Lindsay Corp (LNN) Reports Record Full Year Net Earnings and Earnings Per Share for Fiscal Year 2023
Fourth quarter revenue of $167.1 million and EPS of $1.74 led by strong irrigation results
Record full year net earnings of $72.4 million and record EPS of $6.54
Free cash flow generation reaches 139 percent of net earnings
Record revenue and operating income in Brazil
On October 19, 2023, Lindsay Corporation (NYSE:LNN), a leading global manufacturer and distributor of irrigation and infrastructure equipment and technology, announced its fourth quarter and fiscal year results for the year ending August 31, 2023.
Fourth Quarter Performance
The company reported a revenue of $167.1 million and EPS of $1.74, driven by strong irrigation results. There was significant growth in international irrigation revenues, particularly in Brazil, where record revenues were achieved. The company also reported record operating income and operating margin in the irrigation segment.
Full Year Performance
For the full fiscal year, Lindsay Corp (NYSE:LNN) reported record net earnings of $72.4 million and record EPS of $6.54. The company also achieved record revenue and operating income in Brazil. The free cash flow generation reached 139 percent of net earnings.
Financial Summary
Revenues for the fourth quarter of fiscal 2023 were $167.1 million, a decrease of $23.1 million, or 12 percent, compared to revenues of $190.2 million in the prior year fourth quarter. Operating income for the fourth quarter was $23.4 million, a decrease of $4.4 million, or 16 percent, compared to operating income of $27.8 million in the prior year fourth quarter. Net earnings for the fourth quarter were $19.2 million, or $1.74 per diluted share, compared with net earnings of $17.9 million, or $1.62 per diluted share, for the prior year fourth quarter.
Segment Results
In the irrigation segment, revenues for the fourth quarter of fiscal 2023 were $143.6 million, a decrease of $6.9 million, or 5 percent, compared to $150.5 million in the prior year fourth quarter. In the infrastructure segment, revenues for the fourth quarter of fiscal 2023 were $23.5 million, a decrease of $16.2 million, or 41 percent, compared to $39.7 million in the prior year fourth quarter.
Outlook
Looking ahead, Lindsay Corp (NYSE:LNN) expects sales volume levels in developed international markets to remain robust, led by strong demand in Brazil. The company also expects to see a more meaningful positive impact of increased U.S. infrastructure spending on its infrastructure business in fiscal 2024.
This article first appeared on GuruFocus.
