"We are quite pleased to report that our gross profit margin improved sequentially in the fourth quarter of 2012, despite a sequential decrease in net sales," said Gentex Chairman of the Board and Chief Executive Officer Fred Bauer.
Gentex Corp. reported flat sales, lower profits for its fourth quarter
ZEELAND, MI – Gentex Corp. reported flat sales during its recently completed fourth quarter, capping a year in which its total sales increased by 7 percent to $1.1 billion.
Gentex, which makes automatic-dimming rearview mirrors, camera based lighting and driver assist systems for the automotive industry, beat analysts forecast for the fourth quarter by posting earnings of $39.6 million, or 28 cents per share.
That was down 2 percent from the $40.5 million profit reported in the final quarter of 2011. Included in the earnings report was a $5 million charge Gentex paid last December to settle four patent infringement claims brought by a Texas firm last year.
"We are quite pleased to report that our gross profit margin improved sequentially in the fourth quarter of 2012, despite a sequential decrease in net sales," said Gentex Chairman of the Board and Chief Executive Officer Fred Bauer.
"We are also demonstrating continued positive efficiencies we are experiencing within our operating expenses. Our entire management team has been actively working on cost-reduction initiatives and we are pleased with the results to date."
Based on lower production forecasts for light vehicles, company officials said they expect a sales decline of 5 to 10 percent for the first quarter of 2013.
Gentex executives are scheduled to discuss their earnings report in a 10 a.m. teleconference on Tuesday, Jan. 29. Mlive will report on the teleconference in the “Comments” section of this article.
E-mail Jim Harger: jharger@mlive.com and follow him on Twitter at twitter.com/JHHarger