Lighting and retail display maker LSI Industries beats Q4 sales, adjusted EPS estimates

Overview

• LSI Industries fiscal Q4 net sales rise 20% y/y, beating analyst expectations

• Adjusted EPS for fiscal Q4 exceeds estimates, driven by improved demand

• Co's acquisitions and operational efficiency boost adjusted EBITDA margin by 250 bps

Outlook

• Company expects continued demand in refueling/c-store vertical into fiscal 2026

• LSI anticipates tariff impacts in fiscal 2026 Q1

• Company sees strong production outlook through end of calendar year

• LSI aims to expand addressable markets and enhance operational excellence

Result Drivers

• DEMAND INCREASE - Co attributes 20% y/y sales growth to improved demand across lighting and display solutions markets

• ACQUISITIONS - Recent acquisitions, including EMI Industries and Canada's Best Holdings, contributed to sales growth

• MARGIN IMPROVEMENT - Adjusted EBITDA margin improved by 250 bps due to stable manufacturing conditions and aligned pricing

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the construction supplies & fixtures peer group is "buy"

• Wall Street's median 12-month price target for LSI Industries Inc is $24.00, about 19.6% above its August 20 closing price of $19.30

Press Release: ID:nBw4Y6fTba