Insteel Industries, Inc. (NYSE:IIIN) Q3 2022 Earnings Conference Call July 21, 2022 10:00 AM ET

Company Participants

H.O. Woltz - Chairman, President and Chief Executive Officer

Mark Carano - Senior Vice President, Chief Financial Officer and Treasurer

Conference Call Participants

Julio Romero - Sidoti & Company

Tyson Bauer - KC Capital

Operator

Hello, and welcome to the Insteel Industries Third Quarter 2022 Earnings Call. My name is Kate and I will be your call today. [Operator Instructions]

I'll now hand over to your host, H Woltz, President and CEO to begin. H, please go ahead.

H.O. Woltz

Good morning. Thank you for your interest in Insteel, and welcome to our third quarter 2022 conference call, which will be conducted by Mark Carano, our Senior Vice President, CFO and Treasurer and me.

Before we begin, let me remind you that some of the comments made in our presentation are considered to be forward-looking statements that are subject to various risks and uncertainties which could cause actual results to differ materially from those projected. These risk factors are described in our periodic filings with the SEC. We're pleased with our third quarter results that were driven by surging demand for our reinforcing products and escalating steel prices. We believe the outlook for our markets is highly positive and has been materially enhanced by the passage of the infrastructure investment in JOBS Act.

I'm going to turn the call over to Mark to comment on our financial results for the quarter and the macro environment and then I'll pick it back up to discuss our business outlook.

Mark Carano

Thank you, H. And good morning to everyone joining us for the call. As we highlighted in the release earlier today, the third quarter of 2022 was another historically strong period of financial performance. Only exceeded by our record second quarter of this fiscal year. We reported quarterly revenue of $227.2 million or an increase of 41.3% from $160.8 million in the prior year and net earnings of $38.6 million, or $1.96 per diluted share, as compared to $18.4 million or $0.84 per diluted share in the prior year period, representing 109% increase in earnings per share.

Our results continue to be favorably impacted by strong demand and incremental price increases to recover the continued escalation in raw material and operating costs. Average selling prices in the third quarter increased 53.9% relative to the prior year and were broad-based across all product lines.