Lindsay 11% Down In Pre-market As Q3 Profit, Revenue Decline Below Consensus

(RTTNews) - Shares of Lindsay Corporation (LNN) were trading down on Thursday morning after the company reported a fall in third-quarter earnings and revenue, below analysts' estimates.

The stock was down 11 percent to $111 per share in the pre-market trading on the New York Stock Exchange.

For the third-quarter, the company posted a net income of $16.88 million or $1.53 per share, compared with $25.07 million or $2.28 per share a year ago. On average, 5 analysts polled by Thomson Reuters had projected the firm to earn $2.15 per share.

Earnings were hurt by higher effective income tax rate and foreign currency transaction losses, compared with gains in the prior year.

Revenue dipped to $164.55 million from $214.26 million of previous year. The majority of the decrease came from the irrigation segment on decreased infrastructure revenues. Analysts, on average, had expected LNN to post revenue of $208.4 million.

Looking ahead, Randy Wood, CEO of LNN, said: "…The impact of increased U.S. infrastructure spending and the strength of our project sales funnel support the long-term growth outlook for our infrastructure business. The timing of project execution at the state level can be difficult to predict and, because of delayed startups we have experienced to date, we expect a limited positive impact on our fiscal 2023 results and a more meaningful positive impact in fiscal 2024 and beyond."