Lindsay (LNN) Q3 2026 earnings summary

Executive summary

• Third quarter revenue declined 5% year-over-year to $160.8 million, with net earnings of $15.8 million ($1.53 per diluted share), primarily due to lower irrigation sales and gross margins.

• Infrastructure segment revenue grew 8% year-over-year, while irrigation segment revenue fell 7% due to challenging conditions in North America and Brazil.

• Operating income for the quarter was $18.5 million (11.5% margin), down 22% year-over-year, with gross margin at 29.8% versus 31.6% last year.

• $25.2 million in share repurchases completed in the quarter, totaling $80.7 million for the fiscal year.

• The large MENA irrigation project remains on schedule, supporting international backlog growth.

Financial highlights

• Net earnings were $15.8 million ($1.53 per diluted share), down 19% year-over-year; diluted EPS dropped by $0.25, or 14%.

• Q3 operating income was $18.5 million (11.5% margin), down from $23.8 million (14% margin) year-over-year.

• Gross profit for the quarter was $47.8 million, down from $53.6 million a year ago.

• Nine-month revenues were $474.3 million, down from $522.8 million in the prior year; net earnings were $44.4 million, down 30%.

• Cash and cash equivalents at quarter-end were $154.8 million; total available liquidity was $204.8 million.

Outlook and guidance

• North American irrigation demand expected to remain soft until farm economics and commodity prices improve; no near-term recovery anticipated.

• Brazil remains a long-term growth opportunity, but credit constraints and high interest rates limit near-term expectations.

• MENA region project deliveries continue into Q4, with approximately $70 million in project revenue expected to be recognized in the fiscal year.

• Infrastructure segment expected to see continued growth, supported by legislative funding and strong project pipeline.

• Capital expenditures for fiscal 2026 projected at $50–$55 million, focused on modernization and productivity.