LSI Industries Inc.

Good morning, everyone.

We issued a press release before the market opened this morning detailing our fiscal fourth 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.lsi-industries.com. Information contained in this presentation will be referenced throughout today's conference call. I would like to remind you 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 fourth 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. Thank you, Jim.

Good morning, all, and thank you for taking the time to join today's call. In our last earnings call, we discussed our third quarter results and the initial impacts of COVID-19 on our business. As LSI was deemed an essential business from the start, we made the decision early on to remain operational throughout the current challenge. Creating a safe work environment in protection of our employees was mission number one, but we also worked hard at finding ways to not only remain operational, but actively look for ways in which we could add value to our customers. Our U.S. manufacturing footprint and our previous work on diversifying our supply chain not only allowed us to continue to serve our customers with minimal interruption, but it also created an opportunity to pivot and provide some specific COVID-related support, including social distance graphics and other products and services. As you have likely seen from our recently released Q4 financials and the actions and efforts of the entire LSI team throughout the year, in particular through the current challenge of COVID-19, has allowed us to exit from our fourth quarter and our year profitably with increased earnings, continued expansion of our gross margin, lower operating costs, strong cash flow generation, and I'm happy to say the elimination of nearly $40 million in debt over the last 12 months. Note, LSI is currently debt-free. One year ago, we started Fiscal 2020 on a mission to shift our business away from commoditized low-value products to higher-value solutions. We created growth and future opportunities in many of the vertical markets that we serve, including petroleum, parking, automotive, quick-serve retail, and grocery pharma. Our team, including many of our partners, has the courage and discipline to walk away from low-value business and focus on markets where we bring a much higher value to our customers and our company and shareholders. This effort resulted in a 520 basis point gross margin improvement in lighting for the fourth quarter and a 310 BIP improvement overall for the year. Although sales declined in the fourth quarter as a result of COVID-19, our adjusted operating income in lighting was 2.9 million or 5% above prior year and 2.2 million in graphics, up 64% versus prior year. Jim Galeese will provide further comment on our exceptional financial performance for the quarter and the year. Now, shifting my comments to fiscal year 2021, I'm encouraged by the pace and progress of our company and the participation of our entire team. While COVID-19 and the related headwinds may slow down our progress, the efforts and professionalism of our employees in adapting to the new reality of our current environment has been outstanding. On the lighting side of the business, in Q4, we completed the build-out of our product development and marketing team, and we introduced seven new products, not including those introduced by Atlas, and more than 20 new products for the year in 2020. Under our current plan for 2021, we will introduce an additional 20 new products. These products and solutions reflect an alignment with our vertical markets and provide further differentiation from low-quality commoditized products. The integration of an entry-level controls platform across our entire product line, the continued improvement in energy usage coupled with higher output and improved visual comfort will add to the differentiation in value we frequently talk about. Building on our plan of understanding our markets and separating ourselves from our commodity solutions, We will add three new vertical markets to our focus over the next year. When we complete these growth plans, along with our engineering, manufacturing, marketing, and sales team, I feel we'll compete on a different level and we earn the right to win in the markets we work in. On the graphic side of the business, we've experienced surprisingly minimal disruption to our ongoing and proposed future projects. Our customer commitments and plans have not changed significantly in the petroleum, grocery farmer, and quick-serve retail environments. We've had to work around deployment and installation schedules occasionally as COVID hotspots have emerged, but for the most part, it has been business as usual. In Q4, we completed the move of our graphics facility in our Canton Akron location. This new location has had an immediate improvement on our productivity, and we look to leverage this even further as we move into 2021 and beyond. Although these are uncertain and unprecedented times, our outlook remains focused on the things we can control and the execution of well-thought-out strategic plans. We've made adjustments to reflect the environment, but we still feel as though we are in charge of creating the opportunities and continuing to build and grow our company. For those of you who regularly follow our company and our calls, I think the past quarter reflects our high stage view ratio and our commitment to execution. We spent the last 18 months transforming LSI into a better performing company, and I believe our best days are still way ahead of us. With that, I'll turn it back over to Jim Galeese for comments on our financials.