Lsi Industries Inc. · NASDAQ:LYTS
Lsi Industries — Q1 2025 Earnings Presentation
16 slides from Lsi Industries's earnings presentation, Nov 7, 2024
Slide 1: Fiscal First Quarter 2025 Results Conference Call
Fiscal First Quarter 2025 Results Conference Call November 7, 2024
Slide 2: Disclaimer
DISCLAIMER This presentation contains “forward-looking statements”—that is, statements related to future events within the meaning of the Private Securities Litigation Reform Act of 1995. The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking statements. In t
Slide 3: Key Messages
KEY MESSAGES Strong commercial and operational execution Display Solutions positioned for growth inflection Solid execution, Q1FY25 sales 12% above PY driven by strong following improved order momentum performance in Refueling/C-Store and QSR Order rates within grocery nearly doubled and consistent
Slide 4: Consolidated Financial Results
CONSOLIDATED FINANCIAL RESULTS Total Net Sales ($M) Operating Income ($M) Q1 demonstrates $138.1 11.3% strength of vertical 8.6% $123.4 $13.9 market strategy $11.0 $11.9 $9.1 Sales growth in Refueling/C- store, QSR and other markets offset by continued disruption in Grocery vertical Q1FY24 Q1FY25 Q1
Slide 5: Lighting Segment Update
LIGHTING SEGMENT UPDATE Lighting Segment Sales ($M) Lighting Segment Adj. Gross Margin ($M) Sales growth in select 34.4% verticals including $67.6 Refueling/C-Store and QSR is $58.4 31.9% $23.3 offset by lengthened quote- $18.7 to-order conversion period, particularly for large projects Quotation ac
Slide 6: Display Solutions Segment Update
DISPLAY SOLUTIONS SEGMENT UPDATE Display Solutions Segment Sales ($M) Display Solutions Segment Adj. Gross Margin ($M) Strong growth in Refueling/C- 24.5% $79.7 Store sales driven by elevated 19.0% backlog of program wins $55.8 $15.1 $13.7 Order rates within grocery vertical increased by nearly 100%
Slide 7: Strong Cash Generation, Balance Sheet Discipline
STRONG CASH GENERATION, BALANCE SHEET DISCIPLINE Free Cash Flow ($M)(1) TTM Free Cash Flow ($M)(1) Q1 Free Cash Flow of $11 million continues trend of $45.4 $43.8 $43.3 solid cash generation $38.0 $38.9 $11.2 $11.1 Reduced net debt nearly $10 $9.2 $10.3 million of in the quarter, exit $7.3 Margin Ma
Slide 8: Disciplined Working Capital Management
DISCIPLINED WORKING CAPITAL MANAGEMENT Total Working Capital ($M) Effective Working Capital management contributes to $86.8 $83.3 solid Free Cash Flow $76.2 $75.8 $77.2 Days of Working Capital and EMI Inventory remains stable as Acquisition Margin MarginRate Rate operations adapt to 30.6% 22.1% fluc
Slide 9: Appendix
APPENDIX
Slide 10: Statement on Non-GAAP Financial Measures
STATEMENT ON NON-GAAP FINANCIAL MEASURES This presentation includes adjustments to GAAP gross margin, operating income, net income, and earnings per share for the rolling five quarters ending September 30, 2024. Gross Margin, operating income, net income, and earnings per share, which exclude the im
Slide 11: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION LSI Industries Q1 2024 Q1 2025 Net Sales 123,441 138,095 Gross Margin 36,589 33,647 Lease expense on the step-up basis of acquired leases - 67 Severance costs/Restructuring costs 347 39 Adjusted Gross Margin 36,936 33,753 Adjusted Gross Margin % 29.9% 24.4% Lighting Segment Q
Slide 12: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION LSI Industries Q1 2024 Q1 2025 Lighting Segment Q1 2024 Q1 2025 Net Sales 123,441 138,095 Net Sales 67,641 58,437 Operating Income 11,028 9,131 Operating Income 8,753 5,759 Acquisition costs - 48 Amortization expense of acquired intangible assets 603 603 Consulting expense: c
Slide 13: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION Diluted Diluted Diluted Diluted Diluted LSI Industries Q1 2024 EPS Q2 2024 EPS Q3 2024 EPS Q4 2024 EPS Q1 2025 EPS Net Income Reported $ 8,028 $ 0.27 $ 5,906 $ 0.20 $ 5,375$ 0.18 $ 5,668 $ 0.19 $ 6,682 $ 0.22 Acquisition costs - - - - - - 722 0.02 $ 36 $ - Consulting expense:
Slide 14: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION LSI Industries Q1 2024 Q1 2025 Net Income Reported $ 8,028 $ 6,682 Income tax 2,338 1,635 Interest expense, net 566 875 Other expense (Income) 96 (61) Operating Income as Reported 11,028 9,131 Depreciation and amortization 2,371 2,940 EBITDA $ 13,399 $ 12,071 Acquisition cost
Slide 15: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION Free Cash Flow Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Cash flow from operations $ 10,592 $ 9,276 $ 12,429 $ 11,096 $ 11,846 Less: Capital expenditures $ (1,393) $ (1,956) $ (1,277) $ (762) $ (759) Free cash flow $ 9,199 $ 7,320 $ 11,152 $ 10,334 $ 11,087 Net Debt Outstanding
Slide 16: For Additional Questions, Please Contact
For Additional Questions, Please Contact 720.778.2415 Thank you, LSI Investor Relations