Strattec Security Corporation posted robust second-quarter results for fiscal year 2026, with net income nearly quadrupling year-over-year, supported by strong sales growth amidst industry challenges.
- Sales increased 6% to $137.5 million, driven by pricing, new program launches, and tariff recovery.
- Gross margin expanded 330 basis points year-over-year to 16.5%, bolstered by favorable pricing and production volume increases.
- Net income surged to $5 million ($1.21 per diluted share), while adjusted earnings per share rose 163% to $1.71.
- Generated $14 million in cash from operations, with a strong balance sheet featuring $99 million in cash and minimal debt.
- Implemented a voluntary retirement program expected to yield annualized savings of $3.4 million, reinforcing cost management efforts.
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