LYTS

• LTIP grants: CEO James Clark received a $2.5M target (41,563 RSUs, 62,344 PSUs); EVP & CFO James Galeese $540K target (8,978 RSUs, 13,466 PSUs); EVP HR & GC Thomas Caneris $440K target (7,316 RSUs, 10,972 PSUs).
• PSUs vest based on three-year cumulative Adjusted EBITDA (50% weight) and RONA (50% weight) for fiscal years 2026-2029, with payout from 0% to 200% of target.
• CEO James Clark received a $3,000,000 retention RSU award that cliff vests on the third anniversary, with accelerated one-third vesting if a five-year strategic plan is approved within one year.
• CEO's annual base salary increased to $900,000 effective September 1, 2026; STIP bonus targets are 100% of base salary for CEO, 80% for CFO, and 60% for EVP HR & GC.
• STIP awards are cash-based, with 80% weight on Adjusted EBITDA and 20% on Net Sales for fiscal year ending June 30, 2027.

5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements

• Galeese will remain in his current role for approximately one year to allow an orderly transition and successor search.
• The retirement is not due to any disagreement with the Company on operations, policies, or practices.
• LSI has initiated a formal search for a successor, led by the Executive Committee with a global executive search firm, considering internal and external candidates, with a successor expected to be named in the first half of calendar year 2027.
• Galeese, CFO since 2017, intends to support LSI on an advisory basis after his tenure ends.

5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements · 9.01 Financial Statements and Exhibits

• Fourth quarter net sales increased 51% year-over-year to $234.6 million, with organic growth of 8%.
• Full-year fiscal 2026 net sales rose 20% to a record $689.4 million.
• Q4 adjusted EBITDA was $25.7 million (10.9% of sales); full-year adjusted EBITDA was $69.7 million (10.1% of sales).
• Declared a quarterly cash dividend of $0.05 per share, payable September 8, 2026.

2.02 Results of Operations and Financial Condition · 7.01 Regulation FD Disclosure · 9.01 Financial Statements and Exhibits

• Net income was $2.1 million, or $0.06 per diluted share; adjusted net income was $9.6 million, or $0.28 per diluted share, up 52% year-over-year.
• Adjusted EBITDA was $15.0 million, up 34% year-over-year, with adjusted EBITDA margin improving 150 basis points to 10.0%.
• The company completed the acquisition of Royston Group on March 24, 2026, issuing approximately 5.5 million shares in March 2026 to help finance the transaction.
• A quarterly cash dividend of $0.05 per share was declared, payable May 12, 2026, to shareholders of record on May 4, 2026.

2.02 Results of Operations and Financial Condition · 7.01 Regulation FD Disclosure · 9.01 Financial Statements and Exhibits

• The acquisition was funded through a new $350 million senior secured credit facility with PNC and proceeds from a public offering of common stock completed on March 2, 2026.
• Royston, a provider of retail store fixtures, signage, and display cases, generated approximately $272 million in revenue and $38 million in adjusted EBITDA for the twelve months ended September 30, 2025.
• Royston's results will be included in LSI's Display Solutions segment starting in fiscal 2026 Q3, with about six days of contribution in that quarter.
• LSI expects the acquisition to create a leading integrated retail branding solutions platform across lighting, fixtures, signage, and display cases.

1.01 Entry into a Material Definitive Agreement · 2.01 Completion of Acquisition or Disposition of Assets · 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement · 7.01 Regulation FD Disclosure · 9.01 Financial Statements and Exhibits

• The underwriters exercised their option to purchase an additional 690,000 shares, bringing total shares sold to 5,290,000.
• Net proceeds are expected to be approximately $98.1 million, to be used for the proposed acquisition of SRR Holdings (Royston), repayment of credit facility borrowings, and general corporate purposes.
• The offering is expected to close on March 2, 2026, subject to customary conditions.
• The Royston acquisition is expected to close in the third quarter of fiscal year 2026.

1.01 Entry into a Material Definitive Agreement · 8.01 Other Events · 9.01 Financial Statements and Exhibits

• LSI Industries entered a merger agreement to acquire Royston Group for $325 million, with $320 million in cash and $5 million in LSI common stock.
• Royston is a provider of custom store fixtures, signage, and refrigerated/heated case displays for retail environments.
• LSI plans to fund the deal via a proposed $425 million senior secured credit facility from PNC, though closing is not subject to financing.
• Royston's nearly 900 employees will join LSI's display solutions segment upon closing.

1.01 Entry into a Material Definitive Agreement · 7.01 Regulation FD Disclosure · 8.01 Other Events · 9.01 Financial Statements and Exhibits

• Net income was $6.3 million, or $0.20 diluted EPS; adjusted net income was $8.4 million, or $0.26 adjusted diluted EPS.
• Adjusted EBITDA was $13.4 million, or 9.1% of net sales, up from the prior-year period.
• Free cash flow was $23.3 million; net debt to trailing twelve-month adjusted EBITDA ratio was 0.4x.
• Declared a quarterly cash dividend of $0.05 per share, payable February 10, 2026.

2.02 Results of Operations and Financial Condition · 7.01 Regulation FD Disclosure · 9.01 Financial Statements and Exhibits