Lindsay Corporation Reports Fourth Quarter and Fiscal Year 2024 Results
Improved infrastructure results, steady demand in
Key Highlights
Fourth Quarter:
-
North America irrigation revenues increased on higher unit sales volume -
Delivery began on large irrigation project in the
Middle East andNorth Africa (MENA) region - Improved infrastructure results driven by increase in Road Zipper System™ sales and lease revenues
Full-Year:
- Consolidated gross margin performance remained steady despite a decline in irrigation revenues
- Infrastructure operating income increased 57 percent driven by favorable revenue mix
-
Deployed
$22.5 million towards opportunistic share repurchases
“While agricultural markets globally remain challenged due to lower grain prices and grower profitability, I am pleased with the demonstrated resilience and performance of our
Wood continued, “I am pleased with the continued operational execution demonstrated by our teams across the business, and the diligent price and cost management which have supported our underlying results in a cyclically challenging irrigation market. Our operating performance, along with diligent working capital management, resulted in free cash flow generation that exceeded net earnings for a second consecutive year. The strength of our balance sheet allows us to continue funding growth initiatives in innovation and other long-term shareholder value creation opportunities.”
Fourth Quarter Summary
Consolidated Financial Summary |
|
Fourth Quarter |
||||||
(dollars in millions, except per share amounts) |
|
FY 2024 |
|
FY 2023 |
|
$ Change |
|
% Change |
|
|
|
|
|
|
|
|
|
Total revenues |
|
|
|
|
|
( |
|
(7%) |
Operating income |
|
|
|
|
|
( |
|
(42%) |
Operating margin |
|
8.7% |
|
14.0% |
|
|
|
|
Net earnings |
|
|
|
|
|
( |
|
(34%) |
Earnings per share |
|
|
|
|
|
( |
|
(33%) |
Revenues for the fourth quarter of fiscal 2024 were
Operating income for the fourth quarter was
Net earnings for the fourth quarter were
Fourth Quarter Segment Results
Irrigation Segment |
|
Fourth Quarter |
||||||
(dollars in millions) |
|
FY 2024 |
|
FY 2023 |
|
$ Change |
|
% Change |
Revenues: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2% |
International |
|
|
|
|
|
( |
|
(23%) |
Total revenues |
|
|
|
|
|
( |
|
(12%) |
Operating income |
|
|
|
|
|
( |
|
(43%) |
Operating margin |
|
13.6% |
|
20.7% |
|
|
|
|
Irrigation segment revenues for the fourth quarter of fiscal 2024 were
International irrigation revenues for the fourth quarter of fiscal 2024 of
Irrigation segment operating income for the fourth quarter of fiscal 2024 was
Infrastructure Segment |
|
Fourth Quarter |
||||||
(dollars in millions) |
|
FY 2024 |
|
FY 2023 |
|
$ Change |
|
% Change |
|
|
|
|
|
|
|
|
|
Total revenues |
|
|
|
|
|
|
|
24% |
Operating income |
|
|
|
|
|
|
|
79% |
Operating margin |
|
19.2% |
|
13.3% |
|
|
|
|
Infrastructure segment revenues for the fourth quarter of fiscal 2024 were
Infrastructure segment operating income for the fourth quarter of fiscal 2024 was
Full Year Summary
Consolidated Financial Summary |
|
Full Year |
||||||
(dollars in millions, except per share amounts) |
|
FY 2024 |
|
FY 2023 |
|
$ Change |
|
% Change |
|
|
|
|
|
|
|
|
|
Total revenues |
|
|
|
|
|
( |
|
(10%) |
Operating income |
|
|
|
|
|
( |
|
(25%) |
Operating margin |
|
12.6% |
|
15.2% |
|
|
|
|
Net earnings |
|
|
|
|
|
( |
|
(8%) |
Earnings per share |
|
|
|
|
|
( |
|
(8%) |
Revenues for fiscal 2024 were
Operating income for fiscal 2024 was
Net earnings for fiscal 2024 were
The backlog of unfilled orders as of
Outlook
“We expect to see continued growth in our infrastructure business in fiscal 2025 supported by the additional
Fourth Quarter Conference Call
Lindsay’s fiscal 2024 fourth quarter investor conference call is scheduled for
About the Company
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
LINDSAY CORPORATION AND SUBSIDIARIES |
|
|||||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS |
|
|||||||||||||||||||
(Unaudited) |
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
Three Months Ended |
|
|
Years Ended |
|
||||||||||||||
(in thousands, except per share amounts) |
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Operating revenues |
|
$ |
|
154,998 |
|
|
$ |
|
167,131 |
|
|
$ |
|
607,074 |
|
|
$ |
|
674,084 |
|
Cost of operating revenues |
|
|
|
109,299 |
|
|
|
|
114,615 |
|
|
|
|
416,019 |
|
|
|
|
461,069 |
|
Gross profit |
|
|
|
45,699 |
|
|
|
|
52,516 |
|
|
|
|
191,055 |
|
|
|
|
213,015 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Operating expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Selling expense |
|
|
|
11,011 |
|
|
|
|
9,109 |
|
|
|
|
39,905 |
|
|
|
|
36,201 |
|
General and administrative expense |
|
|
|
16,596 |
|
|
|
|
15,175 |
|
|
|
|
57,419 |
|
|
|
|
56,412 |
|
Engineering and research expense |
|
|
|
4,592 |
|
|
|
|
4,868 |
|
|
|
|
17,123 |
|
|
|
|
18,218 |
|
Total operating expenses |
|
|
|
32,199 |
|
|
|
|
29,152 |
|
|
|
|
114,447 |
|
|
|
|
110,831 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Operating income |
|
|
|
13,500 |
|
|
|
|
23,364 |
|
|
|
|
76,608 |
|
|
|
|
102,184 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Other income (expense): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Interest expense |
|
|
|
(760 |
) |
|
|
|
(893 |
) |
|
|
|
(3,234 |
) |
|
|
|
(3,788 |
) |
Interest income |
|
|
|
1,865 |
|
|
|
|
1,238 |
|
|
|
|
5,189 |
|
|
|
|
2,783 |
|
Other expense, net |
|
|
|
580 |
|
|
|
|
1,196 |
|
|
|
|
487 |
|
|
|
|
(804 |
) |
Total other income (expense) |
|
|
|
1,685 |
|
|
|
|
1,541 |
|
|
|
|
2,442 |
|
|
|
|
(1,809 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Earnings before income taxes |
|
|
|
15,185 |
|
|
|
|
24,905 |
|
|
|
|
79,050 |
|
|
|
|
100,375 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Income tax expense |
|
|
|
2,449 |
|
|
|
|
5,676 |
|
|
|
|
12,793 |
|
|
|
|
27,996 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net earnings |
|
$ |
|
12,736 |
|
|
$ |
|
19,229 |
|
|
$ |
|
66,257 |
|
|
$ |
|
72,379 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Earnings per share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Basic |
|
$ |
|
1.18 |
|
|
$ |
|
1.75 |
|
|
$ |
|
6.04 |
|
|
$ |
|
6.58 |
|
Diluted |
|
$ |
|
1.17 |
|
|
$ |
|
1.74 |
|
|
$ |
|
6.01 |
|
|
$ |
|
6.54 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Shares used in computing earnings per share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Basic |
|
|
|
10,859 |
|
|
|
|
11,009 |
|
|
|
|
10,976 |
|
|
|
|
11,003 |
|
Diluted |
|
|
|
10,903 |
|
|
|
|
11,059 |
|
|
|
|
11,017 |
|
|
|
|
11,062 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Cash dividends declared per share |
|
$ |
|
0.36 |
|
|
$ |
|
0.35 |
|
|
$ |
|
1.41 |
|
|
$ |
|
1.37 |
|
LINDSAY CORPORATION AND SUBSIDIARIES |
||||||||||||
SUMMARY OPERATING RESULTS |
||||||||||||
(Unaudited) |
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
Years Ended |
||||||||
(in thousands) |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||
Operating revenues: |
|
|
|
|
|
|
|
|
|
|
|
|
Irrigation: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ |
61,691 |
|
$ |
60,223 |
|
$ |
302,148 |
|
$ |
309,538 |
International |
|
|
64,179 |
|
|
83,378 |
|
|
211,748 |
|
|
276,493 |
Irrigation total |
|
|
125,870 |
|
|
143,601 |
|
|
513,896 |
|
|
586,031 |
Infrastructure |
|
|
29,128 |
|
|
23,530 |
|
|
93,178 |
|
|
88,053 |
Total operating revenues |
|
$ |
154,998 |
|
$ |
167,131 |
|
$ |
607,074 |
|
$ |
674,084 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income: |
|
|
|
|
|
|
|
|
|
|
|
|
Irrigation |
|
$ |
17,067 |
|
$ |
29,780 |
|
$ |
87,547 |
|
$ |
121,969 |
Infrastructure |
|
|
5,594 |
|
|
3,119 |
|
|
18,995 |
|
|
12,067 |
Corporate |
|
|
(9,161) |
|
|
(9,535) |
|
|
(29,934) |
|
|
(31,852) |
Total operating income |
|
$ |
13,500 |
|
$ |
23,364 |
|
$ |
76,608 |
|
$ |
102,184 |
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) |
|
|
|
|
||
|
|
|
|
|
|
|
ASSETS |
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
190,879 |
|
$ |
160,755 |
Marketable securities |
|
|
— |
|
|
5,556 |
Receivables, net of allowance of |
|
|
116,601 |
|
|
144,774 |
Inventories, net |
|
|
154,453 |
|
|
155,932 |
Other current assets |
|
|
31,279 |
|
|
20,467 |
Total current assets |
|
|
493,212 |
|
|
487,484 |
|
|
|
|
|
|
|
Property, plant, and equipment, net |
|
|
112,815 |
|
|
99,681 |
Intangible assets, net |
|
|
25,366 |
|
|
27,719 |
|
|
|
84,194 |
|
|
83,121 |
Operating lease right-of-use assets |
|
|
15,693 |
|
|
17,036 |
Deferred income tax assets |
|
|
14,431 |
|
|
10,885 |
Other noncurrent assets |
|
|
14,521 |
|
|
19,734 |
Total assets |
|
$ |
760,232 |
|
$ |
745,660 |
|
|
|
|
|
|
|
LIABILITIES AND SHAREHOLDERS' EQUITY |
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
Accounts payable |
|
$ |
37,417 |
|
$ |
44,278 |
Current portion of long-term debt |
|
|
228 |
|
|
226 |
Other current liabilities |
|
|
88,171 |
|
|
91,604 |
Total current liabilities |
|
|
125,816 |
|
|
136,108 |
|
|
|
|
|
|
|
Pension benefits liabilities |
|
|
4,167 |
|
|
4,382 |
Long-term debt |
|
|
114,994 |
|
|
115,164 |
Operating lease liabilities |
|
|
15,541 |
|
|
17,689 |
Deferred income tax liabilities |
|
|
678 |
|
|
689 |
Other noncurrent liabilities |
|
|
18,143 |
|
|
15,977 |
Total liabilities |
|
|
279,339 |
|
|
290,009 |
|
|
|
|
|
|
|
Shareholders' equity: |
|
|
|
|
|
|
Preferred stock |
|
|
— |
|
|
— |
Common stock |
|
|
19,124 |
|
|
19,094 |
Capital in excess of stated value |
|
|
104,369 |
|
|
98,508 |
Retained earnings |
|
|
687,093 |
|
|
636,297 |
Less treasury stock - at cost |
|
|
(299,692) |
|
|
(277,238) |
Accumulated other comprehensive loss, net |
|
|
(30,001) |
|
|
(21,010) |
Total shareholders' equity |
|
|
480,893 |
|
|
455,651 |
Total liabilities and shareholders' equity |
|
$ |
760,232 |
|
$ |
745,660 |
LINDSAY CORPORATION AND SUBSIDIARIES |
|
|||||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS |
|
|||||||||
(Unaudited) |
|
|||||||||
|
|
|
|
|
|
|
|
|
||
|
|
Years Ended |
|
|||||||
($ in thousands) |
|
2024 |
|
|
2023 |
|
||||
CASH FLOWS FROM OPERATING ACTIVITIES: |
|
|
|
|
|
|
|
|
||
Net earnings |
|
$ |
|
66,257 |
|
|
$ |
|
72,379 |
|
Adjustments to reconcile net earnings to net cash provided by operating activities: |
|
|
|
|
|
|
|
|
||
Depreciation and amortization |
|
|
|
21,200 |
|
|
|
|
19,282 |
|
Provision for uncollectible accounts receivable |
|
|
|
694 |
|
|
|
|
881 |
|
Deferred income taxes |
|
|
|
(3,933 |
) |
|
|
|
— |
|
Share-based compensation expense |
|
|
|
6,392 |
|
|
|
|
6,529 |
|
Foreign currency transaction loss |
|
|
|
(971 |
) |
|
|
|
1,126 |
|
Other, net |
|
|
|
488 |
|
|
|
|
1,569 |
|
Changes in assets and liabilities: |
|
|
|
|
|
|
|
|
||
Receivables |
|
|
|
23,478 |
|
|
|
|
(4,926 |
) |
Inventories |
|
|
|
(765 |
) |
|
|
|
40,954 |
|
Other current assets |
|
|
|
(9,543 |
) |
|
|
|
4,693 |
|
Accounts payable |
|
|
|
(5,958 |
) |
|
|
|
(15,274 |
) |
Other current liabilities |
|
|
|
(8,200 |
) |
|
|
|
(9,135 |
) |
Other noncurrent assets and liabilities |
|
|
|
6,622 |
|
|
|
|
1,629 |
|
Net cash provided by operating activities |
|
|
|
95,761 |
|
|
|
|
119,707 |
|
|
|
|
|
|
|
|
|
|
||
CASH FLOWS FROM INVESTING ACTIVITIES: |
|
|
|
|
|
|
|
|
||
Purchases of property, plant and equipment |
|
|
|
(28,979 |
) |
|
|
|
(18,775 |
) |
Purchases of marketable securities available-for-sale |
|
|
|
(18,831 |
) |
|
|
|
(4,932 |
) |
Proceeds from maturities of marketable securities available-for-sale |
|
|
|
24,633 |
|
|
|
|
10,982 |
|
Acquisition of business, net of cash acquired |
|
|
|
— |
|
|
|
|
(30,842 |
) |
Other investing activities, net |
|
|
|
(2,764 |
) |
|
|
|
(3,850 |
) |
Net cash used in investing activities |
|
|
|
(25,941 |
) |
|
|
|
(47,417 |
) |
|
|
|
|
|
|
|
|
|
||
CASH FLOWS FROM FINANCING ACTIVITIES: |
|
|
|
|
|
|
|
|
||
Repurchase of common stock |
|
|
|
(22,454 |
) |
|
|
|
— |
|
Dividends paid |
|
|
|
(15,461 |
) |
|
|
|
(15,082 |
) |
Common stock withheld for payroll tax obligations |
|
|
|
(1,575 |
) |
|
|
|
(2,471 |
) |
Proceeds from exercise of stock options |
|
|
|
479 |
|
|
|
|
32 |
|
Other financing activities, net |
|
|
|
370 |
|
|
|
|
222 |
|
Net cash used in financing activities |
|
|
|
(38,641 |
) |
|
|
|
(17,299 |
) |
|
|
|
|
|
|
|
|
|
||
Effect of exchange rate changes on cash and cash equivalents |
|
|
|
(1,055 |
) |
|
|
|
716 |
|
Net change in cash and cash equivalents |
|
|
|
30,124 |
|
|
|
|
55,707 |
|
Cash and cash equivalents, beginning of period |
|
|
|
160,755 |
|
|
|
|
105,048 |
|
Cash and cash equivalents, end of period |
|
$ |
|
190,879 |
|
|
$ |
|
160,755 |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20241024535435/en/
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Vice President, Investor Relations &
402-933-6429
Alicia.Pfeifer@lindsay.com
Alpha IR:
312-445-2870
LNN@alpha-ir.com
Source: