Orion Energy Systems, Inc (NASDAQ:OESX) Q3 2019 Earnings Conference Call Transcript
Feb 07, 2019 • 10:00 am ET
Good day, ladies and gentlemen, and welcome to the Orion Energy Systems fiscal 2019 Third Quarter Conference Call. At this time all participants on a listen-only mode. Later we'll conduct the question and answer session and instructions will be given at that time.
(Operator Instructions) As a reminder, today's conference call is being recorded.
I would now like to turn the call over to Bill Jones, Investor Relations. Sir, you may begin.
William R. Jones
Good morning, and thank you for joining Orion Energy's call . Participating today are Orion's CEO, Mike Altschaefl; and CFO, Bill Hull. Mike will review Orion's business progress and the Company's favorable outlook for the balance of fiscal 2019 and moving into 2020 as it focuses on its competitive strengths and resources to drive meaningful sales traction, particularly in the area of large national accounts. Bill Hull will then provide some financial highlights and then we will open the call to questions. An archived replay of this call will be available later today in the Investor Relations section of Orion's corporate website. The call is taking place on Thursday, February 7, 2019.
Remarks that follow including answers to questions include statements that the Company believes to be forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements generally will include words such as believe, anticipate, expect or words of similar import. Likewise, statements that describe future plans, objectives or goals are also forward-looking statements. These forward-looking statements are subject to risks that could cause actual results to be materially different than anticipated. Such risks include, among others, matters that the Company has described in its press release issued this morning and in its filings with the Securities and Exchange Commission. Except as described in these filings the Company disclaims any obligation to update forward-looking statements.
With that, I'll turn the call over to Mike. Mike?
Michael W. Altschaefl
Thanks, Bill . Good morning and thank you for joining our call today, I will review our third quarter performance, highlight a few recent notable new business wins and then discuss growth opportunities that we see shaping our outlook for the balance of fiscal 2019 and fiscal 2020. As anticipated, our revenues are strengthening in the second half of fiscal 2019 with much of the improvement occurring with large national account opportunities.
Due to the increasing pace of projects and order activity, our third quarter revenues improved 23% on a sequential basis over our second quarter but represented a 5.6% decline versus our year ago third quarter performance. We expect revenue to trend favorably in our fourth quarter both sequentially and on a year-over-year basis. Based on recent order activity, meaningful sales efforts currently underway, as well as anticipated projects from recurring long term national accounts, we are encouraged by building visibility for a meaningful improvement in sales in fiscal 2020. The scale and scope of new business activity seems to be progressing in the right direction and we are highly focused on moving projects forward as quickly