ZEELAND, Mich. (AP) -- Shares of Gentex plunged 28 percent Tuesday to a 52-week low after the automotive and aircraft component maker posted diminished margins during the second quarter.
Gross margins decreased from 35.2 percent last year during the same period, to 33.1 percent this year, partly because of price reductions.
The company also said that four of its customers will change the location of vehicle rear camera displays, and that will likely reduce shipments in 2013 and 2014. Gentex also reduced its expectations for SmartBeam shipments due to a decline in light vehicle production in Europe.
Gentex reported earnings of $40.8 million, or 28 cents per share, for the three months ended June 30. That compares with $38.5 million, or 27 cents per share, for the same part of 2011. Revenue increased by 15.3 percent in the period to $280.3 million.
Analysts were expecting earnings of 30 cents per share on sales of $279.3 million, according to FactSet.
Gentex said that shipments of auto-dimming mirrors increased by 19 percent overall in the second quarter, when compared with the same period last year. They jumped 33 percent in North America and 10 percent to offshore automakers.
Gentex Chief Financial Officer Steve Dykman expects sales to increase by less than 5 percent in the third quarter.
Shares dropped by $5.92 to $15.23 in afternoon trading.
