Company: ST
Filing Date: 2025-07-29
Form Type: 10-Q
Source: 0001477294-25-000119
Chunk: 4

Company: Sensata Technologies Holding plc
Filing Date: 2025-07-29
Form: 10-Q
Item: Item 2
Chunk 4
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3 77.6 3.8 Restructuring and other charges, net6.6 0.7 3.5 0.3 13.6 0.7 4.3 0.2 Total operating costs and expenses$805.3 85.4 %$905.6 87.5 %$1,594.4 86.0 %$1,767.5 86.5 %

Cost of revenue

For the three months ended June 30, 2025, cost of revenue as a percentage of net revenue decreased from the prior period, primarily due to a decrease in product line and product lifecycle management charges, partially offset by the unfavorable effect of changes in foreign currency exchange rates. 

For the six months ended June 30, 2025, cost of revenue as a percentage of net revenue increased from the prior period, primarily due to (1) the net impacts of inflation on material and logistics costs and pricing recoveries from customers and (2) unfavorable product mix, partially offset by the favorable effect of changes in foreign currency exchange rates. 

Research and development expense

For the three and six months ended June 30, 2025, research and development expense decreased primarily as a result of the divestiture of the Insights Business in the third quarter of 2024 and restructuring actions impacting certain product lines.

Selling, general and administrative expense

For the three and six months ended June 30, 2025, SG&A expense did not fluctuate materially from the prior periods.

Amortization of intangible assets

For the three and six months ended June 30, 2025, amortization of intangible assets decreased from the prior period, primarily due to the divestiture of the Insights Business, resulting in approximately $9.8 million and $19.7 million, respectively, of lower amortization expense during fiscal year 2025, and the effect of amortization of intangible assets in accordance with their expected economic benefit, which generally results in acceleration of amortization expense in the early years of the life of an intangible asset. 

Restructuring and other charges, net

In the three and six months ended June 30, 2025, restructuring and other charges, net increased from the prior periods, primarily due to the loss on the sale of the Magnetic Speed and Positioning business and charges associated with the 2H 2024 Plan.

Refer to Note 5: Restr