Automotive mirror provider Gentex Corp. mentioned ongoing provide chain points and a lower in car manufacturing led to a worse first-quarter monetary efficiency in contrast with a 12 months earlier.

The automated dimming rearview mirror and camera-based driver-assistance system firm mentioned Friday that its first-quarter internet revenue decreased 23 p.c to $87.5 million. Gentex earnings are sometimes watched carefully as a quarterly bellwether for different suppliers’ outcomes.

Due to elevated bills and decreased gross sales, gross margin additionally decreased, falling to 34.3 p.c.

Working bills elevated 15 p.c to $57.1 million, brought on by larger value of uncooked supplies, freight bills and labor. The corporate additionally employed further employees for brand new product improvement, it mentioned.

Web gross sales fell 3.2 p.c to $468.3 million, with automotive internet gross sales dropping 3.7 p.c. International light-vehicle manufacturing decreased 5 p.c, which had a big affect on the provider’s efficiency within the quarter, Gentex mentioned.

Baird Fairness Analysis mentioned in a press release Friday morning that the provider had 11 p.c larger gross sales than Baird’s unique estimate. Baird mentioned Gentex additionally did higher than anticipated in earnings per diluted share and gross margins.

Regardless of a decrease efficiency in contrast with the primary quarter of 2021, the corporate improved considerably from the earlier quarter. Fourth-quarter internet revenue dropped 41 p.c to $84.2 million.

Gentex shares elevated 4.2 p.c to $29.81 in mid day buying and selling Friday.

Gentex additionally introduced that it repurchased 2.44 million shares within the first quarter at a median value of $29, leaving 22.4 million shares for the corporate to repurchase as a part of its beforehand introduced plan.

Wanting ahead, the corporate predicts light-vehicle manufacturing will improve 9 p.c within the calendar 12 months primarily based on IHS Markit’s forecasts.

Gentex, primarily based close to Grand Rapids, Mich., ranks No. 86 on the Automotive Information listing of the highest 100 international suppliers, with worldwide components gross sales to automakers of $1.65 billion in 2020.