Matt Dhane's questions to KEY TRONIC (KTCC) leadership • Q4 2025
Question
Matt Dhane of Tieton Capital Management inquired about the size and ramp-up schedule for recent program wins, the strategy behind the new Vietnam medical device manufacturing capability, and the drivers for the recent increase in new program bids.
Answer
President & CEO Brett Larsen explained that the new wins are predominantly around the $5 million program size, with a significant data processing contract potentially exceeding $20 million in service revenue. He noted that the Vietnam facility is now certified for medical products, with a program slated for FY26, which is expected to attract more opportunities. Larsen attributed the increased bidding activity to improved cost competitiveness from recent cost reductions and the company's enhanced global footprint, particularly the new Arkansas facility, which offers customers better tariff mitigation options.