Farmers' attitude towards spending on big-ticket items "remains cautious" Lindsay Corp warned as it unveiled a 38% slide in revenues at its core irrigation equipment division.

While saying that demand for efficient water use would support the irrigation market long-term, the Nebraska-based group said it was difficult to forecast the market's short-term progress.

"Farmer sentiment remains cautious toward capital equipment purchases," Lindsay chief executive Rick Parod said.

"As a result, demand for the upcoming irrigation season remains unclear at this time."

Market reaction 

The comments echo those from tractor makers such as Agco and Deere & Co, which have also said that farmers' purse strings remain tight, and follow a September-to-November quarter in which Lindsay's revenues from irrigation equipment fell to $53.3m.

However, a strong performance in the group's infrastructure division, and a slide in personnel costs, helped group earnings rise 5.6% to $6.68m for the quarter.

At $0.52 a share, the result was well ahead of Wall Street forecasts of a $0.24-a-share figure.

Lindsay shares stood 5.1% higher at $39.86 in lunchtime trade in New York.