Gentex Corporation (NASDAQ:GNTX) has recently filed a Form8-K notifying the SEC of a change in its management. Furthermore, the company had recently released its financial report for 2Q2015 and also announced the payment of a dividend to its shareholders. All investors, who had bought the company shares before August 31, 2015, are entitled to receive the payment of $0.085 per share. The company would start administering payouts from October 7, 2015 and will do so until October 16, 2015.
As per the details of the 8K, the company has assigned additional responsibilities to its CEO, Kevin Nash. His new title would Chief Accounting Office and VP of Accounting. Consequently, the company has also decided to adjust Nash’s annual salary to $172,744. Furthermore, the company would also award a total of 8,060 optional shares and 3,000 restricted shares, at the next compensation committee meeting.
In its 2Q2015, GNTX reported revenues of $379.26 million, while the net earnings stood at $74.56 million. Unfortunately, GNTX also reported about 2% decline in gross profit margins. However, a look at the overall change in revenues from the industry indicates that the company has been strongly holding on to its market share. However, the decline in gross margins does indicate problems with cost controls inside the company. Furthermore, the company’s dividend payouts had been increasing slowly, year-over-year. By the end of 2014 GNTX had issued a dividend of $0.405 per share.
Analysts are of the view that the position of GNTX is likely to improve over the next quarter. Furthermore, the analysts have also set a target of $0.27 for EPS in the next quarter. Additionally, the 2Q2015 showed that the company is in a stable position financially. Even though the company did face problems in managing operational expenses, it still did not have to dig into savings to meet the deficit.
Gentex Corporation (NASDAQ:GNTX) experienced a spike of $0.07 to its share price, during the September 15 session. The stock closed at a share price of $16.06, despite having a trade volume of 0.00.
