KIMBALL ELECTRONICS, INC., 10-Q filed on 11/6/2025
Quarterly Report
v3.25.3
Document and Entity Information - shares
3 Months Ended
Sep. 30, 2025
Oct. 23, 2025
Document Information    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Sep. 30, 2025  
Document Transition Report false  
Entity Interactive Data Current Yes  
Amendment Flag false  
Document Fiscal Year Focus 2026  
Document Fiscal Period Focus Q1  
Entity Information    
Entity Registrant Name KIMBALL ELECTRONICS, INC.  
Entity Central Index Key 0001606757  
Entity File Number 001-36454  
Entity Incorporation, State or Country Code IN  
Entity Tax Identification Number 35-2047713  
Current Fiscal Year End Date --06-30  
Entity Current Reporting Status Yes  
Entity Shell Company false  
Entity Filer Category Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Addresses    
Entity Address, Address Line One 1205 Kimball Boulevard  
Entity Address, City or Town Jasper  
Entity Address, State or Province IN  
Entity Address, Postal Zip Code 47546  
City Area Code 812  
Local Phone Number 634-4000  
Entity Listings    
Title of 12(b) Security Common Stock, no par value  
Trading Symbol KE  
Security Exchange Name NASDAQ  
Entity Common Stock, Shares Outstanding   24,338,363
v3.25.3
Condensed Consolidated Balance Sheets - USD ($)
$ in Thousands
Sep. 30, 2025
Jun. 30, 2025
Current Assets:    
Cash and cash equivalents $ 75,696 $ 88,781
Receivables, net of allowances of $125 and $102, respectively 226,012 222,623
Contract assets 75,199 71,812
Inventories 272,725 273,500
Prepaid expenses and other current assets 34,341 36,027
Assets held for sale 6,579 6,861
Total current assets 690,552 699,604
Property and Equipment, net of accumulated depreciation of $338,843 and $334,465, respectively 273,937 264,804
Goodwill 6,191 6,191
Other Intangible Assets, net of accumulated amortization of $27,790 and $28,227, respectively 2,305 2,427
Other Assets, net 104,931 104,286
Total Assets 1,077,916 1,077,312
Current Liabilities:    
Long-Term Debt, Current Maturities 6,600 17,400
Accounts payable 234,567 218,805
Advances from customers 27,058 35,867
Accrued expenses 43,795 46,489
Total current liabilities 312,020 318,561
Other Liabilities:    
Long-Term Debt, Excluding Current Maturities 130,925 129,650
Other long-term liabilities 57,832 59,217
Total other liabilities 188,757 188,867
Share Owners’ Equity:    
Preferred stock-no par value 0 0
Common stock-no par value 0 0
Additional paid-in capital 319,437 323,309
Retained earnings 343,634 333,548
Accumulated other comprehensive loss 1,455 1,063
Treasury stock, at cost (87,387) (88,036)
Total Share Owners’ Equity 577,139 569,884
Total Liabilities and Share Owners’ Equity $ 1,077,916 $ 1,077,312
Preferred Stock, Par or Stated Value Per Share $ 0 $ 0
Common Stock, Par Value Per Share $ 0 $ 0
Common Stock, Shares, Issued 29,430,000 29,430,000
Preferred Stock, Shares Authorized 15,000,000 15,000,000
Preferred Stock, Shares Issued 0 0
v3.25.3
Condensed Consolidated Balance Sheets Parentheticals - USD ($)
$ in Thousands
Sep. 30, 2025
Jun. 30, 2025
ASSETS    
Allowance for Doubtful Accounts, Premiums and Other Receivables $ 125 $ 102
Property and Equipment Accumulated Depreciation 338,843 334,465
Other Intangible Assets Accumulated Amortization $ 27,790 $ 28,227
Share Owners' Equity    
Preferred Stock, Par or Stated Value Per Share $ 0 $ 0
Preferred Stock, Shares Authorized 15,000,000 15,000,000
Preferred Stock, Shares Issued 0 0
Common Stock, Par Value Per Share $ 0 $ 0
Common Stock, Shares Authorized 150,000,000 150,000,000
Common Stock, Shares, Issued 29,430,000 29,430,000
Common Stock, Shares, Outstanding 24,338,000 24,218,500
Treasury Stock, Shares 5,092,000 5,211,500
v3.25.3
Condensed Consolidated Statements of Income - USD ($)
shares in Thousands, $ in Thousands
3 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Net Sales $ 365,603 $ 374,256
Cost of Sales 336,767 350,656
Gross Profit 28,836 23,600
Selling and Administrative Expenses 13,090 13,427
Restructuring Expense 1,416 2,322
Gain on Disposal (124) (1,264)
Operating Income 14,454 9,115
Other Income (Expense):    
Interest income 139 222
Interest expense (2,353) (4,792)
Non-operating income (expense), net (1,241) (1,661)
Other income (expense), net (3,455) (6,231)
Income Before Taxes on Income 10,999 2,884
Provision (Benefit) for Income Taxes 913 (270)
Net Income $ 10,086 $ 3,154
Earnings Per Share of Common Stock:    
Earnings Per Share, Basic $ 0.41 $ 0.13
Earnings Per Share, Diluted $ 0.40 $ 0.12
Weighted Average Number of Shares Outstanding, Basic 24,600 24,979
Weighted Average Number of Shares Outstanding, Diluted 24,909 25,235
v3.25.3
Condensed Consolidated Statements of Comprehensive Income - USD ($)
$ in Thousands
3 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Net income $ 10,086 $ 3,154
Other comprehensive income (loss):    
Foreign currency translation adjustments, Pre-tax (43) 6,951
Foreign currency translation adjustments, Tax 0 0
Foreign currency translation adjustments, Net of Tax (43) 6,951
Postemployment actuarial change, Pre-tax (22) 106
Postemployment actuarial change, Tax 4 (35)
Postemployment actuarial change, Net of Tax (18) 71
Derivative gain (loss), Pre-tax 644 (1,747)
Derivative gain (loss), Tax (149) 445
Derivative gain (loss), Net of Tax 495 (1,302)
Reclassification to (earnings) loss:    
Derivatives, Reclassification to (earnings) loss, Pre-tax (154) 384
Derivatives, Reclassification to (earnings) loss, Tax 67 (106)
Derivatives, Reclassification to (earnings) loss, Net of Tax (87) 278
Amortization of actuarial change, Pre-tax 60 53
Amortization of actuarial change, Tax (15) (13)
Amortization of actuarial change, Net of Tax 45 40
Other comprehensive income (loss), Pre-tax 485 5,747
Other comprehensive income (loss), Tax (93) 291
Other comprehensive income (loss), Net of Tax 392 6,038
Total comprehensive income (loss) 10,478 9,192
Foreign Exchange Contract    
Other comprehensive income (loss):    
Derivative gain (loss), Pre-tax $ 644 $ (1,747)
v3.25.3
Condensed Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
3 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Cash Flows From Operating Activities:    
Net income $ 10,086 $ 3,154
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization 9,117 9,195
(Gain) loss on sales of assets 273 (126)
Deferred income taxes (1,762) 3,146
Gain on Disposal (124) (1,264)
Stock-based compensation 1,563 2,072
Other, net (1,181) 646
Change in operating assets and liabilities:    
Receivables (7,391) 20,091
Contract assets (3,497) 1,994
Inventories 1,692 5,110
Prepaid expenses and other assets 2,804 13,013
Accounts payable 7,543 2,300
Advances from customers (10,660) 8,685
Accrued expenses and taxes payable (398) (22,542)
Net cash provided by operating activities 8,065 45,474
Cash Flows From Investing Activities:    
Capital expenditures (10,516) (13,357)
Proceeds from sales of assets 3,922 225
Purchases of capitalized software (54) (165)
Proceeds from Divestiture of Businesses 431 18,507
Other, net 15 16
Net cash (used for) provided by investing activities (6,202) 5,226
Cash Flows From Financing Activities:    
Repayments of Lines of Credit (11,250) (50,000)
Net change in revolving credit facilities 1,700 900
Repurchases of common stock (1,195) (2,917)
Payments related to tax withholding for stock-based compensation (3,221) (937)
Net cash used for financing activities (13,966) (52,954)
Effect of Exchange Rate Change on Cash and Cash Equivalents 116 1,830
Net Decrease in Cash, Cash Equivalents, and Restricted Cash (11,987) (424)
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period (1) 89,467 78,779
Cash, Cash Equivalents, and Restricted Cash at End of Period (1) 77,480 [1] 78,355
Cash paid during the period for:    
Income taxes 4,934 5,269
Interest expense 2,285 7,179
Non-cash investing activity:    
Unpaid purchases of property and equipment at the end of the period 12,077 $ 855
Cash and cash equivalents 75,696  
Restricted Cash $ 1,784  
[1]
(1) The following table reconciles cash and cash equivalents in the balance sheets to cash, cash equivalents, and restricted cash per the statements of cash flows. The restricted cash included in Prepaid expenses and other current assets on the balance sheet represents funds held by the Company for a foreign subsidiary’s employee savings plan.
v3.25.3
Condensed Consolidated Statements of Cash Flows - Cash Reconciliation - USD ($)
$ in Thousands
Sep. 30, 2025
Jun. 30, 2025
Sep. 30, 2024
Jun. 30, 2024
Cash, Cash Equivalent, Restricted Cash, and Restricted Cash Equivalent, Continuing Operation [Abstract]        
Cash and cash equivalents $ 75,696 $ 88,781    
Restricted Cash 1,784 686    
Cash, Cash Equivalents, and Restricted Cash $ 77,480 [1] $ 89,467 $ 78,355 $ 78,779
[1]
(1) The following table reconciles cash and cash equivalents in the balance sheets to cash, cash equivalents, and restricted cash per the statements of cash flows. The restricted cash included in Prepaid expenses and other current assets on the balance sheet represents funds held by the Company for a foreign subsidiary’s employee savings plan.
v3.25.3
Condensed Consolidated Statement of Share Owners' Equity Statement - USD ($)
$ in Thousands
Total
Additional Paid-in Capital
Retained Earnings
Accumulated Other Comprehensive Income (Loss)
Treasury Stock, Common
Share Owners' Equity at Jun. 30, 2024 $ 540,461 $ 319,463 $ 316,564 $ (17,807) $ (77,759)
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net income 3,154   3,154    
Other Comprehensive Income (Loss), Net of Tax 6,038     6,038  
Compensation expense related to stock compensation plan 1,958 1,958      
Performance Share Issuance (961) (2,246)     1,285
Treasury Stock, Value, Acquired, Cost Method (2,892)       (2,892)
Share Owners' Equity at Sep. 30, 2024 547,758 319,175 319,718 (11,769) (79,366)
Share Owners' Equity at Jun. 30, 2025 569,884 323,309 333,548 1,063 (88,036)
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net income 10,086   10,086    
Other Comprehensive Income (Loss), Net of Tax 392     392  
Compensation expense related to stock compensation plan 1,438 1,438      
Performance Share Issuance (3,220) (5,327)     2,107
Treasury Stock Reissued for Charitable Donation 30 17     13
Treasury Stock, Value, Acquired, Cost Method (1,471)       (1,471)
Share Owners' Equity at Sep. 30, 2025 $ 577,139 $ 319,437 $ 343,634 $ 1,455 $ (87,387)
v3.25.3
Condensed Consolidated Statement of Share Owners' Equity Parentheticals - shares
3 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Performance Share Issuance, Shares 122,000 83,000
Restricted Share Units Issuance, Shares 46,000 22,000
Stock Issued During Period, Shares, Issued for Services 0 0
Treasury Stock, Shares, Acquired 49,000 159,000
Treasury Stock Reissued for Charitable Donation, Shares 1,000  
v3.25.3
Note 1. Business Description and Summary of Significant Accounting Policies
3 Months Ended
Sep. 30, 2025
Accounting Policies [Abstract]  
Significant Accounting Policies Business Description and Summary of Significant Accounting Policies
Business Description:
Kimball Electronics, Inc. (also referred to herein as “Kimball Electronics,” the “Company,” “we,” “us,” or “our”) is a global, multifaceted manufacturing solutions provider. We provide electronics manufacturing services (“EMS”), including engineering and supply chain support, to customers in the automotive, medical, and industrial end markets. We further produce higher level and final assemblies and offer contract manufacturing organization (“CMO”) solutions which include the production of medical disposables and drug delivery devices, from precision molded plastics and cold chain management to drug integration. Our design and manufacturing expertise coupled with robust processes and procedures help us ensure that we deliver the highest levels of quality, reliability, and service throughout the entire life cycle of our customers’ products. We deliver award-winning service across our highly integrated global footprint, which is enabled by our largely common operating system, procedures, and standardization. We are well recognized by customers and industry trade publications for our excellent quality, reliability, and innovative service.
Basis of Presentation:
The Condensed Consolidated Financial Statements presented herein reflect the consolidated financial position as of September 30, 2025 and June 30, 2025, results of operations for the three months ended September 30, 2025 and 2024, cash flows for the three months ended September 30, 2025 and 2024, and share owners’ equity for the three months ended September 30, 2025 and 2024. The financial data presented herein is unaudited and should be read in conjunction with the annual Consolidated Financial Statements as of and for the year ended June 30, 2025 and related notes thereto included in our Annual Report on Form 10-K. As such, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) have been condensed or omitted, although we believe that the disclosures are adequate to make the information presented not misleading. Intercompany transactions and balances have been eliminated. Management believes the financial statements include all adjustments (consisting only of normal recurring adjustments) considered necessary to present fairly the financial statements for the interim periods. The results of operations for the interim periods shown in this report are not necessarily indicative of results for any future interim period or for the entire fiscal year.
Revenue Recognition:
We recognize revenue in accordance with the standard issued by the Financial Accounting Standards Board (“FASB”), Revenue from Contracts with Customers and all the related amendments. Our revenue from contracts with customers is generated primarily from manufacturing services provided for the production of electronic assemblies, components, medical devices, medical disposables, precision molded plastics built to customers’ specifications. Our customer agreements are generally not for a definitive term but continue for the relevant product’s life cycle. Typically, our customer agreements do not commit the customer to purchase our services until a purchase order or a contractually binding forecast is provided, which are generally short term in nature. Customer purchase orders and contractually binding forecasts primarily have a single performance obligation. Generally, the prices stated in the customer purchase orders or committed to in contractually binding forecasts are agreed upon prices for the manufactured product and do not vary over the term of the order or the contractually binding forecast period, and therefore, the majority of our contracts do not contain variable consideration. In limited circumstances, we may enter into a contract which contains minimum quantity thresholds to cover our capital costs, and we may offer our customer a rebate for specific volume thresholds or other incentives; in these cases, the rebates or incentives are accounted for as variable consideration.
The majority of our revenue is recognized over time as manufacturing services are performed as we manufacture a product to customer specifications with no alternative use and we have an enforceable right to payment for performance completed to date. The remaining revenue for manufacturing services is recognized when the customer obtains control of the product, typically either upon shipment or delivery of the product dependent on the terms of the contract, and the customer is able to direct the use of and obtain substantially all of the remaining benefits from the asset. We generally recognize revenue over time using costs based input methods, in which judgment is required to evaluate assumptions including anticipated margins to estimate the corresponding amount of revenue to recognize. Costs used as a basis for estimating anticipated margins include material, direct and indirect labor, and appropriate applied overheads. Anticipated margins are determined based on historical or quoted customer pricing. Costs based input methods are considered a faithful depiction of our efforts and progress toward satisfying our performance obligations for manufacturing services and for which we believe we are entitled to payment for performance completed to date. The cumulative effect of revisions to estimates related to net contract revenues or costs are recorded in the period in which the revisions to estimates are identified and the amounts can be reasonably estimated.
We have elected to account for shipping and handling activities related to contracts with customers as costs to fulfill our promise to transfer the associated services and products. Accordingly, we record customer payments of shipping and handling costs as a component of net sales and classify such costs as a component of cost of sales. We recognize sales net of applicable sales or value add taxes. Based on estimated product returns and price concessions, a reserve for returns and allowances is recorded at the time revenue is recognized, resulting in a reduction of net revenue.
Direct incremental costs to obtain and fulfill a contract are capitalized as a contract asset only if they are material, expected to be recovered, and are not accounted for in accordance with other guidance. Incidental items that are immaterial in the context of the contract are recognized as expense in the period incurred.
Trade Accounts Receivable:
The Company’s trade accounts receivable are recorded per the terms of the agreement or sale, and accrued interest is recognized when earned. Our policy for estimating the allowance for credit losses on trade accounts receivable includes analysis of such items as aging, credit worthiness, payment history, and historical bad debt experience. Management uses these specific analyses in conjunction with an evaluation of the general economic and market conditions to estimate expected credit losses. Management believes that historical loss information generally provides a basis for its assessment of expected credit losses. Trade accounts receivable are written off after exhaustive collection efforts occur and the receivable is deemed uncollectible. Adjustments to the allowance for credit losses are recorded in Selling and Administrative Expenses on our Condensed Consolidated Statements of Income.
In the ordinary course of business, customers periodically negotiate extended payment terms on trade accounts receivable. Customary terms require payment within 30 to 45 days, with any terms beyond 45 days being considered extended payment terms. We participate in our customers’ supply chain financing arrangements for certain of our accounts receivables in order to extend terms for the customer without negatively impacting our cash flow. These arrangements in all cases do not contain recourse provisions which would obligate us in the event of our customers’ failure to pay. Receivables are considered sold when they are transferred beyond the reach of Kimball Electronics and its creditors, the purchaser has the right to pledge or exchange the receivables, and we have surrendered control over the transferred receivables. In the three months ended September 30, 2025 and 2024, we sold, without recourse, $71.2 million and $87.3 million of accounts receivable, respectively. For the three months ended September 30, 2025 and 2024, factoring fees were $0.7 million and $0.5 million. Factoring fees are recorded in Non-operating income (expense), net on our Condensed Consolidated Statements of Income.
Beginning in the fourth quarter of fiscal year 2025, we are also a party to a Receivables Purchase Agreement (the “RPA”) with a third-party banking institution for the sale of trade receivables generated from sales to certain customers, subject to acceptance by, and a funding commitment from, the bank that is a party to the RPA. Receivables sold pursuant to the RPA are serviced by us.
Under the program, we sell our entire interest in certain receivables at the invoice amount less a discount. Upon sale, these receivables are removed from the Condensed Consolidated Balance Sheets and cash received is presented as cash provided by operating activities in the Condensed Consolidated Statements of Cash Flows. We are required to remit amounts collected as a servicer under the RPA on a weekly basis to the financial institution that purchased the receivables. Our risks with respect to receivables we service include commercial disputes regarding such receivables and no greater than 5% of sold and outstanding receivables in the event of customer insolvency.
In the three months ended September 30, 2025, under this program, we sold $28.6 million of receivables and incurred discount fees of $0.2 million, recorded in Non-operating income (expense), net on our Condensed Consolidated Statements of Income. Receivables sold under the RPA and subject to our servicing that remained outstanding and uncollected as of September 30, 2025 and June 30, 2025 were $22.1 million and $19.4 million, respectively.
In fiscal year 2024, we recorded an allowance for credit losses of $2.0 million related to a customer, not in bankruptcy, but was deemed necessary in consideration of the expected timing of payments and risk of default. We continue to pursue full recovery. The amount expected to be collected after twelve months is included in Other Assets, net on the Condensed Consolidated Balance Sheet. At September 30, 2025, the noncurrent receivable associated with this customer in Other Assets, net of allowance for expected credit losses, totaled $2.4 million. The current portion of receivables from this customer is $1.5 million at September 30, 2025.
In limited circumstances, our China operation may receive banker’s acceptance drafts from customers as payment on account. The banker’s acceptance drafts are non-interest bearing and primarily mature within six months from the origination date. The Company has the ability to sell the drafts at a discount or transfer the drafts in settlement of current accounts payable prior to the scheduled maturity date. There are no drafts outstanding at both September 30, 2025 and June 30, 2025. Drafts received and
outstanding would be reflected in Receivables on the Condensed Consolidated Balance Sheets until the banker’s drafts are sold at a discount, transferred in settlement of current accounts payable, or cash is received at maturity. Banker’s acceptance drafts sold at a discount or transferred in settlement of current accounts payable during the three months ended September 30, 2025 were $11.1 million. No banker’s acceptance drafts were sold at a discount or transferred in settlement of current accounts payable during the three months ended September 30, 2024.
Property, Equipment, and Depreciation
Property and equipment are stated at cost less accumulated depreciation and depreciated over the estimated useful life of the assets using the straight-line method for most assets and units of production method for certain fully dedicated machinery and equipment. Generally, maintenance and repairs are expensed as incurred. Depreciation and expenses for maintenance and repairs are included in both Cost of Sales and Selling and Administrative Expense on the Condensed Consolidated Statements of Income.
Non-operating Income (Expense), net:
Non-operating income (expense), net includes the impact of such items as foreign currency rate movements and related derivative gain or loss, fair value adjustments on supplemental employee retirement plan (“SERP”) investments, government subsidies, factoring fees, bank charges, and other miscellaneous non-operating income and expense items that are not directly related to operations. The gain (loss) on SERP investments is offset by a change in the SERP liability that is recognized in Selling and Administrative Expenses.
Components of Non-operating income (expense), net:
 Three Months Ended
 September 30
(Amounts in Thousands)20252024
Foreign currency/derivative gain (loss)$(145)$(1,034)
Gain (loss) on SERP investments225 345 
Factoring fees(917)(537)
Credit facilities and bank fees(231)(263)
Other(180)(172)
Non-operating income (expense), net$(1,241)$(1,661)
Income Taxes:
In determining the quarterly provision for income taxes, we use an estimated annual effective tax rate which is based on expected annual income, statutory tax rates, and available tax planning opportunities in the various jurisdictions in which we operate. Unusual or infrequently occurring items are separately recognized in the quarter in which they occur.
On July 4, 2025, the One Big Beautiful Bill Act (“2025 U.S. tax reform”) was enacted into law. The 2025 U.S. Tax reform contains several key tax laws, including extensions and modifications of the Tax Cuts and Jobs Act. In accordance with ASC 740, Income Taxes, the Company is required to recognize the effect of the tax law changes in the period of enactment, such as remeasuring the estimated U.S. deferred tax assets and liabilities, as well as potential impacts to previously existing valuation allowances. The legislation has multiple effective dates, with certain provisions effective in fiscal year 2026 and others implemented through fiscal year 2028. The impact from this legislation has resulted in a partial release of the valuation allowance against the business interest limitation deferred tax asset in the three months ended September 30, 2025. The Company will continue to monitor and assess future impacts from the 2025 U.S. tax reform.
Deferred income tax assets and liabilities, recorded in Other Assets, net and Other long-term liabilities, respectively, in the Condensed Consolidated Balance Sheets, are recognized for the estimated future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. These assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which the temporary differences are expected to reverse. We evaluate the recoverability of deferred tax assets each quarter by assessing the likelihood of future taxable income and available tax planning strategies that could be implemented to realize our deferred tax assets. If recovery is not likely, we provide a valuation allowance based on our best estimate of future taxable income in the various taxing jurisdictions and the amount of deferred taxes ultimately realizable. Future events could change management’s assessment.
We operate within multiple taxing jurisdictions and are subject to tax audits in these jurisdictions. These audits can involve complex uncertain tax positions, which may require an extended period of time to resolve. A tax benefit from an uncertain tax position may be recognized only if it is more likely than not that the tax position will be sustained on examination by taxing authorities, based on the technical merits of the position. We maintain a liability for uncertain income tax and other tax positions, including accrued interest and penalties on those positions. As tax positions are effectively settled, the tax liability is adjusted accordingly. We recognize interest and penalties related to unrecognized tax benefits in Provision for Income Taxes on the Condensed Consolidated Statements of Income.
New Accounting Standards:
Not Yet Adopted:
In September 2025, the Financial Accounting Standards Board (FASB) issued guidance on Accounting for Internal-Use Software, intended to modernize the accounting for software costs and changing the requirements for capitalization of software costs. The guidance is effective for fiscal years beginning after December 15, 2027 and for interim reporting periods within those annual reporting periods. Early adoption is permitted as of the beginning of an annual reporting period, and the guidance can be applied prospectively, retrospectively, or on a modified transition approach. We are currently evaluating the impact of the adoption of this guidance on our consolidated financial statements.
In November 2024, the FASB issued guidance on Expense Disaggregation Disclosures, requiring more disclosure about the types of expenses presented in our expense captions. The guidance is effective for fiscal years beginning after December 15, 2026 and for interim periods within annual reporting periods beginning after December 15, 2027. Early adoption is permitted, and the guidance can be applied prospectively or retrospectively. We are currently evaluating the impact of the adoption of this guidance on our consolidated financial statements.
In December 2023, the FASB issued guidance on Improvements to Income Tax Disclosures, intended to enhance the transparency and decision usefulness of income tax disclosures. The guidance is effective for fiscal years beginning after December 15, 2024. Early adoption is permitted, and the guidance is to be adopted prospectively with the option to adopt retrospectively. The Company plans to adopt the standard for the year ending June 30, 2026 using a prospective approach and will include the required additional disclosures in its Annual Report on Form 10-K for the fiscal year.
v3.25.3
Note 2. Revenue from Contracts with Customers
3 Months Ended
Sep. 30, 2025
Revenue from Contract with Customer [Abstract]  
Revenue from Contract with Customer Revenue from Contracts with Customers
Our revenue from contracts with customers is generated primarily from manufacturing services provided for the production of electronic assemblies, electronic and non-electronic components, medical devices, medical disposables, and precision molded plastics in automotive, medical, and industrial applications, to the specifications and designs of our customers. Beginning in the first quarter of fiscal year 2026, sales to certain customers previously included in the automotive vertical, specifically those customers more aligned with commercial vehicle applications versus passenger vehicles, are now reflected in the industrial vertical to better reflect the nature of the programs. Prior periods have been recast to conform to current period presentation.
The following table disaggregates our revenue by end market vertical for the three months ended September 30, 2025 and 2024.
Three Months Ended
September 30
(Amounts in Millions)20252024
Vertical Markets:
Automotive (1)
$164.4 $181.8 
Medical
101.6 89.8 
Industrial (1)
99.6 102.7 
Total net sales$365.6 $374.3 
(1)For the three months ended September 30, 2024, $6.6 million of the industrial net sales were previously categorized as automotive.
For the three months ended September 30, 2025 and 2024, approximately 99% and 97%, respectively, of our net sales were recognized over time as manufacturing services were performed under a customer contract on a product with no alternative use and we have an enforceable right to payment for performance completed to date. The remaining sales revenues were recognized at a point in time when the customer obtained control of the products.
The timing differences of revenue recognition, billings to our customers, and cash collections from our customers result in billed accounts receivable and unbilled accounts receivable. Contract assets on the Condensed Consolidated Balance Sheets relate to unbilled accounts receivable and occur when revenue is recognized over time as manufacturing services are provided and the billing to the customer has not yet occurred as of the balance sheet date, which are generally transferred to receivables in the next fiscal quarter due to the short-term nature of the manufacturing cycle. Contract assets were $75.2 million and $71.8 million as of September 30, 2025 and June 30, 2025, respectively.
The Company may receive payments from customers in advance of the satisfaction of performance obligations primarily for material price variances, inventory purchases, tooling, or other miscellaneous services or costs. These payments are recognized as contract liabilities until the performance obligations are completed and are included in Advances from customers, if inventory related, and Accrued expenses, if not inventory related, on the Condensed Consolidated Balance Sheets, which amounted to $32.1 million and $41.5 million as of September 30, 2025 and June 30, 2025, respectively. Other than deposits associated with inventory purchases classified as long term, our performance obligations are short term in nature and therefore our contract liabilities are all expected to be settled within twelve months. See Note 5 - Inventories of Notes to Condensed Consolidated Financial Statements for further discussion.
v3.25.3
Note 3. Assets and Liabilities Held for Sale
3 Months Ended
Sep. 30, 2025
Discontinued Operations and Disposal Groups [Abstract]  
Disposal Groups, Including Discontinued Operations, Disclosure Sale of GES
Following approval by our Board of Directors, on July 31, 2024, we entered into a definitive agreement and closed on the sale of 100% of the equity interests in GES to Averna Test Systems, Inc., resulting in cash proceeds after costs to sell of $18.5 million.
The following table summarizes net sales and income (loss) before taxes on income for the disposal group:
Three Months Ended
September 30
(Amounts in Thousands)20252024
Net Sales$— $2,075 
Income (Loss) Before Taxes on Income (1)
$— $985 
(1) Includes gain on sale of $1.3 million for the three months ended September 30, 2024 and also includes allocated corporate overhead expenses.
v3.25.3
Note 4. Restructuring Activities
3 Months Ended
Sep. 30, 2025
Restructuring and Related Activities [Abstract]  
Restructuring and Related Activities Disclosure Restructuring Activities
During fiscal year 2025, we continued our restructuring efforts to align our cost structure with reduced end market demand levels, including resizing our workforce and taking specific cost actions, and recorded restructuring expense of $5.7 million, which were primarily employee-related costs. During fiscal year 2026, we recorded additional restructuring expense of $0.3 million. The cumulative amount incurred since inception of these efforts beginning in fiscal year 2024 through September 30, 2025 was $8.5 million. As we are seeing additional end market demand pressures, and as we monitor the progression of tariffs, reciprocal tariffs, and the geopolitical economic environment broadly, we expect to incur additional restructuring costs over the course of the fiscal year as necessary.
Additionally, on November 4, 2024, the Company announced that its Board of Directors has approved a plan to cease operations at our Tampa facility (“Tampa Closure Plan”). The decision was made to leverage capacity within our global footprint and streamlining the operating structure. At June 30, 2025, we revised our estimated restructuring charges that we expect to incur to approximately $5.5 million to $6.5 million in total exit costs, including most significantly $4.5 million in employee termination benefits and $1.0 million to $2.0 million in logistical costs to transfer and validate programs at our other facilities. These costs are predominantly cash expenditures. We recorded restructuring expense of $1.1 million in the three months ended September 30, 2025 for the Tampa Closure Plan. The cumulative amount incurred since inception of the Tampa Closure Plan during fiscal year 2025 through September 30, 2025 was $6.3 million. The restructuring charges are considered substantially complete at September 30, 2025. We do not expect significant additional restructuring charges relating to these previously announced restructuring efforts.
Accrued restructuring is recorded in Accrued expenses in the Condensed Consolidated Balance Sheet. The changes in the Company’s accrued restructuring costs under the Tampa Closure Plan were as follows:
(Amounts in Thousands)Severance and Termination BenefitsOther Exit CostsTotal
Balance at June 30, 2025
$2,018 $— $2,018 
Restructuring charges164 903 1,067 
Payments(1,775)(903)(2,678)
Non-cash activity— — — 
Balance at September 30, 2025
$407 $— $407 
As Tampa’s operations ceased in the fourth quarter of fiscal year 2025, their land, building, and certain equipment met the criteria to be classified as Assets Held for Sale at June 30, 2025. The total carrying value of $6.9 million at June 30, 2025 included land of $5.1 million, buildings of $1.5 million, and machinery and equipment of $0.3 million. These assets are reflected as Assets held for sale in our Condensed Consolidated Balance Sheets, and we ceased recording depreciation and amortization on the applicable assets. During the three months ended September 30, 2025, we sold the machinery and equipment, and the total carrying value of Assets Held for Sale at September 30, 2025 of $6.6 million includes land of $5.1 million and buildings of $1.5 million. We expect the Assets Held for Sale to be disposed of in fiscal year 2026. We anticipate the proceeds will exceed the combined amount of the total expected restructuring costs and the carrying value of the Assets Held for Sale, and as such no impairment was recorded.
v3.25.3
Note 5. Inventories
3 Months Ended
Sep. 30, 2025
Inventory Disclosure [Abstract]  
Inventory Disclosure Inventories
Inventories were valued using the lower of first-in, first-out (“FIFO”) cost and net realizable value. Inventory components were as follows:
(Amounts in Thousands)September 30, 2025June 30, 2025
Finished products$124 $111 
Work-in-process716 628 
Raw materials271,885 272,761 
Total inventory$272,725 $273,500 
Additionally, as of September 30 and June 30, 2025, we have raw materials inventory totaling $38.5 million and $39.4 million, respectively, classified as long-term included in Other Assets, net in our Condensed Consolidated Balance Sheets. A majority of this inventory is associated with a customer who is remediating a recall and we do not expect the inventory to be consumed within the next twelve months. The remaining inventory classified as long term is primarily related to other excess raw materials inventory we do not expect to consume or sell within twelve months. For a majority of these, we have arrangements with our customers to pay us carrying costs. As of September 30, 2025 and June 30, 2025, we have received deposits for long-term inventory totaling $25.2 million and $27.0 million, respectively, which is included in Other long-term liabilities in our Condensed Consolidated Balance Sheets.
v3.25.3
Note 6. Accumulated Other Comprehensive Income (Loss)
3 Months Ended
Sep. 30, 2025
Equity [Abstract]  
Accumulated Comprehensive Income (Loss) Accumulated Other Comprehensive Income (Loss)
During the three months ended September 30, 2025 and 2024, the changes in the balances of each component of Accumulated Other Comprehensive Income (Loss), net of tax, were as follows:
Accumulated Other Comprehensive Income (Loss)
(Amounts in Thousands)Foreign Currency Translation AdjustmentsDerivative Gain (Loss)Post Employment Benefits
Net Actuarial Gain (Loss)
Accumulated Other Comprehensive Income (Loss)
Balance at June 30, 2025
$2,263 $(261)$(939)$1,063 
Other comprehensive income (loss) before reclassifications(43)495 (18)434 
Reclassification to (earnings) loss— (87)45 (42)
Net current-period other comprehensive income (loss)(43)408 27 392 
Balance at September 30, 2025
$2,220 $147 $(912)$1,455 
Balance at June 30, 2024
$(14,260)$(2,395)$(1,152)$(17,807)
Other comprehensive income (loss) before reclassifications6,951 (1,302)71 5,720 
Reclassification to (earnings) loss— 278 40 318 
Net current-period other comprehensive income (loss)6,951 (1,024)111 6,038 
Balance at September 30, 2024
$(7,309)$(3,419)$(1,041)$(11,769)
The following reclassifications were made from Accumulated Other Comprehensive Income (Loss) to the Condensed Consolidated Statements of Income:
Reclassifications from Accumulated Other Comprehensive Income (Loss)Three Months EndedAffected Line Item in the Condensed Consolidated Statements of Income
September 30
(Amounts in Thousands)20252024
Derivative gain (loss) (1)
$154 $(384)Cost of Sales
(67)106 Benefit (Provision) for Income Taxes
$87 $(278)Net of Tax
Postemployment Benefits:
  Amortization of actuarial gain (2)
(60)(53)Non-operating income (expense), net
15 13 Benefit (Provision) for Income Taxes
$(45)$(40)Net of Tax
Total reclassifications for the period$42 $(318)Net of Tax
Amounts in parentheses indicate reductions to income.
(1) See Note 10 - Derivative Instruments of Notes to Condensed Consolidated Financial Statements for further information on derivative instruments.
(2) See Note 11 - Employee Benefit Plans of Notes to Condensed Consolidated Financial Statements for further information on postemployment benefit plans.
v3.25.3
Note 7. Commitments and Contingent Liabilities
3 Months Ended
Sep. 30, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Disclosure Commitments and Contingent Liabilities
The Company typically provides only assurance-type warranties for a limited time period, which cover workmanship and assures the product complies with specifications provided by or agreed upon with the customer. We maintain a provision for limited warranty repair or replacement of products manufactured and sold, which has been established in specific manufacturing contract agreements. We estimate product warranty liability at the time of sale based on historical repair or replacement cost trends in conjunction with the length of the warranty offered. Management refines the warranty liability regularly based on changes in historical cost trends and in certain cases where specific warranty issues become known. This product warranty liability and expense were immaterial as of and during the three months ended September 30, 2025 and 2024, respectively.
v3.25.3
Note 8. Credit Facilities
3 Months Ended
Sep. 30, 2025
Debt Disclosure [Abstract]  
Debt Disclosure Credit Facilities
Credit facilities consisted of the following:
Available
Borrowing Capacity at
Borrowings Outstanding atBorrowings Outstanding at
(Amounts in Millions, in U.S. Dollar Equivalents)September 30, 2025September 30, 2025June 30, 2025
Primary credit facility, revolving (1)
$257.9 $41.7 $50.0 
Primary credit facility, term (1)
3.8 96.2 97.5 
Thailand overdraft credit facility (2)
10.1 — — 
Netherlands revolving credit facility (2)
10.8 — — 
Poland revolving credit facility (2)
11.7 — — 
Total credit facilities$294.3 $137.9 $147.5 
Unamortized deferred debt financing fees$(0.4)$(0.4)
Total long-term debt$137.5 $147.1 
Less: current portion $(6.6)$(17.4)
Long-term debt under credit facilities, less current portion (3)
$130.9 $129.7 
(1)The Company maintained a U.S. primary credit facility which was scheduled to mature on May 4, 2027 that provided for $300 million in borrowings, and the Company had utilized this facility for revolving borrowings. On December 20, 2024, the Company entered into an amended and restated credit agreement (the “restated primary credit facility”) among the Company, the lenders party thereto, and JPMorgan Chase Bank, N. A., as Administrative Agent, and Bank of America, N.A., as Documentation Agent. The restated primary credit facility adds a term loan borrowing facility that provides for term loan borrowings (“term borrowings”) of $100 million repayable in scheduled quarterly installments, scheduled to mature December 20, 2029. The terms for the revolving borrowings remain largely unchanged with a maturity date of May 4, 2027 and continue to provide for $300 million in borrowings, with an option to increase the amount available for borrowing to $450 million upon request, subject to the consent of each lender participating in such increase.
This facility is maintained for working capital and general corporate purposes of the Company, and pursuant to the restated primary credit facility, the Company is permitted to use the proceeds to refinance existing indebtedness. A commitment fee is payable on the unused portion of the credit facility at a rate that ranges from 10.0 to 25.0 basis points per annum as determined by the Company’s ratio of consolidated total indebtedness to adjusted consolidated EBITDA, as defined in the restated primary credit facility. Types of borrowings available on the restated primary credit facility include term loans, revolving loans, multi-currency term loans, and swingline loans.
At September 30, 2025, the Company had $40 million Term Benchmark and $1.7 million ABR, both denominated in U.S. dollars, outstanding borrowings under the primary credit facility. At June 30, 2025, all outstanding borrowings under the primary credit facility were Term Benchmark borrowings denominated in U.S. dollars.
The interest rate on borrowings is dependent on the class, type and currencies of borrowings and will be one of the following options:
any Term Benchmark borrowing denominated in U.S. Dollars will utilize the Secured Overnight Financing Rate (“SOFR”) for one, three, or six-month tenors as elected, which is a rate per annum equal to the secured overnight financing rate for such business day published by the SOFR Administrator, the Federal Reserve Bank of New York, on the immediately succeeding business day, plus ten hundredths percent (0.10%), plus the Revolving Commitment Term Benchmark spread or Term Loan Benchmark spread which can range from 100.0 to 175.0 basis points based on the Company’s ratio of consolidated total indebtedness to adjusted consolidated EBITDA;
any Term Benchmark borrowing denominated in Euros will utilize the Euro Interbank Offered Rate (“EURIBOR”) in effect two target days prior to the advance (adjusted upwards to reflect bank reserve costs) for such interest period as defined in the agreement, plus the Revolving Commitment Term Benchmark spread or Term Loan Term Benchmark spread which can range from 100.0 to 175.0 basis points based on the Company’s ratio of consolidated total indebtedness to adjusted consolidated EBITDA; or
the Alternate Base Rate (“ABR”), which is defined as the highest of the fluctuating rate per annum equal to the higher of:
a.Prime Rate in the U.S. last quoted by the Wall Street Journal, and if this is ceased to be quoted, the highest bank prime loan rate or similar loan rate quoted by the Federal Reserve Board;
b.1/2 of 1% per annum above the Federal Reserve Bank of New York (NYFRB) Rate (as defined under the restated primary credit facility); or
c.1% per annum above the Adjusted SOFR Rate (as defined under the restated primary credit facility);
plus the Revolving Commitment ABR spread which can range from 0.0 to 75.0 basis points based on the Company’s ratio of consolidated total indebtedness to adjusted consolidated EBITDA. Under the restated primary credit facility, the ABR Spread and Benchmark Spread for term borrowings are the same as for revolving borrowings.
The Company’s financial covenants under the amended primary credit facility require:
a ratio of consolidated total indebtedness minus unencumbered U.S. cash on hand in the United States in excess of $15 million to adjusted consolidated EBITDA, determined as of the end of each of its fiscal quarters for the then most recently ended four fiscal quarters, to not be greater than 3.0 to 1.0, provided, however, that for each fiscal quarter end during the four quarter period following a material permitted acquisition, as defined in the Credit Agreement, the Company will not permit this financial covenant to be greater than 3.5 to 1.0 for each such fiscal quarter end, and,
an interest coverage ratio, defined as that ratio of consolidated EBITDA for such period to cash interest expense for such period, for any period of four consecutive fiscal quarters, to not be less than 3.5 to 1.0.
The Company had $0.4 million in letters of credit contingently committed against the primary credit facility at both September 30, 2025 and June 30, 2025.
(2)The Company also maintains foreign credit facilities for working capital and general corporate purposes at specific foreign locations rather than utilizing funding from intercompany sources. These foreign credit facilities can be canceled at any time by either the bank or us and generally include renewal clauses. Interest on borrowing under these facilities is charged at a rate as defined under the respective foreign credit facility.
(3)The amount of long-term debt under credit facilities, less current maturities, reflects the revolving borrowings on the primary credit facility that the Company intends, and has the ability, to refinance for a period longer than twelve months in addition to the long-term portion of the term borrowings. The revolving borrowings on the primary credit facility matures on May 4, 2027.
As of September 30, 2025, the contractual maturities of the term borrowings on the primary credit facility were as follows:
(Amounts in Millions)Contractual Maturities
Fiscal year:
Remaining 2026
3.75 
20276.25 
20287.50 
20298.75 
Thereafter70.00 
Total$96.25 
The weighted-average interest rate on borrowings outstanding under the credit facilities at September 30, 2025 and June 30, 2025 were 5.7% and 5.9%, respectively.
v3.25.3
Note 9. Fair Value
3 Months Ended
Sep. 30, 2025
Fair Value Disclosures [Abstract]  
Fair Value Disclosures Fair Value
The Company categorizes assets and liabilities measured at fair value into three levels based upon the assumptions (inputs) used to price the assets or liabilities. Level 1 provides the most reliable measure of fair value, whereas level 3 generally requires significant management judgment. The three levels are defined as follows:
Level 1: Unadjusted quoted prices in active markets for identical assets and liabilities.
Level 2: Observable inputs other than those included in level 1. For example, quoted prices for similar assets or liabilities in active markets or quoted prices for identical assets or liabilities in inactive markets.
Level 3: Unobservable inputs reflecting management’s own assumptions about the inputs used in pricing the asset or liability.
There were no changes in the inputs or valuation techniques used to measure fair values during the three months ended September 30, 2025. For more information on inputs and fair valuation techniques used, refer to our Annual Report on Form 10-K for the year ended June 30, 2025.
Recurring Fair Value Measurements:
As of September 30, 2025 and June 30, 2025, the fair values of financial assets and liabilities that are measured at fair value on a recurring basis using the market approach are categorized as follows:
 September 30, 2025
(Amounts in Thousands)Level 1Level 2Total
Assets   
Derivatives: foreign exchange contracts$— $2,577 $2,577 
Trading securities: mutual funds held in nonqualified SERP4,270 — 4,270 
Total assets at fair value$4,270 $2,577 $6,847 
Liabilities   
Derivatives: foreign exchange contracts$— $955 $955 
Total liabilities at fair value$— $955 $955 
    
 June 30, 2025
(Amounts in Thousands)Level 1Level 2Total
Assets   
Derivatives: foreign exchange contracts$— $3,017 $3,017 
Trading securities: mutual funds held in nonqualified SERP4,114 — 4,114 
Total assets at fair value$4,114 $3,017 $7,131 
Liabilities   
Derivatives: foreign exchange contracts$— $1,910 $1,910 
Total liabilities at fair value$— $1,910 $1,910 
We had no level 3 assets or liabilities at September 30, 2025 and June 30, 2025, or any activity in Level 3 assets or liabilities during the three months ended September 30, 2025.
The nonqualified supplemental employee retirement plan (“SERP”) assets consist primarily of equity funds, balanced funds, bond funds, and a money market fund. The SERP investment assets are offset by a SERP liability which represents the Company’s obligation to distribute SERP funds to participants. See Note 11 - Employee Benefit Plans of Notes to Condensed Consolidated Financial Statements for further information regarding the SERP.
Financial Instruments Not Carried At Fair Value:
Financial instruments that are not reflected in the Condensed Consolidated Balance Sheets at fair value that have carrying amounts which approximate fair value include notes receivable and borrowings under credit facilities. There were no changes to the inputs and valuation techniques used to assess the fair value of these financial instruments during the three months ended September 30, 2025. For more information on inputs and fair valuation techniques used, refer to our Annual Report on Form 10-K for the year ended June 30, 2025.
The carrying values of our cash deposit accounts, trade accounts receivable, and trade accounts payable approximate fair value due to the relatively short maturity and immaterial non-performance risk.
v3.25.3
Note 10. Derivative Instruments
3 Months Ended
Sep. 30, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments and Hedging Activities Disclosure Derivative Instruments
Foreign Exchange Contracts:
We operate internationally and are therefore exposed to foreign currency exchange rate fluctuations in the normal course of business. Our primary means of managing this exposure is to utilize natural hedges, such as aligning currencies used in the supply chain with the sale currency. To the extent natural hedging techniques do not fully offset currency risk, we use derivative instruments with the objective of reducing the residual exposure to certain foreign currency rate movements. Factors considered in the decision to hedge an underlying market exposure include the materiality of the risk, the volatility of the market, the duration of the hedge, the degree to which the underlying exposure is committed to, and the availability, effectiveness, and cost of derivative instruments. Derivative instruments are only utilized for risk management purposes and are not used for speculative or trading purposes.
We use forward contracts designated as cash flow hedges to protect against foreign currency exchange rate risks inherent in forecasted transactions denominated in a foreign currency. Non-designated foreign exchange contracts are also used to hedge against foreign currency exchange rate risks related to intercompany balances and other balance sheet positions denominated in currencies other than the functional currencies. As of September 30, 2025, we had outstanding foreign exchange contracts to hedge currencies against the U.S. dollar in the aggregate notional amount of $12.2 million and to hedge currencies against the Euro in the aggregate notional amount of 40.4 million Euro. The notional amounts are indicators of the volume of derivative activities but may not be indicators of the potential gain or loss on the derivatives.
In limited cases due to unexpected changes in forecasted transactions, cash flow hedges may cease to meet the criteria to be designated as cash flow hedges. Depending on the type of exposure hedged, we may either purchase a derivative contract in the opposite position of the undesignated hedge or may retain the hedge until it matures if the hedge continues to provide an adequate offset in earnings against the currency revaluation impact of foreign currency denominated liabilities.
The fair value of outstanding derivative instruments is recognized on the Condensed Consolidated Balance Sheets as a derivative asset or liability and presented with Prepaid expenses and other current assets and Accrued expenses, respectively. When derivatives are settled with the counterparty, the derivative asset or liability is relieved and cash flow is impacted for the net settlement. For derivative instruments that meet the criteria of hedging instruments under FASB guidance, the gain or loss on the derivative instrument is initially recorded net of related tax effect in Accumulated Other Comprehensive Income (Loss), a component of Share Owners’ Equity, and is subsequently reclassified into earnings in the period or periods during which the hedged transaction is recognized in earnings. The gain or loss associated with derivative instruments that are not designated as hedging instruments or that cease to meet the criteria for hedging under FASB guidance is reported immediately in Non-operating income (expense), net on the Condensed Consolidated Statements of Income.
Based on fair values as of September 30, 2025, we estimate that approximately $2.0 million of pre-tax derivative gain deferred in Accumulated Other Comprehensive Loss will be reclassified into earnings, along with the earnings effects of related forecasted transactions, within the next 12 months. Gains on foreign exchange contracts are generally offset by losses in operating income in the income statement when the underlying hedged transaction is recognized in earnings. Because gains or losses on foreign exchange contracts fluctuate partially based on currency spot rates, the future effect on earnings of the cash flow hedges alone is not determinable, but in conjunction with the underlying hedged transactions, the result is expected to be a decline in currency risk. The maximum length of time we had hedged our exposure to the variability in future cash flows was 12 months as of both September 30, 2025 and June 30, 2025.
See Note 9 - Fair Value of Notes to Condensed Consolidated Financial Statements for further information regarding the fair value of derivative assets and liabilities and Note 6 - Accumulated Other Comprehensive Income (Loss) of Notes to Condensed Consolidated Financial Statements for the changes in deferred derivative gains and losses.
Information on the location and amounts of derivative fair values in the Condensed Consolidated Balance Sheets and derivative gains and losses in the Condensed Consolidated Statements of Income are presented below.
Fair Value of Derivative Instruments on the Condensed Consolidated Balance Sheets
Asset DerivativesLiability Derivatives
Fair Value As of Fair Value As of
(Amounts in Thousands)Balance Sheet LocationSeptember 30,
2025
June 30,
2025
Balance Sheet LocationSeptember 30,
2025
June 30,
2025
Derivatives Designated as Hedging Instruments:
Foreign exchange contractsPrepaid expenses and other current assets$2,135 $2,540 Accrued expenses$99 $927 
      
Derivatives Not Designated as Hedging Instruments:    
Foreign exchange contractsPrepaid expenses and other current assets442 477 Accrued expenses856 983 
Total derivatives $2,577 $3,017  $955 $1,910 
The Effect of Derivative Instruments on Other Comprehensive Income (Loss)
  Three Months Ended
September 30
(Amounts in Thousands) 20252024
Amount of Pre-Tax Gain or (Loss) Recognized in Other Comprehensive Income (Loss) (OCI) on Derivatives:  
Foreign exchange contracts $644 $(1,747)
The Effect of Derivative Instruments on Condensed Consolidated Statements of Income
 Three Months Ended
(Amounts in Thousands)September 30
Derivatives in Cash Flow Hedging RelationshipsLocation of Gain or (Loss) 20252024
Amount of Pre-Tax Gain or (Loss) Reclassified from Accumulated OCI into Income: 
Foreign exchange contractsCost of Sales$154 $(384)
Derivatives Not Designated as Hedging Instruments   
Amount of Pre-Tax Gain or (Loss) Recognized in Income on Derivatives:  
Foreign exchange contractsNon-operating income (expense)$(234)$(1,545)
   
Total Derivative Pre-Tax Gain (Loss) Recognized in Income$(80)$(1,929)
v3.25.3
Note 11. Employee Benefit Plans
3 Months Ended
Sep. 30, 2025
Retirement Benefits [Abstract]  
Postemployment Benefits Disclosure Employee Benefit Plans
Defined Contribution Retirement Plan:
The Company maintains a trusteed defined contribution retirement plan which is in effect for substantially all domestic employees meeting the eligibility requirements. The Company matches 50% of eligible employee contributions up to 6%. The Company may also provide a discretionary contribution, to be authorized and determined annually by the Talent, Culture, and Compensation Committee of the Company’s Board of Directors. Total expense related to employer contributions to the domestic retirement plans was $0.5 million and $0.4 million for the three months ended September 30, 2025 and September 30, 2024, respectively.
The Company also maintains a supplemental employee retirement plan (“SERP”) for executives and other key employees which enables them to defer cash compensation on a pre-tax basis and restore amounts that would otherwise be payable under our tax-qualified retirement plans if the IRS did not have limits on includable compensation and maximum benefits. The SERP is structured as a rabbi trust, and therefore, assets in the SERP portfolio are subject to creditor claims in the event of bankruptcy. We recognize SERP investment assets on the balance sheet at current fair value. A SERP liability of the same amount is recorded on the balance sheet representing an obligation to distribute SERP funds to participants. As of September 30, 2025, both total investments and obligations under SERP were $4.3 million, of which $0.6 million were short term and $3.7 million were long term. As of June 30, 2025, both total investments and obligations under SERP were $4.1 million, of which $0.5 million were short term and $3.6 million were long term. The SERP investment assets are classified as trading, and accordingly, realized and unrealized gains and losses are recognized in the Other Income (Expense) category on our Condensed Consolidated Statements of Income. Adjustments made to revalue the SERP liability are also recognized in
income as selling and administrative expenses and offset valuation adjustments on SERP investment assets. The change in net unrealized holding (losses) gains for the three months ended September 30, 2025 and 2024 was approximately $0.2 million and $0.3 million, respectively.
Defined Benefit Postemployment Plan:
The Company established and maintains severance plans for all domestic employees and other postemployment plans for certain foreign subsidiaries. There are no statutory requirements for us to contribute to the plans, nor do employees contribute to the plans. The plans hold no assets. Benefits are paid using available cash on hand when eligible employees meet plan qualifications for payment. As of September 30, 2025, total obligations under these plans were $8.4 million of which $7.5 million were long term and $0.9 million were short term. As of June 30, 2025, total obligations under these plans were $8.2 million of which $7.3 million were long term and $0.9 million were short term. Net periodic benefit costs were not material for the three months ended September 30, 2025 and 2024.
v3.25.3
Note 12. Stock Compensation Plans
3 Months Ended
Sep. 30, 2025
Share-Based Payment Arrangement [Abstract]  
Disclosure of Compensation Related Costs, Share-based Payments Stock Compensation Plans
A stock compensation plan was created and adopted by the Company’s Board of Directors (the “Board”) on September 20, 2023 and approved by our Share Owners at our 2023 Annual Meeting on November 17, 2023. The 2023 Plan allows for the issuance of up to 2.0 million shares and replaced our former 2014 plan. The shares under the 2023 Plan may be granted in the form of incentive stock options, non-qualified stock options, stock appreciation rights, restricted awards, performance share awards, cash awards, and other equity awards. The Plan is a ten-year plan that terminates automatically on November 17, 2033. No award shall be granted pursuant to the Plan after such date, but awards theretofore granted may extend beyond that date.
On October 20, 2016, the Board approved a nonqualified deferred stock compensation plan, the Kimball Electronics, Inc. Non-Employee Directors Stock Compensation Deferral Plan (the “Deferral Plan”), which allows Non-Employee Directors to elect to defer all, or a portion of, their retainer fees in stock until retirement or termination from the Board or death. The Deferral Plan allows for issuance of up to 1.0 million shares of the Company’s common stock. For more information on the 2023 Plan and the Deferral Plan, refer to our Annual Report on Form 10-K for the year ended June 30, 2025.
During the first three months of fiscal year 2026, the following stock compensation was granted under the 2023 Plan and the Deferral Plan.
Stock Compensation GrantedQuarter GrantedShares/Units
Grant Date Fair Value (4)
Long-Term Performance Shares (1)
1st Quarter29,335 $28.35 
Long-Term Performance Shares (2)
1st Quarter153,212 $36.41 
Restricted Shares (3)
1st Quarter169,851 $28.35 
(1)Long-term performance share awards were granted to key employees. These annual performance share awards were approved by the Talent, Culture, and Compensation Committee of the Board. These awards granted in fiscal year 2026 will cliff vest at the third anniversary of the award date in fiscal year 2029.
For these key employee awards, a number of shares will be issued to each participant based upon a combination of the Company’s profitability based on its operating income over the performance period as defined in the Company’s operating business plans for the applicable fiscal years and the Company’s growth based on a comparison of its three-year compounded annual growth rate (“CAGR”) with the Electronics Manufacturing Services Industry’s three-year CAGR. The number of shares issued could be zero if minimum thresholds are not met up to a maximum of 125% if results on both measures exceed targets under the formula.
(2)Long-term performance shares were granted to leadership team members. These annual performance share awards were approved by the Talent, Culture, and Compensation Committee of the Board. The awards granted in fiscal year 2026 will cliff vest in fiscal year 2029.
Under these awards, a number of shares will be issued to each participant based upon a combination of the Company’s economic profit for fiscal years 2026, 2027, and 2028 as compared to the Board approved plan and the Company’s relative total shareholder return (rTSR) for the performance period as compared to a group of peer companies selected by the Talent, Culture, and Compensation Committee of the Board. The number of shares issued could be zero if minimum thresholds are not met up to a maximum of 200% if results on both measures exceed targets under the formula.
(3)Restricted shares were granted to leadership team members and other key employees. These restricted shares were approved by the Talent, Culture, and Compensation Committee of the Board. The contractual life of the restricted shares is three years, with one-third of the interest in the restricted shares vested after year one of the grant, another one-third after year two of the grant, and the final one-third after year three of the grant. Restricted shares are expensed over the contractual vesting period as earned. If the employment of a holder of restricted shares terminates before the RSU has vested for any reason other than death, retirement, or disability, the restricted shares not yet vested will be forfeited.
(4)The grant date fair value is the weighted average stock price based on the dates of the grants for all grants, with the exception of the portion of the long-term performance shares based on rTSR, the fair value of which is determined by a Monte Carlo simulation completed by a third party.
v3.25.3
Note 13. Leases, Codification Topic 842
3 Months Ended
Sep. 30, 2025
Leases [Abstract]  
Lessee, Operating Leases Leases
The Company leases certain office, manufacturing, and warehouse facilities and equipment under operating leases, in addition to land on which certain office and manufacturing facilities reside. These operating leases expire from fiscal year 2027 to 2056. The Company determines if a contract is or contains a lease at inception.
The lease assets and liabilities, which exclude leases with terms of 12 months or less, as of September 30, 2025 and June 30, 2025, were as follows:
(Amounts in Thousands)September 30,
2025
June 30,
2025
Operating lease right-of-use assets (included in Other Assets)$11,751 $11,779 
Operating lease liability, current (included in Accrued expenses)$795 $520 
Operating lease liability, noncurrent (included in Other long-term liabilities)$11,466 $11,386 
v3.25.3
Note 14. Share Owners' Equity
3 Months Ended
Sep. 30, 2025
Stockholders' Equity Note [Abstract]  
Stockholders' Equity Note Disclosure Share Owners’ Equity
The Company has a Board-authorized stock repurchase plan (the “Plan”) allowing the repurchase of up to $120 million of our common stock. Purchases may be made under various programs, including in open-market transactions, block transactions on or off an exchange, or in privately negotiated transactions, all in accordance with applicable securities laws and regulations. The Plan has no expiration date but may be suspended or discontinued at any time.
During the three months ended September 30, 2025 and 2024, the Company repurchased $1.5 million and $2.9 million, respectively, of common stock under the Plan at an average price of $30.01 per share and $18.01 per share, respectively, which was recorded in Treasury stock, at cost in the Consolidated Balance Sheets. Since the inception of the Plan, the Company has repurchased $105.2 million of common stock at an average cost of $15.81 per share.
v3.25.3
Note 15. Earnings Per Share
3 Months Ended
Sep. 30, 2025
Earnings Per Share [Abstract]  
Earnings Per Share Earnings Per Share
Basic and diluted earnings per share were calculated as follows under the two-class method:
Three Months Ended
September 30
(Amounts in thousands, except per share data)20252024
Basic and Diluted Earnings Per Share:
   Net Income$10,086 $3,154 
   Less: Net Income allocated to participating securities12 
   Net Income allocated to common Share Owners$10,074 $3,151 
Basic weighted average common shares outstanding24,600 24,979 
Dilutive effect of average outstanding stock compensation awards309 256 
Dilutive weighted average shares outstanding24,909 25,235 
Earnings Per Share of Common Stock:
Basic$0.41 $0.13 
Diluted$0.40 $0.12 
v3.25.3
Note 16. Segment Reporting
3 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Segment Reporting Disclosure Segment Reporting
The Company’s operations are managed by its Chief Executive Officer, who has been identified as our chief operating decision maker “CODM.” The CODM evaluates the performance of multiple business units domestically and globally, and each of these business units qualify as operating segments, providing contract manufacturing services, including engineering and supply chain support, for the production of electronic assemblies and other products including medical devices, medical disposables, precision molded plastics, and complete device assembly primarily in automotive, medical, and industrial applications, to the specifications and designs of our customers. These operating segments are aggregated into one reportable segment, Business Unit Operations, due to similarities in the nature of the products, the production process, the type of customer, the methods used to distribute the products, and long-term economic characteristics. The accounting policies for the Business Unit Operations segment are consistent with those described in Part II, Item 8, Note 1 - Business Description and Summary of Significant Accounting Policies of our Annual Report on Form 10-K for the year ended June 30, 2025.
The CODM uses operating income as the measure of profitability to evaluate income or loss generated from each operating segment and to guide decisions on capital investments and assess performance. These decisions may include capital expenditures and/or acquisitions. Expenditures for long-lived assets for the three months ended September 30, 2025 and 2024 $10.6 million and $13.5 million, respectively. The measure of segment assets is reported on the Consolidated Balance Sheet as Total Assets; however, it should be noted the discrete balance sheet information is not utilized by the CODM in assessing performance and allocating resources.
Certain corporate administrative expenses have been allocated to the Business Unit Operations Segment based upon the nature of the expenses.
The following table presents significant operations segment net sales and expenses:
 Three Months Ended
September 30
(Amounts in Thousands)20252024
Net Sales  
Business Unit Operations$368,524 $375,584 
Corporate/Eliminations(2,921)(1,328)
Total Net Sales$365,603 $374,256 
Cost of Sales (Excluding Depreciation and Amortization)327,739 341,578 
Selling and Administrative (Excluding Depreciation and Amortization)13,001 13,310 
Depreciation and Amortization9,117 9,195 
Restructuring Expense1,416 2,322 
(Gain on Disposal) Asset Impairment(124)(1,264)
Total Operating Income$14,454 $9,115 
v3.25.3
Insider Trading Arrangements
3 Months Ended
Sep. 30, 2025
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.25.3
Note 1. Business Description and Summary of Significant Accounting Policies (Policies)
3 Months Ended
Sep. 30, 2025
Accounting Policies [Abstract]  
Basis of Presentation
Basis of Presentation:
The Condensed Consolidated Financial Statements presented herein reflect the consolidated financial position as of September 30, 2025 and June 30, 2025, results of operations for the three months ended September 30, 2025 and 2024, cash flows for the three months ended September 30, 2025 and 2024, and share owners’ equity for the three months ended September 30, 2025 and 2024. The financial data presented herein is unaudited and should be read in conjunction with the annual Consolidated Financial Statements as of and for the year ended June 30, 2025 and related notes thereto included in our Annual Report on Form 10-K. As such, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) have been condensed or omitted, although we believe that the disclosures are adequate to make the information presented not misleading. Intercompany transactions and balances have been eliminated. Management believes the financial statements include all adjustments (consisting only of normal recurring adjustments) considered necessary to present fairly the financial statements for the interim periods. The results of operations for the interim periods shown in this report are not necessarily indicative of results for any future interim period or for the entire fiscal year.
Revenue Recognition
Revenue Recognition:
We recognize revenue in accordance with the standard issued by the Financial Accounting Standards Board (“FASB”), Revenue from Contracts with Customers and all the related amendments. Our revenue from contracts with customers is generated primarily from manufacturing services provided for the production of electronic assemblies, components, medical devices, medical disposables, precision molded plastics built to customers’ specifications. Our customer agreements are generally not for a definitive term but continue for the relevant product’s life cycle. Typically, our customer agreements do not commit the customer to purchase our services until a purchase order or a contractually binding forecast is provided, which are generally short term in nature. Customer purchase orders and contractually binding forecasts primarily have a single performance obligation. Generally, the prices stated in the customer purchase orders or committed to in contractually binding forecasts are agreed upon prices for the manufactured product and do not vary over the term of the order or the contractually binding forecast period, and therefore, the majority of our contracts do not contain variable consideration. In limited circumstances, we may enter into a contract which contains minimum quantity thresholds to cover our capital costs, and we may offer our customer a rebate for specific volume thresholds or other incentives; in these cases, the rebates or incentives are accounted for as variable consideration.
The majority of our revenue is recognized over time as manufacturing services are performed as we manufacture a product to customer specifications with no alternative use and we have an enforceable right to payment for performance completed to date. The remaining revenue for manufacturing services is recognized when the customer obtains control of the product, typically either upon shipment or delivery of the product dependent on the terms of the contract, and the customer is able to direct the use of and obtain substantially all of the remaining benefits from the asset. We generally recognize revenue over time using costs based input methods, in which judgment is required to evaluate assumptions including anticipated margins to estimate the corresponding amount of revenue to recognize. Costs used as a basis for estimating anticipated margins include material, direct and indirect labor, and appropriate applied overheads. Anticipated margins are determined based on historical or quoted customer pricing. Costs based input methods are considered a faithful depiction of our efforts and progress toward satisfying our performance obligations for manufacturing services and for which we believe we are entitled to payment for performance completed to date. The cumulative effect of revisions to estimates related to net contract revenues or costs are recorded in the period in which the revisions to estimates are identified and the amounts can be reasonably estimated.
We have elected to account for shipping and handling activities related to contracts with customers as costs to fulfill our promise to transfer the associated services and products. Accordingly, we record customer payments of shipping and handling costs as a component of net sales and classify such costs as a component of cost of sales. We recognize sales net of applicable sales or value add taxes. Based on estimated product returns and price concessions, a reserve for returns and allowances is recorded at the time revenue is recognized, resulting in a reduction of net revenue.
Direct incremental costs to obtain and fulfill a contract are capitalized as a contract asset only if they are material, expected to be recovered, and are not accounted for in accordance with other guidance. Incidental items that are immaterial in the context of the contract are recognized as expense in the period incurred.
Trade Accounts Receivable
Trade Accounts Receivable:
The Company’s trade accounts receivable are recorded per the terms of the agreement or sale, and accrued interest is recognized when earned. Our policy for estimating the allowance for credit losses on trade accounts receivable includes analysis of such items as aging, credit worthiness, payment history, and historical bad debt experience. Management uses these specific analyses in conjunction with an evaluation of the general economic and market conditions to estimate expected credit losses. Management believes that historical loss information generally provides a basis for its assessment of expected credit losses. Trade accounts receivable are written off after exhaustive collection efforts occur and the receivable is deemed uncollectible. Adjustments to the allowance for credit losses are recorded in Selling and Administrative Expenses on our Condensed Consolidated Statements of Income.
In the ordinary course of business, customers periodically negotiate extended payment terms on trade accounts receivable. Customary terms require payment within 30 to 45 days, with any terms beyond 45 days being considered extended payment terms.
Transfers and Servicing of Financial Assets, Transfers of Financial Assets, Policy We participate in our customers’ supply chain financing arrangements for certain of our accounts receivables in order to extend terms for the customer without negatively impacting our cash flow. These arrangements in all cases do not contain recourse provisions which would obligate us in the event of our customers’ failure to pay. Receivables are considered sold when they are transferred beyond the reach of Kimball Electronics and its creditors, the purchaser has the right to pledge or exchange the receivables, and we have surrendered control over the transferred receivables. In the three months ended September 30, 2025 and 2024, we sold, without recourse, $71.2 million and $87.3 million of accounts receivable, respectively. For the three months ended September 30, 2025 and 2024, factoring fees were $0.7 million and $0.5 million. Factoring fees are recorded in Non-operating income (expense), net on our Condensed Consolidated Statements of Income.
Beginning in the fourth quarter of fiscal year 2025, we are also a party to a Receivables Purchase Agreement (the “RPA”) with a third-party banking institution for the sale of trade receivables generated from sales to certain customers, subject to acceptance by, and a funding commitment from, the bank that is a party to the RPA. Receivables sold pursuant to the RPA are serviced by us.
Under the program, we sell our entire interest in certain receivables at the invoice amount less a discount. Upon sale, these receivables are removed from the Condensed Consolidated Balance Sheets and cash received is presented as cash provided by operating activities in the Condensed Consolidated Statements of Cash Flows. We are required to remit amounts collected as a servicer under the RPA on a weekly basis to the financial institution that purchased the receivables. Our risks with respect to receivables we service include commercial disputes regarding such receivables and no greater than 5% of sold and outstanding receivables in the event of customer insolvency.
In the three months ended September 30, 2025, under this program, we sold $28.6 million of receivables and incurred discount fees of $0.2 million, recorded in Non-operating income (expense), net on our Condensed Consolidated Statements of Income. Receivables sold under the RPA and subject to our servicing that remained outstanding and uncollected as of September 30, 2025 and June 30, 2025 were $22.1 million and $19.4 million, respectively.
Bankers Acceptance Drafts Policy In limited circumstances, our China operation may receive banker’s acceptance drafts from customers as payment on account. The banker’s acceptance drafts are non-interest bearing and primarily mature within six months from the origination date. The Company has the ability to sell the drafts at a discount or transfer the drafts in settlement of current accounts payable prior to the scheduled maturity date.
Property, Plant and Equipment, Policy
Property, Equipment, and Depreciation
Property and equipment are stated at cost less accumulated depreciation and depreciated over the estimated useful life of the assets using the straight-line method for most assets and units of production method for certain fully dedicated machinery and equipment. Generally, maintenance and repairs are expensed as incurred. Depreciation and expenses for maintenance and repairs are included in both Cost of Sales and Selling and Administrative Expense on the Condensed Consolidated Statements of Income.
Non-operating Income (Expense), net
Non-operating Income (Expense), net:
Non-operating income (expense), net includes the impact of such items as foreign currency rate movements and related derivative gain or loss, fair value adjustments on supplemental employee retirement plan (“SERP”) investments, government subsidies, factoring fees, bank charges, and other miscellaneous non-operating income and expense items that are not directly related to operations. The gain (loss) on SERP investments is offset by a change in the SERP liability that is recognized in Selling and Administrative Expenses.
Income Taxes
Income Taxes:
In determining the quarterly provision for income taxes, we use an estimated annual effective tax rate which is based on expected annual income, statutory tax rates, and available tax planning opportunities in the various jurisdictions in which we operate. Unusual or infrequently occurring items are separately recognized in the quarter in which they occur.
On July 4, 2025, the One Big Beautiful Bill Act (“2025 U.S. tax reform”) was enacted into law. The 2025 U.S. Tax reform contains several key tax laws, including extensions and modifications of the Tax Cuts and Jobs Act. In accordance with ASC 740, Income Taxes, the Company is required to recognize the effect of the tax law changes in the period of enactment, such as remeasuring the estimated U.S. deferred tax assets and liabilities, as well as potential impacts to previously existing valuation allowances. The legislation has multiple effective dates, with certain provisions effective in fiscal year 2026 and others implemented through fiscal year 2028. The impact from this legislation has resulted in a partial release of the valuation allowance against the business interest limitation deferred tax asset in the three months ended September 30, 2025. The Company will continue to monitor and assess future impacts from the 2025 U.S. tax reform.
Deferred income tax assets and liabilities, recorded in Other Assets, net and Other long-term liabilities, respectively, in the Condensed Consolidated Balance Sheets, are recognized for the estimated future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. These assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which the temporary differences are expected to reverse. We evaluate the recoverability of deferred tax assets each quarter by assessing the likelihood of future taxable income and available tax planning strategies that could be implemented to realize our deferred tax assets. If recovery is not likely, we provide a valuation allowance based on our best estimate of future taxable income in the various taxing jurisdictions and the amount of deferred taxes ultimately realizable. Future events could change management’s assessment.
Income Tax Uncertainties
We operate within multiple taxing jurisdictions and are subject to tax audits in these jurisdictions. These audits can involve complex uncertain tax positions, which may require an extended period of time to resolve. A tax benefit from an uncertain tax position may be recognized only if it is more likely than not that the tax position will be sustained on examination by taxing authorities, based on the technical merits of the position. We maintain a liability for uncertain income tax and other tax positions, including accrued interest and penalties on those positions. As tax positions are effectively settled, the tax liability is adjusted accordingly. We recognize interest and penalties related to unrecognized tax benefits in Provision for Income Taxes on the Condensed Consolidated Statements of Income.
New Accounting Standards
New Accounting Standards:
Not Yet Adopted:
In September 2025, the Financial Accounting Standards Board (FASB) issued guidance on Accounting for Internal-Use Software, intended to modernize the accounting for software costs and changing the requirements for capitalization of software costs. The guidance is effective for fiscal years beginning after December 15, 2027 and for interim reporting periods within those annual reporting periods. Early adoption is permitted as of the beginning of an annual reporting period, and the guidance can be applied prospectively, retrospectively, or on a modified transition approach. We are currently evaluating the impact of the adoption of this guidance on our consolidated financial statements.
In November 2024, the FASB issued guidance on Expense Disaggregation Disclosures, requiring more disclosure about the types of expenses presented in our expense captions. The guidance is effective for fiscal years beginning after December 15, 2026 and for interim periods within annual reporting periods beginning after December 15, 2027. Early adoption is permitted, and the guidance can be applied prospectively or retrospectively. We are currently evaluating the impact of the adoption of this guidance on our consolidated financial statements.
In December 2023, the FASB issued guidance on Improvements to Income Tax Disclosures, intended to enhance the transparency and decision usefulness of income tax disclosures. The guidance is effective for fiscal years beginning after December 15, 2024. Early adoption is permitted, and the guidance is to be adopted prospectively with the option to adopt retrospectively. The Company plans to adopt the standard for the year ending June 30, 2026 using a prospective approach and will include the required additional disclosures in its Annual Report on Form 10-K for the fiscal year.
v3.25.3
Note 2. Revenue from Contracts with Customers (Policies)
3 Months Ended
Sep. 30, 2025
Revenue from Contract with Customer [Abstract]  
Revenue Recognition, Deferred Revenue The Company may receive payments from customers in advance of the satisfaction of performance obligations primarily for material price variances, inventory purchases, tooling, or other miscellaneous services or costs. These payments are recognized as contract liabilities until the performance obligations are completed and are included in Advances from customers, if inventory related, and Accrued expenses, if not inventory related, on the Condensed Consolidated Balance Sheets
v3.25.3
Note 5. Inventories (Policies)
3 Months Ended
Sep. 30, 2025
Inventory Disclosure [Abstract]  
Inventory Inventories were valued using the lower of first-in, first-out (“FIFO”) cost and net realizable value.
v3.25.3
Note 7. Commitments and Contingent Liabilities (Policies)
3 Months Ended
Sep. 30, 2025
Commitments and Contingencies Disclosure [Abstract]  
Product Warranties The Company typically provides only assurance-type warranties for a limited time period, which cover workmanship and assures the product complies with specifications provided by or agreed upon with the customer. We maintain a provision for limited warranty repair or replacement of products manufactured and sold, which has been established in specific manufacturing contract agreements. We estimate product warranty liability at the time of sale based on historical repair or replacement cost trends in conjunction with the length of the warranty offered. Management refines the warranty liability regularly based on changes in historical cost trends and in certain cases where specific warranty issues become known.
v3.25.3
Note 8. Credit Facilities (Policies)
3 Months Ended
Sep. 30, 2025
Debt Disclosure [Abstract]  
Debt The amount of long-term debt under credit facilities, less current maturities, reflects the revolving borrowings on the primary credit facility that the Company intends, and has the ability, to refinance for a period longer than twelve months in addition to the long-term portion of the term borrowings. The revolving borrowings on the primary credit facility matures on May 4, 2027.
As of September 30, 2025, the contractual maturities of the term borrowings on the primary credit facility were as follows:
(Amounts in Millions)Contractual Maturities
Fiscal year:
Remaining 2026
3.75 
20276.25 
20287.50 
20298.75 
Thereafter70.00 
Total$96.25 
v3.25.3
Note 9. Fair Value (Policies)
3 Months Ended
Sep. 30, 2025
Fair Value Disclosures [Abstract]  
Fair Value
The Company categorizes assets and liabilities measured at fair value into three levels based upon the assumptions (inputs) used to price the assets or liabilities. Level 1 provides the most reliable measure of fair value, whereas level 3 generally requires significant management judgment. The three levels are defined as follows:
Level 1: Unadjusted quoted prices in active markets for identical assets and liabilities.
Level 2: Observable inputs other than those included in level 1. For example, quoted prices for similar assets or liabilities in active markets or quoted prices for identical assets or liabilities in inactive markets.
Level 3: Unobservable inputs reflecting management’s own assumptions about the inputs used in pricing the asset or liability.
There were no changes in the inputs or valuation techniques used to measure fair values during the three months ended September 30, 2025. For more information on inputs and fair valuation techniques used, refer to our Annual Report on Form 10-K for the year ended June 30, 2025.
Fair Value of Financial Instruments Not Carried at Fair Value
Financial Instruments Not Carried At Fair Value:
Financial instruments that are not reflected in the Condensed Consolidated Balance Sheets at fair value that have carrying amounts which approximate fair value include notes receivable and borrowings under credit facilities. There were no changes to the inputs and valuation techniques used to assess the fair value of these financial instruments during the three months ended September 30, 2025. For more information on inputs and fair valuation techniques used, refer to our Annual Report on Form 10-K for the year ended June 30, 2025.
The carrying values of our cash deposit accounts, trade accounts receivable, and trade accounts payable approximate fair value due to the relatively short maturity and immaterial non-performance risk.
v3.25.3
Note 10. Derivative Instruments (Policies)
3 Months Ended
Sep. 30, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivatives Our primary means of managing this exposure is to utilize natural hedges, such as aligning currencies used in the supply chain with the sale currency. To the extent natural hedging techniques do not fully offset currency risk, we use derivative instruments with the objective of reducing the residual exposure to certain foreign currency rate movements. Factors considered in the decision to hedge an underlying market exposure include the materiality of the risk, the volatility of the market, the duration of the hedge, the degree to which the underlying exposure is committed to, and the availability, effectiveness, and cost of derivative instruments. Derivative instruments are only utilized for risk management purposes and are not used for speculative or trading purposes.
We use forward contracts designated as cash flow hedges to protect against foreign currency exchange rate risks inherent in forecasted transactions denominated in a foreign currency. Non-designated foreign exchange contracts are also used to hedge against foreign currency exchange rate risks related to intercompany balances and other balance sheet positions denominated in currencies other than the functional currencies. As of September 30, 2025, we had outstanding foreign exchange contracts to hedge currencies against the U.S. dollar in the aggregate notional amount of $12.2 million and to hedge currencies against the Euro in the aggregate notional amount of 40.4 million Euro. The notional amounts are indicators of the volume of derivative activities but may not be indicators of the potential gain or loss on the derivatives.
In limited cases due to unexpected changes in forecasted transactions, cash flow hedges may cease to meet the criteria to be designated as cash flow hedges. Depending on the type of exposure hedged, we may either purchase a derivative contract in the opposite position of the undesignated hedge or may retain the hedge until it matures if the hedge continues to provide an adequate offset in earnings against the currency revaluation impact of foreign currency denominated liabilities.
Derivatives, Reporting of Derivative Activity
The fair value of outstanding derivative instruments is recognized on the Condensed Consolidated Balance Sheets as a derivative asset or liability and presented with Prepaid expenses and other current assets and Accrued expenses, respectively. When derivatives are settled with the counterparty, the derivative asset or liability is relieved and cash flow is impacted for the net settlement. For derivative instruments that meet the criteria of hedging instruments under FASB guidance, the gain or loss on the derivative instrument is initially recorded net of related tax effect in Accumulated Other Comprehensive Income (Loss), a component of Share Owners’ Equity, and is subsequently reclassified into earnings in the period or periods during which the hedged transaction is recognized in earnings. The gain or loss associated with derivative instruments that are not designated as hedging instruments or that cease to meet the criteria for hedging under FASB guidance is reported immediately in Non-operating income (expense), net on the Condensed Consolidated Statements of Income.
v3.25.3
Note 11. Employee Benefit Plans (Policies)
3 Months Ended
Sep. 30, 2025
Retirement Benefits [Abstract]  
Investment
The Company also maintains a supplemental employee retirement plan (“SERP”) for executives and other key employees which enables them to defer cash compensation on a pre-tax basis and restore amounts that would otherwise be payable under our tax-qualified retirement plans if the IRS did not have limits on includable compensation and maximum benefits. The SERP is structured as a rabbi trust, and therefore, assets in the SERP portfolio are subject to creditor claims in the event of bankruptcy. We recognize SERP investment assets on the balance sheet at current fair value. A SERP liability of the same amount is recorded on the balance sheet representing an obligation to distribute SERP funds to participants. As of September 30, 2025, both total investments and obligations under SERP were $4.3 million, of which $0.6 million were short term and $3.7 million were long term. As of June 30, 2025, both total investments and obligations under SERP were $4.1 million, of which $0.5 million were short term and $3.6 million were long term. The SERP investment assets are classified as trading, and accordingly, realized and unrealized gains and losses are recognized in the Other Income (Expense) category on our Condensed Consolidated Statements of Income. Adjustments made to revalue the SERP liability are also recognized in
income as selling and administrative expenses and offset valuation adjustments on SERP investment assets.
v3.25.3
Note 1. Business Description and Summary of Significant Accounting Policies (Tables)
3 Months Ended
Sep. 30, 2025
Accounting Policies [Abstract]  
Components of Non-operating income (expense), net
Components of Non-operating income (expense), net:
 Three Months Ended
 September 30
(Amounts in Thousands)20252024
Foreign currency/derivative gain (loss)$(145)$(1,034)
Gain (loss) on SERP investments225 345 
Factoring fees(917)(537)
Credit facilities and bank fees(231)(263)
Other(180)(172)
Non-operating income (expense), net$(1,241)$(1,661)
v3.25.3
Note 2. Revenue from Contracts with Customers (Tables)
3 Months Ended
Sep. 30, 2025
Revenue from Contract with Customer [Abstract]  
Disaggregation of Revenue
The following table disaggregates our revenue by end market vertical for the three months ended September 30, 2025 and 2024.
Three Months Ended
September 30
(Amounts in Millions)20252024
Vertical Markets:
Automotive (1)
$164.4 $181.8 
Medical
101.6 89.8 
Industrial (1)
99.6 102.7 
Total net sales$365.6 $374.3 
(1)For the three months ended September 30, 2024, $6.6 million of the industrial net sales were previously categorized as automotive.
v3.25.3
Note 3. Assets and Liabilities Held for Sale (Tables)
3 Months Ended
Sep. 30, 2025
Discontinued Operations and Disposal Groups [Abstract]  
Disposal Groups, Including Discontinued Operations
The following table summarizes net sales and income (loss) before taxes on income for the disposal group:
Three Months Ended
September 30
(Amounts in Thousands)20252024
Net Sales$— $2,075 
Income (Loss) Before Taxes on Income (1)
$— $985 
(1) Includes gain on sale of $1.3 million for the three months ended September 30, 2024 and also includes allocated corporate overhead expenses.
v3.25.3
Note 4. Restructuring Activities (Tables)
3 Months Ended
Sep. 30, 2025
Restructuring and Related Activities [Abstract]  
Schedule of Restructuring Reserve by Type of Cost
Accrued restructuring is recorded in Accrued expenses in the Condensed Consolidated Balance Sheet. The changes in the Company’s accrued restructuring costs under the Tampa Closure Plan were as follows:
(Amounts in Thousands)Severance and Termination BenefitsOther Exit CostsTotal
Balance at June 30, 2025
$2,018 $— $2,018 
Restructuring charges164 903 1,067 
Payments(1,775)(903)(2,678)
Non-cash activity— — — 
Balance at September 30, 2025
$407 $— $407 
v3.25.3
Note 5. Inventories (Tables)
3 Months Ended
Sep. 30, 2025
Inventory Disclosure [Abstract]  
Schedule of Inventory, Current Inventory components were as follows:
(Amounts in Thousands)September 30, 2025June 30, 2025
Finished products$124 $111 
Work-in-process716 628 
Raw materials271,885 272,761 
Total inventory$272,725 $273,500 
v3.25.3
Note 6. Accumulated Other Comprehensive Income (Loss) (Tables)
3 Months Ended
Sep. 30, 2025
Equity [Abstract]  
Schedule of Accumulated Other Comprehensive Income (Loss)
During the three months ended September 30, 2025 and 2024, the changes in the balances of each component of Accumulated Other Comprehensive Income (Loss), net of tax, were as follows:
Accumulated Other Comprehensive Income (Loss)
(Amounts in Thousands)Foreign Currency Translation AdjustmentsDerivative Gain (Loss)Post Employment Benefits
Net Actuarial Gain (Loss)
Accumulated Other Comprehensive Income (Loss)
Balance at June 30, 2025
$2,263 $(261)$(939)$1,063 
Other comprehensive income (loss) before reclassifications(43)495 (18)434 
Reclassification to (earnings) loss— (87)45 (42)
Net current-period other comprehensive income (loss)(43)408 27 392 
Balance at September 30, 2025
$2,220 $147 $(912)$1,455 
Balance at June 30, 2024
$(14,260)$(2,395)$(1,152)$(17,807)
Other comprehensive income (loss) before reclassifications6,951 (1,302)71 5,720 
Reclassification to (earnings) loss— 278 40 318 
Net current-period other comprehensive income (loss)6,951 (1,024)111 6,038 
Balance at September 30, 2024
$(7,309)$(3,419)$(1,041)$(11,769)
Reclassification out of Accumulated Other Comprehensive Income (Loss)
The following reclassifications were made from Accumulated Other Comprehensive Income (Loss) to the Condensed Consolidated Statements of Income:
Reclassifications from Accumulated Other Comprehensive Income (Loss)Three Months EndedAffected Line Item in the Condensed Consolidated Statements of Income
September 30
(Amounts in Thousands)20252024
Derivative gain (loss) (1)
$154 $(384)Cost of Sales
(67)106 Benefit (Provision) for Income Taxes
$87 $(278)Net of Tax
Postemployment Benefits:
  Amortization of actuarial gain (2)
(60)(53)Non-operating income (expense), net
15 13 Benefit (Provision) for Income Taxes
$(45)$(40)Net of Tax
Total reclassifications for the period$42 $(318)Net of Tax
Amounts in parentheses indicate reductions to income.
(1) See Note 10 - Derivative Instruments of Notes to Condensed Consolidated Financial Statements for further information on derivative instruments.
(2) See Note 11 - Employee Benefit Plans of Notes to Condensed Consolidated Financial Statements for further information on postemployment benefit plans.
v3.25.3
Note 8. Credit Facilities (Tables)
3 Months Ended
Sep. 30, 2025
Debt Disclosure [Abstract]  
Schedule of Debt
Credit facilities consisted of the following:
Available
Borrowing Capacity at
Borrowings Outstanding atBorrowings Outstanding at
(Amounts in Millions, in U.S. Dollar Equivalents)September 30, 2025September 30, 2025June 30, 2025
Primary credit facility, revolving (1)
$257.9 $41.7 $50.0 
Primary credit facility, term (1)
3.8 96.2 97.5 
Thailand overdraft credit facility (2)
10.1 — — 
Netherlands revolving credit facility (2)
10.8 — — 
Poland revolving credit facility (2)
11.7 — — 
Total credit facilities$294.3 $137.9 $147.5 
Unamortized deferred debt financing fees$(0.4)$(0.4)
Total long-term debt$137.5 $147.1 
Less: current portion $(6.6)$(17.4)
Long-term debt under credit facilities, less current portion (3)
$130.9 $129.7 
(1)The Company maintained a U.S. primary credit facility which was scheduled to mature on May 4, 2027 that provided for $300 million in borrowings, and the Company had utilized this facility for revolving borrowings. On December 20, 2024, the Company entered into an amended and restated credit agreement (the “restated primary credit facility”) among the Company, the lenders party thereto, and JPMorgan Chase Bank, N. A., as Administrative Agent, and Bank of America, N.A., as Documentation Agent. The restated primary credit facility adds a term loan borrowing facility that provides for term loan borrowings (“term borrowings”) of $100 million repayable in scheduled quarterly installments, scheduled to mature December 20, 2029. The terms for the revolving borrowings remain largely unchanged with a maturity date of May 4, 2027 and continue to provide for $300 million in borrowings, with an option to increase the amount available for borrowing to $450 million upon request, subject to the consent of each lender participating in such increase.
This facility is maintained for working capital and general corporate purposes of the Company, and pursuant to the restated primary credit facility, the Company is permitted to use the proceeds to refinance existing indebtedness. A commitment fee is payable on the unused portion of the credit facility at a rate that ranges from 10.0 to 25.0 basis points per annum as determined by the Company’s ratio of consolidated total indebtedness to adjusted consolidated EBITDA, as defined in the restated primary credit facility. Types of borrowings available on the restated primary credit facility include term loans, revolving loans, multi-currency term loans, and swingline loans.
At September 30, 2025, the Company had $40 million Term Benchmark and $1.7 million ABR, both denominated in U.S. dollars, outstanding borrowings under the primary credit facility. At June 30, 2025, all outstanding borrowings under the primary credit facility were Term Benchmark borrowings denominated in U.S. dollars.
The interest rate on borrowings is dependent on the class, type and currencies of borrowings and will be one of the following options:
any Term Benchmark borrowing denominated in U.S. Dollars will utilize the Secured Overnight Financing Rate (“SOFR”) for one, three, or six-month tenors as elected, which is a rate per annum equal to the secured overnight financing rate for such business day published by the SOFR Administrator, the Federal Reserve Bank of New York, on the immediately succeeding business day, plus ten hundredths percent (0.10%), plus the Revolving Commitment Term Benchmark spread or Term Loan Benchmark spread which can range from 100.0 to 175.0 basis points based on the Company’s ratio of consolidated total indebtedness to adjusted consolidated EBITDA;
any Term Benchmark borrowing denominated in Euros will utilize the Euro Interbank Offered Rate (“EURIBOR”) in effect two target days prior to the advance (adjusted upwards to reflect bank reserve costs) for such interest period as defined in the agreement, plus the Revolving Commitment Term Benchmark spread or Term Loan Term Benchmark spread which can range from 100.0 to 175.0 basis points based on the Company’s ratio of consolidated total indebtedness to adjusted consolidated EBITDA; or
the Alternate Base Rate (“ABR”), which is defined as the highest of the fluctuating rate per annum equal to the higher of:
a.Prime Rate in the U.S. last quoted by the Wall Street Journal, and if this is ceased to be quoted, the highest bank prime loan rate or similar loan rate quoted by the Federal Reserve Board;
b.1/2 of 1% per annum above the Federal Reserve Bank of New York (NYFRB) Rate (as defined under the restated primary credit facility); or
c.1% per annum above the Adjusted SOFR Rate (as defined under the restated primary credit facility);
plus the Revolving Commitment ABR spread which can range from 0.0 to 75.0 basis points based on the Company’s ratio of consolidated total indebtedness to adjusted consolidated EBITDA. Under the restated primary credit facility, the ABR Spread and Benchmark Spread for term borrowings are the same as for revolving borrowings.
The Company’s financial covenants under the amended primary credit facility require:
a ratio of consolidated total indebtedness minus unencumbered U.S. cash on hand in the United States in excess of $15 million to adjusted consolidated EBITDA, determined as of the end of each of its fiscal quarters for the then most recently ended four fiscal quarters, to not be greater than 3.0 to 1.0, provided, however, that for each fiscal quarter end during the four quarter period following a material permitted acquisition, as defined in the Credit Agreement, the Company will not permit this financial covenant to be greater than 3.5 to 1.0 for each such fiscal quarter end, and,
an interest coverage ratio, defined as that ratio of consolidated EBITDA for such period to cash interest expense for such period, for any period of four consecutive fiscal quarters, to not be less than 3.5 to 1.0.
The Company had $0.4 million in letters of credit contingently committed against the primary credit facility at both September 30, 2025 and June 30, 2025.
(2)The Company also maintains foreign credit facilities for working capital and general corporate purposes at specific foreign locations rather than utilizing funding from intercompany sources. These foreign credit facilities can be canceled at any time by either the bank or us and generally include renewal clauses. Interest on borrowing under these facilities is charged at a rate as defined under the respective foreign credit facility.
(3)The amount of long-term debt under credit facilities, less current maturities, reflects the revolving borrowings on the primary credit facility that the Company intends, and has the ability, to refinance for a period longer than twelve months in addition to the long-term portion of the term borrowings. The revolving borrowings on the primary credit facility matures on May 4, 2027.
Schedule of Maturities of Long-Term Debt
As of September 30, 2025, the contractual maturities of the term borrowings on the primary credit facility were as follows:
(Amounts in Millions)Contractual Maturities
Fiscal year:
Remaining 2026
3.75 
20276.25 
20287.50 
20298.75 
Thereafter70.00 
Total$96.25 
v3.25.3
Note 9. Fair Value (Tables)
3 Months Ended
Sep. 30, 2025
Fair Value Disclosures [Abstract]  
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis
As of September 30, 2025 and June 30, 2025, the fair values of financial assets and liabilities that are measured at fair value on a recurring basis using the market approach are categorized as follows:
 September 30, 2025
(Amounts in Thousands)Level 1Level 2Total
Assets   
Derivatives: foreign exchange contracts$— $2,577 $2,577 
Trading securities: mutual funds held in nonqualified SERP4,270 — 4,270 
Total assets at fair value$4,270 $2,577 $6,847 
Liabilities   
Derivatives: foreign exchange contracts$— $955 $955 
Total liabilities at fair value$— $955 $955 
    
 June 30, 2025
(Amounts in Thousands)Level 1Level 2Total
Assets   
Derivatives: foreign exchange contracts$— $3,017 $3,017 
Trading securities: mutual funds held in nonqualified SERP4,114 — 4,114 
Total assets at fair value$4,114 $3,017 $7,131 
Liabilities   
Derivatives: foreign exchange contracts$— $1,910 $1,910 
Total liabilities at fair value$— $1,910 $1,910 
v3.25.3
Note 10. Derivative Instruments (Tables)
3 Months Ended
Sep. 30, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value
Fair Value of Derivative Instruments on the Condensed Consolidated Balance Sheets
Asset DerivativesLiability Derivatives
Fair Value As of Fair Value As of
(Amounts in Thousands)Balance Sheet LocationSeptember 30,
2025
June 30,
2025
Balance Sheet LocationSeptember 30,
2025
June 30,
2025
Derivatives Designated as Hedging Instruments:
Foreign exchange contractsPrepaid expenses and other current assets$2,135 $2,540 Accrued expenses$99 $927 
      
Derivatives Not Designated as Hedging Instruments:    
Foreign exchange contractsPrepaid expenses and other current assets442 477 Accrued expenses856 983 
Total derivatives $2,577 $3,017  $955 $1,910 
Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance
The Effect of Derivative Instruments on Other Comprehensive Income (Loss)
  Three Months Ended
September 30
(Amounts in Thousands) 20252024
Amount of Pre-Tax Gain or (Loss) Recognized in Other Comprehensive Income (Loss) (OCI) on Derivatives:  
Foreign exchange contracts $644 $(1,747)
The Effect of Derivative Instruments on Condensed Consolidated Statements of Income
 Three Months Ended
(Amounts in Thousands)September 30
Derivatives in Cash Flow Hedging RelationshipsLocation of Gain or (Loss) 20252024
Amount of Pre-Tax Gain or (Loss) Reclassified from Accumulated OCI into Income: 
Foreign exchange contractsCost of Sales$154 $(384)
Derivatives Not Designated as Hedging Instruments   
Amount of Pre-Tax Gain or (Loss) Recognized in Income on Derivatives:  
Foreign exchange contractsNon-operating income (expense)$(234)$(1,545)
   
Total Derivative Pre-Tax Gain (Loss) Recognized in Income$(80)$(1,929)
v3.25.3
Note 12. Stock Compensation Plans (Tables)
3 Months Ended
Sep. 30, 2025
Share-Based Payment Arrangement [Abstract]  
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award
During the first three months of fiscal year 2026, the following stock compensation was granted under the 2023 Plan and the Deferral Plan.
Stock Compensation GrantedQuarter GrantedShares/Units
Grant Date Fair Value (4)
Long-Term Performance Shares (1)
1st Quarter29,335 $28.35 
Long-Term Performance Shares (2)
1st Quarter153,212 $36.41 
Restricted Shares (3)
1st Quarter169,851 $28.35 
(1)Long-term performance share awards were granted to key employees. These annual performance share awards were approved by the Talent, Culture, and Compensation Committee of the Board. These awards granted in fiscal year 2026 will cliff vest at the third anniversary of the award date in fiscal year 2029.
For these key employee awards, a number of shares will be issued to each participant based upon a combination of the Company’s profitability based on its operating income over the performance period as defined in the Company’s operating business plans for the applicable fiscal years and the Company’s growth based on a comparison of its three-year compounded annual growth rate (“CAGR”) with the Electronics Manufacturing Services Industry’s three-year CAGR. The number of shares issued could be zero if minimum thresholds are not met up to a maximum of 125% if results on both measures exceed targets under the formula.
(2)Long-term performance shares were granted to leadership team members. These annual performance share awards were approved by the Talent, Culture, and Compensation Committee of the Board. The awards granted in fiscal year 2026 will cliff vest in fiscal year 2029.
Under these awards, a number of shares will be issued to each participant based upon a combination of the Company’s economic profit for fiscal years 2026, 2027, and 2028 as compared to the Board approved plan and the Company’s relative total shareholder return (rTSR) for the performance period as compared to a group of peer companies selected by the Talent, Culture, and Compensation Committee of the Board. The number of shares issued could be zero if minimum thresholds are not met up to a maximum of 200% if results on both measures exceed targets under the formula.
(3)Restricted shares were granted to leadership team members and other key employees. These restricted shares were approved by the Talent, Culture, and Compensation Committee of the Board. The contractual life of the restricted shares is three years, with one-third of the interest in the restricted shares vested after year one of the grant, another one-third after year two of the grant, and the final one-third after year three of the grant. Restricted shares are expensed over the contractual vesting period as earned. If the employment of a holder of restricted shares terminates before the RSU has vested for any reason other than death, retirement, or disability, the restricted shares not yet vested will be forfeited.
(4)The grant date fair value is the weighted average stock price based on the dates of the grants for all grants, with the exception of the portion of the long-term performance shares based on rTSR, the fair value of which is determined by a Monte Carlo simulation completed by a third party.
v3.25.3
Note 13. Leases, Codification Topic 842 (Tables)
3 Months Ended
Sep. 30, 2025
Leases [Abstract]  
Lease, Cost
The lease assets and liabilities, which exclude leases with terms of 12 months or less, as of September 30, 2025 and June 30, 2025, were as follows:
(Amounts in Thousands)September 30,
2025
June 30,
2025
Operating lease right-of-use assets (included in Other Assets)$11,751 $11,779 
Operating lease liability, current (included in Accrued expenses)$795 $520 
Operating lease liability, noncurrent (included in Other long-term liabilities)$11,466 $11,386 
v3.25.3
Note 15. Earnings Per Share (Tables)
3 Months Ended
Sep. 30, 2025
Earnings Per Share [Abstract]  
Schedule of Earnings Per Share, Basic and Diluted
Basic and diluted earnings per share were calculated as follows under the two-class method:
Three Months Ended
September 30
(Amounts in thousands, except per share data)20252024
Basic and Diluted Earnings Per Share:
   Net Income$10,086 $3,154 
   Less: Net Income allocated to participating securities12 
   Net Income allocated to common Share Owners$10,074 $3,151 
Basic weighted average common shares outstanding24,600 24,979 
Dilutive effect of average outstanding stock compensation awards309 256 
Dilutive weighted average shares outstanding24,909 25,235 
Earnings Per Share of Common Stock:
Basic$0.41 $0.13 
Diluted$0.40 $0.12 
v3.25.3
Note 16. Segment Reporting (Tables)
3 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Schedule of Segment Reporting Information, by Segment
The following table presents significant operations segment net sales and expenses:
 Three Months Ended
September 30
(Amounts in Thousands)20252024
Net Sales  
Business Unit Operations$368,524 $375,584 
Corporate/Eliminations(2,921)(1,328)
Total Net Sales$365,603 $374,256 
Cost of Sales (Excluding Depreciation and Amortization)327,739 341,578 
Selling and Administrative (Excluding Depreciation and Amortization)13,001 13,310 
Depreciation and Amortization9,117 9,195 
Restructuring Expense1,416 2,322 
(Gain on Disposal) Asset Impairment(124)(1,264)
Total Operating Income$14,454 $9,115 
v3.25.3
Note 1. Business Description and Summary of Significant Accounting Policies - Components of Non-operating income (expense), net (Details) - USD ($)
$ in Thousands
3 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Foreign Currency/Derivative Gain (Loss) $ (145) $ (1,034)
Gain (loss) on SERP investments 225 345
Factoring Fees in Non-Operating (917) (537)
Credit facilities and bank fees (231) (263)
Other (180) (172)
Non-operating income (expense), net $ (1,241) $ (1,661)
v3.25.3
Note 1. Business Description and Summary of Significant Accounting Policies - Textuals (Details)
$ in Thousands
3 Months Ended
Sep. 30, 2025
USD ($)
Sep. 30, 2024
USD ($)
Jun. 30, 2024
USD ($)
Jun. 30, 2025
USD ($)
Accounts Receivable, Extended Payment Terms 45 days      
Receivables, net of allowances of $125 and $102, respectively $ 226,012     $ 222,623
Accounts Receivable, Credit Loss Expense (Reversal)     $ 2,000  
Due From Bankers Acceptance Drafts 0      
Settlement of Bankers Acceptance Drafts 11,100 $ 0    
Banking Institution        
Factoring Fees 200      
Accounts Receivable Sold 28,600      
Accounts Receivable Sold Outstanding 22,100     $ 19,400
Customer        
Accounts Receivable Sold Without Recourse 71,200 87,300    
Factoring Fees 700 $ 500    
Customer with Noncurrent        
Receivables, net of allowances of $125 and $102, respectively 1,500      
Accounts Receivable, after Allowance for Credit Loss, Noncurrent $ 2,400      
Minimum        
Accounts Receivable, Customary Payment Terms 30 days      
Maximum        
Accounts Receivable, Customary Payment Terms 45 days      
Maximum | Banking Institution        
Risk on Receivable Sold Customer Insolvency 0.05      
v3.25.3
Note 2. Revenue from Contracts with Customers (Details) - USD ($)
$ in Thousands
3 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Jun. 30, 2025
Disaggregation of Revenue      
Net Sales $ 365,603 $ 374,256  
Contract assets 75,199   $ 71,812
Contract with Customer, Liability $ 32,100   $ 41,500
Transferred over Time      
Disaggregation of Revenue      
Revenue from Contract with Customer, Excluding Assessed Tax, Percentage 99.00% 97.00%  
Automotive      
Disaggregation of Revenue      
Net Sales $ 164,400 $ 181,800  
Medical      
Disaggregation of Revenue      
Net Sales 101,600 89,800  
Industrial      
Disaggregation of Revenue      
Net Sales 99,600 $ 102,700  
Industrial | Reclassification, Other      
Disaggregation of Revenue      
Net Sales $ 6,600    
v3.25.3
Note 3. Assets and Liabilities Held for Sale (Details) - USD ($)
$ in Thousands
3 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]    
Disposal Group, Not Discontinued Operation, Gain (Loss) on Disposal $ 124 $ 1,264
Proceeds from Divestiture of Businesses 431 18,507
GES Disposal Group    
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]    
Disposal Group, Including Discontinued Operation, Revenue 0 2,075
Disposal Group, Including Discontinued Operation, Income Before Taxes [1] 0 $ 985
Disposal Group, Not Discontinued Operation, Gain (Loss) on Disposal 1,300  
Proceeds from Divestiture of Businesses $ 18,500  
[1]
(1) Includes gain on sale of $1.3 million for the three months ended September 30, 2024 and also includes allocated corporate overhead expenses.
v3.25.3
Note 4. Restructuring Activities (Details) - USD ($)
$ in Thousands
3 Months Ended 11 Months Ended 12 Months Ended 21 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Jun. 30, 2025
Sep. 30, 2025
Restructuring Cost and Reserve [Line Items]          
Restructuring Expense $ 1,416 $ 2,322      
Restructuring Reserve [Roll Forward]          
Restructuring Expense 1,416 $ 2,322      
Disposal Group, Not Discontinued Operations | Tampa Facility          
Restructuring Reserve [Roll Forward]          
Disposal Group, Including Discontinued Operation, Property, Plant and Equipment, Current 6,600   $ 6,600 $ 6,900 $ 6,600
Disposal Group, Not Discontinued Operations | Tampa Facility | Land and Land Improvements          
Restructuring Reserve [Roll Forward]          
Disposal Group, Including Discontinued Operation, Property, Plant and Equipment, Current 5,100   5,100 5,100 5,100
Disposal Group, Not Discontinued Operations | Tampa Facility | Building          
Restructuring Reserve [Roll Forward]          
Disposal Group, Including Discontinued Operation, Property, Plant and Equipment, Current 1,500   1,500 1,500 1,500
Disposal Group, Not Discontinued Operations | Tampa Facility | Machinery and Equipment          
Restructuring Reserve [Roll Forward]          
Disposal Group, Including Discontinued Operation, Property, Plant and Equipment, Current       300  
2024 Plan          
Restructuring Cost and Reserve [Line Items]          
Restructuring Expense 300     5,700 8,500
Restructuring Reserve [Roll Forward]          
Restructuring Expense 300     5,700 8,500
2025 Tampa Plan          
Restructuring Cost and Reserve [Line Items]          
Restructuring Expense 1,067   6,300    
Restructuring Reserve [Roll Forward]          
Restructuring Reserve 407   407 2,018 407
Restructuring Expense 1,067   6,300    
Payments for Restructuring (2,678)        
Restructuring Reserve, Settled without Cash 0        
2025 Tampa Plan | Employee Severance          
Restructuring Cost and Reserve [Line Items]          
Restructuring Expense 164        
Restructuring Reserve [Roll Forward]          
Restructuring Reserve 407   407 2,018 407
Restructuring Expense 164        
Payments for Restructuring (1,775)        
Restructuring Reserve, Settled without Cash 0        
2025 Tampa Plan | Other Restructuring          
Restructuring Cost and Reserve [Line Items]          
Restructuring Expense 903        
Restructuring Reserve [Roll Forward]          
Restructuring Reserve 0   0 $ 0 0
Restructuring Expense 903        
Payments for Restructuring (903)        
Restructuring Reserve, Settled without Cash 0        
2025 Tampa Plan | Maximum Restructuring Charge          
Restructuring Cost and Reserve [Line Items]          
Restructuring and Related Cost, Expected Cost 6,500   6,500   6,500
2025 Tampa Plan | Maximum Restructuring Charge | Other Restructuring          
Restructuring Cost and Reserve [Line Items]          
Restructuring and Related Cost, Expected Cost 2,000   2,000   2,000
2025 Tampa Plan | Minimum Restructuring Charge          
Restructuring Cost and Reserve [Line Items]          
Restructuring and Related Cost, Expected Cost 5,500   5,500   5,500
2025 Tampa Plan | Minimum Restructuring Charge | Employee Severance          
Restructuring Cost and Reserve [Line Items]          
Restructuring and Related Cost, Expected Cost 4,500   4,500   4,500
2025 Tampa Plan | Minimum Restructuring Charge | Other Restructuring          
Restructuring Cost and Reserve [Line Items]          
Restructuring and Related Cost, Expected Cost $ 1,000   $ 1,000   $ 1,000
v3.25.3
Note 5. Inventories - Inventory Components (Details) - USD ($)
$ in Thousands
Sep. 30, 2025
Jun. 30, 2025
Inventory, Finished Goods, Net of Reserves $ 124 $ 111
Inventory, Work in Process, Net of Reserves 716 628
Inventory, Raw Materials, Net of Reserves 271,885 272,761
Total inventory 272,725 273,500
Other Noncurrent Liabilities    
Contract with Customer, Liability, Noncurrent 25,200 27,000
Other Noncurrent Assets    
Inventory, Noncurrent $ 38,500 $ 39,400
v3.25.3
Note 6. Accumulated Other Comprehensive Income (Loss) - Accumulated Other Comprehensive Income (Loss) (Details) - USD ($)
$ in Thousands
3 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]    
Share Owners' Equity $ 569,884 $ 540,461
Other comprehensive income (loss) before reclassifications 434 5,720
Reclassification to (earnings) loss (42) 318
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent 392 6,038
Share Owners' Equity 577,139 547,758
Accumulated Other Comprehensive Income (Loss)    
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]    
Share Owners' Equity 1,063 (17,807)
Share Owners' Equity 1,455 (11,769)
Foreign Currency Translation Adjustments    
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]    
Share Owners' Equity 2,263 (14,260)
Other comprehensive income (loss) before reclassifications (43) 6,951
Reclassification to (earnings) loss 0 0
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent (43) 6,951
Share Owners' Equity 2,220 (7,309)
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent    
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]    
Share Owners' Equity (261) (2,395)
Other comprehensive income (loss) before reclassifications 495 (1,302)
Reclassification to (earnings) loss (87) 278
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent 408 (1,024)
Share Owners' Equity 147 (3,419)
Post Employment Benefits Net Actuarial Gain (Loss)    
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]    
Share Owners' Equity (939) (1,152)
Other comprehensive income (loss) before reclassifications (18) 71
Reclassification to (earnings) loss 45 40
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent 27 111
Share Owners' Equity $ (912) $ (1,041)
v3.25.3
Note 6. Accumulated Other Comprehensive Income (Loss) - Reclassifications from Accumulated Other Comprehensive Income (Loss) (Details) - USD ($)
$ in Thousands
3 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Reclassification Adjustment out of Accumulated Other Comprehensive Income (Loss)    
Cost of Sales $ (336,767) $ (350,656)
Benefit (Provision) for Income Taxes (913) 270
Net Income 10,086 3,154
Reclassification out of Accumulated Other Comprehensive Income    
Reclassification Adjustment out of Accumulated Other Comprehensive Income (Loss)    
Net Income 42 (318)
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | Foreign Exchange Contract    
Reclassification Adjustment out of Accumulated Other Comprehensive Income (Loss)    
Cost of Sales [1] 154 (384)
Benefit (Provision) for Income Taxes [1] (67) 106
Net Income [1] 87 (278)
Reclassification out of Accumulated Other Comprehensive Income | Postemployment Benefits, Amortization of actuarial gain (loss)    
Reclassification Adjustment out of Accumulated Other Comprehensive Income (Loss)    
Non-operating income (expense), net [2] (60) (53)
Benefit (Provision) for Income Taxes [2] 15 13
Net Income [2] $ (45) $ (40)
[1] See Note 10 - Derivative Instruments of Notes to Condensed Consolidated Financial Statements for further information on derivative instruments.
[2] See Note 11 - Employee Benefit Plans of Notes to Condensed Consolidated Financial Statements for further information on postemployment benefit plans.
v3.25.3
Note 8. Credit Facilities (Details) - USD ($)
$ in Thousands
3 Months Ended
Sep. 30, 2025
Jun. 30, 2025
Line of Credit Facility    
Line of Credit Facility, Remaining Borrowing Capacity $ 294,300  
Long-term Line of Credit 137,900 $ 147,500
Debt Issuance Costs, Net (400) (400)
Long-Term Debt 137,500 147,100
Line of Credit, Current $ (6,600) $ (17,400)
Debt, Weighted Average Interest Rate 5.70% 5.90%
Tranche A Term Loans    
Line of Credit Facility    
Long-Term Debt, Maturity, Remainder of Fiscal Year $ 3,750  
Long-Term Debt, Maturity, Year One 6,250  
Long-Term Debt, Maturity, Year Two 7,500  
Long-Term Debt, Maturity, Year Four 8,750  
Long-Term Debt, Maturity, Year Five 70,000  
Primary Credit Facility    
Line of Credit Facility    
Long-term debt, less current portion [1],[2] $ 130,900 $ 129,700
Line of Credit Facility, Above the Adjusted SOFR Rate to Calculate Alternate Base Rate 1.00%  
Adjusted Leverage Ratio Covenant 3.0  
Adjusted Leverage Ratio, Indebtedness Reduction For Excess Cash $ 15,000  
Line of Credit Facility, Above the Federal Funds Rate to Calculate Alternate Base Rate 0.50%  
Adjusted Leverage Ratio Covenant Material Acquisition 3.5  
Interest Coverage Ratio Covenant 3.5  
Line of Credit Facility, Term Benchmark in USD Addition to Rate 0.10%  
Primary Credit Facility | Revolving Credit Facility    
Line of Credit Facility    
Line of Credit Facility, Remaining Borrowing Capacity [1] $ 257,900  
Long-term Line of Credit [1] 41,700 50,000
Line of Credit Facility, Maximum Borrowing Capacity 300,000  
Line of Credit Facility, Maximum Borrowing Capacity Upon Request 450,000  
Primary Credit Facility | Revolving Credit Facility | Term Benchmark    
Line of Credit Facility    
Long-term Line of Credit [1] 40,000  
Primary Credit Facility | Revolving Credit Facility | ABR    
Line of Credit Facility    
Long-term Line of Credit [1] 1,700  
Primary Credit Facility | Tranche A Term Loans    
Line of Credit Facility    
Line of Credit Facility, Remaining Borrowing Capacity [1] 3,800  
Long-term Line of Credit [1] 96,250 97,500
Line of Credit Facility, Maximum Borrowing Capacity 100,000  
Thailand Overdraft Credit Facility    
Line of Credit Facility    
Line of Credit Facility, Remaining Borrowing Capacity [3] 10,100  
Line of Credit, Current [3] 0 0
Netherlands Revolving Credit Facility    
Line of Credit Facility    
Line of Credit Facility, Remaining Borrowing Capacity [3] 10,800  
Line of Credit, Current [3] 0 0
Poland Revolving Credit Facility    
Line of Credit Facility    
Line of Credit Facility, Remaining Borrowing Capacity [3] 11,700  
Line of Credit, Current [3] 0 0
Financial Standby Letter of Credit    
Line of Credit Facility    
Guarantor Obligations, Maximum Exposure, Undiscounted $ 400 $ 400
Minimum | Primary Credit Facility    
Line of Credit Facility    
Line of Credit Facility, Commitment Fee Percentage 0.10%  
Line of Credit Facility, Term Benchmark Loans Spread for SOFR 0.01000  
Line of Credit Facility, Term Benchmark Loans Spread for EURIBOR 0.01000  
Line of Credit Facility, Alternate Base Rate Loans Spread 0.00000  
Maximum | Primary Credit Facility    
Line of Credit Facility    
Line of Credit Facility, Commitment Fee Percentage 0.25%  
Line of Credit Facility, Term Benchmark Loans Spread for SOFR 0.01750  
Line of Credit Facility, Term Benchmark Loans Spread for EURIBOR 0.01750  
Line of Credit Facility, Alternate Base Rate Loans Spread 0.00750  
[1] The Company maintained a U.S. primary credit facility which was scheduled to mature on May 4, 2027 that provided for $300 million in borrowings, and the Company had utilized this facility for revolving borrowings. On December 20, 2024, the Company entered into an amended and restated credit agreement (the “restated primary credit facility”) among the Company, the lenders party thereto, and JPMorgan Chase Bank, N. A., as Administrative Agent, and Bank of America, N.A., as Documentation Agent. The restated primary credit facility adds a term loan borrowing facility that provides for term loan borrowings (“term borrowings”) of $100 million repayable in scheduled quarterly installments, scheduled to mature December 20, 2029. The terms for the revolving borrowings remain largely unchanged with a maturity date of May 4, 2027 and continue to provide for $300 million in borrowings, with an option to increase the amount available for borrowing to $450 million upon request, subject to the consent of each lender participating in such increase.
This facility is maintained for working capital and general corporate purposes of the Company, and pursuant to the restated primary credit facility, the Company is permitted to use the proceeds to refinance existing indebtedness. A commitment fee is payable on the unused portion of the credit facility at a rate that ranges from 10.0 to 25.0 basis points per annum as determined by the Company’s ratio of consolidated total indebtedness to adjusted consolidated EBITDA, as defined in the restated primary credit facility. Types of borrowings available on the restated primary credit facility include term loans, revolving loans, multi-currency term loans, and swingline loans.
At September 30, 2025, the Company had $40 million Term Benchmark and $1.7 million ABR, both denominated in U.S. dollars, outstanding borrowings under the primary credit facility. At June 30, 2025, all outstanding borrowings under the primary credit facility were Term Benchmark borrowings denominated in U.S. dollars.
The interest rate on borrowings is dependent on the class, type and currencies of borrowings and will be one of the following options:
any Term Benchmark borrowing denominated in U.S. Dollars will utilize the Secured Overnight Financing Rate (“SOFR”) for one, three, or six-month tenors as elected, which is a rate per annum equal to the secured overnight financing rate for such business day published by the SOFR Administrator, the Federal Reserve Bank of New York, on the immediately succeeding business day, plus ten hundredths percent (0.10%), plus the Revolving Commitment Term Benchmark spread or Term Loan Benchmark spread which can range from 100.0 to 175.0 basis points based on the Company’s ratio of consolidated total indebtedness to adjusted consolidated EBITDA;
any Term Benchmark borrowing denominated in Euros will utilize the Euro Interbank Offered Rate (“EURIBOR”) in effect two target days prior to the advance (adjusted upwards to reflect bank reserve costs) for such interest period as defined in the agreement, plus the Revolving Commitment Term Benchmark spread or Term Loan Term Benchmark spread which can range from 100.0 to 175.0 basis points based on the Company’s ratio of consolidated total indebtedness to adjusted consolidated EBITDA; or
the Alternate Base Rate (“ABR”), which is defined as the highest of the fluctuating rate per annum equal to the higher of:
a.Prime Rate in the U.S. last quoted by the Wall Street Journal, and if this is ceased to be quoted, the highest bank prime loan rate or similar loan rate quoted by the Federal Reserve Board;
b.1/2 of 1% per annum above the Federal Reserve Bank of New York (NYFRB) Rate (as defined under the restated primary credit facility); or
c.1% per annum above the Adjusted SOFR Rate (as defined under the restated primary credit facility);
plus the Revolving Commitment ABR spread which can range from 0.0 to 75.0 basis points based on the Company’s ratio of consolidated total indebtedness to adjusted consolidated EBITDA. Under the restated primary credit facility, the ABR Spread and Benchmark Spread for term borrowings are the same as for revolving borrowings.
The Company’s financial covenants under the amended primary credit facility require:
a ratio of consolidated total indebtedness minus unencumbered U.S. cash on hand in the United States in excess of $15 million to adjusted consolidated EBITDA, determined as of the end of each of its fiscal quarters for the then most recently ended four fiscal quarters, to not be greater than 3.0 to 1.0, provided, however, that for each fiscal quarter end during the four quarter period following a material permitted acquisition, as defined in the Credit Agreement, the Company will not permit this financial covenant to be greater than 3.5 to 1.0 for each such fiscal quarter end, and,
an interest coverage ratio, defined as that ratio of consolidated EBITDA for such period to cash interest expense for such period, for any period of four consecutive fiscal quarters, to not be less than 3.5 to 1.0.
The Company had $0.4 million in letters of credit contingently committed against the primary credit facility at both September 30, 2025 and June 30, 2025.
[2] The amount of long-term debt under credit facilities, less current maturities, reflects the revolving borrowings on the primary credit facility that the Company intends, and has the ability, to refinance for a period longer than twelve months in addition to the long-term portion of the term borrowings. The revolving borrowings on the primary credit facility matures on May 4, 2027.
[3] The Company also maintains foreign credit facilities for working capital and general corporate purposes at specific foreign locations rather than utilizing funding from intercompany sources. These foreign credit facilities can be canceled at any time by either the bank or us and generally include renewal clauses. Interest on borrowing under these facilities is charged at a rate as defined under the respective foreign credit facility.
v3.25.3
Note 9. Fair Value - Recurring Fair Value Measurements (Details) - USD ($)
$ in Thousands
Sep. 30, 2025
Jun. 30, 2025
Recurring Fair Value Measurements:    
Derivative Asset, Gross Asset Including Not Subject to Master Netting Arrangement $ 2,577 $ 3,017
Debt Securities, Trading, and Equity Securities, FV-NI 4,300 4,100
Derivative Liability, Gross Liability Including Not Subject to Master Netting Arrangement 955 1,910
Fair Value, Measurements, Recurring    
Recurring Fair Value Measurements:    
Debt Securities, Trading, and Equity Securities, FV-NI 4,270 4,114
Total assets at fair value 6,847 7,131
Total liabilities at fair value 955 1,910
Fair Value, Measurements, Recurring | Foreign Exchange Contract    
Recurring Fair Value Measurements:    
Derivative Asset, Gross Asset Including Not Subject to Master Netting Arrangement 2,577 3,017
Derivative Liability, Gross Liability Including Not Subject to Master Netting Arrangement 955 1,910
Fair Value, Measurements, Recurring | Fair Value, Inputs, Level 1    
Recurring Fair Value Measurements:    
Debt Securities, Trading, and Equity Securities, FV-NI 4,270 4,114
Total assets at fair value 4,270 4,114
Total liabilities at fair value 0 0
Fair Value, Measurements, Recurring | Fair Value, Inputs, Level 1 | Foreign Exchange Contract    
Recurring Fair Value Measurements:    
Derivative Asset, Gross Asset Including Not Subject to Master Netting Arrangement 0 0
Derivative Liability, Gross Liability Including Not Subject to Master Netting Arrangement 0 0
Fair Value, Measurements, Recurring | Fair Value, Inputs, Level 2    
Recurring Fair Value Measurements:    
Debt Securities, Trading, and Equity Securities, FV-NI 0 0
Total assets at fair value 2,577 3,017
Total liabilities at fair value 955 1,910
Fair Value, Measurements, Recurring | Fair Value, Inputs, Level 2 | Foreign Exchange Contract    
Recurring Fair Value Measurements:    
Derivative Asset, Gross Asset Including Not Subject to Master Netting Arrangement 2,577 3,017
Derivative Liability, Gross Liability Including Not Subject to Master Netting Arrangement $ 955 $ 1,910
v3.25.3
Note 9. Fair Value - Textuals (Details) - USD ($)
$ in Thousands
3 Months Ended
Sep. 30, 2025
Jun. 30, 2025
Recurring Fair Value Measurements:    
Fair Value, Purchases and Sales of Level 3 Assets $ 0  
Fair Value, Purchases and Sales of Level 3 Liabilities 0  
Fair Value, Measurements, Recurring    
Recurring Fair Value Measurements:    
Total assets at fair value 6,847 $ 7,131
Fair Value, Inputs, Level 3 | Fair Value, Measurements, Recurring    
Recurring Fair Value Measurements:    
Total assets at fair value 0 0
Nonfinancial Liabilities Fair Value Disclosure $ 0 $ 0
v3.25.3
Note 10. Derivative Instruments - Textuals (Details) - Foreign Exchange Contract
€ in Millions, $ in Millions
3 Months Ended
Sep. 30, 2025
USD ($)
Sep. 30, 2024
Sep. 30, 2025
EUR (€)
Derivatives, Fair Value      
Derivative, Notional Amount $ 12.2   € 40.4
Cash Flow Hedge Gain (Loss) to be Reclassified within Twelve Months $ 2.0    
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimate of Time to Transfer 12 months 12 months  
v3.25.3
Note 10. Derivative Instruments - Fair Values of Derivative Instruments on the Consolidated Balance Sheet (Details) - USD ($)
$ in Thousands
Sep. 30, 2025
Jun. 30, 2025
Derivatives, Fair Value    
Derivative Liability, Gross Liability Including Not Subject to Master Netting Arrangement $ 955 $ 1,910
Derivative Asset, Gross Asset Including Not Subject to Master Netting Arrangement 2,577 3,017
Foreign Exchange Contract | Fair Value, Measurements, Recurring    
Derivatives, Fair Value    
Derivative Liability, Gross Liability Including Not Subject to Master Netting Arrangement 955 1,910
Derivative Asset, Gross Asset Including Not Subject to Master Netting Arrangement 2,577 3,017
Designated as Hedging Instrument | Foreign Exchange Contract | Prepaid Expenses and Other Current Assets    
Derivatives, Fair Value    
Derivative Asset, Gross Asset Including Not Subject to Master Netting Arrangement 2,135 2,540
Designated as Hedging Instrument | Foreign Exchange Contract | Accrued Liabilities    
Derivatives, Fair Value    
Derivative Liability, Gross Liability Including Not Subject to Master Netting Arrangement 99 927
Not Designated as Hedging Instrument | Foreign Exchange Contract | Prepaid Expenses and Other Current Assets    
Derivatives, Fair Value    
Derivative Asset, Gross Asset Including Not Subject to Master Netting Arrangement 442 477
Not Designated as Hedging Instrument | Foreign Exchange Contract | Accrued Liabilities    
Derivatives, Fair Value    
Derivative Liability, Gross Liability Including Not Subject to Master Netting Arrangement $ 856 $ 983
v3.25.3
Note 10. Derivative Instruments - The Effect of Derivative Instruments on Other Comprehensive Income (Details) - USD ($)
$ in Thousands
3 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Derivative Instruments, Gain (Loss)    
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification and Tax $ 644 $ (1,747)
Foreign Exchange Contract    
Derivative Instruments, Gain (Loss)    
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification and Tax $ 644 $ (1,747)
v3.25.3
Note 10. Derivative Instruments - The Effect of Derivative Instruments on Consolidated Statements of Income (Details) - USD ($)
$ in Thousands
3 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Derivative Instruments, Gain (Loss)    
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), Reclassification before Tax $ 154 $ (384)
Total Derivative Pre-Tax Gain (Loss) Recognized in Income (80) (1,929)
Foreign Exchange Contract | Nonoperating Income (Expense)    
Derivative Instruments, Gain (Loss)    
Derivatives Not Designated as Hedging Instruments, Pre-Tax Gain (Loss) Recognized in Income (234) (1,545)
Cash Flow Hedging | Foreign Exchange Contract | Cost of Sales    
Derivative Instruments, Gain (Loss)    
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), Reclassification before Tax $ 154 $ (384)
v3.25.3
Note 11. Employee Benefit Plans (Details) - USD ($)
3 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Jun. 30, 2025
Components of Net Periodic Benefit Cost (before tax):      
Assets for Plan Benefits, Defined Benefit Plan $ 0   $ 0
SERP investments 4,300,000   4,100,000
SERP obligation 4,300,000   4,100,000
Equity Securities, FV-NI, Unrealized Gain (Loss) $ 200,000 $ 300,000  
Defined Contribution Plan, Description The Company matches 50% of eligible employee contributions up to 6%. The Company may also provide a discretionary contribution, to be authorized and determined annually by the Talent, Culture, and Compensation Committee of the Company’s Board of Directors.    
Liability, Defined Benefit Plan $ 8,400,000   8,200,000
Liability, Defined Benefit Plan, Noncurrent 7,500,000   7,300,000
Liability, Defined Benefit Plan, Current 900,000   900,000
Other Current Liabilities      
Components of Net Periodic Benefit Cost (before tax):      
SERP obligation 600,000   500,000
Other Noncurrent Liabilities      
Components of Net Periodic Benefit Cost (before tax):      
SERP obligation 3,700,000   3,600,000
Prepaid Expenses and Other Current Assets      
Components of Net Periodic Benefit Cost (before tax):      
SERP investments 600,000   500,000
Other Noncurrent Assets      
Components of Net Periodic Benefit Cost (before tax):      
SERP investments 3,700,000   $ 3,600,000
Domestic Defined Contribution Plan      
Components of Net Periodic Benefit Cost (before tax):      
Defined Contribution Plan, Cost $ 500,000 $ 400,000  
v3.25.3
Note 12. Stock Compensation Plans - Textuals (Details) - $ / shares
3 Months Ended
Sep. 30, 2025
Nov. 17, 2023
Oct. 20, 2016
Non-Employee Directors Stock Compensation Deferral Plan      
Share-based Compensation Arrangement by Share-based Payment Award      
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized     1,000,000.0
2023 Equity Incentive Plan      
Share-based Compensation Arrangement by Share-based Payment Award      
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized   2,000,000.0  
Performance Shares | 2023 Equity Incentive Plan      
Share-based Compensation Arrangement by Share-based Payment Award      
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period [1] 29,335    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value [1],[2] $ 28.35    
Performance Shares | 2023 Equity Incentive Plan | Maximum      
Share-based Compensation Arrangement by Share-based Payment Award      
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage 125.00%    
Performance Shares | 2023 Equity Incentive Plan | Minimum      
Share-based Compensation Arrangement by Share-based Payment Award      
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage 0.00%    
Restricted Stock | 2023 Equity Incentive Plan      
Share-based Compensation Arrangement by Share-based Payment Award      
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period [3] 169,851    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value [2],[3] $ 28.35    
Restricted Stock | 2023 Equity Incentive Plan | Maximum      
Share-based Compensation Arrangement by Share-based Payment Award      
ShareBasedCompensationArrangementByShareBasedPaymentAwardContractualLife 3 years    
PerformanceSharesMember-LT | 2023 Equity Incentive Plan      
Share-based Compensation Arrangement by Share-based Payment Award      
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period [4] 153,212    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value [2],[4] $ 36.41    
PerformanceSharesMember-LT | 2023 Equity Incentive Plan | Maximum      
Share-based Compensation Arrangement by Share-based Payment Award      
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage 200.00%    
PerformanceSharesMember-LT | 2023 Equity Incentive Plan | Minimum      
Share-based Compensation Arrangement by Share-based Payment Award      
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage 0.00%    
[1] Long-term performance share awards were granted to key employees. These annual performance share awards were approved by the Talent, Culture, and Compensation Committee of the Board. These awards granted in fiscal year 2026 will cliff vest at the third anniversary of the award date in fiscal year 2029.For these key employee awards, a number of shares will be issued to each participant based upon a combination of the Company’s profitability based on its operating income over the performance period as defined in the Company’s operating business plans for the applicable fiscal years and the Company’s growth based on a comparison of its three-year compounded annual growth rate (“CAGR”) with the Electronics Manufacturing Services Industry’s three-year CAGR. The number of shares issued could be zero if minimum thresholds are not met up to a maximum of 125% if results on both measures exceed targets under the formula.
[2] The grant date fair value is the weighted average stock price based on the dates of the grants for all grants, with the exception of the portion of the long-term performance shares based on rTSR, the fair value of which is determined by a Monte Carlo simulation completed by a third party.
[3] Restricted shares were granted to leadership team members and other key employees. These restricted shares were approved by the Talent, Culture, and Compensation Committee of the Board. The contractual life of the restricted shares is three years, with one-third of the interest in the restricted shares vested after year one of the grant, another one-third after year two of the grant, and the final one-third after year three of the grant. Restricted shares are expensed over the contractual vesting period as earned. If the employment of a holder of restricted shares terminates before the RSU has vested for any reason other than death, retirement, or disability, the restricted shares not yet vested will be forfeited.
[4] Long-term performance shares were granted to leadership team members. These annual performance share awards were approved by the Talent, Culture, and Compensation Committee of the Board. The awards granted in fiscal year 2026 will cliff vest in fiscal year 2029.
Under these awards, a number of shares will be issued to each participant based upon a combination of the Company’s economic profit for fiscal years 2026, 2027, and 2028 as compared to the Board approved plan and the Company’s relative total shareholder return (rTSR) for the performance period as compared to a group of peer companies selected by the Talent, Culture, and Compensation Committee of the Board. The number of shares issued could be zero if minimum thresholds are not met up to a maximum of 200% if results on both measures exceed targets under the formula.
v3.25.3
Note 13. Leases, Codification Topic 842 (Details) - USD ($)
$ in Thousands
Sep. 30, 2025
Jun. 30, 2025
Lessee, Lease, Description [Line Items]    
Operating Lease, Right-of-Use Asset $ 11,751 $ 11,779
Operating Lease, Liability, Current 795 520
Operating Lease, Liability, Noncurrent $ 11,466 $ 11,386
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] Accrued expenses Accrued expenses
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] Other long-term liabilities Other long-term liabilities
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] Other Assets, net Other Assets, net
v3.25.3
Note 14. Share Owners' Equity (Details) - USD ($)
3 Months Ended 119 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Share Repurchase Program, Authorized, Amount $ 120,000,000   $ 120,000,000
Repurchase of Common Stock $ 1,471,000 $ 2,892,000  
Treasury Stock Acquired, Average Cost Per Share $ 30.01 $ 18.01 $ 15.81
Treasury Stock, Common      
Repurchase of Common Stock $ 1,471,000 $ 2,892,000  
Treasury Stock, Common | Excludes Excise Tax      
Repurchase of Common Stock $ 1,500,000 $ 2,900,000 $ 105,200,000
v3.25.3
Note 15. Earnings Per Share (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
3 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Net income $ 10,086 $ 3,154
Undistributed Earnings (Loss) Allocated to Participating Securities, Basic 12 3
Net Income (Loss) Available to Common Stockholders, Basic $ 10,074 $ 3,151
Weighted Average Number of Shares Outstanding, Basic 24,600 24,979
Dilutive effect of average outstanding stock compensation awards 309 256
Weighted Average Number of Shares Outstanding, Diluted 24,909 25,235
Earnings Per Share, Basic $ 0.41 $ 0.13
Earnings Per Share, Diluted $ 0.40 $ 0.12
v3.25.3
Note 16. Segment Reporting (Details)
$ in Thousands
3 Months Ended
Sep. 30, 2025
USD ($)
segment
Sep. 30, 2024
USD ($)
Segment Reporting Information [Line Items]    
Segment Reporting, CODM, Individual Title and Position or Group Name [Extensible Enumeration] Chief Executive Officer [Member]  
Number of Reportable Segments | segment 1  
Segment Reporting, CODM, Profit (Loss) Measure, How Used, Description The CODM uses operating income as the measure of profitability to evaluate income or loss generated from each operating segment and to guide decisions on capital investments and assess performance. These decisions may include capital expenditures and/or acquisitions.  
Net Sales $ 365,603 $ 374,256
Depreciation, Depletion and Amortization 9,117 9,195
Restructuring Charges 1,416 2,322
Gain on Disposal (124) (1,264)
Operating Income (Loss) 14,454 9,115
Segment, Expenditure, Addition to Long-Lived Assets 10,600 13,500
Business Unit Operations    
Segment Reporting Information [Line Items]    
Net Sales 365,603 374,256
Cost of Sales (Excluding Depreciation and Amortization) 327,739 341,578
Selling and Administrative (Excluding Depreciation and Amortization) 13,001 13,310
Depreciation, Depletion and Amortization 9,117 9,195
Restructuring Charges 1,416 2,322
Gain on Disposal (124) (1,264)
Operating Income (Loss) 14,454 9,115
Operating Segments | Business Unit Operations    
Segment Reporting Information [Line Items]    
Net Sales 368,524 375,584
Consolidation, Eliminations    
Segment Reporting Information [Line Items]    
Net Sales $ (2,921) $ (1,328)