# LSI INDUSTRIES INC (LYTS)

Informational only - not investment advice.

CIK: 0000763532
SIC: 3640 Electric Lighting & Wiring Equipment
SIC breadcrumb: [Manufacturing](/division/D/) > [Electronic And Other Electrical Equipment And Components, Except Computer Equipment](/major-group/36/) > [SIC 3640 Electric Lighting & Wiring Equipment](/industry/3640/)
Latest 10-K filed: 2025-09-11
SEC page: https://www.sec.gov/edgar/browse/?CIK=763532
Filing source: https://www.sec.gov/Archives/edgar/data/763532/000143774925028862/lyts20250630_10k.htm

## At a glance

FY2025 · period end 2025-06-30 · filed 2025-09-11 · accession 0001437749-25-028862 · source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000763532.json

| Metric | Value | FY | Provenance |
| --- | ---: | ---: | --- |
| Revenue | 573,377,000 USD | 2025 | verified |
| Net income | 24,383,000 USD | 2025 | verified |
| Assets | 396,362,000 USD | 2025 | verified |
| Free cash flow | 34,653,000 USD | 2025 | computed |
| Net margin | 4.25% | 2025 | computed |
| Operating margin | 6.24% | 2025 | computed |
| Revenue YoY | +22.09% | 2025 | computed |
| ROE | 10.57% | 2025 | computed |

Computed values are grepcent-computed from the verified facts above and may differ from ratios the company itself reports. Free cash flow = operating cash flow − capital expenditures. Net margin = net income ÷ revenue. Operating margin = operating income ÷ revenue. Revenue YoY = FY2025 revenue ÷ FY2024 revenue − 1 (consecutive fiscal years only). ROE = net income ÷ period-end stockholders' equity.

No market price, no rating, no forecast on this site. Not investment advice.

### Peer percentile fingerprint

| Ratio | LYTS | Peer median | Percentile | N |
| --- | ---: | ---: | ---: | ---: |
| Net margin | 4.3% | 4.4% | 49 | 135 |
| Operating margin | 6.2% | 4.4% | 55 | 128 |
| Revenue growth | 22.1% | 10.2% | 70 | 142 |
| FCF margin | 6.0% | 8.0% | 40 | 138 |
| ROE | 10.6% | 5.4% | 59 | 136 |
| ROA | 6.2% | 2.7% | 67 | 143 |
| Liabilities / equity | 0.72 | 0.81 | 44 | 138 |
| Current ratio | 1.99 | 2.59 | 27 | 144 |

Percentile = share of the N covered peers reporting that ratio whose value is lower (ties counted half); computed among grepcent-covered companies in SIC major-group 36 Electronic And Other Electrical Equipment And Components, Except Computer Equipment, not the whole market. A higher percentile means a higher value of the ratio, not a better company. Ratios with fewer than 8 reporting peers are omitted. Latest reported values per company; fiscal periods may differ. Descriptive arithmetic - not a score, rating, or ranking.

## Selected Fundamentals
| Metric | Value | Unit | FY | Filed |
| --- | ---: | --- | ---: | --- |
| Revenue | 573377000 | USD | 2025 | 2025-09-11 |
| Net income | 24383000 | USD | 2025 | 2025-09-11 |
| Assets | 396362000 | USD | 2025 | 2025-09-11 |

## Financials

Annual standardized facts from SEC companyfacts as of latest extracted filing date 2025-09-11. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000763532.json. Derived margins, ratios, and free cash flow are computed from the extracted annual SEC facts.

| Metric | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| Revenue | 322,196,000 | 331,392,000 | 342,023,000 | 82,377,000 | 76,387,000 | 111,143,000 | 455,120,000 | 496,979,000 | 469,638,000 | 573,377,000 |
| Net income | 9,482,000 | 3,000,000 | -19,541,000 | -16,339,000 | 9,592,000 | 5,868,000 | 15,032,000 | 25,762,000 | 24,977,000 | 24,383,000 |
| Operating income | 13,956,000 | 3,609,000 | -21,652,000 | -19,890,000 | 13,076,000 | 8,030,000 | 21,201,000 | 37,028,000 | 35,517,000 | 35,769,000 |
| Gross profit | 83,671,000 | 81,877,000 | 89,234,000 | 73,713,000 | 73,530,000 | 78,974,000 | 109,208,000 | 136,945,000 | 133,168,000 | 141,780,000 |
| Diluted EPS | 0.37 | 0.12 | -0.76 | -0.63 | 0.36 | 0.21 | 0.54 | 0.88 | 0.83 | 0.79 |
| Operating cash flow | 18,125,000 | 21,250,000 | 11,500,000 | 11,491,000 | 29,712,000 | 28,009,000 | -3,863,000 | 49,588,000 | 43,392,000 | 38,118,000 |
| Capital expenditures | 10,211,000 | 6,633,000 | 3,406,000 | 2,618,000 | 2,739,000 | 2,233,000 | 2,122,000 | 3,208,000 | 5,388,000 | 3,465,000 |
| Dividends paid | 4,214,000 | 5,048,000 | 5,154,000 | 5,184,000 | 5,276,000 | 5,288,000 | 5,322,000 | 5,438,000 | 5,737,000 | 5,970,000 |
| Assets | 195,560,000 | 256,680,000 | 229,517,000 | 201,100,000 | 172,263,000 | 286,821,000 | 311,080,000 | 296,149,000 | 348,800,000 | 396,362,000 |
| Stockholders' equity | 155,520,000 | 160,078,000 | 139,251,000 | 119,937,000 | 125,700,000 | 131,170,000 | 147,769,000 | 177,578,000 | 204,355,000 | 230,722,000 |
| Cash and cash equivalents | 33,835,000 | 3,039,000 | 3,178,000 | 966,000 | 3,517,000 | 2,282,000 | 2,462,000 | 1,828,000 | 4,110,000 | 3,457,000 |
| Free cash flow | 7,914,000 | 14,617,000 | 8,094,000 | 8,873,000 | 26,973,000 | 25,776,000 | -5,985,000 | 46,380,000 | 38,004,000 | 34,653,000 |

### Ratios

ROE and ROA use period-end equity/assets. Liabilities / equity uses total liabilities divided by stockholders' equity. Current ratio uses current assets divided by current liabilities when both are reported.

| Metric | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| Net margin | 2.94% | 0.91% | -5.71% | -19.83% | 12.56% | 5.28% | 3.30% | 5.18% | 5.32% | 4.25% |
| Operating margin | 4.33% | 1.09% | -6.33% | -24.15% | 17.12% | 7.22% | 4.66% | 7.45% | 7.56% | 6.24% |
| Return on equity | 6.10% | 1.87% | -14.03% | -13.62% | 7.63% | 4.47% | 10.17% | 14.51% | 12.22% | 10.57% |
| Return on assets | 4.85% | 1.17% | -8.51% | -8.12% | 5.57% | 2.05% | 4.83% | 8.70% | 7.16% | 6.15% |
| Liabilities / equity | 0.26 | 0.60 | 0.65 | 0.68 | 0.37 | 1.19 | 1.11 | 0.67 | 0.71 | 0.72 |
| Current ratio | 3.26 | 2.36 | 2.61 | 2.78 | 2.48 | 1.76 | 2.06 | 1.96 | 2.05 | 1.99 |

## As-reported value updates

No tracked differences above grepcent's stated thresholds and capped precision rule were found between the earliest XBRL-filed value and the value currently on file for the standardized annual metrics grepcent tracks.


## Quarterly

Quarterly standardized facts from SEC companyfacts as of latest extracted filing date 2026-05-08. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000763532.json.

Flow metrics use discrete quarter-length periods from 10-Q/10-Q/A filings. Q4 revenue and net income are derived only when annual FY and nine-month YTD facts exist for the same fiscal year; derived Q4 values are labeled. EPS Q4 is not derived.

| Quarter | End date | Revenue | Net income | Diluted EPS | Method |
| --- | --- | ---: | ---: | ---: | --- |
| 2022-Q3 | 2022-03-31 |  |  | 0.13 | reported discrete quarter |
| 2023-Q2 | 2022-12-31 |  |  | 0.22 | reported discrete quarter |
| 2023-Q3 | 2023-03-31 |  |  | 0.16 | reported discrete quarter |
| 2023-Q4 | 2023-06-30 | 123,636,000 | 8,415,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2024-Q1 | 2023-09-30 | 123,441,000 | 8,028,000 | 0.27 | reported discrete quarter |
| 2024-Q2 | 2023-09-30 |  | 8,028,000 |  | reported discrete quarter |
| 2024-Q2 | 2023-12-31 | 109,005,000 |  | 0.20 | reported discrete quarter |
| 2024-Q3 | 2023-12-31 |  | 5,906,000 |  | reported discrete quarter |
| 2024-Q3 | 2024-03-31 | 108,186,000 |  | 0.18 | reported discrete quarter |
| 2024-Q4 | 2024-06-30 | 129,006,000 | 5,668,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2025-Q1 | 2024-09-30 | 138,095,000 | 6,682,000 | 0.22 | reported discrete quarter |
| 2025-Q2 | 2024-09-30 |  | 6,682,000 |  | reported discrete quarter |
| 2025-Q2 | 2024-12-31 | 147,734,000 |  | 0.18 | reported discrete quarter |
| 2025-Q3 | 2024-12-31 |  | 5,647,000 |  | reported discrete quarter |
| 2025-Q3 | 2025-03-31 | 132,481,000 |  | 0.13 | reported discrete quarter |
| 2025-Q4 | 2025-06-30 | 155,067,000 | 8,171,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2026-Q1 | 2025-09-30 | 157,249,000 | 7,264,000 | 0.23 | reported discrete quarter |
| 2026-Q2 | 2025-09-30 |  | 7,264,000 |  | reported discrete quarter |
| 2026-Q2 | 2025-12-31 | 147,002,000 |  | 0.20 | reported discrete quarter |
| 2026-Q3 | 2025-12-31 |  | 6,348,000 |  | reported discrete quarter |
| 2026-Q3 | 2026-03-31 | 150,525,000 |  | 0.06 | reported discrete quarter |

## Filed narrative (10-K & 10-Q)

## Business

Verbatim Item 1 Business section from LYTS's latest 10-K: [/company/LYTS/business/](/company/LYTS/business/).

## Risk Factors

Verbatim Item 1A Risk Factors from LYTS's latest 10-K: [/company/LYTS/risk-factors/](/company/LYTS/risk-factors/).

## Latest quarter (10-Q)

Latest 10-Q source: https://www.sec.gov/Archives/edgar/data/763532/000143774926015958/lyts20260331c_10q.htm

Extracted structurally from real Item 2 body heading to real Item 3/4 boundary. Published MD&A gate trimmed front/tail over-capture.
Confidence: high
Filing date: 2026-05-08
Report date: 2026-03-31

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Note About Forward-Looking Statements

This report includes estimates, projections, statements relating to our business plans, objectives, and expected operating results that are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements may appear throughout this report, including this section. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “focus,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions. Forward-looking statements are based on current expectations and assumptions that are subject to risks and uncertainties that may cause actual results to differ materially. We describe risks and uncertainties that could cause actual results and events to differ materially in in our Annual Report on Form 10-K in the following sections: “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” “Quantitative and Qualitative Disclosures about Market Risk,” and “Risk Factors.” All of those risks and uncertainties are incorporated herein by reference. We undertake no obligation to update or revise publicly any forward-looking statements, whether because of new information, future events, or otherwise.

The following Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”) is intended to help the reader understand the results of operations and financial condition of LSI Industries Inc. MD&A is provided as a supplement to, and should be read in conjunction with, our Annual Report on Form 10-K for the year ended June 30, 2025, and our financial statements and the accompanying Notes to Financial Statements (Part I, Item 1 of this Form 10-Q).

Our condensed consolidated financial statements, accompanying notes and the “Safe Harbor” Statement, each as appearing earlier in this report, should be referred to in conjunction with this Management’s Discussion and Analysis of Financial Condition and Results of Operations.

Summary of Consolidated Results

[[GREPCENT_TABLE]]
[["Net Sales by Business Segment","","Three Months Ended","","","Nine Months Ended"],["","","March 31,","","","March 31,"],["(In thousands)","","2026","","","2025","","","2026","","","2025"],["Lighting Segment","","$","60,038","","","$","58,967","","","$","195,764","","","$","175,614"],["Display Solutions Segment","","","90,487","","","","73,514","","","","259,012","","","","242,696"],["Total Net Sales","","$","150,525","","","$","132,481","","","$","454,776","","","$","418,310"]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["Operating Income (Loss) by Business Segment","","Three Months Ended","","","Nine Months Ended"],["","","March 31,","","","March 31,"],["(In thousands)","","2026","","","2025","","","2026","","","2025"],["Lighting Segment","","$","6,938","","","$","7,154","","","$","23,034","","","$","18,885"],["Display Solutions Segment","","","7,895","","","","4,510","","","","22,562","","","","20,344"],["Corporate and Eliminations","","","(10,757",")","","","(5,429",")","","","(21,683",")","","","(15,404",")"],["Total Operating Income","","$","4,076","","","$","6,235","","","$","23,913","","","$","23,825"]]
[[/GREPCENT_TABLE]]

Net sales of $150.5 million for the three months ended March 31, 2026, increased 14% as compared to net sales of $132.5 million for the three months ended March 31, 2025. The increase in net sales reflects growth in both of the Company’s segments with a 23% sales growth in the Display Solutions segment and a 2% sales growth in the Lighting segment. The 23% growth in the Display Solutions Segment was primarily driven by strong demand levels across a broad base of customers in both the grocery and refueling/c-store verticals. Third quarter net sales in the Display Solutions segment also reflects Royston net sales of $6.6 million for the 6-day stub period. Royston was acquired on March 24, 2026. Lighting Segment sales improved 2% compared to the same period last year despite a lengthening project quote to order conversion period.

Net sales of $454.8 million for the nine months ended March 31, 2026, increased 9% as compared to net sales of $418.3 million for the nine months ended March 31, 2025. The increase in net sales reflects growth in both of the Company’s segments with a 7% sales growth in the Display Solutions segment and a 12% sales growth in the Lighting segment. As stated in the overview of the third quarter, the demand levels across a broad base of customers in both the grocery and refueling/c-store verticals contributed to the year-over-year growth in the Display Solutions segment. Net sales in the period for the Display Solutions segment also reflects Royston net sales of $6.6 million for the 6-day stub period. Royston was acquired on March 24, 2026. Growth in the Lighting Segment continued for the third straight quarter with period-over-period sales growth contributing to the year-to-date growth in net sales of 12%.  

Page 26

Table of Contents

Operating income of $4.1 million for the three months ended March 31, 2026, represents a 35% decrease in operating income from $6.2 million in the three months ended March 31, 2025. Operating income for the three months ended March 31, 2026, was impacted by $6.5 million of acquisition-related costs. Adjusted operating income, a Non-GAAP measure, was $13.4 million in the three months ended March 31, 2026, representing a 39% increase compared to adjusted operating income of $9.7 million in the three months ended March 31, 2025. Refer to “Non-GAAP Financial Measures” below for a reconciliation of Non-GAAP financial measures to U.S. GAAP measures. The quarter-over-quarter sales growth of 14% coupled with improved margins resulting from improved productivity and price optimization resulted in leveraged adjusted operating income growth.   

Operating income of $23.9 million for the nine months ended March 31, 2026, represents a slight increase from operating income of $23.8 million in the nine months ended March 31, 2025. Operating income for the three months ended March 31, 2026, was impacted by $6.9 million of acquisition-related costs. Adjusted operating income, a Non-GAAP financial measure, was $39.1 million in the nine months ended March 31, 2026, compared to adjusted operating income of $33.2 million in the nine months ended March 31, 2025. Refer to “Non-GAAP Financial Measures” below for a reconciliation of Non-GAAP financial measures to U.S. GAAP measures. The year-over-year sales growth of 9% coupled with improved margins resulting from improved productivity and price optimization resulted in the growth in operating income.   

Non-GAAP Financial Measures

This report includes adjustments to GAAP operating income, net income, and earnings per share for the three months and nine months ended March 31, 2026, and 2025.  Operating income, net income, and earnings per share, which exclude the impact of long-term performance-based compensation expense, the amortization expense of acquired intangible assets, commercial growth opportunity expense, acquisition costs, the lease expense on the step-up basis of acquired leases, and restructuring and severance costs, are non-GAAP financial measures. We further note that while the amortization expense of acquired intangible assets is excluded from the non-GAAP financial measures, the revenue of the acquired companies is included in the measures, and the acquired assets contribute to the generation of revenue. We believe these non-GAAP measures will provide increased transparency to our core operating performance of the business. Also included in this report are non-GAAP financial measures, including Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA and Adjusted EBITDA), Net Debt to Adjusted EBITDA, and Free Cash Flow.  We believe that these are useful as supplemental measures in assessing the operating performance of our business.  These measures are used by our management, including our chief operating decision maker, to evaluate business results, and are frequently referenced by those who follow the Company.  These non-GAAP measures may be different from non-GAAP measures used by other companies.  In addition, the non-GAAP measures are not based on any comprehensive set of accounting rules or principles.  Non-GAAP measures have limitations, in that they do not reflect all amounts associated with our results as determined in accordance with U.S. GAAP.  Therefore, these measures should be used only to evaluate our results in conjunction with corresponding GAAP measures.

[[GREPCENT_TABLE]]
[["","","Three Months Ended"],["Reconciliation of operating income to adjusted operating income:","","March 31,"],["","","2026","","","2025"],["(In thousands)"],["Operating income as reported","","$","4,076","","","$","6,235"],["Long-term performance based compensation","","","715","","","","1,116"],["Amortization expense of acquired intangible assets","","","1,732","","","","1,465"],["Restructuring/severance costs","","","25","","","","-"],["Acquisition costs","","","6,519","","","","774"],["Lease expense on the step-up basis of acquired leases","","","317","","","","67"],["Adjusted operating income","","$","13,384","","","$","9,657"]]
[[/GREPCENT_TABLE]]

Page 27

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[[GREPCENT_TABLE]]
[["Reconciliation of net income to adjusted net income","","Three Months Ended"],["","","March 31,"],["(In thousands, except per share data)","","2026","","","2025"],["","","","","","","Diluted EPS","","","","","","","Diluted EPS"],["Net income as reported","","$","2,091","","","$","0.06","","","$","3,883","","","$","0.13"],["Long-term performance based compensation","","","597","(1)","","","0.02","","","","879","(7)","","","0.02"],["Amortization expense of acquired intangible assets","","","1,377","(2)","","","0.05","","","","1,128","(8)","","","0.04"],["Restructuring/severance costs","","","19","(3)","","","-","","","","-","","","","-"],["Acquisition costs","","","4,898","(4)","","","0.15","","","","577","(9)","","","0.02"],["Lease expense on the step-up basis of acquired leases","","","241","(5)","","","0.01","","","","52","(10)","","","-"],["Foreign Currency transaction loss on intercompany loan","","","(147",")(6)","","","(0.01",")","","","-","","","","-"],["Tax rate difference between reported and adjusted net income","","","523","","","","0.01","","","","(188",")","","","(0.01",")"],["Net income adjusted","","$","9,599","","","$","0.29","","","$","6,331","","","$","0.20"]]
[[/GREPCENT_TABLE]]

The following represents the income tax effects of the adjustments in the tables above, which were calculated using the estimated combined U.S., Canada and Mexico effective income tax rates for the periods indicated (in thousands):

(1) $118

(2) $355

(3) $6

(4) $1,621

(5) $76

(6) ($49)

(7) $237

(8) $337

(9) $197

(10) $15

Page 28

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[Excerpt truncated for page length; source filing is linked above.]

## Latest 10-K MD&A (excerpt)

Latest 10-K Item 7 source: https://www.sec.gov/Archives/edgar/data/763532/000143774925028862/lyts20250630_10k.htm
Complete FY 2025 MD&A: /company/LYTS/mda/fy2025/

Extracted from a later financial-section MD&A body after the formal Item 7 span was a short reference.
Confidence: high
Filing date: 2025-09-11
Report date: 2025-06-30

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”) is intended to help the reader understand the results of the Company’s operations and financial condition. MD&A is provided as a supplement to, and should be read in conjunction with, our consolidated financial statements and the accompanying Notes to Financial Statements (Part II, Item 8 of this Form 10-K). This section generally discusses the results of our operations for the year ended June 30, 2025, compared to the year ended June 30, 2024. For a discussion of the year ended June 30, 2024, compared to the year ended June 30, 2023, please refer to Part II, Item 7, “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Annual Report on Form 10-K for the year ended June 30, 2024. 

Overview

LSI Industries Inc. (LSI) is a leading producer of non-residential lighting and retail display solutions. Non-residential lighting consists of American-made fixtures and services for both indoor and outdoor applications satisfying the specific performance requirements of our customers. Retail display solutions consist of multiple custom products and services which enhance our customer’s brand image and improve the customer shopping experience. We offer customers in target vertical markets a package solution set of both lighting and display solutions, providing value for the customer by working with one partner to manage their regional and national location programs, versus multiple suppliers.

Summary of Consolidated Results

[[GREPCENT_TABLE]]
[["Net Sales by Business Segment"],["(In thousands)","","2025","","","2024"],["Lighting Segment","","$","248,357","","","$","262,413"],["Display Solutions Segment","","","325,020","","","","207,225"],["Total Net Sales","","$","573,377","","","$","469,638"]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["Operating Income (Loss) by Business Segment"],["(In thousands)","","2025","","","2024"],["Lighting Segment","","$","30,253","","","$","33,327"],["Display Solutions Segment","","","26,353","","","","19,969"],["Corporate and Eliminations","","","(20,837",")","","","(17,779",")"],["Total Operating Income","","$","35,769","","","$","35,517"]]
[[/GREPCENT_TABLE]]

Fiscal 2025 net sales of $573.4 million increased 22% compared to fiscal 2024 net sales of $470.0 million. The increase in net sales was attributed to a $117.8 million or 57% increase in net sales of the Display Solutions Segment, partially offset by a $14.1 or 5% decline in net sales of the Lighting Segment. The Display Solutions Segment generated organic growth of 17% driven by increased sales across all product categories and vertical markets supported mostly by the grocery and refueling/ C-Store verticals. The Company’s acquisition of EMI and CBH contributed an additional $85.3 million of the year-over-year sales growth of the Display Solutions Segment. The decline in sales in the Lighting Segment is attributed to the comparison of year-over-year sales of large lighting projects. In fiscal 2024, the Company had several large lighting projects that did not repeat in fiscal 2025. While there was a year-over-year decline in large lighting projects, small project activity continued to increase over the prior year period while large lighting projects order activity increased in the fourth quarter of fiscal 2025.

Fiscal 2025 operating income of $35.8 million represents a 1% increase from fiscal 2024 operating income of $35.5 million. Fiscal 2025 adjusted operating income, a Non-GAAP financial measure, was $48.4 million compared to adjusted fiscal 2024 operating income of $46.4 million. While sales increased 22% compared to the same period last year, Non-GAAP operating income rose 4%. The increase in sales was partially offset by the dilutive impact of acquisitions and by customer mix. Refer to “Non-GAAP Financial Measures” below for a reconciliation of Non-GAAP financial measures to U.S. GAAP measures

23

This report includes adjustments to GAAP operating income, net income, and earnings per share for the fiscal years 2025 and 2024. Operating income, net income, and earnings per share, which exclude the impact of long-term performance-based compensation expense, the amortization expense of acquired intangible assets, commercial growth opportunity expense, acquisition costs, the lease expense on the step-up basis of acquired leases, and restructuring and severance costs, are non-GAAP financial measures. We further note that while the amortization expense of acquired intangible assets is excluded from the non-GAAP financial measures, the revenue of the acquired companies is included in the measures, and the acquired assets contribute to the generation of revenue. We believe these non-GAAP measures will provide increased transparency to our core operating performance of the business. This report includes additional non-GAAP financial measures, including Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA and Adjusted EBITDA), Net Debt to Adjusted EBITDA, Free Cash Flow, and organic sales growth.  We believe that these are useful as supplemental measures in assessing the operating performance of our business.  These measures are used by our management, including our chief operating decision maker, to evaluate business results, and are frequently referenced by those who follow the Company.  These non-GAAP measures may be different from non-GAAP measures used by other companies.  In addition, the non-GAAP measures are not based on any comprehensive set of accounting rules or principles.  Non-GAAP measures have limitations, in that they do not reflect all amounts associated with our results as determined in accordance with U.S. GAAP.  Therefore, these measures should be used only to evaluate our results in conjunction with corresponding GAAP measures.  Below is a reconciliation of these non-GAAP measures to net income and earnings per share reported for the periods indicated along with the calculation of EBITDA, Adjusted EBITDA, Free Cash Flow, Net Debt to Adjusted EBITDA, and organic sales growth.

Non-GAAP Financial Measures

Reconciliation of net income to adjusted net income:

[[GREPCENT_TABLE]]
[["(In thousands, except per share data)","","2025","","","2024"],["","","","","","","Diluted EPS","","","","","","","Diluted EPS"],["Net income as reported","","$","24,383","","","$","0.79","","","$","24,977","","","$","0.83"],["Long-term performance based compensation","","","3,951","(1)","","","0.13","","","","3,272","(7)","","","0.11"],["Consulting expense: commercial growth opportunities","","","62","(2)","","","-","","","","-","","","","-"],["Acquisition costs","","","838","(3)","","","0.03","","","","735","(8)","","","0.02"],["Lease expense on the step-up basis of acquired leases","","","285","(4)","","","0.01","","","","-","","","","-"],["Restructuring/severance costs","","","240","(5)","","","0.01","","","","396","(9)","","","0.01"],["Amortization expense of acquired intangible assets","","","4,745","(6)","","","0.16","","","","3,671","(10)","","","0.13"],["Foreign currency transaction gain on intercompany loan","","","(489",")","","","(0.02",")","","","-","","","","-"],["Tax rate difference between reported and adjusted net income","","","(1,132",")","","","(0.04",")","","","(757",")","","","(0.03",")"],["Net income adjusted","","$","32,883","","","$","1.07","","","$","32,294","","","$","1.07"]]
[[/GREPCENT_TABLE]]

Effective in the first quarter of fiscal 2025, LSI includes the amortization expense related to acquired intangible assets as an add-back to its non-GAAP reconciliation. Prior quarter non-GAAP reconciliations have been adjusted accordingly.

The following represents the income tax effects of the adjustments in the tables above, which were calculated using the estimated combined U.S., Canada and Mexico effective income tax rates for the periods indicated:

(1) $988

(2) $19

(3) $209

(4) $71

(5) $60

(6) $1,124

(7) $1,108

(8) $266

(9) $143

(10) $1,287

24

The reconciliation of reported earnings per share to adjusted earnings per share may not produce identical amounts due to rounding differences.

Reconciliation of operating income to adjusted operating income:

[[GREPCENT_TABLE]]
[["","","2025","","","2024"],["(In thousands)"],["Operating income as reported","","$","35,769","","","$","35,517"],["Long-term performance based compensation","","","4,939","","","","4,380"],["Consulting expense: commercial growth opportunities","","","81","","","","-"],["Acquisition costs","","","1,047","","","","1,001"],["Lease expense on the step-up basis of acquired leases","","","356","","","","-"],["Restructuring/severance costs","","","300","","","","539"],["Amortization expense of acquired intangible assets","","","5,869","","","","4,958"],["Adjusted operating income","","$","48,361","","","$","46,395"]]
[[/GREPCENT_TABLE]]

Reconciliation of net income to EBITDA to adjusted EBITDA:

[[GREPCENT_TABLE]]
[["","","2025","","","2024"],["(In thousands)"],["Net income - reported","","$","24,383","","","$","24,977"],["Income tax","","","8,655","","","","8,122"],["Interest expense, net","","","3,129","","","","2,156"],["Other expense (income)","","","(398",")","","","262"],["Operating income as reported","","$","35,769","","","$","35,517"],["Depreciation and amortization","","","12,575","","","","9,999"],["EBITDA","","$","48,344","","","$","45,516"],["Acquisition costs","","","1,047","","","","1,001"],["Long-term performance based compensation","","","4,939","","","","4,380"],["Restructuring/severance costs","","","300","","","","539"],["Lease expense on the step-up basis of acquired leases","","","356","","","","-"],["Consulting expense: commercial growth opportunities","","","81","","","","-"],["Adjusted EBITDA","","$","55,067","","","$","51,436"]]
[[/GREPCENT_TABLE]]

Reconciliation of cash flow from operations to free cash flow:

[[GREPCENT_TABLE]]
[["","","2025","","","2024"],["(In thousands)"],["Cash flow from operations","","$","38,118","","","$","43,393"],["Capital expenditures","","","(3,465",")","","","(5,388",")"],["Free cash flow","","$","34,653","","","$","38,005"]]
[[/GREPCENT_TABLE]]

25

Net debt to adjusted EBITDA:

[[GREPCENT_TABLE]]
[["","","June 30,","","","June 30,"],["(In thousands)","","2025","","","2024"],["Debt as reported","","$","48,557","","","$","54,229"],["Less:"],["Cash and cash equivalents as reported","","","3,457","","","","4,110"],["Net debt","","$","45,100","","","$","50,119"],["Adjusted EBITDA","","$","55,067","","","$","51,436"],["Net debt to adjusted EBITDA","","","0.82","","","","0.97"]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","","","Twelve Months Ended"],["Organic compared to inorganic Sales","","","FY 2025","","","FY 2024","","","% Variance"],["Lighting Segment","","$","248,357","","","$","262,413","","","","-5","%"],["Display Solutions Segment"],["- Comparable Display Solutions Sales","","","221,641","","","","189,152","","","","17","%"],["- EMI","","","94,830","","","","18,073"],["- Canada's Best","","","8,549","","","","-"],["Total Diplay Solutions Sales","","","325,020","","","","207,225","","","","57","%"],["Total net sales","","","573,377","","","","469,638","","","","22","%"],["Less:"],["EMI","`","","","94,830","","","","18,073"],["Canada's Best","","","8,549","","","","-"],["Total organic net sales","","$","469,998","","","$","451,565","","","","4","%"]]
[[/GREPCENT_TABLE]]

Results of Operations

2025 Compared to 2024 

[[GREPCENT_TABLE]]
[["Display Solutions Segment"],["(In thousands)","","2025","","","2024"],["Net Sales","","$","325,020","","","$","207,225"],["Gross Profit","","$","57,476","","","$","44,195"],["Operating Income","","$","26,353","","","$","19,969"]]
[[/GREPCENT_TABLE]]

Display Solutions net sales of $325.0 million increased 57% from same period in fiscal 2024. This segment g

[Excerpt truncated for page length; the complete text is on the linked full-MD&A page.]

Read the full FY 2025 MD&A: /company/LYTS/mda/fy2025/
All MD&A years: /company/LYTS/mda/


## MD&A history

Prior-year 10-K MD&A spans are extracted from SEC filings with the same bounded parser used for the latest filing. Each year's full verbatim text is on its own sub-page.

- [FY 2024 MD&A](/company/LYTS/mda/fy2024/): filed 2024-09-11; accession 0001437749-24-028964 (https://www.sec.gov/Archives/edgar/data/763532/000143774924028964/lyts20240630_10k.htm)
- [FY 2023 MD&A](/company/LYTS/mda/fy2023/): filed 2023-09-08; accession 0001437749-23-025488 (https://www.sec.gov/Archives/edgar/data/763532/000143774923025488/lyts20230630_10k.htm)
- [FY 2022 MD&A](/company/LYTS/mda/fy2022/): filed 2022-09-09; accession 0001437749-22-022143 (https://www.sec.gov/Archives/edgar/data/763532/000143774922022143/lyts20220630_10k.htm)
- [FY 2021 MD&A](/company/LYTS/mda/fy2021/): filed 2021-09-10; accession 0001437749-21-021914 (https://www.sec.gov/Archives/edgar/data/763532/000143774921021914/lyts20210630_10k.htm)




## Macro cross-references

Indicators mapped to this company's SIC classification (industry 3640 Electric Lighting & Wiring Equipment) by grepcent's deterministic macro-sector crosswalk. A navigational mapping, not a statistical or causal claim.

- [INDPRO](/indicator/INDPRO/): Industrial Production: Total Index
- [TCU](/indicator/TCU/): Capacity Utilization: Total Index
- [PPIACO](/indicator/PPIACO/): Producer Price Index by Commodity: All Commodities
- [GDPC1](/indicator/GDPC1/): Real Gross Domestic Product
- [DGS10](/indicator/DGS10/): Market Yield on U.S. Treasury Securities at 10-Year Constant Maturity
- [FEDFUNDS](/indicator/FEDFUNDS/): Federal Funds Effective Rate
- [CES0500000003](/indicator/CES0500000003/): Average Hourly Earnings of All Employees, Total Private
- [PAYEMS](/indicator/PAYEMS/): All Employees, Total Nonfarm

Macro-to-micro threads including this sector: [Inflation (CPI / PCE / PPI)](/thread/inflation-cpi-pce-ppi/), [US labor market](/thread/us-labor-market/), [Growth & output](/thread/growth-output/), [Money & trade](/thread/money-trade/), [Government finances](/thread/government-finances/), [Sector employment](/thread/sector-employment/), [Industrial orders & inventories](/thread/industrial-orders/), [Trade & external](/thread/trade-external/).

All macro indicators: /indicators/


## For LLMs & downloads

Markdown twin: /company/LYTS.md · JSON record: /company/LYTS.json · verified financials: /company/LYTS/financials.json / /company/LYTS/financials.csv · machine TOC for the whole site: /llms.txt