Originally published at www.seclive.com
Lindsay Corporation (NYSE:LNN) announced its financial results for the first fiscal quarter of 2014, reporting earnings that dropped 31%. The irrigation and road infrastructure company attributed its decline to lower commodity prices for farmers, pressuring its results. Lindsay's irrigation business, which comprises the majority of the company's revenue, reported revenue that declined 3.7% to $129.2M. The infrastructure business, which is under constant pressure due to program delays and reduced government spending, saw a revenue jump of 41% to $18.5M. For its shareholders, the company doubled its dividend to $0.26 per share while also increasing its share repurchase authorized amount from $100M to $150M over the next two years, returning value to shareholders. CEO Rick Parod commented that irrigation revenues are likely to suffer as grain prices continue to tumble, resulting in lower revenues.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.