Slide 1: Earnings Call Presentation 3rd Quarter Fiscal 2018
Earnings Call Presentation 3rd Quarter Fiscal 2018 ADVANCING INNOVATION TO SOLVE GLOBAL CHALLENGES EXHIBIT 99.2
Slide 2: Safe-Harbor Statement
Safe-Harbor Statement This presentation contains forward-looking statements that are subject to risks and uncertainties and which reflect management’s current beliefs and estimates of future economic circumstances, industry conditions, Company performance, financial results and planned financing. Yo
Slide 3: Third Quarter Highlights
Third Quarter Highlights Revenue increased 12% Irrigation segment increased 7% Infrastructure segment increased 31% Gross profit increased 12% Adjusted operating income* increased 51% Adjusted diluted EPS* increased 63%, from $1.02 in fiscal 2017 to $1.66 in fiscal 2018 Divestiture plans announced P
Slide 4: Third Quarter and YTD Financial Summary
Third Quarter and YTD Financial Summary *Please see Reg G reconciliation of GAAP operating income, net earnings and earnings per share to adjusted figures at end of presentation.
Slide 5: Irrigation Segment
Irrigation Segment Total Irrigation revenues increased 7% to $128.4 million North America revenues increased 11% to $87.4 million Increase in irrigation system unit volume Higher average selling prices International revenues decreased 1% to $41.0 million Higher project activity in developing markets
Slide 6: Infrastructure Segment
Infrastructure Segment Revenue increased 31% to $41.2 million Delivery of a significant portion of two large Road Zipper System® orders Alex Fraser Bridge Japan Adjusted operating income* increased 80% to $14.4 million Improved margin mix due to higher Road Zipper revenue Improved operating cost lev
Slide 7: Foundation for Growth Initiative – 2020 Objectives
Foundation for Growth Initiative – 2020 Objectives 11% to 12% operating margin Shareholder value creation Fully leverage the global organization Viewed by customers as the innovation leader in core markets Highly engaged employees One common culture and identity Financial performance External percep
Slide 8: Foundation for Growth Workstreams
Foundation for Growth Workstreams Strategic choices 6 Culture change & operating model 5 Culture assessment, aligning behaviors to strategy, improving global work processes Set strategic direction, portfolio assessment Commercial 1 Manufacturing 3 Sourcing 2 G&A Expense 4 Create value through channe
Slide 9: Summary Balance Sheet
Summary Balance Sheet *The net working capital amount at May 31, 2018 includes $27.4 million of net assets held-for-sale which were previously classified as noncurrent.
Slide 10: Summary of Cash Flows
Q Summary of Cash Flows Net eamings $15.3 $16.8 Depreciation / amortization $12.9 $12.3 Changes in assets and liabilities: Receivables ($29.8) ($5.7) Inventories ($8.2) ($13.2) Other working capital $11.8 $13.0 Other $6.3 $1.2 Net cash provided by operations $8.2 $24.5 Purchases of property, plant a
Slide 11: Attractive Long-Term Market Drivers
Attractive Long-Term Market Drivers Water Conservation Alternative Fuels Increase Yields Improve Road Safety Population Growth Advancing Technology
Slide 12: Current Market Factors
Current Market Factors Commodity prices stabilized but expected to remain flat given high carryover stock levels USDA average corn prices $3.30 - $4.30 per bushel Net Farm Income projected to be $59.5 billion a 7% decrease from estimated 2017 EPA issued 2018 ethanol production target levels to be co
Slide 13: Capital Allocation – A Balanced Approach
Capital Allocation – A Balanced Approach Targeted cash balance of $60-75 million, including international accounts To support cyclical and seasonal fluctuations in working capital and projected capital expenditures $115 million in Senior Notes maturing on 2/19/30 at annual interest rate of 3.82% The
Slide 14: Regulation G Reconciliation of GAAP to Non-GAAP Financial Measures
Regulation G Reconciliation of GAAP to NON-GAAP Financial Measures LINDSAY CORPORATION AND SUBSIDIARIES RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (Unaudited) The non-GAAP tables below disclose (a) the impact on diluted earnings per share of (1) tax expense attributed to enactment of the
Slide 15: Regulation G Reconciliation of GAAP to Non-GAAP Financial Measures
Regulation G Reconciliation of GAAP to NON-GAAP Financial Measures
Slide 16: Regulation G Reconciliation of GAAP to Non-GAAP Financial Measures
Regulation G Reconciliation of GAAP to NON-GAAP Financial Measures