Slide 1: Fourth Quarter and Year End of Fiscal 2026 Earnings Call
Fourth Quarter and Year End of Fiscal 2026 Earnings Call August 27, 2026
Slide 2: Management On Call Today
Management On Call Today Brett Larsen Tony Voorhees President and CEO CFO 2
Slide 3: Notices and Disclaimers
Notices and Disclaimers Forward-Looking Statements Some of the statements in this presentation are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, but are not limited to those including such words as aims, ant
Slide 4: Revenue Highlights
Revenue Highlights FY2026 FY2025 Fourth Quarter $102.0M $110.5M Third Quarter $89.6M $112.0M Full Year $386.7M $467.9M • Sequential increase driven by strong demand from legacy and new programs • Vietnam-based production more than doubled sequentially • Tightening credit availability and liquidity p
Slide 5: Margins
Margins Adjusted Q4- Q4- Q4- FY2026 FY2026 FY2025 Gross Margin 7.8% 8.3% 6.2% Operating (3.6%) N/A (2.1%) Margin improvements despite adverse supply chain • Gross margin challenges and lower revenue levels • Operating efficiencies gained from cost-cutting initiatives • Operating margin for the fourt
Slide 6: Earnings – GAAP
Earnings – GAAP Q4-FY2026 Q4-FY2025 Net Loss ($34.3M) ($3.9M) Net Loss Per Share ($3.16) ($0.36) – Diluted FY2026 FY2025 Net Loss ($47.8M) ($8.3M) Net Loss Per Share ($4.41) ($0.77) – Diluted 6
Slide 7: Earnings – Non-GAAP
Earnings – Non-GAAP Q4-FY2026 Q4-FY2025 Adjusted Net Income ($2.9M) ($3.8M) (Loss) Adjusted Net Income (Loss) Per Share – ($0.26) ($0.35) Diluted FY2026 FY2025 Adjusted Net Loss ($3.7M) ($5.0M) Adjusted Net Loss Per ($0.34) ($0.47) Share – Diluted 7
Slide 8: Balance Sheet and Cash Flow Highlights
Balance Sheet and Cash Flow Highlights % FY2026 FY2025 Change Inventory $95.8M $97.3M -2% Current Ratio 2.1 2.6 -19% DSOs 75 86 -13% Capital Expenditures $6.4M $4.1M 56% (YTD) 8
Slide 9: Outlook
Outlook • Continue to face global economic uncertainties and volatile trade policies, but believe customers adjusting to new normal • Gradually increased demand from several longstanding customers and new programs ramping • Expect growth in US and Vietnam • Improved operating efficiency making us mo
Slide 10: Fiscal 2026 Highlights
Fiscal 2026 Highlights • Strengthened competitive position and created more efficient global manufacturing footprint o Exited manufacturing operations in China o Right-sized Mexico facility o Expanded production capacity in US and Vietnam • Improved cost structure, enhanced supply chain flexibility,
Slide 11: Major Cost-Cutting in China and Mexico
Major Cost-Cutting in China and Mexico • China operations: o Completed wind down in China and transferred several programs to Vietnam o Anticipate savings from shutdown to be approximately $4 million in fiscal 2027 o Continue to operate in China with small team focused on sourcing • Mexico operation
Slide 12: Expanding US and Vietnam Production
Expanding US and Vietnam Production • US facilities: o New clean-tech, cutting-edge manufacturing and R&D operations in Arkansas o Provides customers with enhanced engineering support, faster collaboration, and increased manufacturing flexibility o Expect double-digit growth in Arkansas in FY 2027 •
Slide 13: Expanding Customer Base in FY2026
Expanding Customer Base in FY2026 • Medical devices • Construction equipment • Industrial equipment • Data centers • Automotive technology • Power management • Pest control • Traction in steady growth sectors o Utilities and data centers • Many new programs feature innovative partnership models => m
Slide 14: Key Competitive Advantages
Key Competitive Advantages • Enhanced flexibility, competitiveness, and resilience of global manufacturing network • Engineering and design services remain one of most powerful differentiators • Broad range of vertically integrated manufacturing capabilities and decades of process expertise
Slide 15: Looking Forward
Looking Forward • Global market uncertainties creating major near-term challenges but driving favorable long-term trends • Expecting revenue growth in coming quarters from legacy customers and new programs in U.S., Mexico and Vietnam • Encouraged by cost reductions, increasing cash flow generated fr
Slide 16: Thank You to Our Dedicated Employees
Thank You to Our Dedicated Employees • Challenging year for industry and for Key Tronic • Execution of strategy made possible by our investments in plants and equipment ̶ but even more so because of the skills, local knowledge and talents of our people • Many thanks to our exceptional employees for
Slide 17: Q&A
keutronic Q&A
Slide 18: Appendix: Non-GAAP Reconciliations
Appendix: Non-GAAP Reconciliations 18