KEY TRONIC CORP
AI Executive Summary
AI-powered analysis of 10-Q filing content
Key Tronic Corporation shows severe operational deterioration with net sales declining 20.5% year-over-year and gross margins collapsing from 8.6% to just 0.6% in Q2. The company has moved from operating profitability to significant losses, with cash reserves critically low at $788K while carrying $97.7M in total debt.
Red Flags Detected (7)
Gross margin collapse from 6.8% to 0.6% in Q2 2025
Net sales declined 20.5% year-over-year to $195M for six months
Operating losses of $10.8M vs $3.3M operating income prior year
4 more red flags detected
Key Takeaways
Company facing acute financial distress with deteriorating operations
Debt-to-equity ratio concerning given weak cash generation
2 more takeaways
Filing Overview
What This Means
Deteriorating Trend: Conditions are worsening compared to previous filings. This may create opportunities for service providers.
Quarterly Report: Interim filing with unaudited financial data for the quarter.