Johnson Outdoors Inc.

everyone and welcome to Johnson Outdoors third quarter 2022 earnings conference call today's call will be led by Helen Johnson Leopold Johnson Outdoors chairman and chief executive officer also on the call is David Johnson vice president and chief financial officer prior to the question and answer session all participants will be placed in a listen only mode after the prepared remarks the question and answer session will begin If you would like to ask a question during this time, please press star then 11 on your telephone keypad. This call is being recorded. Your participation implies consent to our recording the call. If you do not agree to these terms, simply drop off the line. I would now like to turn the call over to Pat Pinman from Johnson Outdoors. Please go ahead, Ms. Pinman.

Thank you. Good morning, everyone. Thank you for joining us for our discussion of Johnson Outdoors results for the 2022 fiscal third quarter. If you need a copy of today's news release, it is available on our website at johnsonoutdoors.com under investor relations. I also need to remind you that this conference call may contain forward-looking statements. These statements are made on the basis of our current views and assumptions and are not guarantees of future performance. Actual events may differ materially from those statements due to a number of factors, many beyond Johnson Outdoors' control. These risks and uncertainties include those listed in our press release and filings with the Securities and Exchange Commission. If you have additional questions following the call, please contact Dave Johnson or myself. It is now my pleasure to turn the call over to Helen Johnson-Leopold.

Thanks, Pat. Good morning, everyone, and thank you for joining us. I'll begin with an overview on the quarter and the year, and then I'll share perspective on the performance and outlook for our businesses. Dave will review financial highlights, and then we'll take your questions. Sales in our third fiscal quarter ending July 1, 2022, declined 5% compared to the prior year's record high third quarter. For the year-to-date period, total company sales declined 7% over last year's fiscal nine-month period. Compared to the 2019 pre-pandemic year-to-date period, our net sales are up significantly. Total company operating profit of $23.8 million for the third quarter was down versus $38.1 million in the prior year's record-setting quarter. Year-to-date operating profit also declined compared to the prior fiscal nine-month period. The decline is due to lower sales volumes and a decrease in gross margin driven by significant cost increases, particularly in our fishing business. We have implemented price increases across our product lines, and we're focused on fulfilling demand and reducing our expenses where possible. We are seeing markets begin to moderate from the pandemic-driven demand of the past two seasons. However, solid demand from our trade partners continues while global supply chain disruptions persist. We have strategically invested in building inventories so we can complete products as parts come in, and our team has been working hard to maximize product build and fulfill orders to customers. In fishing, while we have some supply chain challenges, we are not wavering from our focus on innovation to give anglers the best fishing experiences possible. An important part of that focus is looking for new ways that Hummingbird and Minn Kota products can connect and work together to deliver new benefits to our consumers. Our most recent innovation in Hummingbird, the exciting new MegaLive imaging target lock sonar technology used in conjunction with Minn Kota Altrex trolling motor enables full trolling motor control while independently steering and locking MegaLive on a specific target. This makes it easier for anglers to stay on point and catch more fish. Megalive's imaging target lock captured best in category for electronics at this year's ICAST, the world's most prestigious fishing show, marking our 11th award in this category in the past 12 years. In watercraft recreation, we continue to have momentum in a moderating market driven by the innovation of Old Town Sportsman Lines. Part of the sportsman line is the wildly versatile lightweight sportsman Discovery Solo 119, a solo canoe that paddles like a kayak and is great for fishing, waterfowl hunting, and enjoying lakes and slower moving rivers. The Discovery Solo 119 was recently awarded Field and Stream's Best Overall Fishing Canoe for 2022. The sportsman line offers a watercraft for everyone looking to enjoy a great day on the water. In camping, while the market has cooled compared to the high demand of last year's unprecedented season, participation remains high and we continue to see double-digit growth. Demand for Eureka consumer tents and stoves is strong as well, and in Jeff Goyle, consumers remain excited about the innovative super light sash stove that is in its second year on the market. Finally, in diving, as more consumers resume travel during the quarter, dive markets are experiencing recoveries. The hard work we've put in promoting and supporting local diving, enhancing our global digital presence, and our sustained innovation has contributed to our growth. Recently, ScubaPro launched the brand-new powerful SeaWing Supernova fins. The Supernova is a go-to fin for avid recreational and professional divers seeking maximum speed, power, and kicking control in all diving conditions. The Seawing Supernova was also the winner of the prestigious internationally recognized Red Dot Award for Product Design. Our continued innovation efforts will ensure ScubaPro's position as the most trusted dye brand in the world. In summary, while we face supply chain disruptions and long lead times, we remain laser-focused on working hard to fulfill orders from our loyal customers who seek out our award-winning products. Obviously, we are monitoring the uncertain economic conditions, and as always, we take the long view at Johnson Outdoors, working hard to position our brands and our businesses for growth well beyond the next quarter or next year. Now I'll turn the call over to Dave for a review of the financial highlights.