Strattec Security Corporation Business Report FY ended Jun. 2015

Financial Overview

(in million USD)
FY ended Jun. 28, 2015 FY ended Jun. 29, 2014 Rate of Change (%) Factors
Sales 411.5 348.4 18.1 -
Operating income 31.1 26.5 17.4 -
Sales by major customers
FCA 116.9 117.5 (0.5) 1)
GM 105.8 79.5 33.1 2)
Ford 45.5 46.6 (2.4) 3)
Hyundai-Kia 30.3 7.2 320.8 4)

1) FCA
-In the fiscal year ended June 28, 2015, sales to FCA decreased by 0.5% from the previous fiscal year to USD 116.9 million. The primary reason behind this decrease in sales came from FCA's temporary shutdown of its plant in Windsor, Canada from February 2015 through May 2015. This decrease in sales was mostly offset by increased sales for higher production volume models and increased content on other vehicle models.

2) GM
-Sales to GM in the fiscal year ended June 28, 2015 increased by 33.1% over the previous fiscal year to USD 105.8 million. The increase in sales came from increased service parts sales during the first half of the fiscal year related to a recall campaign. Higher production volumes and increased content on specific vehicle models also contributed to the increase in sales. These gains were partially offset by a USD 3.3 million concession granted to GM.

3) Ford
-Sales to Ford were USD 45.5 million in the fiscal year ended June 28, 2015, a decrease of 2.4% from the previous year. Lower production volumes on various models the Company supplies components for, specifically the Ford "F-150", led to the decrease in sales. This was partially offset by increased sales of latches and increased content on other vehicle models.

4) Hyundai-Kia
-In the fiscal year ended June 28, 2015, sales to Hyundai-Kia increased by USD 23.1 million to USD 30.3 million, primarily due to the production ramp-up of the new Kia "Sedona" minivan.

Major Contracts <Model Year 2016>

Cars and car-based utility vehicles
Acura TLX Chevrolet Corvette Ford Taurus
Aston Martin DB9 Chevrolet Cruze GMC Acadia
Aston Martin Rapide Chevrolet Equinox GMC Terrain
Aston Martin Vanquish Chevrolet Impala Holden Commodore
Aston Martin Vantage Chevrolet Malibu Honda Civic
Buick Alpheon Chevrolet Orlando Jeep Cherokee
Buick Ampera Chevrolet Sonic Jeep Compass
Buick Anthem Chevrolet Traverse Jeep Patriot
Buick Enclave Chrysler Volt Lancia Flavia
Buick Encore Chrysler 200 Lancia Thema
Buick Excelle Chrysler 300 Lincoln MKS
Buick Gentra Dodge Challenger Lincoln MKT
Buick GL8 Dodge Charger Lincoln MKX
Buick LaCrosse Dodge Dart Lincoln MKZ
Buick Regal Dodge Journey Maserati Ghibli
Buick Verano Dodge Viper SRT Maserati Quattroporte
Cadillac ATS Fiat Freemont Opel Ampera
Cadillac CT6 Ford Edge Opel Antara
Cadillac CTS Ford Fiesta Opel Astra
Cadillac ELR Ford Flex Opel Astra Van
Cadillac SRX Ford Focus Opel Insignia
Cadillac XTS Ford Fusion Opel Meriva
Chevrolet Camaro Ford Ka Opel Zafira
Chevrolet Captiva Ford Mustang Tesla Model S

Light trucks, vans, and sport utility vehicles
Acura MDX Chrysler Town & Country GMC Sierra Pickup
Acura RDX Dodge Durango GMC Yukon and Yukon XL
Cadillac Escalade Dodge Grand Caravan Jeep Grand Cherokee
Cadillac Escalade ESV Ford C-MAX Jeep Wrangler/Wrangler Unlimited
Chevrolet Colorado Ford Escape Kia Sedona
Chevrolet Express Van Ford Expedition Lancia Grand Voyager
Chevrolet Silverado Pickup Ford Explorer Lincoln MKC
Chevrolet Suburban Ford F-Series Pickup Lincoln Navigator
Chevrolet Tahoe Ford F-Series Super Duty Pickup Mobility Ventures - MV-1
Chevrolet Trail Blazer GMC Canyon Nissan Titan
Chevrolet Trax GMC Savana Ram 1500/2500/3500 Pickup


Joint Venture

-The Company announced that its VAST LLC joint venture, which includes WITTE Automotive of Germany and ADAC Automotive of the U.S., has completed an agreement to become a 50:50 joint venture partner with Minda Management Services Limited. VAST acquired a 50% equity interest in the former Minda-Valeo Security Systems joint venture entity, based in Pune, India for approximately USD 12 million. This joint venture entity will be renamed Minda-VAST Access Systems. Minda-VAST will have operations in Pune and Delhi and is expected to have approximate annual sales in excess of USD 40 million. (From a press release on April 30, 2015)


-The Company received the 2014 Supplier of the Year award from Ford Rotunda, a part of the Ford Customer Service Division. (From a press release on October 23, 2014)

R&D Expenditure

(in million USD)
FY ended Jun. 28, 2015 FY ended Jun. 29, 2014 FY ended Jun. 30, 2013
Total 0.3 0.7 1.3


R&D Activities

-The Company's recent research and development activities have focused on expanding vehicle access options through electronic interlocks and various methods of communicating authorization data between consumers and vehicles.

Capital Expenditure

(in million USD)
FY ended Jun. 28, 2015 FY ended Jun. 29, 2014 FY ended Jun. 30, 2013
Total 26.1 12.8 12.5


Investment in U.S.

-The Company spent USD 4.5 million for a new facility in Auburn Hills, Michigan, U.S. The new facility is used as a sales and engineering office and replaces two leased facilities that were also located in Michigan.

Investment outside U.S.

-During the fiscal year ended June 2015, the Company purchased a plant in Juarez, Mexico for USD 2.1 million. The new facility is the Company's third manufacturing plant in Mexico and houses assembly operations for latches and power access products.


Number of Employees

  Jun. 2015 Jun. 2014 Jun. 2013
Total 3,420 3,276 2,670



(in million USD)
  FY ended Jun. 28, 2015 FY ended Jun. 29, 2014 FY ended Jun. 30, 2013 FY ended Jul. 1, 2012 FY ended Jul. 3, 2011
Sales 411.5 348.4 298.2 279.2 260.9


Sales by Products

(in million USD)
FY ended Jun. 28, 2015 FY ended Jun. 29, 2014 FY ended Jun. 30, 2013
Sales (%) Sales (%) Sales (%)
Keys & locksets 114.3 28 115.4 33 102.2 34
Aftermarket & OE service 78.7 19 49.6 14 36.5 12
Power access products 68.1 16 60.1 17 56.4 19
Door handles & exterior trim 60.9 15 48.0 14 37.2 13
Driver controls products 57.9 14 53.7 16 51.0 17
Latches 24.3 6 14.7 4 9.4 3
Other 7.3 2 6.9 2 5.5 2
Total 411.5 100 348.4 100 298.2 100

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