Lindsay Reverses Third-Quarter Revenue Decline

The Tip Desk · November 8, 2026 · 4 min read

Fourth-quarter sales were $161.6 million as North America irrigation unit volume rose and a June workforce cut was expected to save about $8.0 million a year.

Lindsay Corporation (LNN), a global manufacturer of irrigation and infrastructure equipment, reported fourth-quarter revenue of $161.6 million, reversing a 5% year-over-year decline in the third quarter. Operating income rose 39% to $15.8 million, and operating margin was 9.8%.

The irrigation and infrastructure equipment maker said the turn came from higher North America irrigation sales and a third consecutive quarter of growth in road safety products, while international irrigation was little changed. President and Chief Executive Officer Randy Wood said North America irrigation revenue and unit volume increased, supported by stronger commodity prices and improving farmer sentiment.

North America irrigation revenues were $55.4 million, up 11% from $50.0 million a year earlier, after an 11% year-over-year decline in the third quarter. The company attributed the increase primarily to higher unit sales volume, with average selling prices comparable to the prior year. Unit volume was split 50% replacement, 26% conversion and 24% dryland.

International irrigation revenues were $78.3 million, down 1% from $79.0 million a year earlier. Increases in the Middle East North Africa region and other developed markets were offset by a decrease in Brazil. Foreign-currency translation added about $2.4 million. Irrigation segment revenues were $133.7 million, up 4% from $129.0 million a year earlier, after a 7% year-over-year decline in the third quarter. Irrigation operating income was $17.3 million, with operating margin of 12.9%. The company said the margin decline resulted primarily from higher input costs, partially offset by lower operating expenses.

Infrastructure revenues were $27.8 million, up 13% from $24.5 million a year earlier. The company said the increase was driven primarily by higher sales of road safety products, partially offset by lower Road Zipper System sales and lease revenues. Infrastructure operating income was $5.0 million, with operating margin of 17.9%, which the company attributed to increased revenue and a more favorable mix.

Net earnings were $11.3 million, or $1.10 a share, compared with $10.8 million, or $0.99 a share, a year earlier. The company said the year-over-year increase in net earnings resulted from higher operating income, partially offset by a higher effective tax rate and lower other income.

In June the company implemented a global restructuring that reduced the workforce, which it said it expects to generate approximately $8.0 million of net annualized savings. Wood said the company took additional actions to better align the cost structure with current market demand and support margins.

Lindsay completed delivery of approximately $70 million of the $80 million MENA project that began in the fiscal second quarter. The company said it expects to recognize the majority of the remaining $10 million of services revenue over the next 12 to 24 months. Backlog of unfilled orders was $102.5 million as of August 31, 2026, compared with $110.7 million a year earlier, which the company attributed primarily to deliveries on large MENA irrigation projects.

For the full fiscal year ended August 31, 2026, revenues were $635.9 million, down 6% from $676.4 million. Operating income was $66.9 million, and diluted earnings per share were $5.33. Irrigation revenues decreased $26.5 million, primarily due to lower comparative project sales in MENA and lower sales volume in North America and Brazil. Infrastructure revenues decreased $14.0 million, primarily because a $20.0 million Road Zipper project in the prior year did not repeat.

The company returned $96.1 million to shareholders in fiscal 2026 through $80.7 million of share repurchases and $15.4 million of dividends. It announced a new $150.0 million share repurchase authorization, of which $100.0 million remained available at year-end. Cash and cash equivalents were $189.8 million at August 31, 2026.

Wood said demand for irrigation equipment in North America is expected to remain tempered until the outlook for commodity prices and farm income improves, and that high interest rates and ongoing credit constraints remain headwinds in Brazil. The company said it expects difficult year-over-year comparisons in international irrigation project markets in fiscal 2027. It anticipates sustained growth in road safety products and Road Zipper System leasing comparable to this fiscal year. Lindsay also announced a planned acquisition of Setorial Irrigação to expand its Brazil irrigation portfolio.