Lindsay Corporation (NYSE:LNN) stock climbed 21% to $129.20 in late-morning trading on Thursday after the manufacturer and distributor of irrigation and infrastructure equipment and technology reported record full year 2023 net earnings of $72.4 million, or $6.54 per share, boosted by growth in international irrigation revenues, particularly in Brazil.
The company also noted its fiscal 2023 free cash flow generation reached 139% of net earnings.
Its revenue for the year, though, fell 13% to $674.1 million, as North American farmers deferred investment decisions and previous sales contracts in Egypt, Ukraine and Russia failed to renew.
Meanwhile, the company’s 4Q financial results surpassed analysts’ expectations on both the top and bottom lines.
“So far in our first quarter of fiscal 2024, we are seeing order levels running ahead of the prior year," Lindsay Corp CEO Randy Wood said in a statement.
“We expect sales volume levels in developed international markets to remain robust, led by strong demand in Brazil, and we continue to see project opportunities in developing markets supported by continuing global concerns over food security and global grain supplies."
The company also said it expects to see a more meaningful positive impact of increased US infrastructure spending on its infrastructure business in fiscal 2024.
Shares of Lindsay Corp have fallen 18% year to date.
Contact Sean at sean@proactiveinvestors.com