Gentex 4th Quarter Earnings Per Share Expected to Exceed Analyst Expectations
4 January 1999
Gentex 4th Quarter Earnings Per Share Expected to Exceed Analyst Expectations
ZEELAND, Mich., Jan. 4 -- Gentex Corporation ,
the Zeeland, Michigan-based manufacturer of automatic-dimming rearview mirrors
and commercial fire protection products, today reported that the Company
expects to exceed analyst estimates for earnings per share for the fourth
quarter ended December 31, 1998.
The Company expects to report earnings per share for the fourth quarter of
3-4 cents higher than the current analyst consensus estimate of 19 cents per
share. The increase in net income is attributable to higher than expected
unit shipments of its automatic-dimming rearview mirrors; improved gross
margins on certain mirror products due to higher yields as a result of new
coating equipment; and certain year-end transactions and adjustments. The
Company reported net income of $11.2 million, or 15 cents per share, on
revenues of $52.6 million in the fourth quarter of 1997.
"Fourth quarter sales came in better than expected," said Gentex Executive
Vice President Kenneth La Grand. "Stronger unit shipments, coupled with
continued efficiency gains from our new coater, are the largest contributors
to our improved performance."
Certain matters discussed in this news release are "forward-looking
statements" which involve certain risks and uncertainties, and are subject to
change based on various market, industry and other important factors. The
Company cautions investors that numerous factors (as outlined in the Company's
Form 10-K filed with the Securities and Exchange Commission and other interim
reports) in some cases may affect in the future the Company's actual results,
and may cause those results to differ materially from those expressed in this
news release.
Gentex Corporation is an international company that provides high-quality
products to the worldwide automotive industry and North American fire
protection market. The Company develops, manufactures and markets proprietary
electro-optic products, including interior and exterior electrochromic,
automatic-dimming Night Vision Safety(TM) (NVS(R)) automotive rearview mirrors
that dim in proportion to the amount of headlight glare from trailing vehicle
headlamps, and an extensive line of fire protection products for commercial
applications. Revenues from the sale of automatic-dimming mirrors represent
about 90 percent of total Company revenues.
Gentex was the first company in the world to successfully develop and
produce a commercial electrochromic mirror for the motor vehicle industry.
The Company is the leading supplier of these mirrors to the worldwide
automotive industry. Gentex customers include Audi, Bentley, BMW, Daewoo,
DaimlerChrysler, Fiat, Ford, General Motors, Gulf States Toyota, Honda,
Hyundai, Infiniti, Kia Motors, Lexus, Mercedes-Benz, Mitsubishi, Nissan, Opel,
Porsche, Rolls Royce, Southeast Toyota Distributors and Toyota.
Founded in 1974, Gentex operates out of three facilities in Zeeland,
Michigan; an automotive sales office in Livonia, Michigan; automotive sales
and engineering subsidiaries in Germany and Japan; and five regional U.S.
sales offices for the Fire Protection Products Group. The Company is
recognized for its quality products, its application of world class
manufacturing principles, for its commitment to developing and maintaining a
highly skilled workforce, and for encouraging employee ownership of the
Company's stock.