##### 



UNITED STATES SECURITIES AND EXCHANGE COMMISSION
 Washington, D.C. 20549
 FORM 10-Q
 (MARK ONE)
 þ
    
    QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
 For the quarterly period ended May 31, 2007
 OR
 o
    
    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
 Commission File Number 1-13419
 Lindsay Corporation
 (Exact name of registrant as specified in its charter)
 Delaware
    
    47-0554096(State or other jurisdiction of 
incorporation or organization)
    
    (I.R.S. Employer
Identification No.)
 2707 North 108th Street, Suite 102, Omaha, Nebraska
    
    68164(Address of principal executive offices)
    
    (Zip Code)
 402-428-2131
 Registrants telephone number, including area code
 þ o
 o þ o
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##### 



Lindsay Corporation and Subsidiaries
INDEX FORM 10-Q
 Page No.Part I  FINANCIAL INFORMATIONITEM 1 -Condensed Consolidated Financial StatementsConsolidated Balance Sheets, May 31, 2007 and 2006
and August 31, 2006
    
    
    3Consolidated Statements of Operations for the three-months and
nine-months ended May 31, 2007 and 2006
    
    
    4Consolidated Statements of Cash Flows for the nine-months
ended May 31, 2007 and 2006
    
    
    5Notes to Condensed Consolidated Financial Statements
    
    
    6-13ITEM 2 -Managements Discussion and Analysis of Results
of Operations and Financial Condition
    
    
    14-20ITEM 3 -Quantitative and Qualitative Disclosures about
Market Risk
    
    
    20ITEM 4 -Controls and Procedures
    
    
    21Part II  OTHER INFORMATIONITEM 1 -Legal Proceedings
    
    
    21ITEM 1A -Risk Factors
    
    
    21ITEM 2 -Unregistered Sales of Equity Securities and Use of Proceeds
    
    
    21ITEM 3 -Defaults Upon Senior Securities
    
    
    21ITEM 4 -Submission of Matters to a Vote of Security Holders
    
    
    21ITEM 5 -Other Information
    
    
    22ITEM 6 -Exhibits
    
    
    22SIGNATURE
    
    
    23
 - 2 -




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##### 



Part I  FINANCIAL INFORMATION
 ITEM 1  Condensed Consolidated Financial Statements
 Lindsay Corporation and Subsidiaries
CONSOLIDATED BALANCE SHEETS
May 31, 2007 and 2006 and August 31, 2006
 (Unaudited)
    
    
    (Unaudited)May
    
    
    May
    
    
    August($ in thousands, except par values)
    
    2007
    
    
    2006
    
    
    2006ASSETSCurrent assets:Cash and cash equivalents
    
    $
    22,774
    
    
    $
    30,088
    
    
    $
    43,344Marketable securities
    
    
    17,434
    
    
    
    11,941
    
    
    
    10,179Receivables, net (net of allowance, $933, $573 and $595, respectively)
    
    
    55,507
    
    
    
    42,387
    
    
    
    38,115Inventories, net
    
    
    45,362
    
    
    
    24,803
    
    
    
    26,818Deferred income taxes
    
    
    5,869
    
    
    
    4,441
    
    
    
    Other current assets
    
    
    6,777
    
    
    
    3,926
    
    
    
    3,947Total current assets
    
    
    153,723
    
    
    
    117,586
    
    
    
    122,403Long-term marketable securities
    
    
    478
    
    
    
    10,857
    
    
    
    5,778Property, plant and equipment, net
    
    
    37,843
    
    
    
    17,489
    
    
    
    26,981Other intangible assets, net
    
    
    26,410
    
    
    
    546
    
    
    
    20,998Goodwill, net
    
    
    12,029
    
    
    
    1,388
    
    
    
    11,129Other noncurrent assets
    
    
    5,161
    
    
    
    5,481
    
    
    
    4,945Total assets
    
    $
    235,644
    
    
    $
    153,347
    
    
    $
    192,234LIABILITIES AND SHAREHOLDERS EQUITYCurrent liabilities:Accounts payable
    
    $
    18,970
    
    
    $
    9,726
    
    
    $
    9,565Current portion of long-term debt
    
    
    6,171
    
    
    
    
    
    
    
    4,286Other current liabilities
    
    
    28,776
    
    
    
    20,515
    
    
    
    23,619Total current liabilities
    
    
    53,917
    
    
    
    30,241
    
    
    
    37,470Pension benefits liabilities
    
    
    5,141
    
    
    
    5,251
    
    
    
    5,003Long-term debt
    
    
    33,339
    
    
    
    
    
    
    
    25,714Other noncurrent liabilities
    
    
    8,354
    
    
    
    179
    
    
    
    3,147Total liabilities
    
    
    100,751
    
    
    
    35,671
    
    
    
    71,334Shareholders equity:Preferred stock, ($1 par value, 2,000,000 shares
authorized, no shares issued and outstanding)
    
    
    
    
    
    
    
    
    
    
    Common stock, ($1 par value, 25,000,000 shares authorized:17,698,208, 17,584,031 and 17,600,686 shares issued and
outstanding in May 2007 and 2006 and August 2006,
respectively)
    
    
    17,698
    
    
    
    17,584
    
    
    
    17,600Capital in excess of stated value
    
    
    9,074
    
    
    
    5,144
    
    
    
    5,896Retained earnings
    
    
    201,823
    
    
    
    190,013
    
    
    
    192,319Less treasury stock (at cost, 6,048,448 shares)
    
    
    (96,547
    )
    
    
    (96,547
    )
    
    
    (96,547
    )Accumulated other comprehensive income, net
    
    
    2,845
    
    
    
    1,482
    
    
    
    1,632Total shareholders equity
    
    
    134,893
    
    
    
    117,676
    
    
    
    120,900Total liabilities and shareholders equity
    
    $
    235,644
    
    
    $
    153,347
    
    
    $
    192,234
  - 3 -




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##### 



Lindsay Corporation and Subsidiaries
CONSOLIDATED STATEMENTS OF OPERATIONS
For the three-months and nine-months ended May 31, 2007 and 2006
(Unaudited)
 Three-Months Ended
    
    
    Nine-months EndedMay
    
    
    May
    
    
    May
    
    
    May(in thousands, except per share amounts)
    
    2007
    
    
    2006
    
    
    2007
    
    
    2006Operating revenues
    
    $
    93,147
    
    
    $
    75,013
    
    
    $
    208,353
    
    
    $
    169,429Cost of operating revenues
    
    
    68,725
    
    
    
    57,977
    
    
    
    157,011
    
    
    
    135,102Gross profit
    
    
    24,422
    
    
    
    17,036
    
    
    
    51,342
    
    
    
    34,327Operating expenses:Selling expense
    
    
    4,844
    
    
    
    3,530
    
    
    
    12,803
    
    
    
    9,262General and administrative expense
    
    
    6,991
    
    
    
    4,446
    
    
    
    17,885
    
    
    
    12,300Engineering and research expense
    
    
    1,073
    
    
    
    697
    
    
    
    2,818
    
    
    
    1,951Total operating expenses
    
    
    12,908
    
    
    
    8,673
    
    
    
    33,506
    
    
    
    23,513Operating income
    
    
    11,514
    
    
    
    8,363
    
    
    
    17,836
    
    
    
    10,814Other income (expense):Interest expense
    
    
    (826
    )
    
    
    (27
    )
    
    
    (1,845
    )
    
    
    (159
    )Interest income
    
    
    477
    
    
    
    538
    
    
    
    1,539
    
    
    
    1,533Other, net
    
    
    370
    
    
    
    268
    
    
    
    364
    
    
    
    250Earnings before income taxes
    
    
    11,535
    
    
    
    9,142
    
    
    
    17,894
    
    
    
    12,438Income tax provision
    
    
    4,058
    
    
    
    2,727
    
    
    
    6,122
    
    
    
    3,795Net earnings
    
    $
    7,477
    
    
    $
    6,415
    
    
    $
    11,772
    
    
    $
    8,643Basic net earnings per share
    
    $
    0.64
    
    
    $
    0.56
    
    
    $
    1.01
    
    
    $
    0.75Diluted net earnings per share
    
    $
    0.62
    
    
    $
    0.55
    
    
    $
    0.99
    
    
    $
    0.74Average shares outstanding
    
    
    11,639
    
    
    
    11,529
    
    
    
    11,615
    
    
    
    11,524Diluted effect of stock equivalents
    
    
    346
    
    
    
    219
    
    
    
    329
    
    
    
    174Average shares outstanding assuming
dilution
    
    
    11,985
    
    
    
    11,748
    
    
    
    11,944
    
    
    
    11,698Cash dividends per share
    
    $
    0.065
    
    
    $
    0.060
    
    
    $
    0.195
    
    
    $
    0.180
  - 4 -




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##### 



Lindsay Corporation and Subsidiaries
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the nine-months ended May 31, 2007 and 2006
(Unaudited)
 May
    
    
    May($ in thousands)
    
    2007
    
    
    2006CASH FLOWS FROM OPERATING ACTIVITIES:Net earnings
    
    $
    11,772
    
    
    $
    8,643Adjustments to reconcile net earnings to net cash used in (provided by)
operating activities:Depreciation and amortization
    
    
    5,356
    
    
    
    2,585Amortization of marketable securities premiums,
net
    
    
    35
    
    
    
    178(Gain) loss on sale of property, plant and
equipment
    
    
    (23
    )
    
    
    37Provision for uncollectible accounts receivable
    
    
    40
    
    
    
    66Deferred income taxes
    
    
    28
    
    
    
    (1,272
    )Stock-based compensation expense
    
    
    1,669
    
    
    
    1,298Other, net
    
    
    45
    
    
    
    (1
    )Changes in assets and liabilities:Receivables, net
    
    
    (12,033
    )
    
    
    (12,790
    )Inventories, net
    
    
    (15,494
    )
    
    
    (5,298
    )Other current assets
    
    
    (2,362
    )
    
    
    (949
    )Accounts payable
    
    
    5,090
    
    
    
    2,952Other current liabilities
    
    
    1,021
    
    
    
    6,714Current taxes payable
    
    
    928
    
    
    
    (300
    )Other noncurrent assets and liabilities
    
    
    (449
    )
    
    
    406Net cash (used in) provided by operating activities
    
    
    (4,377
    )
    
    
    2,269CASH FLOWS FROM INVESTING ACTIVITIES:Purchases of property, plant and equipment
    
    
    (6,671
    )
    
    
    (2,713
    )Proceeds from sale of property, plant and equipment
    
    
    40
    
    
    
    111Acquisition of business
    
    
    (17,373
    )
    
    
    Sale of an equity method investment
    
    
    
    
    
    
    354Purchases of marketable securities available-for-sale
    
    
    (66,800
    )
    
    
    Proceeds from maturities of marketable securities
available-for-sale
    
    
    64,905
    
    
    
    6,304Net cash (used in) provided by investing activities
    
    
    (25,899
    )
    
    
    4,056CASH FLOWS FROM FINANCING ACTIVITIES:Proceeds from issuance of common stock under stock option
plan
    
    
    1,714
    
    
    
    194Principal payments on long-term debt
    
    
    (3,686
    )
    
    
    Proceeds from issuance of long term debt
    
    
    13,196
    
    
    
    Excess tax benefits from stock-based compensation
    
    
    (205
    )
    
    
    Dividends paid
    
    
    (2,268
    )
    
    
    (2,074
    )Net cash provided by (used in) financing activities
    
    
    8,751
    
    
    
    (1,880
    )Effect of exchange rate changes on cash
    
    
    955
    
    
    
    79Net (decrease) increase in cash and cash equivalents
    
    
    (20,570
    )
    
    
    4,524Cash and cash equivalents, beginning of period
    
    
    43,344
    
    
    
    25,564Cash and cash equivalents, end of period
    
    $
    22,774
    
    
    $
    30,088
  - 5 -




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##### 



Lindsay Corporation and Subsidiaries
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
 (1) Condensed Consolidated Financial Statements
    (2) Net Earnings per Share
    (3) Acquisitions
  Credit Arrangements Goodwill and Other Intangible Assets
 - 6 -




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##### 



(4) Comprehensive Income
  For the three-months ended
    
    
    For the nine-months endedMay
    
    
    May
    
    
    May
    
    
    May$ in thousands
    
    2007
    
    
    2006
    
    
    2007
    
    
    2006Comprehensive income:Net
earnings
    
    $
    7,477
    
    
    $
    6,415
    
    
    $
    11,772
    
    
    $
    8,643Other comprehensive income:Unrealized gain on
securities, net of
tax
    
    
    16
    
    
    
    8
    
    
    
    59
    
    
    
    14Minimum pension
liability, net of
tax
    
    
    
    
    
    
    
    
    
    
    (20
    )
    
    
    Unrealized gain
(loss) on cash flow hedges,
net of tax
    
    
    174
    
    
    
    
    
    
    
    72
    
    
    
    Foreign currency
translation
    
    
    1,198
    
    
    
    (564
    )
    
    
    1,103
    
    
    
    293Total comprehensive
income
    
    $
    8,865
    
    
    $
    5,859
    
    
    $
    12,986
    
    
    $
    8,950
 (5) Income Taxes
    (6) Cash Equivalents, Marketable Securities, and Long-term Marketable Securities
   - 7 -




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##### 



Three-months ended
    
    
    Nine-months endedMay 31,
    
    
    May 31,$ in thousands
    
    2007
    
    
    2006
    
    
    2007
    
    
    2006Proceeds from
maturities
    
    $
    5,225
    
    
    $
    1,191
    
    
    $
    64,905
    
    
    $
    6,304Gross realized
gains
    
    $
    
    
    
    $
    
    
    
    $
    
    
    
    $
    Gross realized
(losses)
    
    $
    
    
    
    $
    
    
    
    $
    
    
    
    $
    
  Gross
    
    
    GrossAmortized
    
    
    unrealized
    
    
    unrealized$ in thousands
    
    cost
    
    
    gains
    
    
    (losses)
    
    
    Fair valueAs of May 31, 2007:Due within one
year
    
    $
    17,479
    
    
    $
    
    
    
    $
    (45
    )
    
    $
    17,434Due after one year through
five
years
    
    
    486
    
    
    
    
    
    
    
    (8
    )
    
    
    478$
    17,965
    
    
    $
    
    
    
    $
    (53
    )
    
    $
    17,912As of May 31, 2006:Due within one
year
    
    $
    11,974
    
    
    $
    9
    
    
    $
    (42
    )
    
    $
    11,941Due after one year through
five
years
    
    
    11,021
    
    
    
    
    
    
    
    (164
    )
    
    
    10,857$
    22,995
    
    
    $
    9
    
    
    $
    (206
    )
    
    $
    22,798As of August 31, 2006:Due within one
year$
    10,238
    
    
    $
    3
    
    
    $
    (62
    )
    
    $
    10,179Due after one year
through five
years
    
    
    5,867
    
    
    
    
    
    
    
    (89
    )
    
    
    5,778$
    16,105
    
    
    $
    3
    
    
    $
    (151
    )
    
    $
    15,957
 (7) Inventories
  May
    
    
    May
    
    
    August$ in thousands
    
    2007
    
    
    2006
    
    
    2006Inventory:First-in, first-out (FIFO)
inventory
    
    $
    28,021
    
    
    $
    19,907
    
    
    $
    16,301LIFO reserves
    
    
    (6,449
    )
    
    
    (4,417
    )
    
    
    (5,032
    )LIFO inventory
    
    
    21,572
    
    
    
    15,490
    
    
    
    11,269Weighted average
inventory
    
    
    10,708
    
    
    
    10,001
    
    
    
    8,491Other FIFO
inventory
    
    
    13,762
    
    
    
    
    
    
    
    7,694Obsolescence
reserve
    
    
    (680
    )
    
    
    (688
    )
    
    
    (636
    )Total
inventories
    
    $
    45,362
    
    
    $
    24,803
    
    
    $
    26,818
 - 8 -




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##### 



May
    
    
    May
    
    
    August2007
    
    
    2006
    
    
    2006Raw materials
    
    
    17
    %
    
    
    17
    %
    
    
    39
    %Work in process
    
    
    11
    %
    
    
    5
    %
    
    
    17
    %Finished goods and purchased parts
    
    
    72
    %
    
    
    78
    %
    
    
    44
    %
 (8) Property, Plant and Equipment
  May
    
    
    May
    
    
    August$ in thousands
    
    2007
    
    
    2006
    
    
    2006Property, plant and equipment:Land
    
    $
    3,512
    
    
    $
    336
    
    
    $
    1,222Buildings
    
    
    20,739
    
    
    
    11,489
    
    
    
    12,229Equipment
    
    
    47,423
    
    
    
    41,535
    
    
    
    43,687Other
    
    
    6,733
    
    
    
    4,772
    
    
    
    4,562Total property, plant and
equipment
    
    
    78,407
    
    
    
    58,132
    
    
    
    61,700Accumulated depreciation
    
    
    (47,568
    )
    
    
    (40,643
    )
    
    
    (41,402
    )Property, plant and equipment, net
    
    $
    30,839
    
    
    $
    17,489
    
    
    $
    20,298Rental property:Machines
    
    $
    2,482
    
    
    $
    
    
    
    $
    2,322Barriers
    
    
    5,184
    
    
    
    
    
    
    
    4,519Total rental
property
    
    
    7,666
    
    
    
    
    
    
    
    6,841Accumulated depreciation
    
    
    (662
    )
    
    
    
    
    
    
    (158
    )Total rental property, net
    
    
    7,004
    
    
    
    
    
    
    
    6,683Property, plant and equipment,
net
    
    $
    37,843
    
    
    $
    17,489
    
    
    $
    26,981
  (9) Credit Arrangements
 (a) Euro Line of Credit
  (b) BSI Term Note
  (c) Snoline Term Note
 Acquisitions
 - 9 -




---



##### 



August($ in thousands)
    
    May 2007
    
    
    May 2006
    
    
    2006Term notes payable
    
    $
    39,510
    
    
    $
    
    
    
    $
    30,000Less current portion
    
    
    (6,171
    )
    
    
    
    
    
    
    (4,286
    )Term notes payable less current portion
    
    $
    33,339
    
    
    $
    
    
    
    $
    25,714
   Due within:1 Year
    
    $
    6,1712 Years
    
    
    6,1713 Years
    
    
    6,1714 Years
    
    
    6,1715 Years
    
    
    6,171Thereafter
    
    
    8,655$
    39,510
 (10) Financial Derivatives
    - 10 -




---



##### 



(11) Commitments and Contingencies
  (12) Retirement Plan
  For the three-months ended
    
    
    For the nine-months endedMay 31,
    
    
    May 31,
    
    
    May 31,
    
    
    May 31,$ in thousands
    
    2007
    
    
    2006
    
    
    2007
    
    
    2006Net periodic benefit cost:Service
cost
    
    $
    8
    
    
    $
    5
    
    
    $
    24
    
    
    $
    15Interest
cost
    
    
    77
    
    
    
    67
    
    
    
    231
    
    
    
    201Net amortization and
deferral
    
    
    40
    
    
    
    39
    
    
    
    120
    
    
    
    117Total net periodic benefit
cost
    
    $
    125
    
    
    $
    111
    
    
    $
    375
    
    
    $
    333
 (13) Guarantees and Warranties
 Guarantees of Customer Equipment Financing
    - 11 -




---



##### 



Product Warranties
   For the three-months endedMay 31,$ in thousands
    
    2007
    
    
    2006Warranties:Product warranty accrual balance, beginning
of period
    
    $
    1,590
    
    
    $
    2,439Liabilities accrued for warranties during
the period
    
    
    629
    
    
    
    451Warranty claims paid during the
period
    
    
    (376
    )
    
    
    (566
    )Product warranty accrual balance, end of
period
    
    $
    1,843
    
    
    $
    2,324
 For the nine-months endedMay 31,$ in thousands
    
    2007
    
    
    2006Warranties:Product warranty accrual balance, beginning
of period
    
    $
    1,996
    
    
    $
    2,456Liabilities accrued for warranties during
the period
    
    
    933
    
    
    
    1,344Warranty claims paid during the
period
    
    
    (1,086
    )
    
    
    (1,476
    )Product warranty accrual balance, end of
period
    
    $
    1,843
    
    
    $
    2,324
 (14) Industry Segment Information
      - 12 -




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##### 



For the three-months ended May 31,($ in millions)
    
    2007
    
    
    2006Operating revenues:Irrigation
    
    $
    75,420
    
    
    $
    69,067Infrastructure
    
    
    17,727
    
    
    
    5,946Total operating revenues
    
    $
    93,147
    
    
    $
    75,013Operating income:Irrigation
    
    $
    16,072
    
    
    $
    12,320Infrastructure
    
    
    3,506
    
    
    
    1,186Segment operating income
    
    
    19,578
    
    
    
    13,506Unallocated general & administrative and engineering &
research expenses
    
    
    8,064
    
    
    
    5,143Interest and other income, net
    
    
    21
    
    
    
    779Earnings before income taxes
    
    $
    11,535
    
    
    $
    9,142
 For the nine-months ended May 31,($ in millions)
    
    2007
    
    
    2006Operating revenues:Irrigation
    
    $
    164,329
    
    
    $
    152,390Infrastructure
    
    
    44,024
    
    
    
    17,039Total operating revenues
    
    $
    208,353
    
    
    $
    169,429Operating income:Irrigation
    
    $
    27,738
    
    
    $
    22,068Infrastructure
    
    
    10,801
    
    
    
    2,997Segment operating income
    
    
    38,539
    
    
    
    25,065Unallocated general & administrative and engineering &
research expenses
    
    
    20,703
    
    
    
    14,251Interest and other income, net
    
    
    58
    
    
    
    1,624Earnings before income taxes
    
    $
    17,894
    
    
    $
    12,438
 (15) Share Based Compensation
 Share-Based Payment
  - 13 -




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##### 



ITEM 2  Managements Discussion and Analysis of Results of Operations and Financial Condition
 Concerning Forward-Looking Statements
   Accounting Policies
   Overview
    - 14 -




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##### 



Results of Operations
 For the Three-Months ended May 31, 2007
  For the three-months endedPercentMay
    
    May
    
    Increase($ in thousands)
    
    2007
    
    2006
    
    (decrease)Consolidated
Operating revenues
    
    $
    93,147
    
    
    $
    75,013
    
    
    
    24.2
    %Cost of operating
revenues
    
    $
    68,725
    
    
    $
    57,977
    
    
    
    18.5Gross profit
    
    $
    24,422
    
    
    $
    17,036
    
    
    
    43.4Gross margin
    
    
    26.2
    %
    
    
    22.7
    %Operating
expenses
    
    $
    12,908
    
    
    $
    8,673
    
    
    
    48.8Operating
income
    
    $
    11,514
    
    
    $
    8,363
    
    
    
    37.7Operating
margin
    
    
    12.4
    %
    
    
    11.1
    %Interest expense
    
    $
    (826
    )
    
    $
    (27
    )
    
    
    2959.3Interest
income
    
    $
    477
    
    
    $
    538
    
    
    
    (11.3
    )Other, net
    
    $
    370
    
    
    $
    268
    
    
    
    38.1Income tax
provision
    
    $
    4,058
    
    
    $
    2,727
    
    
    
    48.8Effective income tax
rate
    
    
    35.2
    %
    
    
    29.8
    %Net earnings
    
    $
    7,477
    
    
    $
    6,415
    
    
    
    16.6Irrigation Equipment Segment
Operating revenues
    
    $
    75,420
    
    
    $
    69,067
    
    
    
    9.2Operating income
(1)
    
    $
    16,072
    
    
    $
    12,320
    
    
    
    30.5Operating margin
    
    
    21.3
    %
    
    
    17.8
    %Infrastructure Products Segment
Operating revenues
    
    $
    17,727
    
    
    $
    5,946
    
    
    
    198.1Operating income (1)
    
    $
    3,506
    
    
    $
    1,186
    
    
    
    195.6Operating margin
    
    
    19.8
    %
    
    
    19.9
    %
 
 (1)
    
    Excludes unallocated general & administrative and engineering & research expenses Revenues
   - 15 -




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##### 



Gross Margin
  Operating Expenses
  Interest, Other Income, and Taxes
      Net Earnings
  - 16 -




---



##### 



For the Nine-months ended May 31, 2007
  For the nine-months endedPercentMay
    
    May
    
    Increase($ in thousands)
    
    2007
    
    2006
    
    (decrease)Consolidated
Operating revenues
    
    $
    208,353
    
    
    $
    169,429
    
    
    
    23.0
    %Cost of operating
revenues
    
    $
    157,011
    
    
    $
    135,102
    
    
    
    16.2Gross profit
    
    $
    51,342
    
    
    $
    34,327
    
    
    
    49.6Gross margin
    
    
    24.6
    %
    
    
    20.3
    %Operating
expenses
    
    $
    33,506
    
    
    $
    23,513
    
    
    
    42.5Operating
income
    
    $
    17,836
    
    
    $
    10,814
    
    
    
    64.9Operating
margin
    
    
    8.6
    %
    
    
    6.4
    %Interest expense
    
    $
    (1,845
    )
    
    $
    (159
    )
    
    
    1060.4Interest
income
    
    $
    1,539
    
    
    $
    1,533
    
    
    
    0.4Other, net
    
    $
    364
    
    
    $
    250
    
    
    
    45.6Income tax
provision
    
    $
    6,122
    
    
    $
    3,795
    
    
    
    61.3Effective income tax
rate
    
    
    34.2
    %
    
    
    30.5
    %Net earnings
    
    $
    11,772
    
    
    $
    8,643
    
    
    
    36.2Irrigation Equipment Segment
Operating revenues
    
    $
    164,329
    
    
    $
    152,390
    
    
    
    7.8Operating income
(1)
    
    $
    27,738
    
    
    $
    22,068
    
    
    
    25.7Operating margin
    
    
    16.9
    %
    
    
    14.5
    %Infrastructure Products Segment
Operating revenues
    
    $
    44,024
    
    
    $
    17,039
    
    
    
    158.4Operating income (1)
    
    $
    10,801
    
    
    $
    2,997
    
    
    
    260.4Operating margin
    
    
    24.5
    %
    
    
    17.6
    %
 
 (1)
    
    Excludes unallocated general & administrative and engineering & research expenses Revenues
     Gross Margin
  - 17 -




---



##### 



Operating Expenses
  Interest, Other Income, and Taxes
      Net Earnings
  Liquidity and Capital Resources
       - 18 -




---



##### 



Off-Balance Sheet Arrangements
  Contractual Obligations and Commercial Commitments
 Acquisitions
 Market Conditions and Fiscal 2007 Outlook
  Recently Issued Accounting Pronouncements
    - 19 -




---



##### 



ITEM 3  Quantitative and Qualitative Disclosures About Market Risk
      - 20 -




---



##### 



ITEM 4  Controls and Procedures
   Part II  OTHER INFORMATION
 ITEM 1  Legal Proceedings
   ITEM 1A  Risk Factors
  ITEM 2  Unregistered Sales of Equity Securities and Use of Proceeds
  ITEM 3  Defaults Upon Senior Securities
  ITEM 4  Submission of Matters to a Vote of Security Holders
  - 21 -




---



##### 



ITEM 5  Other Information
  ITEM 6  Exhibits
 3
    (a)
    
    Restated Certificate of Incorporation of the Company, incorporated by reference
to Exhibit 3.1 to the Companys Current Report on Form 8-K filed on December 14, 2006.3
    (b)
    
    Restated By-Laws of the Company, incorporated by reference to Exhibit 3.2 of
the Companys Current Report on Form 8-K filed on December 14, 2006.4
    (a)
    
    Specimen Form of Common Stock Certificate, incorporated by reference to Exhibit
4(a) of the Companys Quarterly Report on Form 10-Q filed on January 8, 2007.31
    (a)
    
    Certification of Chief Executive Officer pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002 18 U.S.C. Section 1350.*31
    (b)
    
    Certification of Chief Financial Officer pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002 18 U.S.C. Section 1350.*32
    (a)
    
    Certification of Chief Executive Officer and Chief Financial Officer pursuant to Section 906
of the Sarbanes-Oxley Act of 2002 18 U.S.C. Section 1350.*
 
 *
    
    - filed herein - 22 -




---



##### 



SIGNATURE
  LINDSAY CORPORATIONBy:
    
    /s/ david b. downingName:
    
    David B. DowningTitle:
    
    Senior Vice President, Chief Financial Officer(Principal Financial Officer)
 - 23 -