UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): July 20, 2004
Commission File Number 0-10235
GENTEX CORPORATION
(Exact name of registrant as specified in its charter)
Michigan 38-2030505
(State of Incorporation) (I.R.S. Employer Identification No.)
600 North Centennial Street, Zeeland, Michigan 49464
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (616) 772-1800
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ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
(c) Exhibits
99 News release issued by the registrant on July 20, 2004, with respect
to financial results for the second quarter and six months ended
June 30, 2004.
ITEM 12. RESULTS OF OPERATIONS AND FINANCIAL CONDITION -- On July 20, 2004,
Gentex Corporation issued a news release announcing results for the second
quarter and six months ended June 30, 2004. A copy of the news release is
attached hereto as Exhibit 99.
The information in this Form 8-K and the attached Exhibit shall not be deemed
filed for purposes of Section 18 of the Securities Act of 1934, as amended (the
"Exchange Act"), nor shall it be deemed incorporated by reference in any filing
under the Securities Act of 1933, as amended, or the Exchange Act, except as
shall be expressly set forth by specific reference in such filing.
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SIGNATURES
Pursuant to the requirements of the Exchange Act, the registrant has duly caused
this report to be signed on its behalf by the undersigned hereunto duly
authorized.
GENTEX CORPORATION
BY: /s/ Enoch Jen
----------------------------
Enoch Jen
Vice President - Finance and
Chief Financial Officer
Date: July 20, 2004
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EXHIBIT 99
[LOGO] GENTEX CORPORATION
CONTACT: Connie Hamblin RELEASE: July 20, 2004
(616) 772-1800
Gentex Reports Record Second Quarter Revenues And Net Income
ZEELAND, Michigan, July 20, 2004 -- Gentex Corporation, the Zeeland,
Michigan-based manufacturer of automatic-dimming rearview mirrors and commercial
fire protection products, today reported record second quarter revenues and net
income for the quarter ended June 30, 2004.
The Company achieved another quarterly sales record in the second quarter
of 2004 with revenues of $129.6 million, an 11 percent increase over revenues of
$116.9 million reported in the second quarter last year. Record second quarter
net income of $29.0 million increased by 11 percent compared with net income of
$26.1 million in the comparable 2003 quarter. Earnings per share were 37 cents
in the second quarter of 2004 compared with 34 cents in the second quarter of
2003.
For the first six months of 2004, the Company posted record net income of
$58.8 million, or 75 cents per share, on record revenues of $259.0 million,
compared with net income of $52.0 million, or 68 cents per share, on revenues of
$232.2 million, for the same period in 2003.
"We are pleased to report that our auto-dimming mirror unit shipments
increased by over 18 percent in the second quarter compared to the same quarter
last year," said Gentex Executive Vice President Garth Deur. "As was the case in
the first quarter of 2004, that growth primarily came in the form of base
feature interior mirrors for international customers."
Deur said that the stability in the Company's gross margins in the second
quarter was attributable to continued manufacturing efficiencies and improved
capacity utilization, despite continued customer price reductions.
The Company has begun making production shipments of its new SmartBeam(TM)
product for 2005 Cadillac STS and 2005 Jeep Grand Cherokee models, according to
Deur. He stated that consumers will start to see the new technology in dealer
showrooms this fall, and that SmartBeam is offered in an option package on each
of those models. SmartBeam is the intelligent high-beam headlamp control product
developed by the Company.
"We're very pleased to announce that we've launched SmartBeam, and will
continue to make significant investments in this technology as we work to apply
it to more vehicle models at numerous auto companies," said Deur. " We're making
significant progress with customers in Europe, and are currently working under a
letter of intent with a European customer to develop SmartBeam for a number of
vehicle platforms. Production of SmartBeam systems for those platforms could
commence as early as 2006."
Total auto-dimming mirror unit shipments for the second quarter of 2004
increased by 18 percent to 3,001,000 units, compared with 2,534,000 units for
the same quarter in 2003. Total automotive revenues in the second quarter of
2004 increased by 12 percent to $123.8 million, compared with the same quarter
last year.
Total auto-dimming mirror unit shipments for the first six months of 2004
increased by 18 percent to 5,983,000 units, compared with 5,069,000 units for
the same period in 2003. Total automotive revenues increased by 12 percent for
the first six months of 2004 to $247.6 million, compared with the same period in
2003.
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Auto-dimming mirror unit shipments to offshore and North American
customers increased by 37 percent and 4 percent, respectively, in the second
quarter of 2004 compared with the second quarter of 2003. Light vehicle
production was flat in Western Europe and increased by 15 percent in the
Asia/Pacific region, compared with the same quarter last year. During the second
quarter of 2004, light vehicle production in North America increased two percent
compared with the same quarter last year.
For the first six months of 2004, auto-dimming mirror unit shipments to
offshore and North American customers increased by 31 percent and 7 percent,
respectively, compared with the first six months of 2003. During the first six
months of 2004, light vehicle production was flat in Western Europe and
increased by 13 percent in the Asia/Pacific region, compared with the first six
months of 2003. Light vehicle production in North America increased one percent
for the first six months of 2004 compared with the same period last year.
Revenues in the Company's Fire Protection Products Group decreased by
three percent in the second quarter of 2004 to $5.8 million, compared with the
second quarter last year. For the first six months of 2004, fire protection
revenues increased by two percent to $11.4 million.
Certain matters discussed in this news release, including the impact of
new products, 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
(some of which are outlined in the Company's Form 10-K filed with the Securities
and Exchange Commission and other interim reports) and future events may affect
the Company's actual results, and may cause those results to differ materially
from those expressed in this news release. Furthermore, Gentex undertakes no
obligation to update, amend, or clarify forward-looking statements whether as a
result of new information, future events, or otherwise.
A conference call related to this news release will be simulcast live on
the Internet beginning at 1:30 p.m. Eastern Daylight Saving Time today. To
access that call, go to www.gentex.com and select the "Audio Webcast" icon in
the lower right-hand corner of the page. Other conference calls hosted by the
Company will also be available at that site in the future.
Founded in 1974, Gentex Corporation (Nasdaq: GNTX) is an international
company that provides high-quality products to the worldwide automotive industry
and North American fire protection market. Based in Zeeland, Michigan, the
Company develops, manufactures and markets interior and exterior
automatic-dimming automotive rearview mirrors that utilize proprietary
electrochromic technology to dim in proportion to the amount of headlight glare
from trailing vehicle headlamps. Many of the mirrors are sold with advanced
electronic features, and more than 95 percent of the Company's revenues are
derived from the sales of auto-dimming mirrors to nearly every major automaker
in the world.
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GENTEX CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(unaudited)
Three Months Ended Six Months Ended
June 30, June 30,
2004 2003 2004 2003
------------ ------------ ------------ ------------
Net Sales $129,646,277 $116,917,332 $258,973,825 $232,225,896
Costs and Expenses
Cost of Goods Sold 75,190,805 68,635,744 149,634,081 135,828,313
Engineering, Research & Development 7,546,085 6,310,886 14,989,373 12,518,622
Selling, General & Administrative 6,880,091 6,090,320 13,625,212 11,616,996
Other Expense (Income) (2,910,496) (2,771,957) (6,385,108) (4,772,912)
------------ ------------ ------------ ------------
Total Costs and Expenses 86,706,485 78,264,993 171,863,558 155,191,019
------------ ------------ ------------ ------------
Income Before Provision
for Income Taxes 42,939,792 38,652,339 87,110,267 77,034,877
Provision for Income Taxes 13,955,000 12,562,000 28,310,000 25,036,000
------------ ------------ ------------ ------------
Net Income $28,984,792 $26,090,339 $58,800,267 $51,998,877
=========== =========== =========== ===========
Earnings Per Share
Basic $0.38 $0.34 $0.76 $0.68
Diluted $0.37 $0.34 $0.75 $0.68
Weighted Average Shares:
Basic 77,061,942 75,992,364 76,960,647 75,974,343
Diluted 78,415,929 76,878,488 78,432,048 76,813,994
Cash Dividends Declared per Share $0.15 $0.00 $0.30 $0.00
CONDENSED CONSOLIDATED BALANCE SHEETS
(unaudited)
June 30, Dec 31,
2004 2003
------------ ------------
ASSETS
Cash and Short-Term Investments $457,894,414 $393,606,656
Other Current Assets 97,173,482 91,742,675
------------ ------------
Total Current Assets 555,067,896 485,349,331
Plant and Equipment - Net 130,289,256 126,806,882
Long-Term Investments and Other Assets 132,298,090 150,373,553
------------ ------------
Total Assets $817,655,242 $762,529,766
============ ============
LIABILITIES AND SHAREHOLDERS' INVESTMENT
Current Liabilities $56,788,070 $50,480,480
Long-Term Debt 0 0
Deferred Income Taxes 18,871,276 18,405,955
Shareholders' Investment 741,995,896 693,643,331
------------ ------------
Total Liabilities & Shareholders' Investment $817,655,242 $762,529,766
============ ============
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[LOGO] GENTEX CORPORATION
- ---------------------------------------------------------------------------------------------------------------------
AUTO-DIMMING MIRROR UNIT SHIPMENTS
(Thousands)
- ---------------------------------------------------------------------------------------------------------------------
Second Quarter Six Months Ended
Ended June 30, June 30,
- ---------------------------------------------------------------------------------------------------------------------
2004 2003 % Change 2004 2003 % Change
- ---------------------------------------------------------------------------------------------------------------------
Domestic Interior 1,006 968 4% 2,077 1,923 8%
- ---------------------------------------------------------------------------------------------------------------------
Domestic Exterior 445 434 3% 908 859 6%
- ---------------------------------------------------------------------------------------------------------------------
Total Domestic Units 1,452 1,403 4% 2,984 2,782 7%
- ---------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------
Foreign Interior 1,138 802 42% 2,205 1,604 37%
- ---------------------------------------------------------------------------------------------------------------------
Foreign Exterior 411 329 25% 794 683 16%
- ---------------------------------------------------------------------------------------------------------------------
Total Foreign Units 1,550 1,131 37% 2,999 2,287 31%
- ---------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------
Total Interior Mirrors 2,145 1,770 21% 4,281 3,527 21%
- ---------------------------------------------------------------------------------------------------------------------
Total Exterior Mirrors 856 764 12% 1,702 1,542 10%
- ---------------------------------------------------------------------------------------------------------------------
Total Mirror Units 3,001 2,534 18% 5,983 5,069 18%
- ---------------------------------------------------------------------------------------------------------------------
Note: Certain prior year amounts have been reclassified to conform with the
current year presentation. Amounts may not total due to rounding.
End of Filing
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