Lindsay Corporation (NYSE:LNN) exceeded Wall Street expectations for its fiscal third quarter, fueled by a sharp increase in international irrigation sales. The strong results lifted the company’s stock nearly 2% in pre-market trading.
The irrigation technology provider reported adjusted earnings of $1.78 per share, well ahead of the $1.41 consensus estimate, while quarterly revenue reached $169.5 million, topping analysts’ projections of $157.87 million.
Driving the performance was a 60% year-over-year surge in revenue from Lindsay’s international irrigation segment, which totaled $74.7 million. The growth was largely attributed to a major infrastructure project in the Middle East and North Africa (MENA) region, as well as increased demand across Brazil and other South American markets.
“Our international irrigation business continues to gain momentum,” said CEO Randy Wood. “This strength, particularly in the MENA region, helped propel a 22% increase in total company revenue compared to the same period last year.”
In North America, irrigation sales held steady, climbing 1% to $69.1 million, despite trade uncertainties and challenges in the U.S. grain export market. Lindsay’s infrastructure division also contributed, with a 6% rise in revenue to $25.7 million.
Operating income climbed 19% to $23.8 million, while net earnings dipped 4% to $19.5 million, primarily due to the absence of a one-time tax benefit recorded in the prior-year quarter.
Looking ahead, Wood noted that emerging drought conditions in the U.S. Midwest could support near-term demand for replacement irrigation components. He also highlighted growing interest in global food security initiatives, particularly in emerging markets, as a continued source of international growth.