Start Time: 10:00 January 1, 0000 10:44 AM ET
CSW Industrials, Inc. (NASDAQ:CSWI)
Q3 2023 Earnings Conference Call
February 02, 2023, 10:00 AM ET
Company Participants
Joseph Armes - Chairman, CEO and President
James Perry - EVP and CFO
Adrianne Griffin - VP, IR and Treasurer
Conference Call Participants
Jon Tanwanteng - CJS Securities
Julio Romero - Sidoti
Operator
Greetings, and welcome to CSW Industrials, Inc. Fiscal Third Quarter 2023 Earnings Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions]. Please note this conference is being recorded.
I would now turn the conference over to your host, James Perry, CSWI's Executive Vice President and Chief Financial Officer. Thank you. Mr. Perry, you may begin.
James Perry
Thank you, Sheri. Good morning, everyone, and welcome to the CSW Industrials fiscal 2023 third quarter earnings call. Joining me today is Joseph Armes, Chairman, Chief Executive Officer and President of CSW Industrials.
We issued our earnings release, presentation and Form 10-Q prior to the market's opening today, which are available on the Investor portion of our Web site at www.cswindustrials.com. This call is being webcast and information on accessing the replay is included in the earnings release.
During this call, we will make forward-looking statements. These statements are based on current expectations and assumptions that are subject to various risks and uncertainties. Actual results could materially differ because of factors discussed today in our earnings release and the comments made during this call as well as the risk factors identified in our annual report on Form 10-K and other filings with the SEC. We do not undertake any duty to update any forward-looking statements.
I will now turn the call over to Joe Armes.
Joseph Armes
Thank you, James. Good morning and thank you for joining our fiscal third quarter conference call. Once again, our team executed well in the face of economic headwinds. Our record third quarter results reflect the diligence and professionalism of our team members around the globe. Demand for our high value products remains strong.
We are highly focused on managing our costs while pursuing market share growth. We have continued to deploy capital opportunistically while strengthening our balance sheet and liquidity through reducing our leverage ratio and proactively increasing our revolver capacity, thereby maximizing our ability to pursue future opportunities as they arise.
We delivered impressive operating leverage, as EBITDA grew by 47% on 26% growth in revenue, while also generating $33 million in free cash flow equal to 19% of revenue. In the current quarter, all three segments contributed to organic revenue growth of $23 million, driven primarily by the numerous price actions we have taken over the last two years. While we are still experiencing inflationary cost pressure, we have been able to partially offset these with productivity gains.