##### Table of Contents



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, 2011
 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
  Delaware
    
    47-0554096(State or other jurisdiction of
    
    (I.R.S. Employerincorporation or organization)
    
    Identification No.)2222 N. 111th Street, Omaha, Nebraska
    
    68164(Address of principal executive offices)
    
    (Zip Code)
 402-829-6800  (Registrants telephone number, including area code)
 þ o
 o o
  Large accelerated filer o
    
    Accelerated filer þ
    
    Non-accelerated filer o
    
    Smaller reporting company o(Do not check if smaller reporting company)
 o þ
 ,




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##### 



Lindsay Corporation
INDEX FORM 10-Q
 Page No.Part I  FINANCIAL INFORMATIONITEM 1Financial StatementsCondensed Consolidated Statements of Operations for the three months
and nine months ended May 31, 2011 and 2010
    
    
    3Condensed Consolidated Balance Sheets, May 31, 2011 and 2010 and
August 31, 2010
    
    
    4Condensed Consolidated Statements of Cash Flows for the nine months
ended May 31, 2011 and 2010
    
    
    5Notes to Condensed Consolidated Financial Statements
    
    
    6-17ITEM 2  Managements Discussion and Analysis of Financial Condition
and Results of Operations
    
    
    18-25ITEM 3  Quantitative and Qualitative Disclosures about Market Risk
    
    
    26ITEM 4  Controls and Procedures
    
    
    26Part II  OTHER INFORMATIONITEM 1 Legal Proceedings
    
    
    27ITEM 1A Risk Factors
    
    
    27ITEM 2 Unregistered Sales of Equity Securities and Use of Proceeds
    
    
    27ITEM 6 Exhibits
    
    
    28SIGNATURE
    
    
    29Exhibit 31.1Exhibit 31.2Exhibit 32.1
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Part I  FINANCIAL INFORMATION
 
 ITEM 1 Financial Statements
 Lindsay Corporation and Subsidiaries
 
 CONSOLIDATED STATEMENTS OF OPERATIONS
 (unaudited)
 Three months ended
    
    
    Nine months endedMay 31,
    
    
    May 31,(in thousands, except per share amounts)
    
    2011
    
    
    2010
    
    
    2011
    
    
    2010Operating revenues
    
    $
    153,446
    
    
    $
    100,073
    
    
    $
    362,780
    
    
    $
    271,239Cost of operating revenues
    
    
    111,947
    
    
    
    74,818
    
    
    
    263,049
    
    
    
    198,051Gross profit
    
    
    41,499
    
    
    
    25,255
    
    
    
    99,731
    
    
    
    73,188Operating expenses:Selling expense
    
    
    6,929
    
    
    
    5,909
    
    
    
    20,858
    
    
    
    16,683General and administrative expense
    
    
    8,640
    
    
    
    7,348
    
    
    
    23,936
    
    
    
    22,963Engineering and research expense
    
    
    2,789
    
    
    
    1,949
    
    
    
    8,125
    
    
    
    5,418Total operating expenses
    
    
    18,358
    
    
    
    15,206
    
    
    
    52,919
    
    
    
    45,064Operating income
    
    
    23,141
    
    
    
    10,049
    
    
    
    46,812
    
    
    
    28,124Other income (expense):Interest expense
    
    
    (192
    )
    
    
    (474
    )
    
    
    (591
    )
    
    
    (1,291
    )Interest income
    
    
    71
    
    
    
    49
    
    
    
    150
    
    
    
    215Other income (expense), net
    
    
    139
    
    
    
    12
    
    
    
    366
    
    
    
    72Earnings before income taxes
    
    
    23,159
    
    
    
    9,636
    
    
    
    46,737
    
    
    
    27,120Income tax provision
    
    
    7,870
    
    
    
    3,388
    
    
    
    15,837
    
    
    
    8,217Net earnings
    
    $
    15,289
    
    
    $
    6,248
    
    
    $
    30,900
    
    
    $
    18,903Basic net earnings per share
    
    $
    1.22
    
    
    $
    0.50
    
    
    $
    2.46
    
    
    $
    1.52Diluted net earnings per share
    
    $
    1.20
    
    
    $
    0.50
    
    
    $
    2.44
    
    
    $
    1.50Weighted average shares outstanding
    
    
    12,564
    
    
    
    12,486
    
    
    
    12,538
    
    
    
    12,439Diluted effect of stock equivalents
    
    
    139
    
    
    
    124
    
    
    
    139
    
    
    
    138Weighted average shares outstanding assuming dilution
    
    
    12,703
    
    
    
    12,610
    
    
    
    12,677
    
    
    
    12,577Cash dividends per share
    
    $
    0.085
    
    
    $
    0.080
    
    
    $
    0.255
    
    
    $
    0.240
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##### Table of Contents



Lindsay Corporation and Subsidiaries
 
 CONSOLIDATED BALANCE SHEETS
 (Unaudited)
    
    
    (Unaudited)May 31,
    
    
    May 31,
    
    
    August 31,($ in thousands, except par values)
    
    2011
    
    
    2010
    
    
    2010ASSETSCurrent Assets:Cash and cash equivalents
    
    $
    100,568
    
    
    $
    83,509
    
    
    $
    83,418Receivables, net of allowance of $2,464, $2,246 and $2,244, respectively
    
    
    87,588
    
    
    
    56,804
    
    
    
    63,629Inventories, net
    
    
    52,833
    
    
    
    47,070
    
    
    
    45,296Deferred income taxes
    
    
    6,798
    
    
    
    5,974
    
    
    
    6,722Other current assets
    
    
    12,177
    
    
    
    9,071
    
    
    
    8,946Total current assets
    
    
    259,964
    
    
    
    202,428
    
    
    
    208,011Property, plant and equipment, net
    
    
    57,279
    
    
    
    56,379
    
    
    
    57,646Other intangible assets, net
    
    
    27,430
    
    
    
    26,728
    
    
    
    27,715Goodwill, net
    
    
    28,815
    
    
    
    23,292
    
    
    
    27,395Other noncurrent assets
    
    
    4,318
    
    
    
    5,652
    
    
    
    4,714Total assets
    
    $
    377,806
    
    
    $
    314,479
    
    
    $
    325,481LIABILITIES AND SHAREHOLDERS EQUITYCurrent Liabilities:Accounts payable
    
    $
    42,966
    
    
    $
    29,547
    
    
    $
    26,501Current portion of long-term debt
    
    
    4,286
    
    
    
    4,286
    
    
    
    4,286Other current liabilities
    
    
    40,445
    
    
    
    29,981
    
    
    
    36,295Total current liabilities
    
    
    87,697
    
    
    
    63,814
    
    
    
    67,082Pension benefits liabilities
    
    
    6,233
    
    
    
    6,192
    
    
    
    6,400Long-term debt
    
    
    5,357
    
    
    
    9,643
    
    
    
    8,571Deferred income taxes
    
    
    10,947
    
    
    
    9,431
    
    
    
    10,816Other noncurrent liabilities
    
    
    1,790
    
    
    
    2,053
    
    
    
    3,005Total liabilities
    
    
    112,024
    
    
    
    91,133
    
    
    
    95,874Shareholders 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,
18,268,549, 18,184,620 and 18,184,820 shares issued at May 31, 2011
and 2010 and August 31, 2010, respectively)
    
    
    18,269
    
    
    
    18,185
    
    
    
    18,185Capital in excess of stated value
    
    
    34,162
    
    
    
    30,515
    
    
    
    30,756Retained earnings
    
    
    297,971
    
    
    
    265,373
    
    
    
    270,272Less treasury stock (at cost, 5,698,448 shares at
May 31, 2011 and 2010 and August 31, 2010, respectively)
    
    
    (90,961
    )
    
    
    (90,961
    )
    
    
    (90,961
    )Accumulated other comprehensive income, net
    
    
    6,341
    
    
    
    234
    
    
    
    1,355Total shareholders equity
    
    
    265,782
    
    
    
    223,346
    
    
    
    229,607Total liabilities and shareholders equity
    
    $
    377,806
    
    
    $
    314,479
    
    
    $
    325,481
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Lindsay Corporation and Subsidiaries
 
 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
 (Unaudited)
 Nine Months EndedMay 31,($ in thousands)
    
    2011
    
    
    2010CASH FLOWS FROM OPERATING ACTIVITIES:Net earnings
    
    $
    30,900
    
    
    $
    18,903Adjustments to reconcile net earnings to net cash provided by
operating activities:Depreciation and amortization
    
    
    8,820
    
    
    
    8,027Provision for uncollectible accounts receivable
    
    
    248
    
    
    
    568Deferred income taxes
    
    
    (2,001
    )
    
    
    (990
    )Stock-based compensation expense
    
    
    2,384
    
    
    
    1,755Gain on disposal of fixed assets
    
    
    (43
    )
    
    
    (537
    )Other, net
    
    
    (307
    )
    
    
    121Changes in assets and liabilities:Receivables
    
    
    (21,326
    )
    
    
    (16,095
    )Inventories
    
    
    (5,330
    )
    
    
    (2,280
    )Other current assets
    
    
    (2,929
    )
    
    
    (3,127
    )Accounts payable
    
    
    15,441
    
    
    
    10,439Other current liabilities
    
    
    2,642
    
    
    
    (2,768
    )Current taxes payable
    
    
    853
    
    
    
    2,285Other noncurrent assets and liabilities
    
    
    (1,077
    )
    
    
    (1,513
    )Net cash provided by operating activities
    
    
    28,275
    
    
    
    14,788CASH FLOWS FROM INVESTING ACTIVITIES:Purchases of property, plant and equipment
    
    
    (5,315
    )
    
    
    (3,962
    )Proceeds from sale of property, plant and equipment
    
    
    57
    
    
    
    577Acquisition of business, net of cash acquired
    
    
    (1,279
    )
    
    
    (132
    )Payment for settlement of net investment hedge
    
    
    (1,261
    )
    
    
    565Net cash used in investing activities
    
    
    (7,798
    )
    
    
    (2,952
    )CASH FLOWS FROM FINANCING ACTIVITIES:Issuance of common stock under stock compensation plans
    
    
    243
    
    
    
    544Principal payments on long-term debt
    
    
    (3,214
    )
    
    
    (11,697
    )Net borrowing on revolving line of credit
    
    
    1,212
    
    
    
    345Excess tax benefits from stock-based compensation
    
    
    1,068
    
    
    
    368Dividends paid
    
    
    (3,201
    )
    
    
    (2,991
    )Net cash used in financing activities
    
    
    (3,892
    )
    
    
    (13,431
    )Effect of exchange rate changes on cash
    
    
    565
    
    
    
    (825
    )Net increase (decrease) in cash and cash equivalents
    
    
    17,150
    
    
    
    (2,420
    )Cash and cash equivalents, beginning of period
    
    
    83,418
    
    
    
    85,929Cash and cash equivalents, end of period
    
    $
    100,568
    
    
    $
    83,509
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Lindsay Corporation and Subsidiaries
 
 NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
  (1) Condensed Consolidated Financial Statements
    Business Combinations
 (2) Net Earnings per Share
     - 6 -




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(3) Comprehensive Income
  Three months ended
    
    
    Nine months endedMay 31,
    
    
    May 31,$ in thousands
    
    2011
    
    
    2010
    
    
    2011
    
    
    2010Comprehensive income:Net earnings
    
    $
    15,289
    
    
    $
    6,248
    
    
    $
    30,900
    
    
    $
    18,903Other comprehensive income(1):Defined benefit pension plan, net of tax
    
    
    26
    
    
    
    27
    
    
    
    76
    
    
    
    83Unrealized gain on cash flow hedges, net of tax
    
    
    63
    
    
    
    603
    
    
    
    244
    
    
    
    1,159Foreign currency translation, net of hedging activities
    
    
    1,853
    
    
    
    (3,131
    )
    
    
    4,666
    
    
    
    (4,003
    )Total comprehensive income
    
    $
    17,231
    
    
    $
    3,747
    
    
    $
    35,886
    
    
    $
    16,142
 (1)
    
    Net of tax expense of $215 and $394 for the three months and nine months ended
May 31, 2011, respectively. Net of tax expense of $523 and $1,016 for the three months and nine
months ended May 31, 2010, respectively. (4) Income Taxes
      (5) Inventories
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May 31,
    
    
    May 31,
    
    
    August 31,$ in thousands
    
    2011
    
    
    2010
    
    
    2010Inventory:FIFO inventory
    
    $
    25,720
    
    
    $
    21,141
    
    
    $
    19,218LIFO reserves
    
    
    (6,874
    )
    
    
    (6,927
    )
    
    
    (6,263
    )LIFO inventory
    
    
    18,846
    
    
    
    14,214
    
    
    
    12,955Weighted average inventory
    
    
    21,743
    
    
    
    17,475
    
    
    
    15,854Other FIFO inventory
    
    
    14,434
    
    
    
    17,747
    
    
    
    18,532Obsolescence reserve
    
    
    (2,190
    )
    
    
    (2,366
    )
    
    
    (2,045
    )Total inventories
    
    $
    52,833
    
    
    $
    47,070
    
    
    $
    45,296
  May 31,
    
    
    May 31,
    
    
    August 31,2011
    
    
    2010
    
    
    2010Raw materials
    
    
    14
    %
    
    
    11
    %
    
    
    12
    %Work in process
    
    
    9
    %
    
    
    8
    %
    
    
    8
    %Finished goods and purchased parts
    
    
    77
    %
    
    
    81
    %
    
    
    80
    %
 (6) Property, Plant and Equipment
  May 31
    
    
    May 31
    
    
    August 31,$ in thousands
    
    2011
    
    
    2010
    
    
    2010Operating property, plant and equipment:Land
    
    $
    2,858
    
    
    $
    2,407
    
    
    $
    2,757Buildings
    
    
    29,292
    
    
    
    28,126
    
    
    
    28,294Equipment
    
    
    69,346
    
    
    
    63,228
    
    
    
    66,754Other
    
    
    6,018
    
    
    
    5,072
    
    
    
    3,830Total operating property, plant and equipment
    
    
    107,514
    
    
    
    98,833
    
    
    
    101,635Accumulated depreciation
    
    
    (64,374
    )
    
    
    (57,122
    )
    
    
    (58,429
    )Total operating property, plant and equipment, net
    
    $
    43,140
    
    
    $
    41,711
    
    
    $
    43,206Property held for lease:Machines
    
    
    3,905
    
    
    
    4,169
    
    
    
    4,360Barriers
    
    
    17,997
    
    
    
    16,106
    
    
    
    16,215Total property held for lease
    
    $
    21,902
    
    
    $
    20,275
    
    
    $
    20,575Accumulated depreciation
    
    
    (7,763
    )
    
    
    (5,607
    )
    
    
    (6,135
    )Total property held for lease, net
    
    $
    14,139
    
    
    $
    14,668
    
    
    $
    14,440Property, plant and equipment, net
    
    $
    57,279
    
    
    $
    56,379
    
    
    $
    57,646
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(7) Credit Arrangements
 Euro Line of Credit
  BSI Term Note
 Financial Derivatives
 Snoline Term Note
  Revolving Credit Agreement
     May 31
    
    
    May 31
    
    
    August 31,$ in thousands
    
    2011
    
    
    2010
    
    
    2010BSI Term Note
    
    $
    9,643
    
    
    $
    13,929
    
    
    $
    12,857Less current portion
    
    
    (4,286
    )
    
    
    (4,286
    )
    
    
    (4,286
    )Total long-term debt
    
    $
    5,357
    
    
    $
    9,643
    
    
    $
    8,571
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##### Table of Contents



Due within:1 year
    
    $
    4,2862 years
    
    
    4,2863 years
    
    
    1,071$
    9,643
 (8) Financial Derivatives
    - 10 -




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Fair Values of Derivative InstrumentsAsset (Liability) DerivativesMay 31
    
    
    May 31
    
    
    August 31,$ in thousands
    
    Balance Sheet Location
    
    2011
    
    
    2010
    
    
    2010Derivatives designated as hedging
instruments:Foreign currency forward contracts
    
    Other current assets
    
    $
    
    
    
    $
    117
    
    
    $
    Foreign currency forward contracts
    
    Other current liabilities
    
    
    (143
    )
    
    
    
    
    
    
    (66
    )Interest rate swap
    
    Other current liabilities
    
    
    (310
    )
    
    
    (477
    )
    
    
    (437
    )Interest rate swap
    
    Other noncurrent liabilities
    
    
    (207
    )
    
    
    (525
    )
    
    
    (484
    )Total derivatives designated as hedging
instruments
    
    
    
    $
    (660
    )
    
    $
    (885
    )
    
    $
    (987
    )Derivatives not designated as hedging
instruments:Foreign currency option contract
    
    Other current assets
    
    $
    
    
    
    $
    
    
    
    $
    16Total derivatives not designated as
hedging instruments
    
    
    
    $
    
    
    
    $
    
    
    
    $
    16
  Cash Flow Hedging Relationships
 Credit Arrangements)
 Credit Arrangements)
   - 11 -




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Amount of Gain/(Loss) Recognized in OCI on DerivativesThree months ended
    
    
    Nine months endedMay 31,
    
    
    May 31,$ in thousands
    
    2011
    
    
    2010
    
    
    2011
    
    
    2010Interest rate swap
    
    $
    64
    
    
    $
    78
    
    
    $
    244
    
    
    $
    237Cross currency swap
    
    
    
    
    
    
    525
    
    
    
    
    
    
    
    922Foreign currency
forward contracts
    
    
    (1
    )
    
    
    
    
    
    
    
    
    
    
    Total1
    
    $
    63
    
    
    $
    603
    
    
    $
    244
    
    
    $
    1,159
 (1)
    
    Net of tax expense of $39 and $148 for the three and nine months ended May 31,
2011, respectively. Net of tax expense of $247 and $493 for the three and nine months ended May 31,
2010, respectively. Amount of (Loss) Reclassified from AOCI into IncomeLocation of Loss
    
    Three months ended
    
    
    Nine months endedReclassified from
    
    May 31,
    
    
    May 31,$ in thousands
    
    AOCI into Income
    
    2011
    
    
    2010
    
    
    2011
    
    
    2010Interest rate swap
    
    Interest expense
    
    $
    (134
    )
    
    $
    (204
    )
    
    $
    (438
    )
    
    $
    (660
    )Cross currency swap
    
    Interest expense
    
    
    
    
    
    
    (604
    )
    
    
    
    
    
    
    (884
    )Foreign currency
forward contracts
    
    Operating revenues
    
    
    (15
    )
    
    
    
    
    
    
    (72
    )
    
    
    $
    (149
    )
    
    $
    (808
    )
    
    $
    (510
    )
    
    $
    (1,544
    )Gain/(Loss) Recognized in Income on DerivativesLocation of
    
    (Ineffectiveness)Gain/(Loss)
    
    Three months ended
    
    
    Nine months endedRecognized in Income
    
    May 31,
    
    
    May 31,$ in thousands
    
    (Ineffectiveness)
    
    2011
    
    
    2010
    
    
    2011
    
    
    2010Interest rate swap
    
    Other income (expense)
    
    $
    4
    
    
    $
    1
    
    
    $
    11
    
    
    $
    (49
    )
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Net Investment Hedging Relationships
  Amount of Gain/(Loss) Recognized in OCI on DerivativesThree months ended
    
    
    Nine months endedMay 31,
    
    
    May 31,$ in thousands
    
    2011
    
    
    2010
    
    
    2011
    
    
    2010Foreign currency forward contracts1
    
    $
    (173
    )
    
    $
    73
    
    
    $
    (823
    )
    
    $
    424
 (1)
    
    Net of tax benefit of $106 and $503 for the three and nine months ended May 31, 2011, respectively. Net of tax expense of $44 and $258 for the three and nine months ended May 31, 2010, respectively.    Derivatives Not Designated as Hedging Instruments
  Amount Gain/(Loss) Recognized in Income on DerivativesLocation of
    
    
    Three months ended
    
    
    Nine months endedGain/(Loss)
    
    
    May 31,
    
    
    May 31,$ in thousands
    
    Recognized in Income
    
    
    2011
    
    
    2010
    
    
    2011
    
    
    2010Foreign currency
forward contracts
    
    Operating revenues
    
    $
    
    
    
    $
    
    
    
    $
    (16
    )
    
    $
    
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##### Table of Contents



(9) Fair Value Measurements
 Fair Value Measurements and Disclosures
  
    
    Level 1  inputs to the valuation techniques are quoted prices in active markets for identical assets or liabilities
    
    Level 2  inputs to the valuation techniques are other than quoted prices but are observable for the assets or liabilities,
either directly or indirectly
    
    Level 3  inputs to the valuation techniques are unobservable for the assets or liabilities
  $ in thousands
    
    Level 1
    
    
    Level 2
    
    
    Level 3
    
    
    TotalCash and cash equivalents
    
    $
    100,568
    
    
    $
    
    
    
    $
    
    
    
    $
    100,568Derivative assets
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    Derivative liabilities
    
    
    
    
    
    
    (660
    )
    
    
    
    
    
    
    (660
    )
  $ in thousands
    
    Level 1
    
    
    Level 2
    
    
    Level 3
    
    
    TotalCash and cash equivalents
    
    $
    83,509
    
    
    $
    
    
    
    $
    
    
    
    $
    83,509Derivative assets
    
    
    
    
    
    
    117
    
    
    
    
    
    
    
    117Derivative liabilities
    
    
    
    
    
    
    (1,002
    )
    
    
    
    
    
    
    (1,002
    )
  $ in thousands
    
    Level 1
    
    
    Level 2
    
    
    Level 3
    
    
    TotalCash and cash equivalents
    
    $
    83,418
    
    
    $
    
    
    
    $
    
    
    
    $
    83,418Derivative assets
    
    
    
    
    
    
    16
    
    
    
    
    
    
    
    16Derivative liabilities
    
    
    
    
    
    
    (987
    )
    
    
    
    
    
    
    (987
    )
    - 14 -




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##### Table of Contents



(10) Commitments and Contingencies
  (11) Retirement Plan
  Three months ended
    
    
    Nine months endedMay 31,
    
    
    May 31$ in thousands
    
    2011
    
    
    2010
    
    
    2011
    
    
    2010Net periodic benefit cost:Interest cost
    
    $
    84
    
    
    $
    88
    
    
    $
    251
    
    
    $
    263Net amortization and deferral
    
    
    41
    
    
    
    44
    
    
    
    123
    
    
    
    134Total net periodic benefit cost
    
    $
    125
    
    
    $
    132
    
    
    $
    374
    
    
    $
    397
  - 15 -




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##### Table of Contents



(12) Warranties
  Three months endedMay 31$ in thousands
    
    2011
    
    
    2010Warranties:Product warranty accrual balance, beginning of period
    
    $
    1,916
    
    
    $
    1,405Liabilities accrued for warranties during the period
    
    
    1,380
    
    
    
    701Warranty claims paid during the period
    
    
    (717
    )
    
    
    (818
    )Product warranty accrual balance, end of period
    
    $
    2,579
    
    
    $
    1,288
 Nine months endedMay 31$ in thousands
    
    2011
    
    
    2010Warranties:Product warranty accrual balance, beginning of period
    
    $
    1,862
    
    
    $
    1,736Liabilities accrued for warranties during the period
    
    
    3,065
    
    
    
    2,122Warranty claims paid during the period
    
    
    (2,348
    )
    
    
    (2,570
    )Product warranty accrual balance, end of period
    
    $
    2,579
    
    
    $
    1,288
 (13) Industry Segment Information
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##### Table of Contents



Three months ended
    
    
    Nine months endedMay 31
    
    
    May 31$ in thousands
    
    2011
    
    
    2010
    
    
    2011
    
    
    2010Operating revenues:Irrigation
    
    $
    126,903
    
    
    $
    80,341
    
    
    $
    278,570
    
    
    $
    201,502Infrastructure
    
    
    26,543
    
    
    
    19,732
    
    
    
    84,210
    
    
    
    69,737Total operating revenues
    
    $
    153,446
    
    
    $
    100,073
    
    
    $
    362,780
    
    
    $
    271,239Operating income:Irrigation
    
    $
    25,584
    
    
    $
    14,386
    
    
    $
    47,490
    
    
    $
    33,158Infrastructure
    
    
    1,081
    
    
    
    (937
    )
    
    
    9,367
    
    
    
    5,594Segment operating income
    
    
    26,665
    
    
    
    13,449
    
    
    
    56,857
    
    
    
    38,752Unallocated general and administrative expenses
    
    
    (3,524
    )
    
    
    (3,400
    )
    
    
    (10,045
    )
    
    
    (10,628
    )Interest and other income, net
    
    
    18
    
    
    
    (413
    )
    
    
    (75
    )
    
    
    (1,004
    )Earnings before income taxes
    
    $
    23,159
    
    
    $
    9,636
    
    
    $
    46,737
    
    
    $
    27,120Total Capital Expenditures:Irrigation
    
    $
    751
    
    
    $
    1,562
    
    
    $
    2,789
    
    
    $
    2,104Infrastructure
    
    
    162
    
    
    
    415
    
    
    
    2,526
    
    
    
    1,858$
    913
    
    
    $
    1,977
    
    
    $
    5,315
    
    
    $
    3,962Total Depreciation and Amortization:Irrigation
    
    $
    1,329
    
    
    $
    1,665
    
    
    $
    4,069
    
    
    $
    3,886Infrastructure
    
    
    1,611
    
    
    
    1,012
    
    
    
    4,751
    
    
    
    4,141$
    2,940
    
    
    $
    2,677
    
    
    $
    8,820
    
    
    $
    8,027
 May 31
    
    
    May 31
    
    
    August 31,$ in thousands
    
    2011
    
    
    2010
    
    
    2010Total Assets:Irrigation
    
    $
    268,283
    
    
    $
    210,471
    
    
    $
    206,885Infrastructure
    
    
    109,523
    
    
    
    104,008
    
    
    
    118,596$
    377,806
    
    
    $
    314,479
    
    
    $
    325,481
 (14) Share-Based Compensation
   - 17 -




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##### Table of Contents



ITEM 2  
    
    Managements Discussion and Analysis of Financial Condition and Results of Operations
 Concerning Forward-Looking Statements
   Accounting Policies
   Overview
   - 18 -




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Results of Operations
 For the Three Months ended May 31, 2011 compared to the Three Months ended May 31, 2010
  Three months ended
    
    
    PercentMay 31,
    
    
    Increase$ in thousands
    
    2011
    
    
    2010
    
    
    (Decrease)ConsolidatedOperating revenues
    
    $
    153,446
    
    
    $
    100,073
    
    
    
    53.3
    %Cost of operating revenues
    
    $
    111,947
    
    
    $
    74,818
    
    
    
    49.6
    %Gross profit
    
    $
    41,499
    
    
    $
    25,255
    
    
    
    64.3
    %Gross margin
    
    
    27.0
    %
    
    
    25.2
    %Operating expenses (1)
    
    $
    18,358
    
    
    $
    15,206
    
    
    
    20.7
    %Operating income
    
    $
    23,141
    
    
    $
    10,049
    
    
    
    130.3
    %Operating margin
    
    
    15.1
    %
    
    
    10.0
    %Interest expense
    
    $
    (192
    )
    
    $
    (474
    )
    
    
    (59.5
    )%Interest income
    
    $
    71
    
    
    $
    49
    
    
    
    44.9
    %Other income (expense), net
    
    $
    139
    
    
    $
    12
    
    
    
    1058.3
    %Income tax provision
    
    $
    7,870
    
    
    $
    3,388
    
    
    
    132.3
    %Effective income tax rate
    
    
    34.0
    %
    
    
    35.2
    %Net earnings
    
    $
    15,289
    
    
    $
    6,248
    
    
    
    144.7
    %Irrigation Equipment SegmentSegment operating revenues
    
    $
    126,903
    
    
    $
    80,341
    
    
    
    58.0
    %Segment operating income (2)
    
    $
    25,584
    
    
    $
    14,386
    
    
    
    77.8
    %Segment operating margin (2)
    
    
    20.2
    %
    
    
    17.9
    %Infrastructure Products SegmentSegment operating revenues
    
    $
    26,543
    
    
    $
    19,732
    
    
    
    34.5
    %Segment
operating income (loss) (2)
    
    $
    1,081
    
    
    $
    (937
    )
    
    
    215.4
    %Segment operating margin (2)
    
    
    4.1
    %
    
    
    (4.7
    )%
 (1)
    
    Includes $3.5 million and $3.4 million of unallocated general and administrative
expenses for the three months ended May 31, 2011 and 2010, respectively.(2)
    
    Excludes unallocated general & administrative expenses. Revenues
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Gross Margin
  Operating Expenses
  Interest, Other Income (Expense), net
   Income Taxes
    Net Earnings
   - 21 -




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##### Table of Contents



For the Nine Months ended May 31, 2011 compared to the Nine Months ended May 31, 2010
 Nine months ended
    
    
    PercentMay 31,
    
    
    Increase$ in thousands
    
    2011
    
    
    2010
    
    
    (Decrease)ConsolidatedOperating revenues
    
    $
    362,780
    
    
    $
    271,239
    
    
    
    33.7
    %Cost of operating revenues
    
    $
    263,049
    
    
    $
    198,051
    
    
    
    32.8
    %Gross profit
    
    $
    99,731
    
    
    $
    73,188
    
    
    
    36.3
    %Gross margin
    
    
    27.5
    %
    
    
    27.0
    %Operating expenses (1)
    
    $
    52,919
    
    
    $
    45,064
    
    
    
    17.4
    %Operating income
    
    $
    46,812
    
    
    $
    28,124
    
    
    
    66.4
    %Operating margin
    
    
    12.9
    %
    
    
    10.4
    %Interest expense
    
    $
    (591
    )
    
    $
    (1,291
    )
    
    
    (54.2
    )%Interest income
    
    $
    150
    
    
    $
    215
    
    
    
    (30.2
    )%Other income (expense), net
    
    $
    366
    
    
    $
    72
    
    
    
    408.3
    %Income tax provision
    
    $
    15,837
    
    
    $
    8,217
    
    
    
    92.7
    %Effective income tax rate
    
    
    33.9
    %
    
    
    30.3
    %Net earnings
    
    $
    30,900
    
    
    $
    18,903
    
    
    
    63.5
    %Irrigation Equipment SegmentSegment operating revenues
    
    $
    278,570
    
    
    $
    201,502
    
    
    
    38.2
    %Segment operating income
(2)
    
    $
    47,490
    
    
    $
    33,158
    
    
    
    43.2
    %Segment operating margin
(2)
    
    
    17.0
    %
    
    
    16.5
    %Infrastructure Products
SegmentSegment operating revenues
    
    $
    84,210
    
    
    $
    69,737
    
    
    
    20.8
    %Segment operating income (2)
    
    $
    9,367
    
    
    $
    5,594
    
    
    
    67.4
    %Segment operating margin (2)
    
    
    11.1
    %
    
    
    8.0
    %
 (1)
    
    Includes $10.0 million and $10.6 million of unallocated general and administrative
expenses for the nine months ended May 31, 2011 and 2010, respectively.(2)
    
    Excludes unallocated general and administrative expenses. Revenues
   ®
  - 22 -




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##### Table of Contents



Gross Margin
 ®
 Operating Expenses
 ®
 Interest, Other Income (Expense), net
    Income Taxes
   Net Earnings
   - 23 -




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##### Table of Contents



Liquidity and Capital Resources
           Contractual Obligations and Commercial Commitments
   - 24 -




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##### Table of Contents



Market Conditions and Fiscal 2011 Outlook
  ® ®
   Recently Issued Accounting Pronouncements
 Disclosure of Supplementary Pro Forma
Information for Business Combinations
 Amendments to Achieve Common Fair Value
Measurement and Disclosure Requirements in U.S. GAAP and IFRSs
 Presentation of Comprehensive Income Comprehensive Income
  - 25 -




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##### Table of Contents



ITEM 3
 Quantitative and Qualitative Disclosures About Market Risk
       
 ITEM 4 Controls and Procedures
    - 26 -




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##### Table of Contents



Part II  OTHER INFORMATION
 
 ITEM 1 Legal Proceedings
  Environmental Matters
  
 ITEM 1A Risk Factors
  The Company is in the process of implementing a new enterprise resource planning (ERP) system at
certain U.S. locations. Risks generally associated with implementation of an ERP system may
adversely affect the business, financial position, results of operations or the effectiveness of
internal control over financial reporting.
  
 ITEM 2 Unregistered Sales of Equity Securities and Use of Proceeds
   - 27 -




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##### Table of Contents



ITEM 6 Exhibits
 3.1
    
    
    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, 2006.3.2
    
    
    Amended and Restated By-Laws of the Company, incorporated by reference to
Exhibit 3.1 of the Companys Current Report on Form 8-K filed on February 3, 2011.4.1
    
    
    Specimen Form of Common Stock Certificate, incorporated by reference to Exhibit
4(a) of the Companys Quarterly Report on Form 10-Q for the fiscal quarter ended
November 30, 2006.10.1
    
    
    Employment Agreement, dated May 5, 2011, between the Company and James Raabe,
incorporated by reference to Exhibit 10.1 of the Companys Current Report on Form 8-K
filed on May 10, 2011.31.1
    *
    
    Certification of Chief Executive Officer pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002 18 U.S.C. Section 1350.31.2
    *
    
    Certification of Chief Financial Officer pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002 18 U.S.C. Section 1350.32.1
    *
    
    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  - 28 -




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##### Table of Contents



SIGNATURE
  LINDSAY CORPORATIONBy:
    /s/ JAMES C. RAABEName:
    James C. RaabeTitle:
    Vice President and Chief Financial Officer  - 29 -