VOXX International Corp (NASDAQ:VOXX) Q2 2021 Earnings Conference Call - Final Transcript

Oct 14, 2020 • 10:00 am ET


VOXX International Corp (NASDAQ:VOXX) Q2 2021 Earnings Conference Call - Final Transcript


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Ladies and gentlemen, thank you for standing by, and welcome to the VOXX International Fiscal 2021 Second Quarter Conference Call. [Operator Instructions] After the speakers' presentation, there will be a question-and-answer session. [Operator Instructions]

I would now like to hand the conference over to your speaker for today, Mr. Glenn Wiener, Investor Relations. Thank you, sir. Please go ahead.

Glenn Wiener

Thank you, John. Good morning and welcome to VOXX International's fiscal 2021 second quarter conference call. Our Form 10-Q was filed with the SEC, and we issued our press release after market close yesterday afternoon. Both documents can be found on the IR section of our website, and we will shortly be posting an updated investor presentation to our site as well either by the end of this week or next week. Our call is being webcast live over the Internet, and a replay will be available approximately one hour after the completion of this call.

Speaking from management today will be Pat Lavelle, President and Chief Executive Officer; and Michael Stoehr, Senior Vice President and Chief Financial Officer. Both will have prepared remarks and we will then open up the call for questions. Our Chairman and Founder, John Shalam, is also here with us and available for questions.

I'd like to remind everyone that except for historical information contained herein, statements made on today's call and webcast that would constitute forward-looking statements are based on currently available information. The Company assumes no responsibility to update any such forward-looking statements, and I would like to point you to the risk factors associated with our business, which are detailed in our Form 10-K for the period ended February 29, 2020.

Lastly, as you saw from our results and I will -- soon [Phonetic] here on today's conference call, VOXX's business has improved and we believe the outlook is stronger today than at any point in recent years. As such, we will be resuming proactive IR initiatives to mark the VOXX story and all shareholders, perspective shareholders, analysts and bankers joining us today or listening to our replay, please feel free to contact me directly with any follow-up questions and/or to arrange a call with management. We look forward to the second half of our fiscal year and reporting on our progress. And to all those joining us, please remain safe.

Thank you. And at this point, I'd like to turn the call over to Pat Lavelle, CEO. Pat?

Patrick M. Lavelle

Thanks, Glenn, and good morning, everyone. I'm pleased to say that this quarter, we delivered substantial year-over-year improvements on both the top and bottom line. Consolidated sales increased by close to 42%, with all segments showing growth. Gross margins were up 340 basis points and operating expenses declined by 6.7%. We reported operating income of $8.7 million, versus an operating loss of $7.7 million, a $16.4 million improvement over the last year. We delivered adjusted EBITDA of $13.9 million, a $14.8 million improvement over the second quarter of fiscal 2020. All of this, despite the