THRMNasdaqMotor Vehicle Parts & AccessoriesUS GAAP · USD

Gentherm Inc

Gentherm Inc. designs and manufactures thermal management and pneumatic comfort technologies for vehicles and medical settings. Its automotive portfolio includes climate control seats, climate control interiors, lumbar and massage comfort systems, valve systems, and climate/comfort electronics, while its medical business supplies patient temperature management systems used in hospitals and care facilities worldwide.

Revenue1,499m USD
+2.9 %y/y
Operating profit (EBIT)82.7m USD
−22.7 %y/y
EBIT margin5.5%
−1.8 ppy/y
Net income18.3m USD
−71.8 %y/y
Free cash flow61.1m USD
+68.2 %y/y

Fiscal year 2025 · change from previous year

Development 2020–2025

05001,0001,500m USD2020: 913 m USD2020: EBIT 89 m USD20202021: 1,046 m USD2021: EBIT 115 m USD20212022: 1,205 m USD2022: EBIT 48 m USD20222023: 1,469 m USD2023: EBIT 77 m USD20232024: 1,456 m USD2024: EBIT 107 m USD20242025: 1,499 m USD2025: EBIT 83 m USD20251,49983
RevenueOperating profit (EBIT)

Business

Share of revenue
Automotive climate and comfort solutions70 %

Seat, interior, lumbar, massage and electronic comfort systems for light vehicles.

Automotive valve systems15 %

Thermal, pneumatic and fluid-control valves used across vehicle subsystems.

Other automotive products5 %

Battery thermal management, battery cell connection systems and cable systems.

Medical patient temperature management10 %

Hospital and clinical warming/cooling systems for hyper-hypothermia, normothermia and related therapies.

Customers

Gentherm sells primarily to automotive OEMs and seat manufacturers, with products designed into light vehicles built by major manufacturers in North America, Europe and Asia. In medical, it sells patient temperature management systems to hospitals and other care settings that need controlled warming and cooling therapies. The business depends on design wins, platform adoption and long product cycles, so customer relationships and engineering integration are central to revenue conversion.

Light-vehicle OEMs

Buy climate control seats, interiors, electronics and valve systems for vehicle platforms because these features improve comfort and differentiation.

Seat manufacturers

Integrate Gentherm comfort and thermal modules into seat assemblies for OEM programs and platform launches.

Medical providers and hospitals

Purchase patient temperature management systems for intensive care, surgery and broader warming/cooling therapies.

Adjacent-market customers

Buy thermal and comfort technologies for power-sports, commercial vehicles, agriculture, home and office applications.

Strategy

Gentherm’s strategy centers on profitable growth, operational excellence and financial performance, supported by its thermal and pneumatic core technologies. Management is using restructuring to realign manufacturing in Europe and Asia, while continuing to invest in new products, adjacent markets and customer-specific engineering capabilities. The company is also pursuing new business awards in automotive and expects product launches to drive medical growth.

Profitable growth in core automotive and medical technologiesMedium term

The company wants to scale proven technologies into higher-value applications while protecting margins.

Manufacturing footprint optimizationShort term

Realigning capacity should reduce structural cost, improve efficiency and better match customer demand.

Product innovation and adjacent-market expansionMedium term

New applications can diversify revenue beyond core automotive programs and reduce dependence on one end market.

Geography

Q3/2026

Gentherm operates globally and aligns manufacturing and engineering locations with major customer programs, especially in North America, Europe and Asia. Its automotive products are sold into nearly all major OEMs in North America and Europe and several major OEMs in Asia, while medical products are used in hospitals worldwide, with notable presence in the U.S., China, Germany and Brazil. The company has also been restructuring manufacturing capacity in Europe and Asia to better match customer demand and lower its cost base.

Other countries (US filing)47 %
United States21 %
China11 %
Germany4.9 %
Mexico3.2 %
Czechia3.1 %
South Korea3.1 %
Japan2.1 %
Slovakia2.1 %
United Kingdom1.3 %
Netherlands1.1 %

Share of the revenue the company reports by geography.

Risks

Gentherm is exposed to cyclical automotive demand, intense supplier competition and customer concentration, all of which can pressure pricing and margins. It also faces trade-policy, tariff and cross-border manufacturing risk because production and sourcing span multiple countries, including China and Mexico. In medical, goodwill impairment risk is elevated because the reporting unit’s fair value only modestly exceeds carrying value and depends on aggressive growth assumptions tied to product launches.

Sorted by severity
LowMediumHighLowMediumHighImpact →Likelihood →Competitive pricing pressure1Tariffs and trade restrictions2Customer concentration in automotive programs3AI and technology implementation risk5
Impact is the risk’s severity and likelihood how probable it is over the next few years, both assessed from the company’s reports. Numbers match the list.
  1. Competitive pricing pressureImpact: HighLikelihood: High

    Automotive sourcing decisions are driven by cost, quality and timing, which can compress margins when competitors underbid.

    ExposureAutomotive climateComfortValve systems
  2. Tariffs and trade restrictionsImpact: HighLikelihood: High

    Cross-border manufacturing and sourcing expose the company to duties, customs changes and supply-chain disruption.

    ExposureChinaMexicoU.S. import/export flows
  3. Customer concentration in automotive programsImpact: HighLikelihood: Medium

    Revenue depends on a limited set of OEM and seat-manufacturer programs, so lost awards or insourcing can quickly reduce volume.

    ExposurePrincipal customers in North AmericaEuropeAsia
  4. Medical goodwill impairmentImpact: High

    The medical reporting unit’s fair value only modestly exceeds carrying value, making it sensitive to slower growth or margin shortfalls.

    Exposure: Medical segment

  5. AI and technology implementation riskImpact: MediumLikelihood: Low

    Early-stage AI use could create legal, operational, IP and reputational issues if deployment is ineffective or non-compliant.

    Exposure: Product development and internal operations

Accounting

Judgemental items
Goodwill impairment

Medical fair value exceeded carrying value by only about 25%, so small forecast changes could trigger impairment.

Impact: Could materially reduce reported earnings and equity

Restructuring accounting

Europe and Asia realignment plans create severance, transition and capital spending that must be recognized over time.

Impact: Affects operating income, cash flow and asset balances

Foreign currency translation and transaction gains/losses

Global operations create exposure to exchange-rate movements and remeasurement effects.

Impact: Can cause volatility in other income and net earnings

Income tax estimates

Global operations and discrete items can change the effective tax rate and tax expense.

Impact: Affects net income and comparability across periods

Publicly listed companies with a comparable business focus.

Last updated: 24/09/2026