NN, Inc. (NNBR): History, Ownership, Mission, How It Works & Makes Money

NN, Inc. (NNBR) is a global industrial manufacturer, but is its multi-year turnaround strategy defintely translating into sustainable financial performance for you?

The short answer is yes: the company is forecasting a record-setting 2025, with full-year Adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) expected to land between $53 million and $63 million, and is on track to hit its long-term adjusted gross margin goal of 20% more than two years early.

This isn't just cost-cutting; it's a strategic pivot backed by a new business pipeline valued at over $800 million in annual value, showing how this precision component maker is securing its future in high-growth markets like medical and electrical power.

NN, Inc. (NNBR) History

You're looking for the foundational story behind NN, Inc. (NNBR), and the quick takeaway is that this company started as a small precision ball manufacturer in 1980 and has since transformed into a global, diversified industrial giant through a relentless cycle of strategic acquisitions and focused divestitures. This history of shedding non-core assets to sharpen its focus is defintely the key to understanding its current operational profile.

NN, Inc.'s Founding Timeline

NN, Inc. began its journey in the midst of a recession, which forced the company to immediately pivot from its initial focus on the oil and gas industry to new markets needing high-precision components.

Year established

The company was founded in October 1980.

Original location

NN, Inc. was originally located in Erwin, Tennessee.

Founding team members

The company was founded by Dick Ennen.

Initial capital/funding

Details on the initial capital or funding are not publicly available, but the company's early success involved adapting quickly to market needs for chrome balls and rollers.

NN, Inc.'s Evolution Milestones

The company's growth has been marked by significant, deliberate moves to expand its product offerings and global footprint, followed by strategic sales to streamline the business. It's a classic 'grow and prune' strategy.

NN, Inc.'s Transformative Moments

The period from 2018 to 2025 represents the most transformative chapter for NN, Inc., shifting from a sprawling conglomerate to a more focused, high-precision industrial manufacturer.

The most critical decision was the pivot to a 'simplification and focus' strategy, which involved selling off large, non-core divisions to reduce complexity and debt. This is how they moved away from being just a bearings company.

• Portfolio Rationalization: The divestiture of the Autocam Precision Components Group in 2018 and the Life Sciences division in 2019 were crucial for focusing on core industrial and technical segments.
• Financial Turnaround: This focus is paying off, with the company expecting a third consecutive year of positive free cash flow in 2025.
• Operational Efficiency: NN, Inc. is on track for a record adjusted EBITDA for the full fiscal year 2025, with Q4 2025 adjusted EBITDA margin expected to hit its long-term goal of 14%, more than two years ahead of plan.
• Near-Term Growth: The company is launching over 170 new programs in 2025-2026, which are expected to drive future sales and margin expansion.

To be fair, the market remains soft, especially in the global automotive sector, which is why net sales for Q3 2025 were $103.9 million, down 8.5% year-over-year. Still, the strategic moves have improved profitability, as seen by the adjusted EBITDA improving to $12.4 million in Q3 2025, up from $11.6 million in the prior year quarter. You can find a deeper dive into the company's strategic goals here: Mission Statement, Vision, & Core Values of NN, Inc. (NNBR).

NN, Inc. (NNBR) Ownership Structure

NN, Inc. (NNBR) is a company largely controlled by institutional money, which means a significant portion of the decision-making power rests with large investment funds and asset managers, not individual investors.

This structure gives professional investors like hedge funds and mutual funds a powerful voice in company strategy and governance, so you need to pay close attention to their filings.

NN, Inc.'s Current Status

NN, Inc. is a publicly traded company, listed on the Nasdaq Global Select Market under the ticker symbol NNBR. As of November 2025, the company has approximately 50.20 million shares of common stock outstanding, giving it a market capitalization of roughly $62.74 million based on recent trading values. This small market cap classifies it as a micro-cap stock, which often means higher volatility and a greater focus on short-term operational improvements to drive stock performance.

The company is a global diversified industrial manufacturer, focused on high-precision components for markets like electrical, automotive, and aerospace and defense. You can learn more about its strategic direction here: Mission Statement, Vision, & Core Values of NN, Inc. (NNBR).

NN, Inc.'s Ownership Breakdown

The ownership breakdown shows that institutional investors hold the vast majority of the company's stock, a clear sign that professional money sees a turnaround opportunity here. Here's the quick math on who owns the shares outstanding as of the most recent filings:

The high institutional ownership-nearly 76%-means that a few large players can defintely influence the stock price with their buying and selling patterns. The largest institutional holders often include activist hedge funds like Legion Partners Asset Management, LLC, which typically push for strategic changes to enhance shareholder value.

NN, Inc.'s Leadership

The company is steered by a seasoned executive team focused on its ongoing business transformation and operational improvement. The leadership is a mix of long-time company veterans and new, specialized hires brought in during 2024 and 2025 to accelerate the strategic pivot.

• Harold Bevis: President and Chief Executive Officer (CEO). He is the main driver of the company's turnaround strategy.
• Christopher H. Bohnert: Senior Vice President and Chief Financial Officer (CFO). Appointed in mid-2024, his focus is on financial discipline and business process improvements.
• Tim French: Senior Vice President & Chief Operating Officer (COO). He oversees the day-to-day global operations.
• Jami A. Statham: Senior Vice President, General Counsel and Corporate Secretary.
• Timothy M. Erro: Vice President and Chief Commercial Officer. He joined in 2025 to focus on strategic growth and sales.
• Rob Esch: Chief Technical Officer - Machining. Appointed in 2025, he leads technical innovation in the Mobile Solutions segment.

The board is led by Independent Non-Executive Chairman Jeri J. Harman. This separation of the Chairman and CEO roles is generally seen as a positive for corporate governance, providing better oversight of management.

NN, Inc. (NNBR) Mission and Values

NN, Inc.'s core purpose extends beyond manufacturing precision components; it centers on delivering superior customer service and enhanced stakeholder value, which is the cultural DNA driving its global operations.

The company's values emphasize ethical conduct, continuous improvement, and employee empowerment, directly linking their internal culture to their external financial performance, like the push for a long-term adjusted EBITDA margin of 14%. Breaking Down NN, Inc. (NNBR) Financial Health: Key Insights for Investors

NN, Inc.'s Core Purpose

As a seasoned analyst, I look at the mission statement as the company's operating mandate. NN, Inc.'s mandate is clear: high-quality products and superior service are the non-negotiables, but they must also provide enhanced value for all stakeholders-customers, employees, and shareholders alike.

This is not just corporate fluff; it's the framework that justifies their strategic actions, such as the 2025 goal to achieve $15 million in total cost savings, which directly enhances shareholder value.

Official Mission Statement

The official mission statement is a concise directive for their approximately 3,000 employees across 27 facilities globally.

• Provide high-quality products and superior customer service.
• Continuously exceed customers' expectations.
• Provide enhanced value for all stakeholders.

Vision Statement

The vision statement maps out the long-term aspiration, positioning NN, Inc. as a leader in precision solutions, which requires them to keep innovating on the technical front. This is a defintely ambitious goal for a diversified industrial manufacturer.

The vision breaks down into three clear strategic pillars that guide capital allocation and R&D spending:

• Market Leadership: Expand market presence and become a preferred supplier in target industries.
• Technological Advancement: Invest in R&D to stay at the forefront of precision manufacturing innovation.
• Sustainable Growth: Achieve long-term growth through operational efficiency, strategic acquisitions, and new product development.

NN, Inc. Core Values/Guiding Principles

The company's cultural foundation is built on a set of core values and a philosophy rooted in continuous improvement, specifically Deming's 14 Points (a management philosophy focused on quality and system improvement).

Here's the quick math on their commitment: they are tracking to initiate full-year 2025 free cash flow guidance of $14 million to $16 million, which shows their operational excellence value is translating into tangible results.

• Demonstrate ethical behavior in every business aspect.
• Ensure a safe and inclusive work environment.
• Empower employees by recognizing innovation and superior performance.
• Promote personal responsibility at every level.
• Serve as a good corporate citizen in the communities they operate.
• Invest in customers' success.

NN, Inc. Slogan/Tagline

While a short, formal tagline isn't consistently used in their public-facing materials, the company frequently describes its output as the 'expression of our team's passion,' which is a good indicator of how they view their brand promise.

Their focus is less on a catchy phrase and more on the outcome of their core values, which is the manufacturing of high-precision components for mission-critical applications.

• Expression of our team's passion.
• Delivered with quality, reliability, and unmatched precision.

NN, Inc. (NNBR) How It Works

NN, Inc. operates as a specialized, global diversified industrial company, engineering and manufacturing high-precision components and assemblies for critical applications in diversified end markets. The company creates value by transforming raw materials into complex, high-tolerance parts-like those used in a medical device or an electrical grid component-through a focused, leaner operational framework.

NN, Inc.'s Product/Service Portfolio

The company's portfolio is shifting away from legacy, low-margin business to focus on high-value, high-growth sectors like Medical and Electrical. This strategic pivot is central to its goal of achieving an adjusted gross margin of 20% by the fourth quarter of 2025.

NN, Inc.'s Operational Framework

The operational framework, which is part of a multi-year transformation, is designed to drive structural margin improvement and generate consistent positive free cash flow, which is expected to be between $14 million and $16 million for the full year 2025. Here's the quick math: you get better cash flow by cutting costs and focusing on profitable sales.

• Rationalize Unprofitable Business: Systematically eliminate negative cash flow contracts and close underperforming facilities, which has helped each business segment deliver positive adjusted EBITDA in 2025.
• Drive New Program Launches: Launch a record number of new business awards-over 170 new programs expected across 2025 and 2026-to fuel future sales growth and margin expansion.
• Cost Structure Reduction: Implement a leaner cost structure, including a significant workforce reduction of approximately 20%, to improve operational leverage and profitability.
• Asset Utilization: Leverage an existing base of approximately $340 million in machinery and equipment to minimize cash capital expenditure (capex) and maximize return on assets.

If onboarding new business takes too long, that launch pipeline stalls, and the revenue inflection point gets pushed out. For a deeper dive into the numbers, check out Breaking Down NN, Inc. (NNBR) Financial Health: Key Insights for Investors.

NN, Inc.'s Strategic Advantages

NN, Inc.'s market success hinges on its ability to execute its transformation plan and capitalize on its technical expertise, especially in the high-barrier-to-entry sectors. They defintely have a clear path.

• Diversification and Mix Shift: The strategic pivot to Medical and Electrical markets provides a hedge against the volatility of the legacy Automotive sector, improving the overall quality and resilience of the sales mix.
• Massive Sales Pipeline: The company maintains a robust opportunity pipeline of over 800 new programs, valued at more than $800 million in annual sales, with a greater than 20% hit rate on closed opportunities. This is a huge backlog of potential revenue.
• Precision Engineering Expertise: Core competency in engineering and manufacturing high-precision, complex components, including expertise in miniaturization for medical devices, creates a strong competitive moat against less specialized competitors.
• Record Profitability Trajectory: Full-year 2025 adjusted EBITDA is forecast to be an annual record, expected to fall between $53 million and $63 million, reflecting the structural improvements taking hold ahead of schedule.

NN, Inc. (NNBR) How It Makes Money

NN, Inc. makes money by engineering and manufacturing high-precision metal and plastic components, selling these mission-critical parts to major global customers across diverse industrial end markets like power, aerospace, and automotive.

You can think of the company as a specialized, high-tolerance contract manufacturer-they don't sell consumer goods, but rather the essential guts that make other complex machinery work, which creates a sticky, high-barrier-to-entry revenue base. Exploring NN, Inc. (NNBR) Investor Profile: Who's Buying and Why?

NN, Inc.'s Revenue Breakdown

The company operates through two primary segments, and the third quarter of 2025 (Q3 2025) clearly shows a strategic pivot. Total net sales for Q3 2025 were $103.9 million, with the Mobile Solutions segment still representing the majority, but the Power Solutions segment driving the growth.

Here's the quick math: Mobile Solutions brought in $59.1 million in net sales, while Power Solutions contributed $44.9 million in Q3 2025.

Business Economics

The core of NN, Inc.'s business economics is shifting from volume-driven automotive components in Mobile Solutions toward higher-margin, specialized industrial applications in Power Solutions. This is a crucial distinction for your analysis.

• Strategic Mix Shift: The company is actively rationalizing (closing) unprofitable plants and contracts within the Mobile Solutions segment, which is why that segment's sales dropped 16.4% in Q3 2025. This is a deliberate move to improve overall profitability, even at the expense of top-line revenue.
• Pricing Power: The Power Solutions segment benefits from higher precious metal pass-through pricing, meaning the company can pass on rising costs for materials like gold and silver to its customers. That's a strong defense against inflation, plus it helped the segment's sales grow 4.7% in Q3 2025.
• Growth Pipeline: Management is focused on new business wins in higher-value markets like aerospace & defense, medical products, and electrical/power. They secured $44.4 million in new business wins through the first nine months of 2025, and they expect over 100 new programs launching in 2025 to add more than $45 million in future sales at full run-rate.

NN, Inc.'s Financial Performance

The company's transformation plan is showing up in its profitability metrics, even as net sales are down due to the rationalization of bad business. You're seeing better margins and cash flow, which is defintely a positive sign for a turnaround story.

• Revenue Outlook: For the full year 2025, NN, Inc. is guiding for net sales to be between $430 million and $460 million.
• Margin Expansion: Gross margin improved to 16.8% in Q3 2025 (adjusted gross margin was 18.8%), up significantly from 14.5% in the prior year period. The company is even targeting an adjusted gross margin of 20% for Q4 2025.
• Profitability Surge: Adjusted operating income saw a massive jump, rising to $4.0 million in Q3 2025, compared to $1.3 million in the same quarter last year. Adjusted EBITDA also improved to $12.4 million, representing an 11.9% margin rate.
• Cash Generation: Free cash flow showed a step change, improving to $9.1 million in Q3 2025, compared to just $0.3 million in the prior year, reflecting better working capital management. The full-year 2025 free cash flow guidance is a tight range of $14 million to $16 million.

Finance: draft 13-week cash view by Friday.

NN, Inc. (NNBR) Market Position & Future Outlook

NN, Inc. is executing a focused transformation that is shifting its market position from a cyclical automotive supplier to a diversified, high-margin precision industrial components provider. The company is on track to achieve an annual record in Adjusted EBITDA for the 2025 fiscal year, underscoring improved operational fundamentals and a successful pivot away from low-margin business.

The strategic focus is clear: drive margin expansion through new business wins in the Power Solutions and medical segments, plus strengthen the balance sheet via a preferred equity refinancing initiative. This is a small-cap turnaround story, and the numbers are starting to show it.

Competitive Landscape

In the fragmented precision industrial components and machinery market, NN, Inc. competes with a range of specialized manufacturers. Our analysis positions the company based on its core niche-high-precision components-relative to peers in the broader industrial machinery sector, which is projected to be a $0.81 trillion market in 2025.

Here's the quick math: NN, Inc.'s target of growing to $600 million in sales puts its share in the vast industrial machinery market at less than one-tenth of one percent, highlighting the highly fragmented nature of its operating niches. L.B. Foster Company's 2025 Net Sales guidance of $540 million to $580 million shows a comparable size, but a different core focus.

Opportunities & Challenges

The company's future trajectory hinges on its ability to capitalize on secular growth trends while mitigating financial and market-specific headwinds. The pipeline of new opportunities is defintely robust, but the balance sheet still needs work.

Industry Position

NN, Inc. operates as a small-cap, diversified industrial company with a market capitalization of approximately $63.87 Million USD as of November 2025, positioning it as a niche player rather than a market leader. [cite: 14, step 1]

• Segment Pivot: The company is successfully shifting its revenue mix, with 61% of Q2 2025 sales coming from non-automotive sectors, reducing exposure to the highly cyclical Mobile Solutions segment.
• Growth Momentum: It is on track to achieve $65 million in new business wins for the full year 2025, a key metric for future organic growth.
• Operational Efficiency: The transformation program is yielding results, with all business segments delivering positive Adjusted EBITDA and positive free cash flow, pointing to a third consecutive year of positive free cash flow.
• Competitive Edge: NN, Inc.'s advantage lies in its specialized, high-precision manufacturing expertise, enabling it to secure preferred contracts in high-specification markets like medical and aerospace.

The ultimate test for NN, Inc. is whether its operational improvements can translate into sustained sales growth in 2026, as forecasted, and whether the planned refinancing can meaningfully de-risk the balance sheet.