CompX(US:CIX)2020-02-26 21:26Business Segments - The company operates two business segments: Security Products and Marine Components, with a focus on engineered components for various applications[11]. - The company’s Security Products segment includes innovative electronic locks such as CompX eLock® and StealthLock®, which provide advanced security features[13]. - The company’s manufacturing facilities are located in South Carolina, Illinois, and Wisconsin, supporting both Security Products and Marine Components segments[15]. Financial Performance - In 2019, the company reported that raw materials accounted for approximately 13% of total cost of sales, with total material costs representing about 45%[17]. - The company’s largest customer, the United States Postal Service, represented 14% of total sales in 2019, while the top ten customers accounted for approximately 47% of sales[24]. - The company has a note receivable from an affiliate amounting to $28.1 million, bearing interest at prime plus 1.0%, resulting in interest income of $2.4 million in 2019[109]. Market Position - The company believes it is a North American market leader in the manufacture and sale of cabinet locks and other locking mechanisms[12]. - The company focuses on the middle and high-end segments of the market, competing on product design, quality, and service[25]. Workforce and Labor Relations - The company employs 547 people as of December 31, 2019, and reports good labor relations across all facilities[28]. Supply Chain Management - The company has entered into short-term commodity-related raw material supply arrangements to mitigate future price increases, but does not engage in commodity raw material hedging programs[110].