Quarterly Report (10-q)

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Table of Contents

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(MARK ONE)

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended February 28, 2023

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File Number 1-13419

Lindsay Corporation

(Exact name of registrant as specified in its charter)


Delaware		47-0554096
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)

18135 Burke Street, Suite 100, Omaha, Nebraska		68022
(Address of principal executive offices)		(Zip Code)

402‑829-6800

(Registrant's telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, $1.00 par value	LNN	New York Stock Exchange, Inc.

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act:


Large accelerated filer	☒	Accelerated filer	☐
Non‑accelerated filer	☐	Smaller reporting company	☐
Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

As of April 1, 2023, 11,007,905 shares of the registrant’s common stock were outstanding.

Table of Contents

Lindsay Corporation

INDEX FORM 10-Q


		Page

Part I – FINANCIAL INFORMATION		3

	ITEM 1 – Financial Statements	3

	Condensed Consolidated Statements of Earnings for the three and six months ended February 28, 2023 and February 28, 2022	3

	Condensed Consolidated Statements of Comprehensive Income for the three and six months ended February 28, 2023 and February 28, 2022	4

	Condensed Consolidated Balance Sheets as of February 28, 2023, February 28, 2022, and August 31, 2022	5

	Condensed Consolidated Statements of Shareholders’ Equity for the three and six months ended February 28, 2023 and February 28, 2022	6

	Condensed Consolidated Statements of Cash Flows for the six months ended February 28, 2023 and February 28, 2022	8

	Notes to the Condensed Consolidated Financial Statements	9

	ITEM 2 – Management’s Discussion and Analysis of Financial Condition and Results of Operations	17

	ITEM 3 – Quantitative and Qualitative Disclosures about Market Risk	25

	ITEM 4 – Controls and Procedures	26

Part II – OTHER INFORMATION		27

	ITEM 1 – Legal Proceedings	27

	ITEM 1A – Risk Factors	27

	ITEM 2 – Unregistered Sales of Equity Securities and Use of Proceeds	27

	ITEM 3 – Defaults Upon Senior Securities	27

	ITEM 4 – Mine Safety Disclosures	27

	ITEM 5 – Other Information	27

	ITEM 6 – Exhibits	28

SIGNATURES		29

- 2 -

Table of Contents

Part I – FINANCIAL INFORMATION

ITEM 1 - Financial Statements

LINDSAY CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS

(Unaudited)


	Three months ended						Six months ended
($ and shares in thousands, except per share amounts)	February 28, 2023			February 28, 2022			February 28, 2023			February 28, 2022
Operating revenues	$	166,241		$	200,137		$	342,400		$	366,288
Cost of operating revenues		111,983			157,193			235,122			285,907
Gross profit		54,258			42,944			107,278			80,381

Operating expenses:
Selling expense		8,733			7,932			18,410			15,922
General and administrative expense		13,739			13,022			28,176			25,901
Engineering and research expense		4,521			3,652			8,829			6,859
Total operating expenses		26,993			24,606			55,415			48,682

Operating income		27,265			18,338			51,863			31,699

Other income (expense):
Interest expense		(1,038	)		(1,176	)		(1,947	)		(2,339	)
Interest income		490			160			865			338
Other income (expense), net		(984	)		1,882			(1,043	)		(1,018	)
Total other income (expense)		(1,532	)		866			(2,125	)		(3,019	)

Earnings before income taxes		25,733			19,204			49,738			28,680

Income tax expense		7,681			4,638			13,469			6,213

Net earnings	$	18,052		$	14,566		$	36,269		$	22,467

Earnings per share:
Basic	$	1.64		$	1.33		$	3.30		$	2.05
Diluted	$	1.63		$	1.32		$	3.28		$	2.04

Shares used in computing earnings per share:
Basic		11,007			10,974			10,998			10,950
Diluted		11,063			11,014			11,068			11,020

Cash dividends declared per share	$	0.34		$	0.33		$	0.68		$	0.66

See accompanying notes to condensed consolidated financial statements.

- 3 -

Table of Contents

LINDSAY CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)


	Three months ended					Six months ended
($ in thousands)	February 28, 2023		February 28, 2022			February 28, 2023			February 28, 2022
Net earnings	$	18,052	$	14,566		$	36,269		$	22,467
Other comprehensive income (loss):
Defined benefit pension plan adjustment, net of tax		40		48			80			97
Foreign currency translation adjustment, net of hedging activities and tax		1,308		1,997			(878	)		(1,353	)
Unrealized gain (loss) on marketable securities, net of tax		71		(105	)		72			(162	)
Total other comprehensive income (loss), net of tax expense (benefit) of $52, ($21), ($417), and ($19) respectively		1,419		1,940			(726	)		(1,418	)
Total comprehensive income	$	19,471	$	16,506		$	35,543		$	21,049

See accompanying notes to condensed consolidated financial statements.

- 4 -

Table of Contents

LINDSAY CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)


($ and shares in thousands, except par values)	February 28, 2023			February 28, 2022			August 31, 2022
ASSETS
Current assets:
Cash and cash equivalents	$	97,675		$	68,951		$	105,048
Marketable securities		8,763			24,934			11,460
Receivables, net of allowance of $4,959, $3,726, and $4,118, respectively		167,007			134,694			138,200
Inventories, net		178,703			187,328			193,776
Other current assets, net		27,973			34,350			28,617
Total current assets		480,121			450,257			477,101

Property, plant, and equipment:
Cost		246,396			234,183			240,981
Less accumulated depreciation		(152,558	)		(141,892	)		(146,509	)
Property, plant, and equipment, net		93,838			92,291			94,472

Intangibles, net		17,329			19,311			18,208
Goodwill		67,409			67,679			67,130
Operating lease right-of-use assets		17,984			16,724			19,181
Deferred income tax assets		9,518			5,352			9,313
Other noncurrent assets		22,881			24,970			25,248
Total assets	$	709,080		$	676,584		$	710,653

LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Accounts payable	$	52,998		$	74,345		$	60,036
Current portion of long-term debt		224			220			222
Other current liabilities		79,566			86,837			100,684
Total current liabilities		132,788			161,402			160,942

Pension benefits liabilities		4,733			5,567			4,892
Long-term debt		115,253			115,428			115,341
Operating lease liabilities		18,659			17,170			19,810
Deferred income tax liabilities		702			783			1,054
Other noncurrent liabilities		14,673			19,696			15,256
Total liabilities		286,808			320,046			317,295

Shareholders' equity:

Preferred stock of $1 par value - authorized 2,000 shares; no shares issued and outstanding		—			—			—
Common stock of $1 par value - authorized 25,000 shares; 19,091, 19,061, and 19,063 shares issued, respectively		19,091			19,061			19,063
Capital in excess of stated value		94,834			90,711			94,006
Retained earnings		607,784			543,355			579,000
Less treasury stock - at cost, 8,083 shares		(277,238	)		(277,238	)		(277,238	)
Accumulated other comprehensive loss, net		(22,199	)		(19,351	)		(21,473	)
Total shareholders' equity		422,272			356,538			393,358
Total liabilities and shareholders' equity	$	709,080		$	676,584		$	710,653

See accompanying notes to condensed consolidated financial statements.

- 5 -

Table of Contents


Lindsay Corporation and Subsidiaries
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY
($ and shares in thousands, except per share amounts)
(Unaudited)
	Shares of common stock		Shares of treasury stock		Common stock		Capital in excess of stated value			Retained earnings			Treasury stock			Accumulated other comprehensive loss, net			Total shareholders’ equity
Balance at August 31, 2021		18,991		8,083	$	18,991	$	86,495		$	528,130		$	(277,238	)	$	(17,933	)	$	338,445
Comprehensive income:
Net earnings		—		—		—		—			22,467			—			—			22,467
Other comprehensive loss		—		—		—		—			—			—			(1,418	)		(1,418	)
Total comprehensive income		—		—		—		—			—			—			—			21,049
Cash dividends ($.66) per share		—		—		—		—			(7,242	)		—			—			(7,242	)
Issuance of common shares under share compensation plans, net		70		—		70		1,805			—			—			—			1,875
Share-based compensation expense		—		—		—		2,411			—			—			—			2,411
Balance at February 28, 2022		19,061		8,083	$	19,061	$	90,711		$	543,355		$	(277,238	)	$	(19,351	)	$	356,538


Balance at August 31, 2022		19,063		8,083	$	19,063	$	94,006		$	579,000		$	(277,238	)	$	(21,473	)	$	393,358
Comprehensive income:
Net earnings		—		—		—		—			36,269			—			—			36,269
Other comprehensive loss		—		—		—		—			—			—			(726	)		(726	)
Total comprehensive income		—		—		—		—			—			—			—			35,543
Cash dividends ($.68) per share		—		—		—		—			(7,485	)		—			—			(7,485	)
Issuance of common shares under share compensation plans, net		28		—		28		(2,261	)		—			—			—			(2,233	)
Share-based compensation expense		—		—		—		3,089			—			—			—			3,089
Balance at February 28, 2023		19,091		8,083	$	19,091	$	94,834		$	607,784		$	(277,238	)	$	(22,199	)	$	422,272

Dados

Notícias

Ferramentas

Mercados

Comunidade

LNN Lindsay Corporation

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