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May 31, 2022
Lindsay Q3 2022 Earnings Report
Reported a strong third quarter with revenue and EPS growth.
Key Takeaways
Lindsay Corporation reported a 32% increase in consolidated revenues to $214.3 million and EPS of $2.28 for the third quarter of fiscal 2022. The company saw significant growth in irrigation revenues, particularly in international markets, and an increase in infrastructure revenues due to improved road construction activity.
Consolidated revenues increased 32 percent to $214.3 million with EPS of $2.28.
Irrigation revenues increased 35 percent with a 65 percent increase in operating income.
International irrigation revenues increased 75% driven by higher prices and unit sales.
Infrastructure revenues increased 17 percent due to improved road construction activity.
Lindsay
Lindsay
Lindsay Revenue by Segment
Lindsay Revenue by Geographic Location
Revenue by Segment
Irrigation Revenue
CapyFin.comInfrastructure Revenue
CapyFin.comRevenue by Geographic Location
North America Revenue
CapyFin.comInternational Revenue
CapyFin.com Forward Guidance
Lindsay Corporation anticipates completing delivery of a Road Zipper System project that began in Q3 and expects to begin delivery of another significant project in Q4. The company is optimistic about growth opportunities in the infrastructure business.
Positive Outlook
- Global agriculture market fundamentals remain positive.
- Increased activity levels in international project markets due to concerns over food security and global grain supplies.
- Expect to complete delivery of the Road Zipper System project that began in the third quarter.
- Expect to begin delivery of another significant project in the fourth quarter.
- Optimistic regarding growth opportunities for the infrastructure business based on the quality of the sales funnel and increasing commercial activity.
Challenges Ahead
- Grower sentiment in the U.S. is being tempered somewhat by inflationary pressures.
- Inflationary pressures continue to persist.
- Lower unit sales volume in North America irrigation.
- Less favorable margin mix of revenues in the infrastructure segment compared to the prior year.
- Under absorbed fixed overhead costs in the infrastructure segment.
Revenue & Expenses
Visualization of income flow from segment revenue to net income