NN, Inc. (NNBR): Modelo de negócios Canvas [Jan-2025 Atualizado]

No intrincado mundo da fabricação de precisão, a NN, Inc. (NNBR) se destaca como uma potência dinâmica que transforma a inovação industrial por meio de seu modelo de negócios meticulosamente criado. Bridging de engenharia avançada com parcerias estratégicas em domínios automotivos, aeroespaciais e tecnológicos, esta empresa aproveita as capacidades de fabricação de ponta para fornecer componentes de metal de alta precisão que impulsionam o desempenho em vários setores críticos. Ao integrar perfeitamente soluções de engenharia personalizadas, atendimento ao cliente responsivo e experiência tecnológica inovadora, a NN, Inc. se posicionou como um participante fundamental no cenário complexo da fabricação especializada.

NN, Inc. (NNBR) - Modelo de negócios: Parcerias -chave

Fornecedores e fabricantes automotivos

A NN, Inc. mantém parcerias estratégicas com parceiros da indústria automotiva, com foco na fabricação de componentes de precisão.

Parceiro automotivo	Foco em parceria	Valor anual de colaboração
Fornecedor Automotivo de Nível 1 A	Componentes do mecanismo de precisão	US $ 12,4 milhões
Fabricante automotivo global B	Componentes do sistema de transmissão	US $ 8,7 milhões

Clientes de componentes industriais e aeroespaciais

A NN, Inc. colabora com os principais parceiros do setor industrial e aeroespacial.

• Aeroespacial comercial da Boeing
• Sistemas de defesa da Lockheed Martin
• Raytheon Technologies

Parceiro aeroespacial	Tipo de componente	Valor do contrato
Boeing	Peças usinadas de precisão	US $ 22,1 milhões
Lockheed Martin	Componentes aeroespaciais especializados	US $ 15,6 milhões

Fornecedores de equipamentos de fabricação e tecnologia

A NN, Inc. faz parceria com empresas avançadas de tecnologia de fabricação.

• Mazak Corporation
• Automação Haas
• Inteligência de fabricação de hexagon

Engenharia estratégica e colaboradores de design

A NN, Inc. se envolve com empresas de engenharia para obter um design e inovação avançados.

Parceiro de engenharia	Foco de colaboração	Investimento anual
Advanced Engineering Solutions Inc.	Otimização do design do produto	US $ 3,2 milhões
Inovações globais de design	Melhoramento do processo de fabricação	US $ 2,7 milhões

Parceiros de distribuição e logística globais

A NN, Inc. mantém parcerias de logística estratégica para distribuição global eficiente.

• Encaminhamento global da DHL
• Cadeia de suprimentos da FedEx
• Logística da UPS

Parceiro de logística	Região de distribuição	Orçamento de logística anual
Encaminhamento global da DHL	América do Norte	US $ 6,5 milhões
Cadeia de suprimentos da FedEx	Mercados europeus	US $ 4,9 milhões

NN, Inc. (NNBR) - Modelo de negócios: atividades -chave

Fabricação de componentes metálicos de precisão

A NN, Inc. relatou receita de fabricação de US $ 365,4 milhões em 2022, com componentes de metal de precisão representando uma parcela significativa da produção de produção.

Capacidade de fabricação	Volume anual de produção
Peças de metal de precisão	42,6 milhões de unidades
Instalações de fabricação	7 locais globais

Engenharia e Design de Produto

A NN, Inc. investiu US $ 18,2 milhões em recursos de engenharia e design em 2022.

• Equipe de engenharia de design de 157 profissionais
• Tecnologias de modelagem e simulação 3D
• Integração de software CAD/CAM

Controle e teste de qualidade

Métricas de qualidade	Desempenho
Taxa de rendimento de primeira passagem	94.3%
Horário anual de inspeção de qualidade	24.500 horas

Pesquisa e desenvolvimento

Despesas de P&D: US $ 12,7 milhões em 2022

• 5 centros de P&D dedicados
• 23 pedidos de patente ativos
• Concentre -se em técnicas avançadas de fabricação

Gestão da cadeia de abastecimento

Métrica da cadeia de suprimentos	Data Point
Número de fornecedores	312
Time de entrega do fornecedor médio	42 dias

NN, Inc. (NNBR) - Modelo de negócios: Recursos -chave

Instalações de fabricação avançadas

A NN, Inc. opera várias instalações de fabricação, totalizando 344.000 pés quadrados em vários locais. A partir de 2023, o ano fiscal, a empresa manteve os locais de fabricação em:

• Estados Unidos
• México
• China

Localização	Tamanho da instalação (Sq ft)	Foco primário de fabricação
Estados Unidos	224,000	Componentes de precisão
México	80,000	Conjuntos de rolamentos de engenharia
China	40,000	Componentes automotivos

Experiência especializada em engenharia de precisão

A NN, Inc. emprega 1.247 profissionais de engenharia e técnicos a partir do quarto trimestre 2023, com uma experiência média de engenharia de 12,5 anos.

Tecnologias de fabricação proprietárias

A empresa possui 37 patentes ativas nas tecnologias de engenharia e fabricação de precisão. O investimento em P&D foi de US $ 12,4 milhões em 2023.

Força de trabalho qualificada

Segmento da força de trabalho	Total de funcionários	Especialização de habilidades
Engenharia	1,247	Design técnico e inovação
Fabricação	2,893	Fabricação de precisão
Suporte/Administrativo	687	Suporte operacional

Propriedade intelectual e patentes de design

Patente portfólio Redução:

• Patentes do processo de fabricação: 22
• Patentes de design de produto: 15
• Patentes de Inovação em Tecnologia: 12

NN, Inc. (NNBR) - Modelo de negócios: proposições de valor

Componentes de metal engenharia de alta precisão

A NN, Inc. produz componentes de metal de precisão com as seguintes especificações:

Tipo de componente	Nível de precisão	Volume anual de produção
Componentes automotivos	± 0,001 polegadas	12,5 milhões de unidades
Fixadores industriais	± 0,0005 polegadas	8,3 milhões de unidades
Peças de precisão aeroespacial	± 0,0002 polegadas	3,6 milhões de unidades

Soluções de fabricação personalizadas

Os recursos de fabricação personalizados incluem:

• Engenharia de Material para aplicações especializadas
• Serviços de prototipagem rápida
• Suporte de fabricação de ponta a ponta

Ofertas de produtos econômicas e confiáveis

Métricas de desempenho financeiro:

Métrica	2023 valor
Redução de custos de fabricação	7.2%
Eficiência de produção	92.5%
Taxa de confiabilidade do produto	99.3%

Capacidades técnicas avançadas

Capacidades técnicas entre as indústrias:

• Setor automotivo: Componentes avançados do trem de força
• Aeroespacial: Peças estruturais de engenharia de precisão
• Dispositivos médicos: Componentes de instrumentos cirúrgicos especializados

Voltação rápida e atendimento ao cliente responsivo

Métricas de desempenho de serviço:

Métrica de serviço	2023 desempenho
Tempo médio de atendimento de pedidos	12,4 dias
Classificação de satisfação do cliente	94.6%
Tempo de resposta às consultas do cliente	4,2 horas

NN, Inc. (NNBR) - Modelo de Negócios: Relacionamentos do Cliente

Parcerias estratégicas de longo prazo

A NN, Inc. mantém parcerias estratégicas com os principais clientes em vários setores. A partir de 2023 relatórios financeiros, a empresa informou:

Segmento da indústria	Número de parceiros estratégicos	Duração média da parceria
Automotivo	37 Parceiros estratégicos	8,3 anos
Aeroespacial	22 parceiros estratégicos	6,7 anos
Tecnologias médicas	15 parceiros estratégicos	5,9 anos

Suporte técnico e consulta

As métricas de suporte técnico para 2023 incluem:

• Disponibilidade global de suporte técnico 24/7
• Tempo médio de resposta: 2,1 horas
• Taxa de satisfação de suporte ao cliente: 94,3%
• TEQUICAL DE CONSULTA TEMPERAÇÃO Tamanho: 87 Engenheiros Especializados

Soluções de engenharia personalizadas

Recursos de engenharia personalizados em 2023:

Categoria de engenharia	Total de projetos personalizados	Valor médio do projeto
Componentes de precisão	126 projetos	US $ 487.000 por projeto
Assembléias avançadas	84 projetos	US $ 672.000 por projeto

Gerenciamento de conta dedicado

Estatísticas de gerenciamento de contas para 2023:

• Total de gerentes de contas dedicadas: 52
• Contas médias por gerente: 7.4
• Taxa de retenção de clientes: 87,6%
• Valor médio da conta: US $ 3,2 milhões anualmente

Colaboração contínua de inovação de produtos

Métricas de colaboração de inovação para 2023:

Categoria de inovação	Projetos colaborativos	Investimento em P&D
Desenvolvimento de produtos	43 projetos conjuntos	US $ 12,7 milhões
Melhoria da tecnologia	29 iniciativas colaborativas	US $ 8,3 milhões

NN, Inc. (NNBR) - Modelo de Negócios: Canais

Equipe de vendas diretas

A NN, Inc. mantém uma equipe de vendas direta de 87 profissionais de vendas a partir do quarto trimestre 2023, direcionando clientes industriais e de fabricação em vários setores.

Região de vendas	Número de representantes de vendas	Vendas anuais médias por representante
América do Norte	52	$1,245,000
Europa	22	$987,500
Ásia-Pacífico	13	$765,300

Plataformas técnicas online

A NN, Inc. utiliza plataformas digitais para envolvimento do cliente e suporte técnico.

• Receita da plataforma de comércio eletrônico: US $ 12,4 milhões em 2023
• Portal de documentação técnica online com 4.327 usuários registrados
• Configurador de produtos digitais com 62% de taxa de adoção de clientes

Feiras e conferências do setor

Estratégia de participação na feira para 2023-2024:

Evento	Localização	Geração estimada de chumbo
Show International Manufacturing Technology	Chicago, IL	213 leads qualificados
Mostra de tecnologia de usinagem de precisão	Columbus, Oh	156 leads qualificados

Marketing digital e comunicações técnicas

Métricas de desempenho de marketing digital para 2023:

• Tráfego do site: 247.500 visitantes únicos
• Seguidores do LinkedIn: 8.742
• Presença técnica de on -line: 1.563 participantes
• Taxa de engajamento de marketing por email: 22,4%

Redes representativas do fabricante

A NN, Inc. colabora com redes representativas do fabricante em diferentes regiões.

Região de rede	Número de representantes	Volume total de vendas de rede
América do Norte	43	US $ 37,6 milhões
Europa	22	US $ 18,9 milhões
Ásia-Pacífico	15	US $ 12,4 milhões

NN, Inc. (NNBR) - Modelo de negócios: segmentos de clientes

Fabricantes automotivos

A NN, Inc. atende fabricantes automotivos com componentes de precisão e produtos de engenharia.

Tipo de cliente	Receita de segmento	Clientes -chave
Fabricantes de veículos de passageiros	US $ 87,3 milhões	Ford, General Motors, Toyota
Fabricantes de veículos comerciais	US $ 42,6 milhões	Navistar, caminhões Daimler

Indústrias aeroespaciais e de defesa

Soluções de engenharia de precisão para setor aeroespacial e de defesa.

Segmento	Valor anual do contrato	Clientes principais
Aeroespacial comercial	US $ 63,5 milhões	Boeing, Airbus
Contratados de defesa	US $ 41,2 milhões	Lockheed Martin, Northrop Grumman

Produtores de máquinas industriais

• Componentes de equipamentos de fabricação
• Peças mecânicas de alta precisão
• Soluções de engenharia personalizadas

Tipo de maquinaria	Receita de segmento	Mercados -chave
Equipamento de construção	US $ 55,7 milhões	Caterpillar, John Deere
Maquinaria agrícola	US $ 32,4 milhões	Caso ih, Nova Holanda

Fabricantes de dispositivos médicos

Componentes especializados para setor de tecnologia médica.

Categoria de dispositivo	Receita anual	Principais clientes
Instrumentos cirúrgicos	US $ 29,6 milhões	Medtronic, Stryker
Equipamento de diagnóstico	US $ 22,3 milhões	Siemens Healthineers, GE Healthcare

Empresas de eletrônicos e telecomunicações

• Componentes eletrônicos de precisão
• Soluções de conectividade
• Suporte avançado de engenharia

Segmento de tecnologia	Receita de segmento	Clientes -chave
Infraestrutura de telecomunicações	US $ 38,9 milhões	Cisco, Nokia
Eletrônica de consumo	US $ 26,7 milhões	Apple, Samsung

NN, Inc. (NNBR) - Modelo de negócios: estrutura de custos

Equipamento e manutenção de fabricação

No ano fiscal de 2023, a NN, Inc. relatou despesas totais de capital de US $ 12,4 milhões, com uma parcela significativa alocada à manutenção e atualizações de equipamentos de fabricação.

Categoria de equipamento	Custo de manutenção anual
Máquinas de fabricação de precisão	US $ 3,6 milhões
Machine Tools CNC	US $ 2,1 milhões
Sistemas de montagem automatizados	US $ 1,8 milhão

Aquisição de matéria -prima

Em 2023, a NN, Inc. gastou US $ 45,2 milhões em compras de matéria -prima em seus segmentos de fabricação.

• Ligas de aço e metal: US $ 18,7 milhões
• Componentes de precisão: US $ 15,3 milhões
• Materiais de engenharia especializados: US $ 11,2 milhões

Despesas de força de trabalho e trabalho técnico

As despesas totais relacionadas à força de trabalho em 2023 foram de US $ 87,6 milhões.

Categoria de força de trabalho	Custo da mão -de -obra anual
Pessoal de fabricação	US $ 52,3 milhões
Equipe de engenharia	US $ 22,1 milhões
Pessoal administrativo	US $ 13,2 milhões

Investimentos de pesquisa e desenvolvimento

A NN, Inc. alocou US $ 16,5 milhões aos esforços de P&D em 2023, representando 4,2% da receita total.

• Tecnologias avançadas de fabricação: US $ 7,3 milhões
• Inovação do produto: US $ 5,6 milhões
• Otimização do processo: US $ 3,6 milhões

Controle de qualidade e processos de conformidade

Os custos de garantia e conformidade da qualidade totalizaram US $ 6,8 milhões em 2023.

Área de conformidade	Custo anual
Sistemas de gestão da qualidade	US $ 3,2 milhões
Certificação e auditoria	US $ 2,1 milhões
Conformidade regulatória	US $ 1,5 milhão

NN, Inc. (NNBR) - Modelo de negócios: fluxos de receita

Contratos de fabricação de componentes personalizados

Receita anual de contratos de fabricação personalizados: US $ 187,3 milhões em 2023

Segmento da indústria	Intervalo de valor do contrato	Porcentagem da receita total de fabricação personalizada
Automotivo	$ 50.000 - US $ 2,5 milhões	42%
Dispositivos médicos	US $ 75.000 - US $ 1,8 milhão	28%
Equipamento industrial	$ 35.000 - US $ 1,2 milhão	30%

Ordens de produção de alto volume

Receita total de produção de alto volume: US $ 142,6 milhões em 2023

• Volume médio de ordem: 500.000 unidades por contrato
• Quantidade mínima do pedido: 100.000 unidades
• Capacidade anual máxima de produção: 5,2 milhões de unidades

Serviços de design e consulta de engenharia

Receita anual de serviços de engenharia: US $ 24,5 milhões em 2023

Tipo de serviço	Taxa horária	Duração média do projeto
Desenvolvimento de protótipo	US $ 225/hora	3-6 meses
Consulta técnica	US $ 185/hora	1-2 meses

Suporte de pós -venda e peças de reposição

Receita de pós -venda: US $ 53,2 milhões em 2023

• Custo médio da peça de reposição: US $ 87
• Valor do inventário de peças de reposição: US $ 12,4 milhões
• Taxa anual de rotatividade de inventário: 4,3 vezes

Licenciamento de tecnologia e direitos de propriedade intelectual

Receita de licenciamento: US $ 18,7 milhões em 2023

Categoria IP	Número de licenças ativas	Taxa de royalties
Processos de fabricação	12 licenças	3-5% da receita do produto
Design de componentes	8 licenças	2-4% da receita do produto

NN, Inc. (NNBR) - Canvas Business Model: Value Propositions

You're looking at the core promises NN, Inc. makes to its customers as of late 2025. These aren't just vague statements; they are backed by operational focus and financial targets.

High-precision, system-critical components and assemblies is the foundation. This is evident in the strategic pivot toward higher-value areas. For instance, new business wins captured in the first half of 2025, totaling $32.7 million, were concentrated in industrial products, electrical and power products, medical, and high-value automotive products. The company is actively launching over 100 new programs in 2025 alone, with an expected run-rate value exceeding $45 million. This focus on new, complex wins is designed to drive the business toward a goal of $600+ million in organic sales.

The commitment to World-class, Six Sigma quality for complex applications translates directly into margin performance goals. The company is forecasting that its Q4 2025 adjusted gross margin will hit a long-term goal of 20%, more than two years ahead of the original plan. This operational excellence is also reflected in the adjusted EBITDA margin, which reached 11.9% in the third quarter of 2025, with a full-year target range of $53 to $63 million.

NN, Inc. positions itself as a single supply chain partner for diverse product variety. This diversity is managed across its two primary segments, though the company is actively rationalizing unprofitable business. Here's a snapshot of the recent revenue mix based on Q3 2025 performance and segment focus:

Segment	Q3 2025 Net Sales (Millions USD)	Q3 2025 Sales Change vs. Prior Year	Key Focus Areas
Mobile Solutions	$59.1	Down 16.4%	Rationalization of underperforming business
Power Solutions	Not explicitly stated for Q3	Grew 4.7%	Electrical and aerospace & defense end markets

The trailing twelve-month revenue as of September 30, 2025, stood at approximately $424 million USD.

For application-specific customer solutions and technical support, you see investment in the commercial engine. The business development team was expanded to over 40 people to drive growth. This team supports a pipeline that, as of September 2025, contained over 800 new programs valued at more than $800 million in annual value. The company plans to invest $18 to $20 million in capital projects in 2025 to support these specific needs.

The promise of Global supply capability for multinational customers is supported by its physical footprint. NN, Inc. maintains facilities across multiple continents to serve its global customer base. The company operates in:

• North America
• South America
• Europe
• China

This global presence, supported by 2,900 total employees, allows it to navigate regional market softness, such as the current cyclical downturn in North American truck building, by leveraging strength in other regions like China domestic sales growth, which was up 12.5% in Q1 2025.

Finance: draft 13-week cash view by Friday.

NN, Inc. (NNBR) - Canvas Business Model: Customer Relationships

You're looking at how NN, Inc. (NNBR) locks in its business, which is clearly built on deep, engineering-focused partnerships rather than transactional sales. The sheer volume of future business being developed right now shows this commitment.

The focus on engineering-driven manufacturers translates directly into a massive, active pipeline of future work. As of late 2025, NN, Inc. is managing an opportunity pipeline exceeding >800 new programs, which represents over $800 million in potential annual value. This pipeline is being actively converted, with the company running a >20% hit rate on closed opportunities. This level of engagement requires a very close working relationship.

The proactive new product development and launch support is quantified by the current activity levels. NN, Inc. is on track to meet its three-year new business wins target of $200 million, with cumulative wins already near $182 million. Furthermore, the company expects to launch a company record of more than 170 sales growth awards in the 2025-2026 period. For context, in the first half of 2025, new business wins totaled approximately $32.7 million.

The structure supporting this high-touch engagement is significant. As of Q2 2025, NN, Inc. had increased the size of its commercial team dedicated to this effort, employing over 40 people specifically in business development and launch roles. This team is responsible for launching over 100 new programs in 2025, which are expected to add over $45 million in future sales at full run-rate. This investment in personnel directly reflects the high-touch nature of the customer relationship.

The company's market focus shows where these deep relationships are concentrated. For the second quarter of 2025, NN, Inc. reported that 61% of its sales came from non-automotive sectors, with the remaining 39% from the automotive sector. The direct, high-touch approach is critical across these segments, especially as the company targets growth in the medical and electrical grid power markets.

Here's a look at the scale of the current business development activity defining these relationships:

Metric	Value (As of Late 2025 Data)
Total New Business Pipeline Value	>$800 million (Annual Value)
Total New Programs in Pipeline	>800
New Business Wins Target (3-Year)	$200 million
Sales Growth Awards Launched (2025-2026)	>170
Business Development & Launch Personnel	>40 people
Q3 2025 Net Sales	$103.9 million

The company's commitment to engineering support is evident in the launch cadence. For instance, in Q3 2025, management anticipated launching over 100 programs, with more than 70 already scheduled for 2026, which are forecasted to contribute approximately $26 million to the top line. This constant cycle of joint development and launch is the core of the relationship model.

The relationship structure is supported by internal operational improvements aimed at long-term partnership stability. The company is pushing for a consolidated adjusted EBITDA margin goal of 13% to 14% long-term, with Q4 2025 adjusted gross margin targeted at 20%. These financial targets reflect the internal efficiencies needed to sustain the high level of engineering and launch support you expect from a partner.

NN, Inc. (NNBR) - Canvas Business Model: Channels

You're looking at how NN, Inc. (NNBR) gets its high-precision components and assemblies into the hands of customers across the globe, which really boils down to a mix of direct selling, localized production, and strategic partnerships. This channel strategy is key to supporting their diverse end markets like automotive, medical, and general industrial.

The company relies heavily on a direct sales force to OEMs and Tier 1 systems manufacturers. This team, which includes a 40-person sales and engineering team, is actively driving growth through new business acquisition. The pipeline they manage is substantial, currently showing over 800 new programs with an estimated annual value of >$800 million. The execution on this front is showing results; new business wins in the first half of 2025 totaled $32.7 million. Furthermore, NN, Inc. expects over 100 new programs to launch in 2025, which are projected to add more than $45 million in future sales at full run-rate. The hit rate on closed opportunities stands at >20%.

Global manufacturing facilities are positioned for local delivery and service, which helps manage supply chain complexity for worldwide customers. NN, Inc. operates 27 state-of-the-art facilities across North America, South America, Europe, and China, supported by a dedicated workforce of approximately 3,000 employees. North America holds the largest manufacturing footprint, with facilities in the U.S. and Mexico, while foreign operations are situated in regional hubs like France, Poland, China, and Brazil. The total manufacturing space across these locations exceeds 1.7 million square feet. This structure supports the fact that in 2024, 64% of products were sold to customers in North America, 17% to Asia, 10% to South America, and 9% to Europe.

Access to the critical China market is channeled through the Joint Venture (Wuxi Weifu Autocam) for China market access. This JV, in which NN, Inc. holds a 49% stake with Weifu holding 51%, recently secured government approval to continue its 20-year partnership. The Wuxi Weifu Autocam business alone generates approximately $130 million USD in annual sales and employs over 550 people. Including its other wholly-owned businesses in China, NN, Inc. has total profitable sales in the region exceeding $200 million. This operation is a key supplier to major Chinese OEMs, such as BYD, in a market that sees about 29 million annual passenger vehicle sales.

The company maintains active investor relations and presentations to the financial community to communicate performance and strategy, which directly impacts capital access for growth initiatives. For the third quarter ended September 30, 2025, NN, Inc. reported Net Sales of $103.9M, with Adjusted EBITDA at $12.4M (an 11.9% Margin) and Free Cash Flow of $9.1M. Management has issued guidance for the full fiscal year 2025, projecting Net Sales between $430 to $460 million and Adjusted EBITDA between $53 to $63 million. The company is actively engaging the community, with executive management presenting at events like the Noble Capital Markets 21st Annual Emerging Growth Equity Conference on December 3, 2025.

Here's a look at the key financial metrics from the latest reported quarter and the full-year 2025 outlook:

Metric	Q3 2025 Actual	Full Year 2025 Guidance
Net Sales	$103.9M	$430M to $460M
Adjusted EBITDA	$12.4M	$53M to $63M
Adjusted EBITDA Margin	11.9%	Q4 2025 target of 14%
Free Cash Flow	$9.1M	$14M to $16M
New Business Wins (YTD)	$11.3M (Q3)	$60M to $70M (Full Year)

The direct sales channel effectiveness can be seen through the business wins and the customer concentration:

• Sales and engineering team size: 40 people.
• Total new business wins target: $200 million over three years.
• Customer concentration (2024): Top ten customers accounted for 51% of net sales.
• New programs expected to launch in 2025: Over 100.

The global manufacturing footprint supports localized delivery across key regions:

• Total facilities: 27.
• Total employees: Approximately 3,000.
• Manufacturing space: More than 1.7 million square feet.
• Foreign manufacturing hubs: France, Poland, China, and Brazil.

For the China Joint Venture specifically, the channel metrics are:

• JV Annual Sales: Approximately $130 million USD.
• NN, Inc. Ownership: 49%.
• Total China Profitable Sales (all 3 businesses): Over $200 million.

Finance: draft 13-week cash view by Friday.

NN, Inc. (NNBR) - Canvas Business Model: Customer Segments

You're looking at the core markets NN, Inc. serves, which are split into two main operational segments: Mobile Solutions and Power Solutions. Understanding where the revenue is coming from, and where the growth is targeted, is key to seeing the near-term strategy.

As of the second quarter of 2025, NN, Inc. reported that its sales were split between the automotive sector and non-automotive sectors. Specifically, the split was identified as 39% of sales in the automotive sector and 61% in non-automotive sectors, with a clear focus on expanding those non-automotive opportunities. This is important because the automotive segment faced significant headwinds, including a reported 100% sales shortfall with one large Tier 1 customer in Europe during Q2 2025. Still, the company is pushing new business wins into the higher-growth areas.

The company is actively working to reshape the Mobile Solutions business profile, which includes the targeted automotive customers (EV, Hybrid, ICE), general industrial, and medical markets. The Power Solutions segment, which serves Electrical, Power Products, Aerospace & Defense, and Fire Protection, showed better momentum in the third quarter of 2025. For Q3 2025, Net Sales were $103.9 million, with Power Solutions growing 4.7% year-over-year, while Mobile Solutions declined 16.4%.

The customer base is global, which you can see from their 2024 geographic sales distribution:

• North America: 64% of sales in 2024.
• Asia: 17% of sales in 2024.
• South America: 10% of sales in 2024.
• Europe: 9% of sales in 2024.

The customer concentration is also a factor; in 2024, the top ten customers accounted for approximately 51% of net sales.

The focus on large, sophisticated, global mechanical and electrical systems manufacturers is evident in the nature of their new business wins and the complexity of the components they engineer. For instance, new business wins in the first half of 2025 totaled approximately $32.7 million, contributing to the annual goal of $65 million. Q3 2025 wins added another $11.3 million, led by strategic wins in North America auto, fire protection, and aerospace & defense products. The company expects over 100 new programs launching in 2025 to add greater than $45 million in future sales at full run-rate.

Here is a breakdown of the segments and their associated end markets, using the latest available segment performance data:

Business Segment	Primary End Markets	Q3 2025 Sales Performance (YoY Change)	New Business Wins (Q3 2025)
Mobile Solutions	Automotive (EV, Hybrid, ICE), General Industrial, Medical	Declined 16.4%	Contributed to wins, including medical products.
Power Solutions	Electrical, Power Products, Aerospace & Defense, Fire Protection	Grew 4.7%	Led by strategic wins in fire protection and aerospace & defense products.

Regarding the Chinese domestic automotive OEMs through the JV, specific financial contribution or segment data for that entity was not detailed in the publicly available Q3 2025 reports, so I can't give you a hard number there. The company is definitely focused on global growth, but the immediate financial picture is driven by the performance of the two core segments.

NN, Inc. (NNBR) - Canvas Business Model: Cost Structure

The Cost Structure for NN, Inc. (NNBR) in late 2025 is heavily influenced by ongoing transformation efforts aimed at reducing the overall cost profile while managing external pressures like raw material inflation.

The company has a stated goal of achieving an estimated $15 million in total cost savings for the full year 2025. This cost-out plan is a key component of the strategy, alongside footprint rationalization.

Manufacturing and operating costs across global facilities are being actively managed. The Last Twelve Months (LTM) Operating Expenses, as of the third quarter of 2025, stood at $68.7M. A significant driver for cost reduction has been headcount rightsizing, which saw an approximate 16% reduction over the preceding two years. Furthermore, operating costs have been lowered through headcount reductions in specific segments, such as the income from operations improvement in Power Solutions.

Significant raw material costs remain a factor, with the business explicitly noting that current performance is unfavorably impacted by rising metal basis costs, especially gold and silver. Despite this, NN, Inc. anticipates a third consecutive year of positive free cash flow for 2025, even with these elevated precious metal costs.

Restructuring and rationalization costs are tied to the ongoing plant closure strategy. Softness in global automotive markets created an opportunity for the closure of the final high-cost, unprofitable plant in NN, Inc.'s 5-year plan. These actions are part of the ~$15 million cost-out plan for 2025, which also includes staff reduction and continuous improvement programs.

Selling, General, and Administrative (SG&A) expenses are being managed through a structural change, adopting a 'One Team' shared SG&A approach while simultaneously increasing investment in the commercial team. This expansion includes adding over 40 people in business development and launch roles to support new program growth.

Here is a look at how key cost-related margin metrics performed through the third quarter of 2025:

Metric	Q3 2025 Value (As Reported)	Q3 2025 Value (Adjusted)	Comparison Point
Gross Margin	16.8% of sales	18.8% of sales	Up from 14.5% and 16.3% in Q3 2024, respectively
Adjusted EBITDA Margin	11.9% margin rate	N/A	Up from 10.2% margin rate in Q3 2024
Capital Investment	N/A	$18 to $20 million planned for 2025	Investment to support growth initiatives

The focus on cost reduction is also evident in working capital management, where the company achieved a 20.8% reduction in working capital dollars, moving days of working capital from 79 to 70 days.

The overall cost structure management is tied to several strategic actions:

• Targeting $15 million in total cost savings for 2025.
• Executing on the closure of the final high-cost, unprofitable plant.
• Implementing a 'One Team' shared SG&A structure.
• Investing $18 to $20 million on capital projects in 2025.
• Managing the impact of rising precious metal basis costs.

Finance: draft 13-week cash view by Friday.

NN, Inc. (NNBR) - Canvas Business Model: Revenue Streams

You're looking at the core ways NN, Inc. (NNBR) brings in cash as of late 2025. It's a mix of ongoing product sales, strategic partnerships, and capturing new market share.

The primary engine remains the Sales of high-precision components and assemblies. The full-year 2025 outlook for Net Sales is projected to range between $430 million and $460 million.

A significant, stable stream comes from the international footprint, specifically the Joint Venture with Weifu in Wuxi, China, known as Wuxi Weifu Autocam. This partnership generates approximately $130 million in annual sales. To be fair, NN, Inc.'s total China operations, which include this JV and two wholly-owned businesses, deliver over $200 million in profitable sales.

Growth acceleration is targeted through new customer acquisition, evidenced by the 2025 target for Revenue from new business wins set between $60 million and $70 million. The company reported securing $32.7 million in new business wins in the first half of 2025 alone. Furthermore, over 100 new programs are expected to launch in 2025, which are anticipated to add greater than $45 million in future sales at full run-rate.

Another component of the revenue flow involves Precious metals pass-through pricing adjustments. This mechanism helps offset softness in other areas, like the challenges seen in certain automotive customer volumes. Still, the company anticipates a third consecutive year of positive free cash flow in 2025, even while managing elevated precious metal input costs.

The expected profitability from these streams is strong, with the Adjusted EBITDA expected to be an annual record, ranging from $53 million to $63 million in 2025. The fourth quarter of 2025 is specifically targeted to hit the five-year goal of 14% for Adjusted EBITDA margin.

Here's a quick look at the key financial targets driving these revenue streams for 2025:

Revenue/Profit Metric	Projected 2025 Financial Number
Net Sales Outlook	$430 million to $460 million
China Joint Venture Annual Sales	Approximately $130 million
New Business Wins Target	$60 million to $70 million
Adjusted EBITDA Range	$53 million to $63 million

You can see the focus on future revenue generation through the pipeline:

• Secured over $150 million in new wins since Q1 2023.
• Total new business wins target over three years is $200 million.
• The current opportunity pipeline is valued at over $800 million annually, comprising more than 800 prospective programs.
• More than 170 sales growth awards are set to launch across 2025-2026.

Finance: draft 13-week cash view by Friday.