Gentherm delivered record 2025 revenue of $1.5 billion, up 2.9% year-over-year, with adjusted EBITDA of $175 million (approximately 11–11.7% margin) despite higher material costs and footprint realignment expenses. The company secured $2.2 billion in new automotive awards—including $485 million in Q4—achieved operating cash flow of $117 million and ended the year with net leverage of 0.2 turns.

Management validated its expansion thesis by building a commercial revenue funnel exceeding $300 million in sectors beyond light vehicles, such as commercial trucks, powersports, home and office products, and furniture climate solutions. Gentherm organized its technologies into four platforms and advanced its medical segment with an FDA 510(k) submission for Thermafix, expected to begin revenue generation later in 2026 and drive high-teens segment growth.

Gentherm reiterated its planned combination with Modine Performance Technologies, targeting closing by end-2026 to unlock about $25 million of near-term run-rate cost synergies and contribute to a commercial synergy funnel north of $100 million—over 50% from valves. Footprint realignment remains on track to complete in 2026, paving the way for a “step function” in margins in 2027.

For 2026, Gentherm projects revenue of $1.5–1.6 billion and adjusted EBITDA of $175–195 million, with adjusted free cash flow of $80–100 million and capital expenditures of $45–55 million. The company expects second-half strength from new program launches, margin expansion through material savings and productivity actions, and offered a preliminary 2027 revenue target of $1.7 billion.