CompX International makes two lines of engineered components: security products and marine components. Security products include mechanical and electronic cabinet locks and locking mechanisms used in postal mailboxes, file cabinets, tool storage, healthcare cabinetry, drug storage, vending machines, and gas stations. Products range from basic disc tumbler locks to high-security pin tumbler locks and electronic locks with audit trail and networked access capabilities. The U.S. Postal Service is CompX's largest single customer, representing 26% of consolidated net sales. Marine components include specialty hardware for recreational ski/wakeboard and performance boats, such as wake enhancement systems, stainless steel exhaust headers, gauges, throttle controls, and trim tabs. CompX also sells fabricated metal products to industrial customers through the marine segment. CompX sells primarily direct to large OEMs through an in-house sales force, and also sells security products through a North American distributor network serving locksmiths and smaller OEMs. The top 10 customers account for roughly half of consolidated net sales. CompX targets mid-to-high-end applications where quality and durability matter, which supports better pricing than the commodity end of the market. Key cost inputs are zinc and brass for security products and stainless steel and aluminum for marine components, which together represent roughly 43% of cost of sales.
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