Earnings and sales increase for Strattec Security Corporation

Freeman Staff

April 23, 2015

MILWAUKEE — During its third quarter, Strattec Security reported an increase in its sales, as well as an uptick in net revenue despite Ford’s slower ramp-up of its new F-150 truck and Chrysler’s shut down of a plant.

According to the Thursday announcement, net sales for Strattec during the third quarter were $88.8 million, compared to net sales of $85.3 million for the third quarter ended March 30, 2014. Net income for the current year quarterly period was $4.4 million, compared to net income of $3.6 million in the prior year quarter. Diluted earnings per share for the current year quarterly period were $1.20 compared to diluted earnings per share of $1 in the prior year quarter, according to the report.

“I am pleased to report that we were able to continue to show modest sales growth in the current year quarter, despite the negative headwinds of a slower than anticipated ramp up in Ford’s introduction of the new F-150 pick-up trucks and a reduction of about $8 million in sales due to Chrysler’s temporary shutdown of its Windsor, Canada minivan assembly plant in order to change over to their newly designed models,” Frank Krejci, president and CEO, said in a statement. “The Chrysler Windsor assembly plant shutdown is expected to impact us in a similar manner in the next quarter before we begin to refill their pipeline.”

The negative effect of Chrysler’s Windsor plant shutdown was partially offset by increased service sales in comparison to same quarter in 2014, according to Strattec.