Lindsay Corporation (NYSE:LNN) Q1 2024 Earnings Conference Call January 4, 2024 11:00 AM ET
Company Participants
Randy Wood - President and Chief Executive Officer
Brian Ketcham - Senior Vice President and Chief Financial Officer
Conference Call Participants
Tyler Hutin - William Blair
Nathan Jones - Stifel
Brian Wright - ROTH MKM
Jon Braatz - Kansas City Capital
Operator
Hello and welcome to the Lindsay Corporation Fiscal First Quarter 2024 Earnings Conference Call. All participants will be in listen-only mode. [Operator Instructions] After today's presentation, there will be an opportunity to ask questions. [Operator Instructions]
I would now like to hand the call to Randy Wood, President and CEO. Please go ahead.
Randy Wood
Thank you and good morning, everyone. Welcome to our fiscal 2024 first quarter earnings call. With me today is Brian Ketcham, our Chief Financial Officer. I'd like to start by once again recognizing our dealers, partners and employees around the world for their contributions.
Their focus on our customers and execution of our business strategies continues to generate positive results for our shareholders while supporting our purpose of conserving natural resources, expanding the world's potential and improving quality of life. I continue to be very appreciative of the job they're doing.
Our fiscal first quarter was highlighted by growth in our North American irrigation markets and improved operating income and margin capture infrastructure segment, driven primarily by growth in Road Zipper System leasing.
In North America, demand for irrigation equipment was improved over the prior year first quarter as commodity prices and US net farm income have continued to support stable demand in our North American end markets. We experienced increased order activity as grower profitability became more transparent following harvest season. This was expected and is consistent with the wait-and-see approach we discussed coming out of last year's spring selling season.
Moving to international irrigation. Our key end markets remain healthy, although revenues for the quarter were lower in South America, particularly Brazil. Despite being down year-over-year, our results remain quite solid, particularly when compared to the record-setting international revenues captured last year.
Specific to Brazil, the FINAME financing program offered by BNDES was modified this year to distribute funding and quarterly increments. Ultimately, this caused some short-term disruption to our order confirmations in the period and while this impacted our quarterly results, we do not believe this will have a significant impact to our full year results in the region.