Segment Reporting

9 Months Ended

Sep. 30, 2020

Segment Reporting [Abstract]

Segment Reporting

Note 6 – Segment Reporting

Segment information is used by management for making strategic operating decisions for the Company. Management evaluates the performance of the Company’s segments based primarily on operating income or loss.

The Company’s reportable segments are as follows:

• Automotive – this segment represents the design, development, manufacturing and sales of automotive climate comfort systems, specialized automotive cable systems, battery thermal management, and automotive electronic systems.

• Industrial – this segment represents the combined results from our patient temperature management systems business (“Medical”), GPT (through October 1, 2019), CSZ-IC (through February 1, 2019) and Gentherm’s advanced research and development division. The operating results from these businesses and division are presented together as one reporting segment because of their historical joint concentration on identifying new markets and product applications based on thermal management technologies.

• Reconciling Items – includes corporate selling, general and administrative costs and acquisition transaction costs.

The tables below present segment information about the reported product revenues, depreciation and amortization and operating income (loss) of the Company for three and nine months ended September 30, 2020 and 2019.  

Three Months Ended September 30,	Automotive		Industrial			Reconciling Items			Consolidated Total
2020:
Product revenues	$	249,764	$	9,776		$	—		$	259,540
Depreciation and amortization		9,412		484			393			10,289
Operating income (loss)		50,011		(1,262	)		(10,243	)		38,506
2019:
Product revenues	$	228,243	$	11,813		$	—		$	240,056
Depreciation and amortization		10,170		480			414			11,064
Operating income (loss)		36,629		(3,496	)		(12,804	)		20,329

Nine Months Ended September 30,	Automotive		Industrial			Reconciling Items			Consolidated Total
2020:
Product revenues	$	590,622	$	33,592		$	—		$	624,214
Depreciation and amortization		28,233		1,465			1,079			30,777
Operating income (loss)		82,623		(1,680	)		(33,633	)		47,310
2019:
Product revenues	$	700,300	$	41,003		$	—		$	741,303
Depreciation and amortization		30,660		1,319			1,302			33,281
Operating income (loss)		114,456		(12,131	)		(40,094	)		62,231

Automotive and Industrial segment product revenues by product category for the three and nine months ended September 30, 2020 and 2019 were as follows:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2020		2019		2020		2019
Climate Control Seats (CCS)	$	97,058	$	88,133	$	229,465	$	270,924
Seat Heaters		73,471		71,030		171,345		218,578
Steering Wheel Heaters		22,506		16,621		49,721		49,620
Automotive Cables		18,917		20,361		50,890		66,316
Battery Thermal Management (BTM)		15,956		11,890		33,818		31,531
Electronics		14,463		11,729		38,327		36,035
Other Automotive		7,393		8,479		17,056		27,296
Subtotal Automotive		249,764		228,243		590,622		700,300
Medical		9,776		8,336		33,592		26,404
GPT		—		3,477		—		11,181
CSZ-IC		—		—		—		3,418
Subtotal Industrial		9,776		11,813		33,592		41,003
Total Company	$	259,540	$	240,056	$	624,214	$	741,303

Total product revenues information by geographic area is as follows (based on shipment destination):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2020		2019		2020		2019
United States	$	111,189	$	111,570	$	264,204	$	340,656
China		27,363		17,591		63,883		49,598
South Korea		23,260		14,543		60,062		45,098
Japan		15,280		20,508		40,766		59,102
Germany		14,553		20,379		41,144		63,889
Romania		9,957		6,556		20,576		19,487
Czech Republic		9,414		8,805		25,007		30,956
Canada		8,079		8,833		19,430		29,226
United Kingdom		5,737		8,315		14,106		23,980
Other		34,708		22,956		75,036		79,311
Total Non-U.S.	$	148,351	$	128,486	$	360,010	$	400,647
Total Company	$	259,540	$	240,056	$	624,214	$	741,303