-Dimming Mirror Shipments - Total Auto-Dimming Mirror Units: 10.42 million versus 11.06 million estimated by two analysts on average. Auto-Dimming Mirror Shipments - Total North American Mirror Units: 3.98 million compared to the 3.71 million average estimate based on two analysts. Auto-Dimming Mirror Shipments - International Exterior Mirrors: 2.51 million compared to the 2.44 million average estimate based on two analysts. Auto-Dimming Mirror Shipments - North American Exterior Mirrors: 1.63 million compared to the 1.52 million average estimate based on two analysts. Auto-Dimming Mirror Shipments - Total International Mirror Units: 6.44 million compared to the 7.35 million average estimate based on two analysts. Auto-Dimming Mirror Shipments - International Interior Mirrors: 3.93 million compared to the 4.91 million average estimate based on two analysts. Auto-Dimming Mirror Shipments - North American Interior Mirrors: 2.35 million versus 2.19 million estimated by two analysts on average. Revenue- Automotive Products: $560.1 million versus the two-analyst average estimate of $581.05 million. The reported number represents a year-over-year change of -1.1%. View all Key Company Metrics for Gentex here>>> Shares of Gentex have returned -7.6% over the past month versus the Zacks S&P 500 composite's +0.6% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Gentex Corporation (GNTX) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

This article first appeared on GuruFocus. Net Sales: $651.3 million, down 1% from $657.9 million in the second quarter of last year. Automotive Revenue: $560.1 million, down from $578.1 million in the second quarter of last year. Premium Audio Revenue: Increased 16% year-over-year to $51.7 million. Other Products Revenue: Increased 12% to $39.4 million. Gross Margin: 37%, up from 34.2% in the second quarter of last year. Operating Expenses: $99.7 million, down from $106.8 million in the second quarter of last year. Income from Operations: $141.3 million, up 19% from $118.5 million in the second quarter of last year. Net Income: $114.7 million, up 19% from $96 million in the second quarter of last year. Diluted Earnings Per Share: $0.54, compared to $0.43 in the second quarter of last year. Cash and Cash Equivalents: $233.4 million at quarter end, up from $145.6 million at year-end. Free Cash Flow: $161.7 million, an increase of approximately 20% from $135 million in the second quarter of last year. Share Repurchases: 2.7 million shares repurchased at an average price of $24.48 per share for a total of $66 million. Warning! GuruFocus has detected 3 Warning Signs with GNTX. Is GNTX fairly valued? Test your thesis with our free DCF calculator. Release Date: July 24, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Gentex Corp (NASDAQ:GNTX) reported a 19% increase in net income to $114.7 million compared to the same quarter last year. Gross margin improved to 37% from 34.2% in the previous year, benefiting from IEEPA tariff reimbursements and favorable product mix. Non-automotive revenue grew significantly, with premium audio revenue increasing by 16% and other product categories like aerospace and biometrics growing by 12%. The company executed strong feature launches in automotive products, with over 75% of launches including advanced features. Gentex Corp (NASDAQ:GNTX) repurchased 2.7 million shares of its common stock, reflecting confidence in its financial position and future prospects. Net sales decreased by 1% year-over-year, with automotive revenue declining approximately 3% due to lower revenue in Europe, Japan, Korea, and China. Revenue in China faced a significant 20% year-over-year decline due to ongoing tariff-related market disruptions. The company experienced a decline in base interior mirror shipments, particularly impacting the international market. Gentex Corp (NASDAQ:GNTX) anticipates continued weakness in its primary automotive markets, with global light vehicle production expected to decline by 2% in the third quarter of 2026. Challenges in the European market are expected to persist, with some volume challenges due to loss programs on the Volkswagen side. Q: The $38 million IEEPA benefit you mentioned, I know you took 18 that helped gross margin this quarter. So the 20 that went to the balance sheet -- do you have that coming through gross margin in the back half of the year and your updated gross margin guidance? A: Not -- I mean that goes against inventory. So it reduced what was still held in inventory as of the February 24 date. And we did stop expensing future tariffs as of that point, but everything else was held. So it's really an effective reduction of inventory. Q: You mentioned interior Europe mirrors being really soft. Is there anything else going on there? And how should we think about a good level for that interior European mirrors business going forward? A: The biggest factor was the China impact due to geopolitical issues and tariffs, leading to a steady decline in base interior auto-dimming mirrors. Additionally, we lost some programs on the Volkswagen side, and some European customers are struggling with their volumes. Q: Can you give us any sort of revenue opportunity associated with the EMS win? A: The first award is expected to be between $100 million and $200 million. We anticipate these numbers to grow significantly beyond 2029 into 2030. Q: Can you walk us through the customer conversations supporting your Morocco investment? A: We have several customer commitments already. The first step will be transitioning final assembly products from the US to Morocco. This move is driven by our European customer base's demand for local support. Q: What is the expectation for China revenue for the full year? A: It's still in decline. We expect it to be around $100 million by the end of the year. Q: Can you give us a high-level update on the internal large-area device efforts? A: We've made good progress over the last six months, bringing a portion of the process internally. The performance and quality are at a good spot, and testing is looking promising. Q: Is 35% type gross margin going to be a floor going forward? A: I wouldn't say it's a floor. The sweet spot is around 34% to 35%. Growth in new technologies may have slightly lower margins, but products like visors have better margin profiles. Q: What are your expectations for the European market between now and 2028, when you're able to begin shipping out of Morocco? A: The plan for the Morocco facility has mitigated risks of share loss. The main headwinds will be market conditions for European customers and volume challenges from lost programs. For the complete transcript of the earnings call, please refer to the full earnings call transcript.