KEY TRONIC CORP 8K

Key Tronic Corporation reported preliminary fiscal Q4 and 2026 results showing higher sequential revenue but a sharply larger net loss driven by tax and receivable write-offs amid supply-chain liquidity constraints, while completing a major manufacturing restructuring and signaling expected growth and a return to profitability in fiscal 2027.

Key Tronic Corporation filed a Form 8-K to furnish its preliminary financial results for the fourth quarter and full fiscal year ended June 27, 2026, reporting a 14% sequential increase in quarterly revenue to $102.0 million driven by both legacy and new programs, with particularly strong growth from its Vietnam operations, but a significantly wider GAAP net loss of $34.3 million for the quarter and $47.8 million for the year due largely to a $28.4 million non-cash valuation allowance on deferred tax assets and an $8.4 million write-off of distressed customer receivables. The company highlighted supply-chain-related liquidity and credit constraints that delayed about $10 million of shipments, while noting improved gross margins from cost-cutting and manufacturing footprint restructuring, including the completed wind-down of its China manufacturing and expanded capacity in the U.S. and Vietnam, which are expected to generate approximately $4.0 million in savings in fiscal 2027. Management emphasized ongoing liquidity challenges but pointed to increasing backlog, over $60 million in new program awards, and anticipated revenue and margin growth with a targeted return to profitability in fiscal 2027, while withholding specific guidance for the first quarter of fiscal 2027 pending clearer visibility on program ramps and macroeconomic conditions.

Filing Facts

CIK

719733

Ticker

-

Form

8K

Source Type

sec

Accession

0000719733-26-000028

Alert Tier

7