EarningsQ2 2026 Earnings Report
MX:THRM Q2 2026 EPS Results
Actual EPS$12.86
Consensus EPS$9.58
Beat/MissBeat by +$3.27
One Year Ago EPS$9.26
MX:THRM Q2 2026 Revenue Results
Actual Revenue$7.14B
Expected Revenue$6.57B
Beat/MissBeat by +$570.31M
YoY Revenue Growth+10.95%
Earnings Announcement Details
QuarterQ2 2026
Date07/23/2026
TimeBefore Open
Conference CallThursday, July 23, 2026
MX:THRM Upcoming Earnings
Gentherm's next earnings date is estimated for October 22, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
MX:THRM Q2 2026 Earnings Call
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Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call emphasized strong commercial execution, record quarterly revenue, robust automotive awards, strategic diversification (Modine combination), successful medical product milestones (ThermAffyx) and a disciplined capital plan, while acknowledging near-term margin pressure from warranty accruals, merger-related charges and second-half uncertainties. Overall, management raised full-year guidance and highlighted balance sheet strength and growth catalysts.Company Guidance
Record Quarterly Revenue and Year-over-Year Growth
Product revenue reached a quarterly record of $416 million, up 11% year-over-year (9.5% ex-FX), driven by higher automotive volumes and outperforming light vehicle production.
Strong Automotive Outperformance and New Business Awards
Secured approximately $690 million in Automotive New Business Awards in Q2 and more than $1 billion year-to-date; Automotive Climate and Comfort Solutions revenue increased 14.1% year-over-year (12.7% ex-FX), indicating broad-based outperformance across products and regions.
High Growth in Comfort Product Categories
Lumbar and Massage Comfort Solutions delivered 38% year-over-year revenue growth, highlighting strong adoption of differentiated comfort technologies.
Raised Full-Year Guidance and Outlook
Raised 2026 guidance with midpoint revenue of $1.6 billion (~5% growth for the year versus a ~3% decline in light vehicle production); adjusted EBITDA expected $185M–$200M (midpoint margin ~12%); adjusted free cash flow $85M–$100M and CapEx $45M–$55M (~3% of sales).
Medical Market Momentum: ThermAffyx Clearance and IME Acquisition
Received FDA 510(k) clearance for ThermAffyx with initial sales expected in Q3 and strong early market interest; completed acquisition of Innovative Medical Equipment for $34M (IME projected 2026 revenue ~$17M with ~20% EBITDA margin), enabling cross-selling into VA hospitals and broader patient-therapy channels.
Home and Office Market Traction
Products selected by two leading North American furniture brands; deployed core technologies with five new customers in <1 year and visibility to $50M–$100M of revenue in this market by 2028 (TAM >$500M).
Strong Balance Sheet, Liquidity and Capital Strategy
Ended Q2 with net leverage 0.3x and liquidity of $502M; secured $800M of committed financing (a $550M revolver and $250M term loan) to support the Modine transaction; new $400M stock repurchase authorization over 3 years (nearly 3x prior program).
Strategic Combination with Modine
Progressing toward closing early Q4; combination expected to reduce light vehicle mix from ~97% to ~63% and position combined company to exceed $3.5 billion revenue by 2030 with >$1 billion cumulative unlevered free cash flow through 2030.
Improving Operational Execution
Initiatives to improve labor efficiency, equipment utilization and inventory management are delivering measurable results and are expected to support margin expansion and higher cash flow conversion over time.
Earnings and Profitability Improvement on Adjusted Basis
Reported adjusted diluted EPS of $0.75, up 39% from $0.54 in prior-year quarter; adjusted EBITDA was $48.8M (11.7% of sales) and adjusted free cash flow year-to-date approximately $16M in line with seasonality.
MX:THRM Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed