Gentex Q2 Results Miss Market Estimates; Cuts FY22 Outlook

(RTTNews) - Automotive products firm Gentex Corp. (GNTX) reported Friday that its second-quarter net income declined to $72.40 million from last year's $86.51 million.

Earnings per share were $0.31, compared to $0.36 a year ago.

On average, nine analysts polled by Thomson Reuters expected earnings of $0.38 per share for the quarter. Analysts' estimates typically exclude special items.

Net sales were $463.42 million, an 8 percent increase from $428 million in the prior year. Analysts estimated sales of $470.38 million for the quarter.

Looking ahead for fiscal 2022, the company now expects revenue between $1.87 billion and $1.97 billion, compared to previous estimate of $1.87 billion to $2.02 billion.

Gross margin for the year is now expected to be 33 percent - 34 percent, compared to previous estimate of 35 percent - 36 percent.

The company continues to expect that revenue will remain difficult to forecast for the remainder of the year as a result of high levels of volatility in customer orders and vehicle production volumes, electronics supply chain constraints, the Ukraine-Russia conflict, labor shortages, and overall economic uncertainty.

Additionally, based on the company's forecasts for light vehicle production for calendar year 2023, Gentex still expects calendar year 2023 revenue growth of round 15 percent - 20 percent above the new 2022 revenue guidance of $1.87 - $1.97 billion.

In pre-market activity on Nasdaq, Gentex shares were losing around 2.2 percent to trade at $29.01.

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