Key Tronic Corporation manufactures computer keyboards in Mexico and plans to increase production of these products in Arkansas and Vietnam.
The company reported net sales of $467.9 million for fiscal year 2025 (ended June 28), a year-over-year decrease of 17.5 percent.
Its fiscal year 2025 revenues took a hit. The cause was global economic turmoil stemming from the recent tariff escalation.
That volatility led to a standstill in operations for much of the year. As a result, new programs scheduled to go into operation were delayed.
Key Tronic
In addition, about $48 million of the decline is explained by the reduction in scrap and component sales in 2025. The reason was clear: several key programs concluded in 2024 and then recorded their final shipments and inventories.
The company has world-class facilities in the United States, Mexico, China, and Vietnam.
This international production capacity provides clear advantages to customers. It allows for optimized supply chain management, reduced inventories, lower labor and transportation costs, and shorter product delivery times.
Key Tronic plans to significantly increase production capacity at its Arkansas and Vietnam facilities to continue benefiting from growing customer demand.
China and Mexico
At the same time, the company believes these initiatives should help mitigate the negative impact and uncertainties surrounding the recently announced tariffs on products manufactured in China and Mexico.
Its subsidiary Key Tronic Juárez owns five facilities and leases three in Ciudad Juárez, Mexico. These facilities include a surface mount technology (SMT) plant, an assembly and molding plant, a sheet metal fabrication plant, and other assembly and storage facilities. This subsidiary primarily supports its operations in the United States.
The company made a significant investment in SMT technology for the mass production of complex printed circuit board assemblies. In addition, its metal shop offers precision stamping, fabrication, and finishing. It also designs tools for injection molding and sheet metal.