Aaron E. Byrne
About Aaron E. Byrne
Aaron E. Byrne serves as Senior Vice President and Chief Operations Officer at Strattec. He brings over 25 years of manufacturing and operational leadership, most recently as Chief Production Officer at SK Battery America, with prior senior roles at Clarios and Johnson Controls. Byrne holds an MBA from the University of Notre Dame and a BBA from Northwood University, and is a certified Six Sigma Black Belt . He was appointed Vice President of Operations effective July 14, 2025, following the end of fiscal 2025, and is profiled in the 2025 proxy as Senior Vice President and Chief Operations Officer . For context on performance during his onboarding period, Strattec’s FY2025 financials improved versus FY2024: net sales +5.1% to $565M, EBITDA +9.3% to $37.5M, cash flow from operations up to $71.7M, and stock rose from ~$25 to >$62, a 149% TSR at the 95th percentile of the Russell 2000 .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| SK Battery America | Chief Production Officer | Not disclosed | Led high‑volume EV battery production, building systems for safety, quality, and rapid growth across >3,000 employees |
| Clarios | Executive Director of Global Business Expansion | Not disclosed | Led plant operations, turnaround initiatives, capital projects, and quality system implementations |
| Johnson Controls | Director of U.S. Operations; Director of Program Management | Not disclosed | Directed large‑scale plant operations and program management; implemented quality systems |
External Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Not disclosed in Company filings | — | — | — |
Fixed Compensation
- Byrne’s specific compensation terms (base salary, target bonus %) are not disclosed in the 2025 proxy or recent 8‑Ks. He was appointed VP of Operations effective July 14, 2025; compensation detail was not furnished with that leadership update .
- Company-wide context: FY2025 NEO short-term incentives (STIP) were based 100% on consolidated financial goals (EBITDA and cash flow), with payouts at 200% of target given above‑maximum performance .
Performance Compensation
| Metric | Threshold | Target | Maximum | FY2025 Result | Payout % of Target |
|---|---|---|---|---|---|
| EBITDA ($ millions) | $20.6 | $22.9 | $34.3 | $41.6 | 200% |
| Cash Flow from Operations ($ millions) | $38.7 | $51.7 | $64.6 | $71.6 | 200% |
- Long-term incentives: In FY2025, PSUs for NEOs vest over a three-year period based on EBITDA margin performance with year-over-year 100 bp improvement targets; RSAs vest one-third annually. These structures align equity vesting to profitability conversion and share performance .
Equity Ownership & Alignment
- Ownership disclosures in the 2025 proxy list directors and NEOs; Byrne is not included, and no personal beneficial ownership figures are provided for him .
- Company policies: executives are subject to stock ownership guidelines (CEO 5x base; other specifics not fully enumerated in available excerpts) and a strong anti‑hedging and anti‑pledging policy; clawback policy mandates recoupment of erroneously awarded incentive compensation consistent with SEC and Nasdaq requirements .
- 2024 Equity Incentive Plan authorizes RSUs, restricted stock, options, and SARs, with 550,000 shares reserved, administered by the Compensation Committee; plan expires October 23, 2034. Byrne is eligible for future grants under the plan as senior management .
Employment Terms
- Appointment: VP of Operations effective July 14, 2025; profiled as Senior Vice President and Chief Operations Officer in the proxy .
- Severance and change‑of‑control: while Byrne’s specific agreement is not disclosed, Company agreements historically provide severance following certain terminations and, in prior change‑of‑control agreements, lump‑sum salary multiples plus highest annual bonus and benefit continuation; equity awards may accelerate or fully vest upon certain terminations depending on award type and agreement terms .
- Non‑compete/confidentiality: NEO employment agreements include non‑compete during employment and up to one year post‑termination (or shorter of tenure), and confidentiality protections with enforcement periods; these terms reflect the Company’s standard employment architecture for senior executives .
Performance & Track Record
| Metric | FY2024 | FY2025 |
|---|---|---|
| Net Sales ($ millions) | $538 | $565 |
| EBITDA ($ millions) | $34.4 | $37.5 |
| Cash Flow from Operations ($ millions) | $12.2 | $71.7 |
| Stock Price (approx. start→end) | ~$25 | >$62 |
| TSR Percentile (Russell 2000) | — | 95th percentile |
- Operational focus: EBITDA margin improved to 6.6% in FY2025 (above target); year‑two PSU targets require 7.6% margin (prior year result plus 100 bps), emphasizing sustained margin expansion .
Risk Indicators & Red Flags
- Hedging/pledging prohibitions reduce misalignment risks; clawback policy mitigates restatement-related pay risks .
- No excise tax gross‑ups on change‑of‑control and limited perquisites are shareholder‑friendly practices .
- No disclosed legal proceedings, pledging, or related party transactions involving Byrne in available filings.
Compensation Peer Group and Say‑on‑Pay
- Peer group composition and target percentile specifics are not disclosed in available excerpts.
- Say‑on‑Pay proposal was presented; vote outcomes are not included in the excerpts provided .
Expertise & Qualifications
- MBA (Notre Dame), BBA (Northwood), Six Sigma Black Belt; led EV battery high‑volume production (SK Battery America), large‑scale plant operations, and turnaround initiatives (Clarios, Johnson Controls) .
Work History & Career Trajectory
- Senior operational roles across SK Battery America, Clarios, and Johnson Controls, progressing through program management and operations leadership to executive manufacturing oversight .
Investment Implications
- Compensation architecture ties annual cash to consolidated EBITDA and cash flow and long‑term equity to EBITDA margin, aligning senior management incentives (including Byrne’s prospective awards) to profitability quality and cash generation—key levers for continued margin expansion and FCF .
- Anti‑hedging/pledging policies and clawbacks reduce governance risk; equity plan capacity through 2034 supports retention and alignment but implies potential future dilution tied to performance vesting .
- With COO responsibilities commencing post‑FY2025, monitor forthcoming employment agreement filings and Form 4s for initial grants, vesting schedules, and any insider selling; given FY2025 max STIP payout and strong TSR, near‑term selling pressure risk could rise if sign‑on or annual grants vest, but no Byrne‑specific ownership or vesting data is yet disclosed .