Gentex Q2 profits slip; revenue rises on higher mirror shipments
Second-quarter profits at Gentex Corp., a mirror, camera and electronic component supplier, dipped 2.8 percent to $74.5 million compared with the year-earlier period.
Revenue rose 12 percent to nearly $380 million for the period, just above analysts’ consensus estimate of $376 million, offsetting a 1 percent decline in light-vehicle output worldwide and unfavorable currency exchange rates.
Automotive revenue for the quarter rose 12 percent to $370.5 million on an 11 percent increase in shipments of automatic-dimming mirrors.
Earnings per share dipped to 25 cents from 26 cents in the year-earlier period, in line with analyst predictions.
The Zeeland, Mich., company’s gross profit margin in the second quarter slipped to 38.4 percent compared with 39.7 percent in the second quarter of 2014.
The decline in profit margins reflected annual customer price reductions, unfavorable product mix and currency rate fluctuations, which were offset by reduced purchasing costs, the company said in a statement.