Gentherm Inc (THRM) Reports Q3 2023 Earnings
Gentherm Inc (NASDAQ:THRM) reported Q3 2023 earnings with product revenues of $366.2 million, a 10.0% increase from Q3 2022.
The company secured new automotive business awards totaling $520 million in the quarter.
GAAP diluted earnings per share was $0.48, compared with $0.29 for the prior year period.
The company updated its full year 2023 guidance, with product revenues expected to be between $1.45B and $1.47B.
Gentherm Inc (NASDAQ:THRM), a global leader in thermal management and pneumatic comfort technologies, announced its financial results for the third quarter ending September 30, 2023, on October 26, 2023. The company reported a 10.0% increase in product revenues from the same period last year, reaching $366.2 million. Excluding the impact of foreign currency translation, product revenues increased 8.5% year over year.
Financial Highlights
Automotive revenues increased 10.0% year over year, with GAAP diluted earnings per share at $0.48 compared to $0.29 for the prior year period. Adjusted diluted earnings per share was $0.64, compared to $0.70 in the prior year period. The company also secured new automotive business awards totaling $520 million in the quarter and repurchased $11.1 million of the companys common stock.
Phil Eyler, the Company's President and CEO, commented on the results, stating,
I am pleased with the continued strong execution by the global Gentherm team, enabling us to deliver record quarterly Climate Control Seat and Steering Wheel Heaters revenues as well as the highest quarterly Adjusted EBITDA in ten quarters. In addition, we secured $520 million in new automotive business awards in the third quarter, including a breakthrough multi-function electronic control unit award from General Motors. We also recently won our first combined thermal and pneumatic massage comfort award with Li Auto, one of the rising EV manufacturers in China."
Updated 2023 Guidance
Gentherm Inc (NASDAQ:THRM) updated its full year 2023 guidance, initially provided in its year-end 2022 earnings release. The company now expects product revenues to be between $1.45B and $1.47B, with an Adjusted EBITDA Margin Rate of 11.5% to 12.5%. Capital Expenditures are expected to be between $40M and $50M.
Conclusion
The Q3 2023 results reflect Gentherm Inc (NASDAQ:THRM)'s strong performance in the automotive sector, with significant new business awards and an increase in product revenues. The company's updated 2023 guidance indicates continued growth and profitability in the coming year.
Explore the complete 8-K earnings release (here) from Gentherm Inc for further details.
This article first appeared on GuruFocus.
