Key Tronic Corporation filed a Form 10-Q with the U.S. Securities and Exchange Commission on November 9, 2026, covering the quarterly period ended September 26, 2026.

Key Highlights

  • Net loss of $7.501 million for the three months ended September 26, 2026, compared to a net loss of $2.255 million in the same period of the prior year, according to the filing.
  • Net sales of $98.676 million for the quarter, essentially flat versus $98.750 million in the prior-year quarter, as reported.
  • Gross profit declined to $2.474 million from $8.254 million in the year-ago quarter, with cost of sales rising to $96.202 million from $90.496 million.
  • Gain on insurance proceeds, net of losses, of $3.231 million was recorded in the quarter, with no comparable amount in the prior-year period.
  • Total assets of $307.062 million as of September 26, 2026, up from $299.766 million as of June 27, 2026.
  • 11,065,887 shares of common stock outstanding as of November 6, 2026, the filing stated.
  • Long-term debt, net, stood at $101.974 million as of September 26, 2026, compared to $99.056 million at the prior fiscal year-end.

Key Tronic Reports Widening Loss Amid Rising Costs in September 2026 Quarter

Key Tronic Corporation (NASDAQ:KTCC), a contract electronics manufacturer headquartered in Spokane Valley, Washington, reported a net loss of $7.501 million, or $0.69 per basic and diluted share, for the three months ended September 26, 2026, according to the quarterly filing. This compares to a net loss of $2.255 million, or $0.21 per share, in the three months ended September 27, 2025. The weighted average shares outstanding for both basic and diluted calculations were 10,921 thousand for the current quarter.

The company disclosed that net sales were $98.676 million for the quarter, down slightly from $98.750 million a year earlier. Cost of sales increased to $96.202 million from $90.496 million, compressing gross profit to $2.474 million from $8.254 million. Operating expenses included research, development and engineering expenses of $2.301 million and selling, general and administrative expenses of $7.544 million. The filing also reported a gain on insurance proceeds, net of losses, of $3.231 million, resulting in total operating expenses of $6.614 million and an operating loss of $4.140 million for the quarter.

On the balance sheet, the company reported total assets of $307.062 million as of September 26, 2026. Inventories rose to $103.992 million from $95.844 million at the prior fiscal year-end of June 27, 2026. Total shareholders' equity declined to $61.785 million from $69.183 million over the same period, reflecting the net loss recorded in the quarter. Cash and cash equivalents at the end of the period were $1.644 million. The filing noted that cash used in operating activities was $2.083 million for the quarter, compared to cash provided by operating activities of $7.604 million in the prior-year quarter.

What Was Disclosed

Key Tronic Corporation filed its Form 10-Q for the quarterly period ended September 26, 2026, disclosing a net loss of $7.501 million on net sales of $98.676 million, rising cost of sales, a $3.231 million insurance gain, and total assets of $307.062 million.