gntx-20250331

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark one)


☑			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2025 or


☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

Commission File Number: 0-10235

GENTEX CORPORATION

(Exact name of registrant as specified in its charter)


Michigan						38-2030505
(State or other jurisdiction of incorporation or organization)						(I.R.S. Employer Identification No.)

600 N. Centennial
Zeeland
Michigan						49464
(Address of principal executive offices)						(Zip Code)

(616) 772-1800

(Registrant’s telephone number, including area code)

________________________________________________________

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, par value $0.06 per share	GNTX	NASDAQ Global Select Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes: þ No: o

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes: þ No: o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer”, “accelerated filer”, “smaller reporting company”, and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer

☑

Accelerated filer

☐

Non-accelerated filer

☐

Smaller reporting company

☐

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. o

Indicate by a check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes: ☐ No: þ

APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS DURING THE PRECEDING FIVE YEARS:

Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Sections 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court. Yes: ☐ No: o

APPLICABLE ONLY TO CORPORATE ISSUERS:
Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.


Class						Shares Outstanding, April 25, 2025
Common Stock, $.06 Par Value						224,803,331

GENTEX CORPORATION AND SUBSIDIARIES

For the Three Months Ended March 31, 2025

FORM 10-Q

Index


Part I - Financial Information		Page
Item 1.	Unaudited Condensed Consolidated Financial Statements	3
	Unaudited Condensed Consolidated Balance Sheets	3
	Unaudited Condensed Consolidated Statements of Income	4
	Unaudited Condensed Consolidated Statements of Comprehensive Income	5
	Unaudited Condensed Consolidated Statements of Shareholders' Investment	6
	Unaudited Condensed Consolidated Statements of Cash Flows	7
	Notes to Unaudited Condensed Consolidated Financial Statements	8
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	25
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	35
Item 4.	Controls and Procedures	35

Part II - Other Information
Item 1A.	Risk Factors	37
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	37
Item 6.	Exhibits	37
	Signatures	37
	Exhibit Index	39

PART I —FINANCIAL INFORMATION

Item 1. Unaudited Condensed Consolidated Financial Statements.

GENTEX CORPORATION AND SUBSIDIARIES

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS

As of March 31, 2025 and December 31, 2024


	March 31, 2025 (Unaudited)		December 31, 2024 (Note)
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	286,558,598	$	233,318,766
Short-term investments	20,549,084		22,304,829
Accounts receivable, net	330,625,348		295,344,353
Inventories, net	408,934,806		436,497,445
Prepaid expenses and other	42,002,767		49,862,777
Total current assets	1,088,670,603		1,037,328,170

PLANT AND EQUIPMENT—NET	734,551,557		728,481,467

OTHER ASSETS
Goodwill	340,668,927		340,668,927
Long-term investments	300,626,514		339,604,044

Intangible assets, net	190,832,346		195,157,160
Deferred tax asset	53,623,835		53,154,832
Patents and other assets, net	73,575,446		66,426,375
Total other assets	959,327,068		995,011,338

TOTAL ASSETS	$	2,782,549,228	$	2,760,820,975

LIABILITIES AND SHAREHOLDERS’ INVESTMENT

CURRENT LIABILITIES
Accounts payable	$	162,899,037	$	168,314,912

Accrued liabilities	103,734,311		84,377,764
Total current liabilities	266,633,348		252,692,676

OTHER NON-CURRENT LIABILITIES	36,498,377		36,028,644





TOTAL LIABILITIES	303,131,725		288,721,320

SHAREHOLDERS’ INVESTMENT
Common stock	13,489,027		13,632,448
Additional paid-in capital	1,011,756,899		1,010,440,420
Retained earnings	1,454,610,199		1,450,287,128
Accumulated other comprehensive loss	(5,030,122)		(6,409,341)
TOTAL GENTEX CORPORATION SHAREHOLDERS' INVESTMENT	2,474,826,003		2,467,950,655
Non-controlling Interest	4,591,500		4,149,000
TOTAL LIABILITIES AND SHAREHOLDERS' INVESTMENT	$	2,782,549,228	$	2,760,820,975

Note: The condensed consolidated balance sheet at December 31, 2024 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 SUBSIDIARIES

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME

For the Three Months Ended March 31, 2025 and 2024


	Three Months Ended March 31,
	2025		2024
NET SALES	$	576,773,090	$	590,225,211

COST OF GOODS SOLD	385,039,503		387,987,605
Gross profit	191,733,587		202,237,606

OPERATING EXPENSES:
Engineering, research and development	45,924,364		42,181,986
Selling, general & administrative	29,933,005		30,709,308
Severance expense	2,889,112		—
Total operating expenses	78,746,481		72,891,294

Income from operations	112,987,106		129,346,312

OTHER INCOME (LOSS)
Investment income (loss), net	4,874,855		(3,368,524)
Other (loss) income, net	(4,234,379)		1,670,139
Total other income (loss)	640,476		(1,698,385)

INCOME BEFORE PROVISION FOR INCOME TAXES	113,627,582		127,647,927

PROVISION FOR INCOME TAXES	18,753,537		19,417,213

NET INCOME	$	94,874,045	$	108,230,714

EARNINGS PER SHARE: (1)
Basic	$	0.42	$	0.47
Diluted	$	0.42	$	0.47

Cash Dividends Declared per Share	$	0.120	$	0.120

(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.

GENTEX CORPORATION AND SUBSIDIARIES

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

For the Three Months Ended March 31, 2025 and 2024


	Three Months Ended March 31,
	2025		2024
Net income	$	94,874,045	$	108,230,714

Other comprehensive (loss) income before tax:
Foreign currency translation adjustments	(345,230)		(950,213)

Unrealized gains on debt securities, net	2,182,847		51,910

Other comprehensive income (loss), before tax	1,837,617		(898,303)

Income tax impact related to components of other comprehensive income (loss)	458,398		10,901

Other comprehensive income (loss), net of tax	1,379,219		(909,204)

Comprehensive income	$	96,253,264	$	107,321,510

GENTEX CORPORATION AND SUBSIDIARIES

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' INVESTMENT

For the Three Months Ended March 31, 2025 and 2024

Common
Stock
Shares

Common
Stock
Amount

Additional
Paid-In
Capital

Retained
Earnings

Accumulated
Other
Comprehensive
Income (Loss)

Total

Equity Attributable to Noncontrolling Interests

Total
Shareholders’
Investment

BALANCE AS OF JANUARY 1, 2025

227,207,472

SEC Form 10-Q filed by Gentex Corporation