Strattec Security Corporation (STRT): History, Ownership, Mission, How It Works & Makes Money

Ever wondered how your car's security system came to be? Strattec Security Corporation (STRT) has been a key player in automotive access, security, and user interface solutions for over 110 years. From mechanical locks to advanced electro-mechanical systems, how did they become a leading global provider serving major automotive OEMs, and what's the story behind their $537.8 million in revenue for 2024?

Strattec Security Corporation (STRT) History

Strattec Security Corporation Founding Timeline

Year established

The company was established in 1908.

Original location

The original location was Milwaukee, Wisconsin.

Founding team members

The founding team members included Frank Best, who invented a lock that he believed was pick-proof. Best secured financial backing from several Milwaukee businessmen to form the company.

Initial capital/funding

The initial capital and funding details are not available in the provided context.

Strattec Security Corporation Evolution Milestones

Strattec Security Corporation Transformative Moments

• Focus on Automotive Security: The strategic decision to concentrate on the automotive industry significantly shaped the company's growth. By aligning with major automotive manufacturers, the company secured long-term contracts and established itself as a key supplier of access control products.
• Strategic Acquisitions: Acquisitions like the Briggs & Stratton Lock Division and Delphi Automotive Systems' Global Automotive Access and Security Business broadened the company's product line and market presence. These moves allowed the company to offer more comprehensive solutions and expand its customer base.
• Global Expansion: Expanding its operations globally enabled the company to serve international markets and diversify its revenue streams. This expansion helped the company mitigate risks associated with regional economic fluctuations.
• Technological Innovation: Investing in research and development to create advanced security solutions has been crucial. Innovations in keyless entry systems, remote start, and other vehicle security technologies have helped the company maintain a competitive edge.

For more insights into the financial aspects, consider reading Breaking Down Strattec Security Corporation (STRT) Financial Health: Key Insights for Investors.

Strattec Security Corporation (STRT) Ownership Structure

Strattec Security Corporation operates with a mixed ownership structure, encompassing individual investors, institutional holders, and company insiders. Understanding this structure provides insights into the company's governance and strategic direction.

Strattec Security Corporation's Current Status

Strattec Security Corporation is a publicly traded company, listed on the Nasdaq Stock Market under the ticker symbol STRT. This means that its shares are available for purchase by the general public, and the company is subject to the regulations and reporting requirements of the U.S. Securities and Exchange Commission (SEC).

Strattec Security Corporation's Ownership Breakdown

The ownership of Strattec Security Corporation is distributed among various types of shareholders. Here's a breakdown:

Strattec Security Corporation's Leadership

The leadership team is crucial to the direction and governance of Strattec Security Corporation.

• Frank Krejci serves as the President, CEO & Director.
• John Goetz is the Vice President of Finance and CFO.
• Amy Hathaway is the Vice President, General Counsel & Secretary.

For more detailed insights into Strattec Security Corporation's investor profile, you might find this resource helpful: Exploring Strattec Security Corporation (STRT) Investor Profile: Who’s Buying and Why?

Strattec Security Corporation (STRT) Mission and Values

Strattec Security Corporation focuses on designing, developing, manufacturing, and marketing security access control products, emphasizing innovation and customer satisfaction. Their core values revolve around integrity, teamwork, and a commitment to excellence.

Strattec Security Corporation's Core Purpose

Official mission statement

While Strattec Security Corporation doesn't have a single, universally publicized mission statement, they operate with a clear focus on:

• Delivering high-quality, innovative security access control products.
• Building strong, lasting relationships with customers.
• Maintaining a commitment to integrity and ethical business practices.

Vision statement

Strattec Security Corporation's vision is centered around:

• Being a leader in the security access control industry through continuous innovation.
• Expanding their market presence and product offerings.
• Creating value for their shareholders, employees, and customers.

Company slogan/tagline

Strattec Security Corporation does not have a widely advertised official slogan or tagline. However, their focus on quality and security could be reflected in messaging that emphasizes:

• Reliable security solutions.
• Innovative access control.
• Trusted partnerships.

To gain more insights into Strattec Security Corporation's financial performance, see Breaking Down Strattec Security Corporation (STRT) Financial Health: Key Insights for Investors

Strattec Security Corporation (STRT) How It Works

Strattec Security Corporation designs, develops, manufactures, and markets automotive access control products, including mechanical and electronically enhanced locks and keys, steering column and ignition lock housings, latches, power sliding side door systems, power lift gate systems, and related access control products. The company primarily serves automotive original equipment manufacturers (OEMs), and aftermarket customers.

Strattec Security Corporation's Product/Service Portfolio

Strattec Security Corporation's Operational Framework

Strattec Security Corporation operates through the following key processes:

• Product Development: Strattec invests in research and development to create innovative access control solutions that meet the evolving needs of the automotive industry.
• Manufacturing: The company operates manufacturing facilities where it produces a wide range of access control products and systems.
• Sales and Marketing: Strattec markets its products directly to automotive OEMs and aftermarket customers through a dedicated sales force and distribution network.
• Supply Chain Management: The company manages a global supply chain to source components and materials needed for its manufacturing operations.
• Customer Service: Strattec provides customer service and technical support to ensure customer satisfaction and build long-term relationships.

Strattec Security Corporation's Strategic Advantages

Strattec Security Corporation maintains its competitive edge through:

• Strong OEM Relationships: Strattec has long-standing relationships with major automotive OEMs, providing a stable source of revenue and opportunities for growth.
• Technological Expertise: The company's expertise in mechanical and electronic access control technologies allows it to develop innovative products that meet the changing demands of the automotive market.
• Vertically Integrated Manufacturing: Strattec's vertically integrated manufacturing operations provide it with greater control over costs, quality, and delivery times.
• Global Footprint: The company has a global presence, with manufacturing and sales operations in North America, Europe, and Asia, allowing it to serve customers worldwide.
• Aftermarket Presence: In addition to its OEM business, Strattec also has a presence in the automotive aftermarket, providing replacement parts and accessories to consumers and repair shops.

To gain more insights into Strattec Security Corporation's financial stability, you might find this resource helpful: Breaking Down Strattec Security Corporation (STRT) Financial Health: Key Insights for Investors

Strattec Security Corporation (STRT) How It Makes Money

Strattec Security Corporation primarily generates revenue through the design, development, and manufacturing of automotive access control products. These products include mechanical and electronically enhanced locks and keys, steering column and ignition switches, and related access control products for global automotive manufacturers.

Strattec Security Corporation's Revenue Breakdown

Here's a look at Strattec's revenue streams:

Strattec Security Corporation's Business Economics

Strattec's business economics are influenced by several key factors:

• Pricing Strategies: Strattec employs various pricing strategies, including cost-plus pricing and competitive pricing, tailored to different customers and product lines.
• Economic Fundamentals: The automotive industry's cyclical nature significantly impacts Strattec. Demand for new vehicles, interest rates, and overall economic conditions influence production volumes and, consequently, Strattec's revenue.
• Raw Material Costs: Fluctuations in raw material costs, such as metals and electronics components, can affect Strattec's profitability. The company often uses long-term supply contracts and hedging strategies to mitigate these risks.
• Operational Efficiency: Continuous improvement in manufacturing processes and supply chain management helps Strattec maintain competitive pricing and healthy margins.

Strattec Security Corporation's Financial Performance

Key highlights of Strattec's financial performance include:

• Net Sales: For the six months ended December 29, 2024, net sales were $321.1 million, an increase of $30.9 million, or 10.7%, compared to $290.2 million for the six months ended December 31, 2023.
• Gross Profit: Gross profit for the six months ended December 29, 2024 increased to $43.7 million from $27.9 million for the six months ended December 31, 2023.
• Net Income: Net income for the six months ended December 29, 2024 was $14.2 million, or $1.17 per diluted share, compared to a net loss of $0.4 million, or $(0.03) per diluted share, for the six months ended December 31, 2023.
• Capital Expenditures: Capital expenditures totaled $4.9 million for the six months ended December 29, 2024, compared to $3.8 million for the six months ended December 31, 2023.

To gain more insight into Strattec's core values, explore Mission Statement, Vision, & Core Values of Strattec Security Corporation (STRT).

Strattec Security Corporation (STRT) Market Position & Future Outlook

The company holds a significant position in the automotive industry as a key provider of access control products. The company's future success depends on capitalizing on emerging market opportunities and effectively managing potential risks.

Competitive Landscape

Opportunities & Challenges

Industry Position

The company maintains a strong foothold in the automotive access control market, particularly in North America. Its position is reinforced by:

• Long-standing relationships with major automotive manufacturers.
• Expertise in designing and manufacturing complex locking mechanisms and security systems.
• Commitment to innovation and adapting to evolving automotive technology trends.

To learn more about the company's guiding principles, visit: Mission Statement, Vision, & Core Values of Strattec Security Corporation (STRT).