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Strattec Security (STRT)
NASDAQ:STRT
Earnings Data
Report Date
Apr 23, 2026During Market Hours (Confirmed)
Period Ending
2026 (Q3)Consensus EPS Forecast
1.22Last Year’s EPS
1.5Same Quarter Last Year
Based on 0 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call emphasized meaningful progress from Strattec's transformation: strong revenue growth, sizable margin expansion (330 bps), substantial EPS growth (adjusted EPS +163%), robust cash generation, and a very healthy balance sheet with $99M cash and minimal debt. These operational and financial improvements materially outweigh near-term headwinds, which include FX and Mexico labor costs, tariff and supply-chain pressures, an expected modest revenue decline in the back half (down ~3%–4% YoY), and one-time charges raising SAE in the quarter. Management provided clear actions (cost savings, inventory strategy, SAE guidance, and capex discipline) to address the challenges and reiterated confidence in the longer-term margin baseline (15%–16%) and $40M annual cash generation goal.Company Guidance
Revenue Growth
Sales of $137.5 million in Q2, up 6% year-over-year driven by pricing, favorable mix, new program launches, higher content value and $1.3 million of tariff recovery.
Gross Margin Expansion
Gross margin of 16.5% in the quarter, expanding 330 basis points year-over-year (gross margin increased $5.6 million to $22.7 million). Year-to-date gross margin expanded 350 basis points to 16.9%.
Significant EPS and Net Income Improvement
Net income nearly quadrupled year-over-year to roughly $4.9–$5.0 million (about $1.20–$1.21 per diluted share). Adjusted diluted EPS grew 163% year-over-year to $1.71, with adjusted net income of $7.1 million.
Adjusted EBITDA and Margin Gains
Adjusted EBITDA of $12.3 million for the quarter (adjusted EBITDA margin 8.9% versus 6.1% in prior-year quarter). Year-to-date adjusted EBITDA was $27.8 million, up 55% year-over-year with a margin of 9.6% (up 290 bps).
Strong Cash Generation and Balance Sheet
Operating cash flow of $13.9 million in the quarter (up 48% YoY) and $25.2 million year-to-date (up 21% YoY). Free cash flow of $11.3 million in the quarter and $21 million YTD. Cash balance of $99 million and total debt of $2.5 million (down from $8 million prior fiscal year). Company expects roughly $40 million annual cash from operations.
Cost Savings and Transformation Progress
Implemented voluntary retirement and other FY26 restructuring actions expected to generate $3.4 million in annualized savings. Captured $1.7 million in restructuring savings in the quarter and $3 million YTD; cumulative pricing actions (including tariff recoveries) of ~$8 million year-to-date.
Capital Allocation Discipline
Q2 CapEx of $2.6 million (focused on new product programs and equipment), YTD CapEx ~$4.2 million, with full-year CapEx expected to be less than $10 million. Priorities: organic growth programs, process modernization/automation, preserving flexibility, and evaluating M&A.
STRT Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
STRT Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Feb 05, 2026 | $86.23 | $90.47 | +4.91% |
Oct 30, 2025 | $67.93 | $61.36 | -9.67% |
Aug 14, 2025 | $75.36 | $75.89 | +0.70% |
May 08, 2025 | $36.60 | $39.92 | +9.07% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Strattec Security (STRT) report earnings?
Strattec Security (STRT) is schdueled to report earning on Apr 23, 2026, During Market Hours (Confirmed).
What is Strattec Security (STRT) earnings time?
Strattec Security (STRT) earnings time is at Apr 23, 2026, During Market Hours (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is STRT EPS forecast?
STRT EPS forecast for the fiscal quarter 2026 (Q3) is 1.22.