LSI Industries Inc. (NASDAQ:LYTS) Q3 2022 Earnings Conference Call April 28, 2022 11:00 AM ET

Company Participants

James Galeese - Executive Vice President and Chief Financial Officer

James Clark - President and Chief Executive Officer

Conference Call Participants

Craig Irwin - ROTH Capital Partners

Jed Dorsheimer - Canaccord Genuity Corp.

Amit Dayal - H.C. Wainwright & Co, LLC

Richard Fearon - Accretive Capital Partners

Operator

Greetings, and welcome to LSI Industries Fiscal Third Quarter 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator instructions] As a reminder, this conference is being recorded.

I'd now like to turn the conference over to your host, Jim Galeese, Chief Financial Officer, LSI Industries. Sir, please go ahead.

James Galeese

Good morning, everyone, and thank you for joining. We issued a press release before the market opened this morning, detailing our fiscal third quarter results. In conjunction with this release, we also posted a conference call presentation in the Investor Relations portion of our corporate website at www.lsicorp.com. Information contained in this presentation will be referenced throughout today's conference call included are certain non-GAAP measures for improved transparency of our operating results. A complete reconciliation of third quarter GAAP and non-GAAP results is contained in our press release and 10-Q.

Please note that management's commentary and responses to questions on today's conference call may include forward-looking statements about our business outlook. Such statements involve risks and opportunities and actual results could differ materially. I refer you to our safe harbor statement, which appears in this morning's press release, as well as our most recent 10-K and 10-Q.

Today's call will begin with remarks summarizing our fiscal third quarter results. At the conclusion of these prepared remarks, we will open the line for questions.

With that, I'll turn the call over to LSI President and Chief Executive Officer, Jim Clark.

James Clark

Thank you, Jim, and good morning, all. As I'm sure you have seen from our earnings release earlier today, LSI had a great third quarter, and our performance year-to-date has been outstanding. Net sales were up 53% year-over-year, net income is up 146%, adjusted net income up 130%, and EBITDA is up 92% year-over-year.

As many of you know, LSI historically has had some seasonality as outdoor lighting tends to slow during the winter months. Normally, the seasonal softness shows in our second and third quarters, October through April. Our outstanding performance in both our second and third quarter this year helps underline the changes we have made to our business, our ability to deliver products despite a challenging labor market and supply chain, our new product introductions over the last few years and a very active sales and agent network, along with the success of our Display Solution Group, including JSI.