Lindsay Corporation · NYSE:LNN
Lindsay — Q3 FY2024 Earnings Presentation
20 slides from Lindsay's earnings presentation, Jun 27, 2024
Slide 1: 3rd Quarter Fiscal 2024 Earnings Slide Deck
3rd Quarter Fiscal 2024 Earnings Slide Deck 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. Y
Slide 3: Third Quarter Key Messages
Third Quarter Key Messages Softening agricultural market conditions continue to weigh on farmer sentiment, resulting in tempered demand in North America and Brazil Secured $100 million-plus multi-year irrigation project in a developing international region New project sales and growth in Road Zipper
Slide 4: Third Quarter Summary
Third Quarter Summary Revenues decreased $25.4 million compared to prior year Irrigation decreased $27.7 million Infrastructure increased $2.4 million Operating income decreased $7.0 million compared to prior year Irrigation decreased $11.2 million Infrastructure increased $2.7 million Corporate exp
Slide 5: Third Quarter and YTD Financial Summary
Third Quarter and YTD Financial Summary
Slide 6: Current Market Factors
Current Market Factors As of May 2024, U.S. corn prices have decreased 24 percent and U.S. soybean prices have decreased 7 percent from price levels prevailing in May 2023 In February 2024, the USDA estimated 2024 U.S. net farm income to be $116.1 billion, a decrease of 26 percent from 2023 U.S. net
Slide 7: Irrigation Segment – Third Quarter Summary
Irrigation Segment – Third Quarter Summary North America revenue decreased $6.8 million Lower unit sales volume of irrigation equipment and replacement parts Slightly lower average selling prices Unit sales volume breakdown by category: Replacement 42%, Dryland 29%, Conversion 29% International reve
Slide 8: Infrastructure Segment – Third Quarter Summary
Infrastructure Segment – Third Quarter Summary Total revenue increased $2.4 million Higher Road Zipper System ™ project sales Higher Road Zipper System ™ lease revenue Higher sales of road safety products in the U.S. were offset by lower sales in international markets Operating income increased $2.7
Slide 9: Innovation Leadership: Addressing Global Megatrends
Innovation Leadership: Addressing Global Megatrends Capitalizing on global megatrends Food Security Water Scarcity Land Availability Mobility Safety Increased Safety Standards Aging Infrastructure Megatrends Innovation Leadership Innovative sustainable solutions for growers across the globe Mobilizi
Slide 10: Strong Commitment to Sustainable Practices
Strong Commitment to Sustainable Practices Our mission is to conserve natural resources, expand our world’s potential, and enhance the quality of life for people. Investing in sustainable technologies Improving our operational footprint Empowering and protecting our people Engaging in our local comm
Slide 11: Summary Balance Sheet and Liquidity
Summary Balance Sheet and Liquidity As of May 31, 2024, available liquidity of $202.7 million, with $152.7 million in cash, cash equivalents and marketable securities and $50.0 million available under revolving credit facility Well-positioned with a strong balance sheet to continue to execute our ca
Slide 12: Free Cash Flow Summary
Free Cash Flow Summary ZALINDSAY* ($ in millions) YTD FY24 YTD FY23 Net earnings $53.5 $53.2 Depreciation / amortization $15.8 $14.5 Other non-cash adjustments $3.0 $6.8 Changes in assets and liabilities: Receivables $8.1 ($15.8) Inventories ($17.1) $25.3 Other ($20.6) ($24.8) Net cash provided by o
Slide 13: Capital Allocation – A Balanced Approach
Capital Allocation – A Balanced Approach The Company’s prioritization for cash use: Working capital to support organic growth New product development Capital expenditures - expected to be approximately $30 million in fiscal 2024 Reflects incremental investment in plant modernization & productivity i
Slide 14: Five-Year Financial Goals (Annual Averages)
Five-Year Financial Goals (Annual Averages) Organic Revenue Growth >7% Operating Margin >14% ROIC >12% EPS Growth >10%
Slide 15: Appendix
Z”LINDSAY* Appendix
Slide 16: U.S. Net Farm Income and Net Cash Farm Income
U.S. Net Farm Income and Net Cash Farm Income Inflation adjusted, 2003-2024F 2003-22 average NCFI Note: F = forecast. Values are adjusted for inflation using the U.S. Bureau of Economic Analysis Gross Domestic Product Price Index (BEA API series code: A191RG) rebased to 2024 by USDA, Economic Resear
Slide 17: U.S. Corn Prices
U.S. Corn Prices Source: Trading Economics
Slide 18: U.S. Soybean Prices
U.S. Soybean Prices Source: Trading Economics
Slide 19: Soybean Cash Price Index – Brazil
Soybean Cash Price Index – Brazil Source:Cepea
Slide 20: United States Drought Condition
United States Drought Condition Source: US Drought Monitor, March 2024 2023 2024