Gentex Corporation
Key statistics
from XBRL data in SEC filingsAI briefing
from the latest 10-K, 10-Q and 8-K eventsGentex Corp is a Michigan-based supplier of automatic-dimming mirrors and other automotive electronics, along with fire protection, aerospace, and consumer electronics products.
What they do
Gentex designs and manufactures interior and exterior automatic-dimming rearview mirrors (its largest segment), plus related electronics, full-display mirrors, biometric authentication, dimmable aircraft windows, smoke alarms, and premium audio. It ships to all major automotive producing regions and also supplies products for aviation, fire protection, and consumer electronics.
Revenue drivers
- Automatic-dimming mirrors and automotive electronics — Core segment; includes interior/exterior mirrors and in-mirror electronics (e.g., HomeLink, Full Display Mirror, DMS/ICMS). Dominates revenue; automotive revenue declined ~3% Q2 2026 on weakness in Europe, Japan, Korea, and China, partly offset by North America strength.
- Premium Audio — Part of Other Products; Q2 2026 revenue $51.7M, up 16% year-over-year; a key diversification growth area.
- Other Products (Aerospace, Biometrics, Fire Protection, Automotive Aftermarket) — Collectively grew ~12% year-over-year in Q2 2026; non-automotive revenue ~14% of total revenue in the quarter.
Recent performance
Q2 2026 net sales $651.3M, down 1% YoY; gross margin 37.0%, up 280 bps YoY (aided by ~$18M of IEEPA tariff reimbursements). Net income attributable to Gentex $114.7M, EPS $0.54, versus $96.0M and $0.43 a year ago. Sequentially, revenue fell from $675.4M in Q1 2026 to $651.3M in Q2; but gross margin improved 320 bps. The company repurchased 2.7M shares for $66.0M during the quarter.
Strategy
Diversify beyond core automotive mirrors into premium audio, aerospace, biometrics, fire protection, and other electronics; non-automotive revenue now ~14% of total. Grow content per vehicle through new features like DMS/ICMS and next-generation Full Display Mirror with Dynamic View Assist. Manage tariff and cost pressures through pricing, mix improvement, and operational execution. Continue share repurchases and quarterly dividends.
Risks
- Automotive sales cyclicality — Revenue is tied to global auto production, and quarter-over-quarter declines in Europe, Japan/Korea, and China can hit results.
- Tariff exposure — IEEPA tariffs and other tariffs raise costs; the company received Q2 tariff reimbursements, but future costs may not be fully offset.
- Commodity and precious metals costs — Higher precious metals and other commodity costs have pressured gross margin, partially offset by pricing and mix.
- Customer and program concentration — Dependence on major automotive OEMs and program launches; delays or lower-than-expected take rates can impact revenue and profitability.
Outlook
Management highlighted continued traction from new DMS and ICMS launches in Europe, helping offset weak international mirror shipments, and ongoing growth in Premium Audio and other non-automotive lines. They cited pressure in China (revenue down ~20% YoY) and note that Q2 results benefited from tariff reimbursements. The company says it is confident in long-term diversification opportunities.