EX-99.1 2 strt-ex99_1.htm EX-99.1 EX-99.1
gfx57970978_0.gif

 

Exhibit 99.1

 

img57970978_0.jpg News Release

 

3333 West Good Hope Rd. • Milwaukee, Wisconsin 53209

IMMEDIATE RELEASE

Strattec Expands Gross Margin in Fiscal 2025 Fourth Quarter

•
Gross margin for the quarter was 16.7% compared with 13.0% in prior year period;
fiscal 2025 gross margin was 15.0%, a 280 basis point improvement year-over-year
on sales of $565.1 million
•
Cash from operations was $30.2 million in fiscal 2025 fourth quarter and $71.7 million
for the full year
•
Further strengthened already healthy balance sheet by reducing debt by $5 million; $84.6 million in cash enables continued investment in transformation efforts and provides safeguard against near term market tempering
•
Net income attributable to Strattec for the fourth quarter fiscal 2025 was $8.3 million, or $2.01 per diluted share; adjusted EBITDA1 was $13.0 million, or 8.5% of sales
•
Net income attributable to Strattec for fiscal 2025 was $18.7 million, or $4.58 per diluted share, compared with $16.3 million, or $4.07 per diluted share in the prior year

MILWAUKEE, WI, August 14, 2025 – Strattec Security Corporation (Nasdaq: STRT) (“Company” or “Strattec”), a leading provider of smart vehicle access, security and authorization solutions for the global automotive industry, reported financial results for its fourth quarter of fiscal year 2025, which ended June 29, 2025.

Jennifer Slater, President and CEO of Strattec, said, “Fiscal 2025 has been a year of significant change and advancement for Strattec. We delivered measurably improved results with stronger margins and cash flow. We executed over $8 million in new annualized pricing, restructured our operations to take out $5 million in costs and drove significant improvement in our working capital velocity and cash flow focus. We also initiated actions to mitigate the impact of incremental tariffs, which are now estimated to be a
$5 million to $7 million increase in costs prior to mitigation efforts. This first year as CEO of Strattec has been very busy and challenging, but the advancements we are making are the result of the dedication and contribution of every member of the team. While still early in our business transformation, I am encouraged by the progress we have made over the last twelve months.”

“Looking forward, we are excited about our longer-term future but recognize in the near term we face market uncertainty. North American automotive production estimates have recently been revised downward, coupled with a lull in the launch cycle of new vehicles by our key customers. In the near term, we will continue to stabilize our business operations, deepen and expand our customer relationships, enhance our product roadmaps and improve our competitive position, as we transform Strattec to be a more dynamic and innovative enterprise,” she concluded.

1 Refer to “Use of Non-GAAP Financial Metrics and Additional Financial Information” as well as accompanying reconciliations to GAAP

 

Strattec Expands Gross Margin in Fiscal 2025 Fourth Quarter
August 14, 2025

Page 2 of 8

 

FY 2025 Fourth Quarter Financial Summary
(compared with prior-year period, except where otherwise noted)

Net sales were $152.0 million, an increase of $9.0 million, or 6.3%. Sales growth was driven by
$3.7 million of additional pricing, $4.1 million of sales related to higher demand, $1.2 million in net new program launches and favorable sales mix.

Gross profit increased $6.8 million to $25.4 million, while gross margin expanded 370 basis points. The improvement was due in part to $3.0 million, or 210 basis points, of favorable foreign currency exchange, $1.3 million in restructuring savings, as well as improved pricing and the contribution from higher volume. This more than offset the $1.6 million net impact of tariffs and $1.1 million higher labor costs in Mexico. Tariff recovery will tend to lag the expense.

Selling, administrative and engineering (“SAE”) expenses increased $8.0 million to $16.9 million compared with $8.9 million in the prior-year period. SAE expenses in the prior-year fourth quarter included a $4.7 million benefit related to one-time engineering (“ED&D”) recovery. Higher SAE expenses include higher professional fees and additional performance compensation of $2.2 million, as well as business transformation costs and investments in talent.

Interest income grew $0.5 million on higher cash balances, while other income was down $0.8 million as a result of changes in foreign currency exchange rates.

Net income attributable to Strattec was $8.3 million, or $2.01 per diluted share, compared with
$9.6 million, or $2.39 per diluted share, in the prior-year period. On an adjusted basis, net income attributable to Strattec1 was $8.5 million and adjusted diluted earnings per share1 was $2.06. Adjusted EBITDA1 for the quarter was $13.0 million compared with $13.8 million in the prior-year period. Expanded gross margin on higher sales mostly offset the ED&D benefit to SAE in the fourth quarter of fiscal 2024. Adjusted EBITDA margin of 8.5%, compared with 9.6% in the fiscal 2024 fourth quarter.

Balance Sheet and Liquidity

Increased cash earnings and improved working capital management delivered $30.2 million in cash from operations in the fourth quarter of fiscal 2025, compared with $19.5 million in the prior-year period. Cash from operations for fiscal 2025 was $71.7 million.

At June 29, 2025, the Company had $84.6 million in cash and cash equivalents, up $22.5 million from the end of the third quarter of fiscal 2025. The Company had no borrowings outstanding under its $40 million revolving credit agreement. Borrowings under the joint venture’s $20 million revolving credit agreement were $8.0 million, down from $13.0 million at the end of the third quarter fiscal 2025 and 2024’s fiscal year end.

Fourth Quarter Fiscal Year 2025 Webcast and Conference Call

The Company will host a conference call and webcast tomorrow, Friday, August 15, 2025, at 9:00 am Eastern Time to review the financial and operating results for the period ended June 29, 2025, and provide an update on its transformation progress. A question-and-answer session will follow.

You can access the call by phoning (201) 689-8470 or find the webcast and accompanying slide presentation at investors.strattec.com.

1 Refer to “Use of Non-GAAP Financial Metrics and Additional Financial Information” as well as accompanying reconciliations to GAAP

 

Strattec Expands Gross Margin in Fiscal 2025 Fourth Quarter
August 14, 2025

Page 3 of 8

 

A telephonic replay will be available from 12:00 p.m. ET on the day of the call through Friday,
August 29, 2025. To listen to the archived call, dial +1 (412) 317-6671 and enter replay PIN 13754276.

The webcast replay will be available on the Investor Relations section of the Company’s website investors.strattec.com, where a transcript will be posted once available.

About Strattec
Strattec is a leading global provider of advanced automotive access, security & authorization solutions for leading vehicle manufacturers, primarily in the U.S. With a history spanning over 110 years, Strattec has consistently been at the forefront of innovation in vehicle security, transitioning from mechanical to integrated electro-mechanical systems. Its highly-engineered products include power access solutions, latches, vehicle start systems, keys, fobs & accessories, locks & locksets, door handles and other access products. Power access solutions provide the motion control for power liftgates, sliding power doors and power tailgates. For more information on Strattec and its solutions, visit www.strattec.com.

Safe Harbor Statement
Certain statements contained in this release contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements may be identified by the use of forward-looking words or phrases such as “anticipate,” “believe,” “could,” “expect,” “intend,” “may,” “planned,” “potential,” “should,” “will,” and “would.” Such forward-looking statements are inherently subject to many uncertainties in the Company’s operations and business environment. These uncertainties include general economic conditions, in particular, relating to the automotive industry, consumer demand for the Company’s and its customers’ products, competitive and technological developments, customer purchasing actions, changes in warranty provisions and customer product recall policies, work stoppages at the Company or at the location of its key customers as a result of labor disputes, foreign currency fluctuations, uncertainties stemming from U.S. trade policies, tariffs and reactions to the same from foreign countries, matters adversely impacting the timing and availability of component parts and raw materials needed for the production of the Company’s products and the products of its customers and fluctuations in costs of operation. Shareholders, potential investors and other readers are urged to consider these factors carefully in evaluating the forward-looking statements and are cautioned not to place undue reliance on such forward-looking statements. The forward-looking statements made herein are only made as of the date of this press release and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances occurring after the date of this release. In addition, such uncertainties and other operational matters are discussed further in the Company’s quarterly and annual filings with the Securities and Exchange Commission.

Use of Non-GAAP Financial Metrics and Additional Financial Information
In addition to reporting financial results in accordance with generally accepted accounting principles, or GAAP, Strattec provides Adjusted Non-GAAP information as additional information for its operating results. References to Adjusted Non-GAAP information are to non-GAAP financial measures. These measures are not required by, in accordance with, or an alternative for, GAAP and may be different from similarly titled non-GAAP financial measures used by other companies. Strattec’s management uses these measures to make strategic decisions, establish budget plans and forecasts, identify trends affecting Strattec’s business, and evaluate performance. Management believes that providing these non-GAAP financial measures to investors, as a supplement to GAAP financial measures, will help investors evaluate Strattec’s core operating and financial performance and business trends consistent with how management evaluates such performance and trends. Investors are encouraged to review the related GAAP financial measures and the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures.

Contact:

Deborah K. Pawlowski, IRC

Alliance Advisors IR

Phone: 716-843-3908

Email: dpawlowski@allianceadvisors.com

FINANCIAL TABLES FOLLOW

 

Strattec Expands Gross Margin in Fiscal 2025 Fourth Quarter
August 14, 2025

Page 4 of 8

 

 

STRATTEC SECURITY CORPORATION

 

 

 

 

 

 

 

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

 

 

 

 

 

 

 

(in thousands, except per share amounts)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

Years Ended

 

 

June 29, 2025

 

 

June 30, 2024

 

 

June 29, 2025

 

 

June 30, 2024

 

Net sales

$

152,013

 

 

$

143,055

 

 

$

565,066

 

 

$

537,766

 

Cost of goods sold

 

126,613

 

 

 

124,488

 

 

 

480,489

 

 

 

472,298

 

Gross profit

 

25,400

 

 

 

18,567

 

 

 

84,577

 

 

 

65,468

 

Gross margin

 

16.7

%

 

 

13.0

%

 

 

15.0

%

 

 

12.2

%

Selling, administrative and engineering expenses

 

16,898

 

 

 

8,876

 

 

 

61,793

 

 

 

47,654

 

Income from operations

 

8,502

 

 

 

9,691

 

 

 

22,784

 

 

 

17,814

 

Operating margin

 

5.6

%

 

 

6.8

%

 

 

4.0

%

 

 

3.3

%

Interest income

 

753

 

 

 

235

 

 

 

2,039

 

 

 

572

 

Interest expense

 

(212

)

 

 

(239

)

 

 

(1,007

)

 

 

(900

)

Other income (expense), net

 

1,189

 

 

 

1,958

 

 

 

820

 

 

 

2,717

 

Income before provision for income taxes and non-controlling interest

 

10,232

 

 

 

11,645

 

 

 

24,636

 

 

 

20,203

 

Provision for income taxes

 

2,170

 

 

 

1,578

 

 

 

5,717

 

 

 

3,775

 

Net income

 

8,062

 

 

 

10,067

 

 

 

18,919

 

 

 

16,428

 

Net income (loss) attributable to non-controlling interest

 

(205

)

 

 

447

 

 

 

234

 

 

 

115

 

Net income attributable to Strattec

$

8,267

 

 

$

9,620

 

 

$

18,685

 

 

$

16,313

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per share attributable to Strattec

 

 

 

 

 

 

 

 

 

 

 

Basic

$

2.05

 

 

$

2.41

 

 

$

4.64

 

 

$

4.10

 

Diluted

$

2.01

 

 

$

2.39

 

 

$

4.58

 

 

$

4.07

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted Average shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

Basic

 

4,039

 

 

 

3,988

 

 

 

4,030

 

 

 

3,975

 

Diluted

 

4,105

 

 

 

4,027

 

 

 

4,076

 

 

 

4,004

 

 

 

 

 

 

Strattec Expands Gross Margin in Fiscal 2025 Fourth Quarter
August 14, 2025

Page 5 of 8

 

STRATTEC SECURITY CORPORATION

 

CONSOLIDATED BALANCE SHEETS (UNAUDITED)

 

(in thousands, except share amounts)

 

 

 

 

 

 

 

 

June 29, 2025

 

 

June 30, 2024

 

ASSETS

 

 

 

 

 

Current Assets:

 

 

 

 

 

Cash and cash equivalents

$

84,579

 

 

$

25,410

 

Receivables, net

 

102,061

 

 

 

99,297

 

Inventories, net

 

64,701

 

 

 

81,649

 

Pre-production costs

 

8,657

 

 

 

22,173

 

Value-added tax recoverable

 

19,389

 

 

 

19,684

 

Income tax recoverable

 

2,465

 

 

 

319

 

Other current assets

 

8,211

 

 

 

5,282

 

Total current assets

 

290,063

 

 

 

253,814

 

Noncurrent Assets:

 

 

 

 

 

Property, plant and equipment, net

 

77,410

 

 

 

86,184

 

Deferred income taxes

 

19,531

 

 

 

17,593

 

Other long-term assets

 

4,450

 

 

 

6,698

 

Total Assets

$

391,454

 

 

$

364,289

 

LIABILITIES AND SHAREHOLDERS’ EQUITY

 

 

 

 

 

Current Liabilities:

 

 

 

 

 

Accounts payable

$

65,824

 

 

$

54,911

 

Accrued payroll and benefits

 

22,956

 

 

 

28,953

 

Value-added tax payable

 

11,933

 

 

 

9,970

 

Income tax payable

 

88

 

 

 

5,103

 

Warranty reserve

 

8,900

 

 

 

10,695

 

Other current liabilities

 

9,649

 

 

 

8,656

 

Total current liabilities

 

119,350

 

 

 

118,288

 

Noncurrent Liabilities:

 

 

 

 

 

Borrowings under credit facilities

 

8,000

 

 

 

13,000

 

Post-employment benefits

 

13,325

 

 

 

2,429

 

Other noncurrent liabilities

 

4,348

 

 

 

4,957

 

Total Liabilities

 

145,023

 

 

 

138,674

 

Shareholders’ Equity:

 

 

 

 

 

Common stock, authorized 18,000,000 shares, $.01 par value, 7,635,883
   issued shares at June 29, 2025 and 7,586,920 issued shares at
   June 30, 2024

 

76

 

 

 

76

 

Capital in excess of par value

 

103,784

 

 

 

101,024

 

Retained earnings

 

269,297

 

 

 

250,612

 

Accumulated other comprehensive loss

 

(16,113

)

 

 

(15,689

)

Less: treasury stock, at cost (3,596,549 shares at June 29, 2025 and
   3,598,126 shares at June 30, 2024)

 

(135,452

)

 

 

(135,478

)

Total Strattec shareholders’ equity

 

221,592

 

 

 

200,545

 

Non-controlling interest

 

24,839

 

 

 

25,070

 

Total Shareholders' Equity

 

246,431

 

 

 

225,615

 

Total Liabilities and Shareholders' Equity

$

391,454

 

 

$

364,289

 

 

 

 

Strattec Expands Gross Margin in Fiscal 2025 Fourth Quarter
August 14, 2025

Page 6 of 8

 

STRATTEC SECURITY CORPORATION

 

 

 

 

 

 

 

CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

 

 

 

 

 

 

 

(in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

Years Ended

 

 

June 29, 2025

 

 

June 30, 2024

 

 

June 29, 2025

 

 

June 30, 2024

 

OPERATING ACTIVITIES:

 

 

 

 

 

 

 

 

 

 

 

Net income

$

8,062

 

 

$

10,067

 

 

$

18,919

 

 

$

16,428

 

Adjustments to reconcile net income to net cash provided by operating activities:

 

 

 

 

 

 

 

 

 

 

 

Depreciation

 

3,812

 

 

 

3,773

 

 

 

14,764

 

 

 

16,547

 

Foreign currency transaction loss (gain)

 

1,643

 

 

 

(2,279

)

 

 

591

 

 

 

(2,153

)

Deferred income taxes

 

(1,890

)

 

 

(4,711

)

 

 

(1,890

)

 

 

(4,711

)

Stock-based compensation expense

 

886

 

 

 

243

 

 

 

2,725

 

 

 

1,467

 

Unrealized (gain) loss on peso forward contracts

 

(2,545

)

 

 

604

 

 

 

(2,314

)

 

 

—

 

Change in operating assets and liabilities

 

 

 

 

 

 

 

 

 

 

 

Receivables

 

7,152

 

 

 

(1,849

)

 

 

(3,085

)

 

 

(9,356

)

Inventories

 

10,890

 

 

 

(3,037

)

 

 

16,948

 

 

 

(4,052

)

Other assets

 

6,033

 

 

 

3,336

 

 

 

12,027

 

 

 

(13,562

)

Accounts payable

 

(6,056

)

 

 

4,086

 

 

 

10,674

 

 

 

(3,016

)

Accrued liabilities

 

1,918

 

 

 

9,007

 

 

 

970

 

 

 

13,754

 

Other, net

 

271

 

 

 

248

 

 

 

1,348

 

 

 

919

 

Net cash provided by operating activities

 

30,176

 

 

 

19,488

 

 

 

71,677

 

 

 

12,265

 

INVESTING ACTIVITIES:

 

 

 

 

 

 

 

 

 

 

 

Proceeds from sale of interest in joint ventures

 

—

 

 

 

—

 

 

 

—

 

 

 

2,000

 

Purchase of property, plant and equipment

 

(2,996

)

 

 

(3,723

)

 

 

(7,156

)

 

 

(9,788

)

Net cash used in investing activities

 

(2,996

)

 

 

(3,723

)

 

 

(7,156

)

 

 

(7,788

)

FINANCING ACTIVITIES:

 

 

 

 

 

 

 

 

 

 

 

Borrowings under credit facilities

 

—

 

 

 

—

 

 

 

3,000

 

 

 

2,000

 

Repayment of borrowings under credit facilities

 

(5,000

)

 

 

—

 

 

 

(8,000

)

 

 

(2,000

)

Employee stock purchases

 

17

 

 

 

17

 

 

 

61

 

 

 

72

 

Net cash (used in) provided by financing activities

 

(4,983

)

 

 

17

 

 

 

(4,939

)

 

 

72

 

Foreign currency impact on cash

 

276

 

 

 

34

 

 

 

(413

)

 

 

290

 

NET INCREASE IN CASH AND CASH EQUIVALENTS

 

22,473

 

 

 

15,816

 

 

 

59,169

 

 

 

4,839

 

 

 

 

 

 

 

 

 

 

 

 

 

CASH AND CASH EQUIVALENTS

 

 

 

 

 

 

 

 

 

 

 

Beginning of period

 

62,106

 

 

 

9,594

 

 

 

25,410

 

 

 

20,571

 

End of period

$

84,579

 

 

$

25,410

 

 

$

84,579

 

 

$

25,410

 

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:

 

 

 

 

 

 

 

 

 

 

 

Cash paid during the period for:

 

 

 

 

 

 

 

 

 

 

 

Income taxes

$

5,039

 

 

$

624

 

 

$

14,174

 

 

$

3,801

 

Interest

$

276

 

 

$

229

 

 

$

1,007

 

 

$

888

 

Non-cash investing activities:

 

 

 

 

 

 

 

 

 

 

 

Change in capital expenditures in accounts payable

$

(1,148

)

 

$

435

 

 

$

(422

)

 

$

171

 

 

 

 

Strattec Expands Gross Margin in Fiscal 2025 Fourth Quarter
August 14, 2025

Page 7 of 8

 

STRATTEC SECURITY CORPORATION

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(in thousands, except per share amounts)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fiscal 2024

 

 

Fiscal 2025

 

 

 

Q1

 

Q2

 

Q3

 

Q4

 

Total

 

 

Q1

 

Q2

 

Q3

 

Q4

 

Total

 

ADJUSTED NET SALES:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Sales (GAAP)

 

 

135,406

 

 

118,532

 

 

140,773

 

 

143,055

 

$

537,766

 

 

 

139,052

 

 

129,919

 

 

144,082

 

 

152,013

 

$

565,066

 

Adjustments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

-

 

 

 

 

 

Retroactive FY23 one-time pricing recovery

 

 

(7,950

)

 

(1,551

)

 

(397

)

 

175

 

 

(9,723

)

 

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

Adjusted Sales (Non-GAAP)

 

 

127,456

 

 

116,981

 

 

140,376

 

 

143,230

 

 

528,043

 

 

 

139,052

 

 

129,919

 

 

144,082

 

 

152,013

 

 

565,066

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ADJUSTED EBITDA:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income attributable to Strattec (GAAP)

 

$

4,165

 

$

1,022

 

$

1,506

 

$

9,620

 

$

16,313

 

 

$

3,703

 

$

1,319

 

$

5,396

 

$

8,267

 

$

18,685

 

Net income (loss) attributable to non-controlling interest

 

 

290

 

 

(242

)

 

(380

)

 

447

 

 

115

 

 

 

45

 

 

79

 

 

315

 

 

(205

)

 

234

 

Provision for income tax

 

 

1,387

 

 

264

 

 

546

 

 

1,578

 

 

3,775

 

 

 

1,498

 

 

405

 

 

1,644

 

 

2,170

 

 

5,717

 

Other (income) expense, net

 

 

131

 

 

(1,098

)

 

208

 

 

(1,958

)

 

(2,717

)

 

 

(129

)

 

482

 

 

16

 

 

(1,189

)

 

(820

)

Investment and interest income

 

 

(87

)

 

(107

)

 

(143

)

 

(235

)

 

(572

)

 

 

(349

)

 

(408

)

 

(529

)

 

(753

)

 

(2,039

)

Interest expense

 

 

220

 

 

219

 

 

222

 

 

239

 

 

900

 

 

 

295

 

 

257

 

 

243

 

 

212

 

 

1,007

 

Income from operations

 

 

6,106

 

 

58

 

 

1,959

 

 

9,691

 

 

17,814

 

 

 

5,063

 

 

2,134

 

 

7,085

 

 

8,502

 

 

22,784

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Adjustments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation

 

 

4,385

 

 

4,330

 

 

4,059

 

 

3,773

 

$

16,547

 

 

 

3,662

 

 

3,544

 

 

3,746

 

 

3,812

 

$

14,764

 

Non-cash stock-based compensation

 

 

505

 

 

479

 

 

240

 

 

243

 

 

1,467

 

 

 

188

 

 

891

 

 

760

 

 

887

 

 

2,726

 

Restructuring and similar charges

 

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

 

 

-

 

 

265

 

 

809

 

 

(676

)

 

398

 

Retroactive FY23 one-time pricing recovery, net

 

 

(7,078

)

 

(641

)

 

(298

)

 

24

 

 

(7,993

)

 

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

Executive transition costs

 

 

-

 

 

774

 

 

211

 

 

73

 

 

1,058

 

 

 

941

 

 

921

 

 

214

 

 

(17

)

 

2,058

 

Business transformation costs

 

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

 

 

74

 

 

215

 

 

259

 

 

479

 

 

1,027

 

 

 

 

(2,188

)

 

4,942

 

 

4,212

 

 

4,113

 

 

11,079

 

 

 

4,865

 

 

5,836

 

 

5,788

 

 

4,485

 

 

20,974

 

Adjusted EBITDA (Non-GAAP)

 

$

3,918

 

$

5,000

 

$

6,171

 

$

13,804

 

$

28,893

 

 

$

9,928

 

$

7,970

 

$

12,873

 

$

12,987

 

$

43,758

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted EBITDA as a % of Adjusted Net Sales

 

 

3.1

%

 

4.3

%

 

4.4

%

 

9.6

%

 

5.5

%

 

 

7.1

%

 

6.1

%

 

8.9

%

 

8.5

%

 

7.7

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ADJUSTED NET INCOME AND EARNINGS/(LOSS) PER SHARE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Strattec Expands Gross Margin in Fiscal 2025 Fourth Quarter
August 14, 2025

Page 8 of 8

 

Net income attributable to Strattec (GAAP)

 

$

4,165

 

$

1,022

 

$

1,506

 

$

9,620

 

$

16,313

 

 

$

3,703

 

$

1,319

 

$

5,396

 

$

8,267

 

$

18,685

 

Adjustments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Restructuring and similar charges

 

 

265

 

 

3

 

 

-

 

 

63

 

 

331

 

 

 

-

 

 

265

 

 

809

 

 

(676

)

 

398

 

Retroactive FY23 one-time pricing recovery, net

 

 

(7,078

)

 

(641

)

 

(298

)

 

24

 

 

(7,993

)

 

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

Executive transition costs

 

 

-

 

 

973

 

 

211

 

 

73

 

 

1,257

 

 

 

1,224

 

 

1,225

 

 

214

 

 

115

 

 

2,778

 

Business transformation costs

 

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

 

 

74

 

 

215

 

 

259

 

 

479

 

 

1,027

 

Non-controlling interest impact on above adjustments

 

 

1,014

 

 

181

 

 

55

 

 

22

 

 

1,272

 

 

 

-

 

 

-

 

 

(160

)

 

160

 

 

-

 

Tax effect on above adjustments

 

 

1,305

 

 

(116

)

 

7

 

 

(41

)

 

1,155

 

 

 

(292

)

 

(384

)

 

(376

)

 

107

 

 

(945

)

 

 

 

(4,494

)

 

400

 

 

(25

)

 

141

 

 

(3,978

)

 

 

1,006

 

 

1,321

 

 

746

 

 

185

 

 

3,258

 

Adjusted Net Income/(Loss) attributable to Strattec (Non-GAAP)

 

$

(329

)

$

1,422

 

$

1,481

 

$

9,761

 

$

12,335

 

 

$

4,709

 

$

2,640

 

$

6,142

 

$

8,452

 

$

21,943

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted Average Basic Shares Outstanding

 

 

3,948

 

 

3,976

 

 

3,988

 

 

3,988

 

 

3,975

 

 

 

4,005

 

 

4,035

 

 

4,039

 

 

4,039

 

 

4,030

 

Weighted Average Diluted Shares Outstanding

 

 

3,974

 

 

3,998

 

 

4,017

 

 

4,027

 

 

4,004

 

 

 

4,046

 

 

4,070

 

 

4,085

 

 

4,105

 

 

4,076

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Diluted earnings per share (GAAP)

 

$

1.05

 

$

0.26

 

$

0.37

 

$

2.39

 

$

4.07

 

 

$

0.92

 

$

0.32

 

$

1.32

 

$

2.01

 

$

4.58

 

Adjusted dilutive earnings/(loss) per share (Non-GAAP)

 

$

(0.08

)

$

0.36

 

$

0.37

 

$

2.42

 

$

3.08

 

 

$

1.16

 

$

0.65

 

$

1.50

 

$

2.06

 

$

5.38