NASDAQ$GNTX

Gentex Corporation · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

Reported record quarterly sales and improved gross profit margin.

Gentex Corporation reported a strong fourth quarter in 2023, marked by record net sales of $589.1 million, a 19% increase year-over-year. The company saw significant improvements in gross profit margin, income from operations, and net income, driven by price increases, cost recoveries, and efficient cost management.

  • Net sales reached a record $589.1 million, up 19% from Q4 2022.
  • Gross profit margin improved by 330 basis points to 34.5%.
  • Income from operations increased by 41% to $132.8 million.
  • Earnings per diluted share rose by 35% to $0.50.

Headline financials

Total Revenue

$589M

Previous: $494M+19.3%
EPS (adj)

$0.50

Previous: $0.37+35.1%
Consolidated Gross Margin

34.5%

No prior period
Effective Tax Rate

13.9%

Previous: 9.7%+43.3%
Net Income

$117M

Previous: $86.2M+35.6%
Operating Income

$133M

Previous: $94.1M+41.1%
Gross Profit

$203M

Previous: $154M+32.2%
R&D Expense

$41.5M

No prior period
Stock-Based Comp

$9.99M

Previous: $7.26M+37.6%

Revenue & EPS history

Gentex · Revenue · Quarterly

$589M

Q4 2023+19.3%vs Q4 2022
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Revenue by segment

Gentex · $9.4M total across 1 segment · Q2 2023

  • Other Net Sales
    $9.4M-10.5%

Forward guidance

Gentex provided revenue guidance for 2024 and 2025 based on light vehicle production forecasts from S&P Global Mobility. The company expects continued revenue growth and gross margin improvement.

Tailwinds

  • Revenue is projected between $2.45 and $2.55 billion for 2024.
  • Gross margin is expected to be between 34% and 35% for 2024.
  • Revenue is projected between $2.65 and $2.75 billion for 2025.
  • Company anticipates outperforming the underlying market in revenue growth.
  • Focus on cost control and gross margin improvement to achieve 35-36% gross margin by the end of 2024.

Headwinds

  • Operating expenses are estimated between $295 and $305 million for 2024.
  • Estimated annual tax rate is projected between 16% and 18% for 2024.
  • Capital expenditures are forecasted between $225 and $250 million for 2024.
  • Depreciation & amortization is estimated between $95 and $105 million for 2024.
  • Light vehicle production in Japan and Korea is expected to decrease by 3% to 4% in 2024.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2023

Historical avgQ4 2023

-0.9%

Avg return

Earnings day

+0.1%

Avg return

5 days after

+0.6%

Avg return

30 days after

45%

31 / 69 earnings

Positive

+11.4%

Q2 2019

Best reaction

-29.1%

Q2 2012

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.7%-0.6%+3.5%
Q4 2025-4.3%+3.4%-2.7%
Q3 2025-10.2%-9.8%-14.8%
Q2 2025-0.5%-0.5%+2.2%
Q1 2025-2.8%-0.9%-1.6%
Q4 2024-8.2%-10.3%-13.8%
Q3 2024+5.5%+4.9%+2.5%
Q2 2024-3.7%-4.6%-4.1%
Q1 2024+0.6%-2.0%-0.8%
Q4 2023+5.8%+4.1%+13.3%
Q3 2023-6.7%-4.3%+2.8%
Q2 2023+5.8%+6.1%+0.7%
Q1 2023+5.8%+4.6%+2.4%
Q4 2022-3.0%+1.7%-2.4%
Q3 2022+3.4%+0.4%+12.2%
Q2 2022-7.5%-5.2%-2.4%
Q1 2022+6.8%+3.5%+4.3%
Q4 2021+0.4%+2.5%-3.4%
Q3 2021-5.3%-4.4%-0.6%
Q2 2021+1.3%+4.2%-1.7%
Q1 2021-0.4%+0.4%-2.5%
Q4 2020+1.3%+3.3%+5.5%
Q3 2020+0.7%-4.0%+11.7%
Q2 2020+2.4%+4.9%+2.0%
Q1 2020+5.1%+7.6%+9.9%
Q4 2019-4.0%-2.0%-13.7%
Q3 2019-0.4%+1.3%+3.2%
Q2 2019+11.4%+15.0%+12.1%
Q1 2019+3.0%+4.6%-0.6%
Q4 2018-8.0%-9.0%-11.0%
Q3 2018+10.0%+7.6%+20.9%
Q2 2018-3.8%-5.0%+3.3%
Q1 2018-6.2%-2.8%+1.6%
Q4 2017+2.5%+3.5%+2.6%
Q3 2017-8.5%-8.1%-7.8%
Q2 2017-9.2%-7.4%-8.3%
Q1 2017-1.3%-0.7%-9.2%
Q4 2016-3.4%-4.7%-3.6%
Q3 2016-2.4%-3.8%+3.3%
Q2 2016+7.8%+11.3%+10.1%
Q1 2016+0.2%
Q4 2015+2.6%
Q3 2015-0.1%
Q2 2015-1.8%
Q1 2015-0.3%
Q4 2014-4.4%
Q3 2014+9.3%
Q2 2014+2.0%
Q1 2014+1.1%
Q4 2013-1.9%
Q3 2013+10.4%
Q2 2013-5.0%
Q1 2013+4.1%
Q4 2012+3.0%
Q3 2012-3.4%
Q2 2012-29.1%
Q1 2012-16.4%
Q4 2011-1.4%
Q3 2011+0.7%
Q2 2011-8.1%
Q1 2010-1.2%
Q1 2011+2.6%
Q4 2010-4.8%
Q3 2010+2.8%
Q3 2009+2.8%
Q2 2010-1.9%
Q4 2008-1.9%
Q2 2009-1.9%
Q4 2009-1.9%

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