<div id="readability-page-1"><div>STRATTEC SECURITY CORP, a leading provider of automotive security products, has released its Form 10-Q report for the second quarter of fiscal 2026. The report highlights significant improvements in both financial and operational performance, driven by strategic pricing, favorable product mix, and successful new program launches. Financial Highlights <ul><li>Net sales: $137.5 million, increased by 6% compared to the prior year second quarter, driven by pricing, favorable mix, and new program launches.</li><li>Gross profit: $22.7 million, representing a 32% increase from the prior year, with a gross margin improvement from 13.2% to 16.5% due to enhanced leverage of fixed cost structure and pricing benefits.</li><li>Income from operations: $4.9 million, a 128% increase from the prior year, reflecting improved cost structure and operational efficiency.</li><li>Net income: $5.6 million, a 304% increase from the prior year, driven by higher sales and improved gross profit.</li><li>Earnings per share attributable to Strattec: Basic $1.21, Diluted $1.20, reflecting significant growth from the prior year due to increased net income and operational improvements.</li></ul> Business Highlights <ul><li>Revenue Segments: The company reported revenue across several product lines, including Power Access Solutions ($34.5 million), Door Handles &amp; Exterior Trim ($35.0 million), Keys &amp; Locksets ($26.8 million), Latches ($16.3 million), User Interface Controls ($12.5 million), Aftermarket and Service ($9.4 million), and Other ($3.1 million) for the three months ended December 28, 2025.</li><li>Customer Segments: Significant sales were made to major automotive OEMs, with General Motors Company accounting for 29% of net sales, Ford Motor Company for 18%, and Stellantis for 18% during the three months ended December 28, 2025.</li><li>Operational Performance: The company experienced a 6% increase in net sales for the second quarter of fiscal 2026 compared to the prior year, driven by pricing adjustments, favorable mix and content per vehicle, and new program launches.</li><li>Cost Management: The company improved its gross profit margin from 13.2% to 16.5% year-over-year, benefiting from enhanced leverage of its fixed cost structure and labor cost savings from restructuring actions.</li><li>New Program Launches: The company launched new programs contributing $2.4 million to net sales in the second quarter of fiscal 2026.</li><li>Future Outlook: The company is focused on executing a business transformation to strengthen profitability and deliver sustainable sales growth, with plans to reinvest cash generated from operations into transformational efforts and growth initiatives.</li></ul>SEC Filing: STRATTEC SECURITY CORP [ STRT ] - 10-Q - Feb. 06, 2026</div></div>

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STRATTEC SECURITY CORP has released its Form 10-Q report for Q2 of fiscal 2026, showing significant financial improvements. Net sales reached $137.5 million, a 6% increase year-over-year. Gross profit rose 32% to $22.7 million, with a gross margin improvement from 13.2% to 16.5%. Net income surged 304% to $5.6 million. Major customers included General Motors (29% of sales) and Ford (18%). The company plans to reinvest cash from operations into growth initiatives and business transformation efforts.

- STRATTEC SECURITY CORP released its Form 10-Q report for Q2 of fiscal 2026, showing significant improvements in financial performance.  
- Net sales increased by 6% to $137.5 million, with net income rising 304% to $5.6 million, attributing growth to strategic pricing and operational efficiency.  
- The company plans to reinvest operational cash into transformational efforts for sustained profitability and growth.

STRATTEC SECURITY CORP SEC 10-Q Report