LSI Industries Inc. (LYTS) Earnings Call Transcript & Summary

Good morning, all. Welcome to the 2021 Annual Meeting of Shareholders of LSI Industries. I'm Jim Clark, President and CEO and also a member of the Board. On behalf of our entire Board, our officers and employees, I'd like to thank you for attending this meeting. We are conducting this meeting virtually so that our shareholders can participate regardless of their geographic location. As a reminder, the Agenda and Rules of Conduct for today's meeting are posted on this meeting's website. Following the conclusion of my remarks, there will be a brief opportunity for questions about the proxy items voted upon during this meeting. These questions from shareholders may be submitted in the text box field provided on the web portal during this meeting. We are asking shareholders who submit a question to include their name and e-mail address as well. All other questions can be addressed by contacting our Investor Relations contact or by calling our main number at any time. I would now like to hand things off to Bill O'Gara, LSI's Chairman.

Thank you, Jim, and good morning. I'd like to start by introducing the other members of our Board of Directors who are standing for reelection. Robert Beech, Ronald Brown, Amy Hanson and Chantel Lenard. This year, there are 5 proposals for consideration by shareholders, all of which are fully described in the proxy statement. Proposal #1: Our first proposal is the election of 6 directors to hold office for 1 year or until a successor is duly elected and qualified. Each director nominee has been introduced to you this morning. Proposal #2: The second proposal is the ratification of the appointment of the company's independent registered public accounting firm. Although the Audit Committee has the sole authority to appoint auditors, the committee would like to know the opinion of shareholders regarding its appointment of Grant Thornton as auditors for fiscal 2022. Proposal #3: The third proposal relates to an advisory vote on the compensation of our named executive officers. This proposal is required by the Dodd-Frank Wall Street Reform and Consumer Protection Act and is referred to as the say-on-pay vote. We ask that shareholders approve, on an advisory basis, the compensation of our named executive officers as disclosed in the proxy statement. Proposal #4: The fourth proposal relates to an amendment to LSI's Articles of Incorporation to increase the amount of authorized common stock by 10 million shares. The proposed amendment would increase the amount of authorized shares of common stock from 40 million shares to 50 million shares. Proposal #5: The fifth proposal relates to the adoption of the 2021 employee stock purchase plan. The purpose of the ESPP is to provide eligible employees an opportunity to acquire stock ownership in LSI and to help further align the interest of our employees with those of our shareholders. Since there are no questions or comments and the voting is now closed, I would like to report the voting results, all of which are subject to final tabulation. Approximately 84% or over 22.6 million shares of the 26,988,547 outstanding shares have been voted. All 6 nominees proposed by the Board of Directors were elected. The proposals to ratify the appointment of our independent registered public accounting firm approved the compensation of our named executive officers on an advisory basis, approved the amendment to LSI's Articles of Incorporation, to increase authorized shares of common stock by 10 million shares, and approve LSI's 2021 employee stock purchase plan. Each has been approved by the requisite votes cast. I now pass the meeting back to Jim Clark, President and CEO.

Thanks, Bill. I want to thank you all again for your participation in today's meeting and your confidence in LSI. We've made solid progress over the last year of operation, and we have ambitious plans for the coming years. If you would like to learn more about LSI, I encourage you to contact us directly or visit our website to learn more. Since there is no other business to conduct at this meeting, I declare the meeting adjourned. Thank you, and have a good day.

Thank you for attending today's presentation. You may now disconnect.