• Reported GAAP EPS of $0.79 down -41.04% YoY • Reported revenue of $137.63M down -4.48% YoY
Bullish
Strattec improved gross margin by 50 basis points to 16.5% due to restructuring savings, maintained a strong balance sheet with $107M cash, and generated $11.4M cash from operations.
Bearish
Strattec faced a 4.5% sales decline due to lower OEM production and EV program cancellations, alongside increased SAE expenses from transformation costs and unfavorable foreign currency movements impacting gross margin.