Press release
LSI Industries Introduces Strategic Plan Update, Five-Year Financial Targets
“Fast Forward” Strategy to Deliver $800 million in Net Sales and $100 million Adjusted EBITDA by FY28 CINCINNATI--(BUSINESS WIRE)-- LSI Industries Inc.
About this update from Lsi Industries Inc.
[{"type":"text","content":"\n“Fast Forward” Strategy to Deliver $800 million in Net Sales and $100 million Adjusted EBITDA by FY28\n\n CINCINNATI--(BUSINESS WIRE)--\nLSI Industries Inc. (Nasdaq: LYTS, “LSI” or the “Company”) a leading U.S. based manufacturer of indoor/outdoor lighting and display solutions, today introduced its long-term strategic growth plan, including new, five-year financial targets through FY28.\n\nMANAGEMENT COMMENTARY\n\n“During the last three years, our team has demonstrated significant progress on our business transformation strategy, one that emphasizes targeted commercial expansion within higher-value, growth-oriented vertical markets, improved operational efficiency, and a disciplined approach toward capital allocation,” stated James A. Clark, President and Chief Executive Officer of LSI Industries. “During this period of transformation, we’ve built a balanced, integrated lighting and display solutions platform, introduced a record number of new products, strengthened our partner and end-user relationships, expanded our procurement and sourcing capabilities, and successfully integrated a significant strategic acquisition with the purchase of JSI.”\n\n“Having built a strong foundation for profitable growth, LSI will now seek to build scale through its distinct vertical market model, positioning us to deliver superior value to both customers and shareholders,” continued Clark. “Today, with the introduction of our Fast Forward strategy, we are publishing new, five-year financial targets. Over the next five years, we project net sales growth of more than 60%, Adjusted EBITDA growth of more than 100% and Adjusted EBITDA margin expansion of approximately 250+ basis points, or 12.5% of net sales. We anticipate sales growth will be evenly balanced across both organic and inorganic investments.”\n\n“In the current fiscal year 2023 ended June 30, 2023, we project net sales of approximately $490-$500 million and Adjusted EBITDA of $47-$49 million, or ~9.5% to 10% of net sales,” concluded Clark.\n\nFAST FORWARD STRATEGY OVERVIEW\n\nLSI’s Fast Forward Strategy seeks to deliver sustained commercial expansion, operational excellence and disciplined capital allocation, consistent with the Company’s focus on long-term value creation. Key elements of the Strategy include the following:\n\n\nSeek to expand “customer share” within existing vertica...