Gentex Corporation reported financial results for the third quarter ended September 30, 2026. Net sales for the quarter were $647.7 million, a decrease from the $655.2 million reported in the same period of 2025. The company noted that revenue was approximately $35 million below its beginning-of-quarter forecast due to customer issues and delayed launches.
Automotive revenue performance showed mixed results. North American automotive revenue increased approximately 3% year-over-year, outpacing regional light vehicle production growth by about 800 basis points. In Europe, revenue grew by 13% year-over-year, though this was offset by a loss on the Volkswagen program. Globally, automotive revenue grew by 2% despite a more than 2% decline in global light vehicle production.
Non-automotive revenue categories also showed growth. Premium Audio revenue increased 27% year-over-year to $54.7 million. Other Products, which includes Aerospace, Biometrics, Fire Protection, and Automotive Aftermarket, increased by 5% year-over-year to $40.5 million. Non-automotive revenue represented 15% of total Company revenue during the quarter.
Gross margin for the third quarter of 2026 was 33.4%, down from 34.4% in the prior year. The company attributed the decline to higher precious metal costs and unfavorable product mix resulting from lower-than-anticipated sales. Income from operations was $115.1 million, and net income attributable to Gentex was $90.6 million. Earnings per diluted share were $0.43.
The company repurchased 5.7 million shares of its common stock during the quarter for a total of $132.6 million. As of September 30, 2026, approximately 24.3 million shares remained available for repurchase under its plan.
Gentex updated its full-year 2026 guidance. Consolidated revenue is now expected to be approximately $2.65 billion. The company also maintained its 2027 revenue outlook of $2.80 billion to $2.90 billion, despite forecasting a 1% decline in light vehicle production in its primary markets.
