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Lindsay Q3 Earnings Beat Estimates, Revenues Increase 22% Y/Y

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Key Takeaways

  • Lindsay reported Q3 EPS of $1.78 and revenues of $169.5M, both surpassing consensus estimates.
  • International irrigation revenues jumped 60% on a major MENA project, lifting segment income 39%.
  • Infrastructure sales rose 6%, but segment income fell 14% despite gains from Road Zipper System sales.

Lindsay Corporation (LNN - Free Report) delivered adjusted earnings per share of $1.78 in third-quarter fiscal 2025 (ended on May 31, 2025), beating the Zacks Consensus Estimate of $1.36. The company reported earnings of $1.85 in the year-ago quarter. Including an income tax credit of 44 cents per share, earnings per share in the third quarter of fiscal 2024 were $1.41.

Lindsay generated revenues of $169.5 million, up 22% from the $139 million reported in the year-ago quarter. The top line beat the Zacks Consensus Estimate of $162 million.

The company’s backlog as of May 31, 2025, was $117 million compared with $206 million as of May 31, 2024.

Lindsay Corporation Price, Consensus and EPS Surprise

Lindsay Corporation Price, Consensus and EPS Surprise

Lindsay Corporation price-consensus-eps-surprise-chart | Lindsay Corporation Quote

Lindsay’s Q3 Gross Margin Up Y/Y

The cost of operating revenues rose 24.9% year over year to $116 million. Gross profit increased 15.5% to $54 million from the year-earlier quarter. The gross margin was 31.7% compared with the year-ago quarter’s 33.4%.

Operating expenses were $29.8 million in the fiscal third quarter, up 12.5% year over year. Operating income was $23.8 million, up from the prior-year quarter’s $19.9 million.

LNN’s Q3 Segmental Results

The Irrigation segment’s revenues increased 25% year over year to around $144 million in the fiscal third quarter. North America irrigation revenues increased 1% from the year-ago quarter to $69 million due to a higher average selling price.

International irrigation revenues surged 60% year over year to $75 million on a large project in the MENA region. The irrigation segment’s operating income increased 39% year over year to $27.2 million.

The Infrastructure segment’s revenues increased 6% year over year to $26 million on higher Road Zipper System sales and increased lease revenues. The segment reported operating income of $5.4 million, down 14% year over year.

Lindsay’s Financial Position

Lindsay had cash and cash equivalents of $196 million at the end of the third quarter of fiscal 2025 compared with $191 million at the end of fiscal 2024. The company’s long-term debt stood at around $115 million at the end of the fiscal third quarter, flat with the end of fiscal 2024.

LNN’s FY25 Outlook

The company expects the North America irrigation business to remain tempered due to low farm income. Drought conditions are emerging in the Midwest, potentially driving short-term demand for replacement parts. LNN remains optimistic about opportunities in international irrigation markets, particularly in developing regions where food security is a pressing concern.

Lindsay Stock Price Performance

Lindsay’s shares have gained 11.8% in the past year compared with the industry’s growth of 32.4%.

Zacks Investment Research Image Source: Zacks Investment Research

LNN’s Zacks Rank

The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Farm Equipment Stocks Awaiting Results

Deere & Company (DE - Free Report) is expected to release its third-quarter fiscal 2025 results soon.

The Zacks Consensus Estimate for Deere’s earnings per share is pegged at $4.60 for the fiscal second quarter, implying a decline of 26.9% from the year-ago figure. The consensus estimate for Deere’s total revenues is pinned at $10.2 billion, indicating a year-over-year decrease of 10.3%.

AGCO Corp. (AGCO - Free Report) is anticipated to release its second-quarter 2025 results soon. The Zacks Consensus Estimate for AGCO’s earnings per share is pegged at $1.06 for the second quarter, implying a decline of 58.1% from the year-ago figure. The consensus estimate for AGCO’s total revenues is pinned at $2.5 billion, indicating a year-over-year decrease of 22.7%.

CNH Industrial N.V. (CNH - Free Report) is expected to release its second-quarter 2025 results soon. The Zacks Consensus Estimate for CNH Industrial’s earnings per share is pegged at 15 cents for the second quarter, implying a decline of 60.5% from the year-ago figure. The consensus estimate for CNH Industrial’s total revenues is pinned at $4.5 billion, indicating a year-over-year decrease of 18.2%.

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