Lindsay Corporation Reports Fiscal 2026 Third Quarter Results
OMAHA, Neb.--( BUSINESS WIRE)--Lindsay Corporation (NYSE: LNN), a leading global manufacturer and distributor of irrigation and infrastructure equipment and technology, today announced results for its third quarter of fiscal 2026, which ended on May 31, 2026.
Key Highlights:
“Deliveries for the large irrigation project in the Middle East North Africa (MENA) region remain on schedule despite continued geopolitical challenges," said Randy Wood, President and Chief Executive Officer. "In North America, demand for irrigation equipment remains tempered as margin pressure from high input costs continues to impact customer sentiment. In Brazil, demand continued to be impacted by low profitability and limited credit availability. As we enter road construction season in the northern hemisphere, our road safety products business delivered another consecutive quarter of growth."
Wood continued, "I am pleased with the resiliency and performance of our teams around the world, as we demonstrate our ability to deliver on project opportunities despite a volatile macro-economic environment."
Third Quarter Summary
Consolidated Financial Summary
Third Quarter
(dollars in millions, except per share amounts)
FY2026
FY2025
$ Change
% Change
Total revenues
$160.8
$169.5
($8.7)
(5%)
Operating income
$18.5
$23.8
($5.3)
(22%)
Operating margin
11.5%
14.0%
Net earnings
$15.8
$19.5
($3.7)
(19%)
Diluted earnings per share
$1.53
$1.78
($0.25)
(14%)
Revenues for the third quarter of fiscal 2026 were $160.8 million, a decrease of $8.7 million, or 5 percent, compared to $169.5 million in the prior year. The increase in infrastructure revenues was more than offset by the decrease in irrigation revenues compared to the prior year.
Operating income for the third quarter of fiscal 2026 was $18.5 million, a decrease of $5.3 million, or 22 percent, compared to $23.8 million in the prior year. Lower operating income in both the irrigation and infrastructure segments was partially offset by a reduction in corporate expense. Operating margin was 11.5 percent of sales, compared to 14.0 percent of sales in the prior year.
Net earnings for the third quarter of 2026 were $15.8 million, or $1.53 per diluted share, compared to $19.5 million, or $1.78 per diluted share, in the prior year. Net earnings were impacted by lower operating income, which was partially offset by a lower effective tax rate and an increase in other income.
Third Quarter Segment Results
Irrigation Segment
Third Quarter
(dollars in millions)
FY2026
FY2025
$ Change
% Change
Revenues:
North America
$61.3
$69.1
($7.7)
(11%)
International
$71.7
$74.7
($3.0)
(4%)
Total revenues
$133.0
$143.7
($10.7)
(7%)
Operating income
$20.3
$27.2
($6.8)
(25%)
Operating margin
15.3%
18.9%
Irrigation segment revenues for the third quarter of fiscal 2026 were $133.0 million, a decrease of $10.7 million, or 7 percent, compared to $143.7 million in the prior year. North America irrigation revenues of $61.3 million decreased $7.7 million, or 11 percent, compared to the prior year. The decrease in revenues resulted primarily from lower unit sales volume and was partially offset by higher average selling prices compared to the prior year. Persistent weakness in commodity markets and tempered farmer sentiment continue to constrain demand for irrigation equipment in North America.
International irrigation revenues for the third quarter of fiscal 2026 of $71.7 million decreased $3.0 million, or 4 percent, compared to the prior year. The decrease resulted primarily from lower sales volumes in Brazil, which were partially offset by growth in other regions. Revenues in the current year quarter were favorably impacted by the effects of foreign currency translation of approximately $3.9 million compared to the prior year.
Irrigation segment operating income for the third quarter of fiscal 2026 was $20.3 million, a decrease of $6.8 million, or 25 percent, compared to the prior year. Operating margin was 15.3 percent of sales, compared to 18.9 percent of sales in the prior year. The decrease in operating income resulted primarily from lower unit sales volume, increases in input costs, and the impact of fixed cost deleverage compared to the prior year.
Infrastructure Segment
Third Quarter
(dollars in millions)
FY2026
FY2025
$ Change
% Change
Total revenues
$27.7
$25.7
$2.0
8%
Operating income
$5.4
$5.4
—
—
Operating margin
19.5%
21.1%
Infrastructure segment revenues for the third quarter of fiscal 2026 were $27.7 million, an increase of $2.0 million, or 8 percent, compared to $25.7 million in the prior year. The increase was driven by higher road safety product revenues, comparable Road Zipper lease revenues, both of which were partially offset by lower Road Zipper System revenues compared to the prior year.
Infrastructure segment operating income for the third quarter of fiscal 2026 was $5.4 million, which was comparable to the prior year. Operating margin was 19.5 percent of sales, compared to 21.1 percent of sales in the prior year. The decrease in operating margin resulted primarily from an unfavorable mix of lower Road Zipper System project revenues compared to the prior year.
The backlog of unfulfilled orders at May 31, 2026 was $136.1 million compared with $117.1 million at May 31, 2025. Included in these backlogs are amounts of $20.1 million and $12.3 million, respectively, for orders that are not expected to be fulfilled within the subsequent 12 months. The backlog in irrigation increased as a result of the large irrigation project in the MENA region, while the backlog in infrastructure decreased compared to the prior year.
Outlook
Mr. Wood concluded, “In the U.S., irrigation market conditions remain soft as growers await further trade certainty and an improvement in commodity prices. We expect Brazil to return to growth due to the solid drivers of secular demand that support investments in irrigation, although credit constraints and high interest rates could remain a headwind. We will continue delivery of the irrigation project in the MENA region and we expect to recognize approximately $70 million of revenue for the project in our current fiscal year. We will take further actions to align our cost structure with current demand levels to protect margins and support future earnings as demand rebounds."
“In infrastructure, we anticipate continued growth in road safety products and while we continue to actively manage a robust pipeline of Road Zipper System projects, we do not expect to deliver a large project in fiscal 2026.”
Third Quarter Conference Call
Lindsay’s fiscal 2026 third quarter investor conference call is scheduled for 11:00 a.m. Eastern Time today. Interested investors may participate in the call by dialing (833) 535-2202 in the U.S., or (412) 902-6745 internationally, and requesting the Lindsay Corporation call. Additionally, the conference call will be simulcast live on the internet and can be accessed via the investor relations section of the Company's website, www.lindsay.com. Replays of the conference call will remain on our website through the next quarterly earnings release. The Company will have a slide presentation available to augment management's formal presentation, which will also be accessible via the Company's website.
About the Company
Lindsay Corporation (NYSE: LNN) is a leading global manufacturer and distributor of irrigation and infrastructure equipment and technology. Established in 1955, the company has been at the forefront of research and development of innovative solutions to meet the food, fuel, fiber and transportation needs of the world’s rapidly growing population. The Lindsay family of irrigation brands includes Zimmatic™ center pivot and lateral move agricultural irrigation systems, FieldNET™ and FieldWise™ remote irrigation management technology, FieldNET Advisor™ irrigation scheduling technology, and industrial IoT solutions. Also a global leader in the transportation industry, Lindsay Transportation Solutions manufactures equipment to improve road safety and keep traffic moving on the world’s roads, bridges and tunnels, through the Barrier Systems™, Road Zipper™ and Snoline™ brands. For more information about Lindsay Corporation, visit www.lindsay.com.
Concerning Forward-looking Statements
This release contains forward-looking statements that are subject to risks and uncertainties, and which reflect management’s current beliefs and estimates of future economic circumstances, industry conditions, Company performance and financial results. You can find a discussion of many of these risks and uncertainties in the annual, quarterly and current reports that the Company files with the Securities and Exchange Commission. Forward-looking statements include information concerning possible or assumed future results of operations and planned financing of the Company and those statements preceded by, followed by or including the words “anticipate,” “estimate,” “believe,” “intend,” "expect," "outlook," "could," "may," "should," “will,” or similar expressions. For these statements, the Company claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. The Company undertakes no obligation to update any forward-looking information contained in this press release.
LINDSAY CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS
(Unaudited)
Three months ended
Nine months ended
(in thousands, except per share amounts)
May 31,
2026
May 31,
2025
May 31,
2026
May 31,
2025
Operating revenues
$
160,764
$
169,464
$
474,297
$
522,809
Cost of operating revenues
112,932
115,842
334,014
356,734
Gross profit
47,832
53,622
140,283
166,075
Operating expenses:
Selling expense
10,320
10,217
31,856
31,278
General and administrative expense
14,349
14,903
43,929
45,263
Engineering and research expense
4,650
4,709
13,366
12,735
Total operating expenses
29,319
29,829
89,151
89,276
Operating income
18,513
23,793
51,132
76,799
Other income:
Interest income, net
2,315
1,897
7,618
3,832
Other (expense) income, net
(250
)
24
(719
)
330
Total other income
2,065
1,921
6,899
4,162
Earnings before income taxes
20,578
25,714
58,031
80,961
Income tax expense
4,758
6,214
13,642
17,722
Net earnings
$
15,820
$
19,500
$
44,389
$
63,239
Earnings per share:
Basic
$
1.54
$
1.80
$
4.24
$
5.82
Diluted
$
1.53
$
1.78
$
4.22
$
5.79
Shares used in computing earnings per share:
Basic
10,299
10,862
10,474
10,860
Diluted
10,341
10,931
10,509
10,915
Cash dividends declared per share
$
0.37
$
0.36
$
1.11
$
1.08
LINDSAY CORPORATION AND SUBSIDIARIES
SUMMARY OPERATING RESULTS
(Unaudited)
Three months ended
Nine months ended
(in thousands)
May 31,
2026
May 31,
2025
May 31,
2026
May 31,
2025
Operating revenues:
Irrigation:
North America
$
61,349
$
69,082
$
206,704
$
223,793
International
71,684
74,663
201,003
215,178
Irrigation total
133,033
143,745
407,707
438,971
Infrastructure
27,731
25,719
66,590
83,838
Total operating revenues
$
160,764
$
169,464
$
474,297
$
522,809
Operating income:
Irrigation
$
20,336
$
27,154
$
62,768
$
79,266
Infrastructure
5,401
5,426
11,061
22,806
Corporate
(7,224
)
(8,787
)
(22,697
)
(25,273
)
Total operating income
$
18,513
$
23,793
$
51,132
$
76,799
The Company manages its business activities in two reportable segments as follows:
Irrigation – This reporting segment includes the manufacture and marketing of center pivot, lateral move, and hose reel irrigation systems, as well as various innovative technology solutions such as GPS positioning and guidance, variable rate irrigation, remote irrigation management and scheduling technology, irrigation consulting and design and industrial IoT solutions.
Infrastructure – This reporting segment includes the manufacture and marketing of moveable barriers, specialty barriers, crash cushions and end terminals, and road marking and road safety equipment.
LINDSAY CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
(in thousands)
May 31,
2026
May 31,
2025
August 31,
2025
ASSETS
Current assets:
Cash and cash equivalents
$
154,760
$
196,117
$
250,575
Marketable securities
—
14,676
—
Receivables, net
137,449
147,848
113,027
Inventories, net
145,945
150,462
136,859
Other current assets
42,198
38,143
32,303
Total current assets
480,352
547,246
532,764
Property, plant, and equipment, net
166,394
130,611
142,307
Intangibles, net
22,576
23,703
23,331
Goodwill
84,473
84,304
84,459
Operating lease right-of-use assets
19,887
16,899
18,096
Deferred income tax assets
23,173
18,945
19,525
Equity method investment
8,423
8,337
8,763
Other noncurrent assets
16,365
10,818
11,591
Total assets
$
821,643
$
840,863
$
840,836
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Accounts payable
$
58,712
$
47,000
$
48,670
Current portion of long-term debt
89
232
233
Other current liabilities
104,872
103,012
94,689
Total current liabilities
163,673
150,244
143,592
Pension benefits liabilities
3,215
3,979
3,418
Long-term debt
114,816
114,856
114,810
Operating lease liabilities
18,796
16,572
17,354
Deferred income tax liabilities
1,163
693
1,024
Other noncurrent liabilities
20,884
25,743
27,788
Total liabilities
322,547
312,087
307,986
Shareholders' equity:
Preferred stock
—
—
—
Common stock
19,199
19,162
19,167
Capital in excess of stated value
117,974
110,523
113,042
Retained earnings
778,258
738,598
745,397
Less treasury stock - at cost
(391,962)
(302,367)
(311,224)
Accumulated other comprehensive loss, net
(24,373)
(37,140)
(33,532)
Total shareholders' equity
499,096
528,776
532,850
Total liabilities and shareholders' equity
$
821,643
$
840,863
$
840,836
LINDSAY CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
Nine months ended
(in thousands)
May 31, 2026
May 31, 2025
CASH FLOWS FROM OPERATING ACTIVITIES:
Net earnings
$
44,389
$
63,239
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization
17,047
15,707
Provision for uncollectible accounts receivable
201
1,238
Deferred income taxes
5,548
(2,386
)
Share-based compensation expense
4,890
5,971
Unrealized foreign currency transaction gain
(288
)
(629
)
Other, net
29
(2,493
)
Changes in assets and liabilities:
Receivables
(21,694
)
(32,512
)
Inventories
(6,107
)
3,857
Other current assets
(7,985
)
(3,390
)
Accounts payable
7,831
10,010
Other current liabilities
(7,516
)
6,006
Other noncurrent assets and liabilities
(5,719
)
4,256
Net cash provided by operating activities
30,626
68,874
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant, and equipment
(35,514
)
(28,251
)
Purchases of marketable securities
—
(14,676
)
Purchase of equity method investment
—
(5,815
)
Proceeds from settlement of net investment hedge
—
835
Payments for settlement of net investment hedge
(1,746
)
(98
)
Other investing activities, net
(1,106
)
(438
)
Net cash used in investing activities
(38,366
)
(48,443
)
CASH FLOWS FROM FINANCING ACTIVITIES:
Repurchase of common shares
(80,738
)
(2,675
)
Dividends paid
(11,528
)
(11,734
)
Common stock withheld for payroll tax obligations
(1,253
)
(1,450
)
Proceeds from exercise of stock options
805
1,194
Other financing activities, net
346
306
Net cash used in financing activities
(92,368
)
(14,359
)
Effect of exchange rate changes on cash and cash equivalents
4,293
(834
)
Net change in cash and cash equivalents
(95,815
)
5,238
Cash and cash equivalents, beginning of period
250,575
190,879
Cash and cash equivalents, end of period
$
154,760
$
196,117