Lindsay Corp (LNN) SEC Filing 10-K Annual report for the fiscal year ending Friday, August 31, 2018

EXHIBIT 99.1

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Lindsay Corporation Reports Fiscal 2018 Fourth Quarter and Full Year Results

OMAHA, Neb., October 18, 2018—Lindsay Corporation (NYSE: LNN), a leading global manufacturer and distributor of irrigation and infrastructure equipment and technology, today announced results for its fourth quarter and fiscal year ended August 31, 2018.

Fourth Quarter and Full Year Summary

Revenues for the fourth quarter of fiscal 2018 were $123.3 million, a decrease of 7 percent compared to revenues of $131.9 million in the prior year’s fourth quarter.  Net earnings for the quarter were $5.0 million and diluted earnings per share were $0.46, compared with net earnings of $6.3 million and diluted earnings per share of $0.59 for the same period in the prior year.  Adjusted net earnings for the fourth quarter were $4.5 million, or $0.42 per diluted share.¹

Total revenues for the year ended August 31, 2018 were $547.7 million, an increase of 6 percent compared to revenues of $518.0 million in the prior year.  Net earnings for the year were $20.3 million and diluted earnings per share were $1.88, compared with net earnings of $23.2 million and diluted earnings per share of $2.17 in the prior year.  Net earnings for the year were reduced by tax expense of $2.5 million due to the enactment of the U.S. Tax Reform and by after-tax costs of $8.8 million related to the Company’s Foundation for Growth initiative.  Adjusted net earnings for fiscal 2018 were $31.6 million, or $2.94 per diluted share.¹

“Despite challenging market conditions resulting from tariffs and falling grain prices, our fourth quarter North America irrigation equipment sales were improved over the prior year,” said Tim Hassinger, President and Chief Executive Officer.  “Our full year revenue growth of 6 percent was led by 16 percent growth in North America irrigation and 8 percent growth in our infrastructure segment.  We also continue to make good progress on our Foundation for Growth objectives that we introduced earlier in the year.”  

Fourth Quarter Segment Results

Irrigation segment revenues decreased 6 percent to $96.2 million, compared to $101.9 million in the prior year’s fourth quarter.  North America irrigation revenues increased 3 percent to $60.6 million, reflecting an increase in irrigation system unit volume.  International irrigation revenues decreased 18 percent to $35.6 million due to the market disruption in Brazil that continued during the quarter and lower project activity in developing markets compared to the prior year.  

Irrigation segment operating margin was 10.8 percent of sales in the fourth quarter (8.8 percent adjusted)¹, compared to 9.6 percent of sales in the prior year.  A net gain of $2.0 million from business divestitures was partially offset by a $1.6 million incremental LIFO inventory valuation expense resulting from raw material inflation.