SPOKANE VALLEY, WA – Key Tronic reported revenue of $559.4 million for its full fiscal year, down 4.8% compared to fiscal year 2023.

For the company's fourth quarter, its $125.7 million in revenue represented a decrease of 22.7% from the same quarter last year.

The company reported a cybersecurity incident in June that disrupted operations in Mexico and the US, which resulted in extra expenses of around $2.3 million and a loss of around $15 million in revenue for its fourth quarter. Most of the orders are recoverable and are expected to be fulfilled in fiscal year 2025, Key Tronic said.

“Despite the significant business disruption from the cyberattack in the fourth quarter, we have taken the necessary steps to get back to full production and increase our defenses against future attacks," said president and CEO Brett Larsen. "We’re seeing improving operating efficiencies from our recent workforce reductions in Mexico, which we expect will continue to save us more than $10 million annually. During the fourth quarter, we continued to expand our customer base, winning new programs involving industrial moving equipment, industrial storage, medical devices and consumer air filtration products.

"As we move into fiscal 2025, we’re seeing a gradual rebound in our Mexico-based production for higher-volume manufacturing and increased utilization of our US and Vietnam facilities for lower-volume products with higher service level requirements. The strong pipeline of new business underscores the continued trend towards on-shoring and dual sourcing of contract manufacturing. We’re well-positioned for growth and improved profitability in coming periods."

• Prev
• Next