Lindsay (LNN) Q4 2025 earnings summary

Executive summary

• Achieved record earnings and EPS for fiscal 2025, with double-digit revenue and operating income growth in both irrigation and infrastructure segments.

• International irrigation outperformed, with revenues surpassing North America for the first time, driven by strong results in South America, MENA, and Australia.

• Infrastructure business delivered its second-best results ever, with annual growth but Q4 declines due to lower Road Zipper project sales.

• Free cash flow reached 122% of net earnings, supporting investments, share repurchases, and dividends.

• Leadership transition announced: CFO Brian Ketcham retiring, with Sam Henrichson to assume the role.

Financial highlights

• Fiscal 2025 revenues rose 11% to $676.4M; operating income up 15% to $88.1M; net earnings up 12% to $74.1M; diluted EPS up 13% to $6.78.

• Q4 2025 revenues: $153.6M, down 1% year-over-year; Q4 net earnings: $10.8M ($0.99/share), down 15%; Q4 operating income: $11.3M, down 16%.

• Irrigation segment Q4 revenues: $129M, up 3%; North America down 19%, international up 23%.

• Infrastructure segment Q4 revenues: $24.5M, down 16%; full-year up 16% to $108.4M.

• Free cash flow was 122% of net earnings; year-end cash and equivalents at $250.6M; total available liquidity $300M.

Outlook and guidance

• North American irrigation demand expected to remain suppressed in 2026 due to low commodity prices and weak farm income.

• International irrigation expected to see stable or slightly higher revenues, contingent on new project volume, especially in MENA and South America.

• Infrastructure segment margins expected to normalize around 20% without large projects; growth anticipated in leasing and road safety products.

• CapEx projected to rise to ~$50M in 2026 due to expanded galvanizing facility investment.

• U.S. farm income projected to rise 41% in 2025, mainly from higher government support payments.