Lindsay Corporation Reports 23% Revenue Growth to $187.1 Million in Latest Quarter

Lindsay Corporation reported significant financial growth in its latest quarterly results, with operating revenues reaching $187.1 million for the three months ended February 28, 2025, a 23% increase from $151.5 million in the same period last year. The company's net earnings also rose to $26.6 million, or $2.44 per diluted share, compared to $18.1 million, or $1.64 per diluted share, for the prior year. This growth was primarily driven by increased revenues in both the irrigation and infrastructure segments, with the irrigation segment contributing $148.1 million and the infrastructure segment $38.9 million.

The company experienced notable changes in its operational performance compared to the previous fiscal period. The irrigation segment's revenues increased by 11%, while the infrastructure segment saw a remarkable 110% rise, largely due to a significant project involving the Road Zipper System. Gross profit for the quarter was $62.5 million, up 28% from $49.0 million, reflecting a gross margin improvement to 33.4% from 32.3%. Operating income also increased by 45% to $32.1 million, indicating effective cost management despite rising operating expenses, which grew by 13% to $30.4 million.

Strategically, Lindsay Corporation made a significant investment by acquiring a 49.9% non-controlling interest in Pessl Instruments GmbH for $7.5 million. This acquisition aligns with the company's focus on expanding its agricultural technology solutions. The company also reported a backlog of unshipped orders totaling $127.0 million as of February 28, 2025, compared to $94.2 million a year earlier, indicating strong future revenue potential, particularly from the large irrigation project in the Middle East and North Africa region.

Operationally, Lindsay Corporation's international irrigation revenues surged by 42% to $71.0 million, driven by the aforementioned project, while North American irrigation revenues decreased by 7% to $77.1 million due to lower unit sales and average selling prices. The company’s total cash and cash equivalents, along with marketable securities, amounted to $186.7 million, reflecting a solid liquidity position. The employee headcount remained stable, with 10,865,534 shares of common stock outstanding as of April 1, 2025.

Looking ahead, Lindsay Corporation anticipates continued growth in both segments, supported by favorable agricultural conditions and government infrastructure spending. The company plans to invest between $35 million and $40 million in capital expenditures for fiscal 2025, focusing on modernization and productivity improvements. The outlook remains positive, with expectations for increased demand driven by agricultural needs and infrastructure investments, although potential risks from market fluctuations and geopolitical factors are acknowledged.