News Summary
Gentherm Inc. revealed its second quarter financial results, showcasing increased revenue of $375.1 million against lowered earnings of 2 cents per share. The revenue surpassed analyst expectations but fell slightly from last year. The company’s success in the Automotive Climate and Comfort Solutions segment marked a 3.8% year-over-year growth. Despite this, net income was affected by significant foreign currency losses. Gentherm indicated strong future prospects with over $1 billion in new automotive business awards secured year-to-date.
Southfield, Michigan – Gentherm Inc. released its financial results for the second quarter of 2025, showing a mixed performance characterized by higher revenues but lower earnings compared to expectations. The company reported a net income of $477,000, translating to 2 cents per share. However, adjusted earnings per share for the quarter stood at 54 cents, falling short of Wall Street’s expectations of 59 cents.
Despite the shortfall in earnings, Gentherm’s revenue for the second quarter reached $375.1 million, surpassing analyst predictions of $364.9 million. Nevertheless, this represents a slight decline from the $375.7 million reported in the same quarter last year.
The Automotive Climate and Comfort Solutions segment of Gentherm generated revenue of $308 million, which marks a 3.8% increase year-over-year and sets a record for the segment in terms of quarterly revenue. Nevertheless, the company’s gross margin fell by 180 basis points compared to the previous year, dropping to 23.9%. This reduction in margin contributes to the overall decline in net income.
The decrease in net income can primarily be attributed to unrealized foreign currency losses amounting to $18.9 million, which offset gains that were enjoyed in prior financial periods. This is a significant change from the previous year, where the company reported a net income of $18.9 million.
In terms of future potential, Gentherm announced that its Automotive New Business Awards have exceeded $1 billion year-to-date, indicating a strong continuation of innovation and solid relationships with customers. During the quarter, the company secured $620 million in new automotive business awards, which included lucrative contracts for Ford’s next-generation F-Series truck platform. This demonstrates Gentherm’s position as a key player in the automotive industry, especially in thermal management and comfort technologies.
For the full fiscal year, Gentherm has narrowed its revenue guidance to fall between $1.43 billion to $1.5 billion. The company projects its adjusted EBITDA margin for the full year to be between 11.7% and 12.5%, providing a basis for strategic planning and investment moving forward. Additionally, Gentherm has revised its capital expenditure forecast to a range of $55 million to $65 million, down from the previous projection between $70 million and $80 million, signaling a cautious approach to investment in light of recent earnings and market conditions.
As of now, Gentherm employs over 14,000 individuals across 13 countries. The company has established itself as a leader in innovative thermal management and pneumatic comfort technologies, boasting approximately $1.5 billion in total annual sales for 2024. Furthermore, it has successfully secured $2.4 billion in new automotive business awards over the past year.
In conclusion, Gentherm’s mixed results indicate a robust revenue generation capacity amidst a challenging earnings environment, shaping its future endeavors in the automotive sector as it adapts to currency fluctuations and market demands.
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Gentherm Reports Mixed Second Quarter Earnings
Gentherm Reports Second Quarter Financial Results
Additional Resources
- Greenwich Time: Gentherm Q2 Earnings Snapshot
- Wikipedia: Gentherm
- The Globe and Mail: Gentherm Announces Date for Q2 News Release
- Google Search: Gentherm Financial Results
- Investing.com: Gentherm Beats Revenue Estimates
- Google Scholar: Gentherm Earnings 2025
Author: STAFF HERE NOVI WRITER
The NOVI STAFF WRITER represents the experienced team at HERENovi.com, your go-to source for actionable local news and information in Novi, Oakland County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Motor City Comic Con, Michigan State Fair, and Novi Home and Garden Show. Our coverage extends to key organizations like the Novi Chamber of Commerce and Novi Community Foundation, plus leading businesses in automotive, technology, and manufacturing that power the local economy such as Gentherm, Stoneridge, and Daifuku North America. As part of the broader HERE network, including HEREDetroitMI.com, HEREGrandRapids.com, HERENorthville.com, and HEREPlymouth.com, we provide comprehensive, credible insights into Michigan's dynamic landscape.
